Growing while protecting

Advisor.ca, Bryan Borzykowski

In a perfect world clients would see their returns skyrocket without putting their capital at risk. But life’s not perfect.

Protecting capital while maintaining and growing investor returns is a challenge all advisors face, especially as the client is entering retirement. Clients want more money in their accounts but that’s difficult to do without taking on risk. While advisors can invest in low yielding fixed-income products, they may have to get creative if they want better returns and safeguard capital too.

David Stewart, principal at Toronto-based Stewart & Kett Financial Advisors, believes a balanced mandate is the best way to achieve growth and protection. “That tries to give you the best of both worlds,” he says.

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