Around The World in 100 Words - May 2017, Week 15

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This week's ATW is notably brief, given that I'm 4000km away attending an investment conference in California. But thanks to a little-known invention called the "internet," I'm able to keep abreast of developments back home including eye-catching headlines in our major Daily newspapers. Attached is an article from our beloved National Post that should be read by every taxpayer in Ontario. It deals with the current Liberal government's claim that they've "balanced the books," as bare-faced a lie as any government has ever made. In reality, it's not balanced and even if it were, that's not after the Liberals have doubled our provincial debt to a whopping $312 Billion over the past 15 years. Interest on that debt is $1 Billion per month. And that's with interest rates still at record lows.

Bottom line? Interest rates will rise and whichever Party is in power in 2018, will have to figure out how to service this debt. Making hard choices is politically unpopular, so the go-to will be higher taxes and higher user fees. They're coming folks, so being a disciplined saver and putting more aside in your investment portfolio is prudent. And then we'll do our part delivering solid, risk-adjusted returns that will help to protect you from tax-and-spend governments.

Martin Weiler
Financial Advisor
Manulife Securities Investment Services Inc.