Personal Finance, Stock Market

This Is Why Stocks Should Be In Your Portfolio

Happy International Women’s Day!

After my recent post regarding inflation, I did some calculations on the actual annual returns from the stock market to see if I want to sell all my stocks now and invest in other instruments with better returns.

So I looked at Toronto-Dominion Bank (TSE:TD) and realize my annual return would be ONLY 8.25% if I buy the stock at the same time last year.

Screen Shot 2018-03-08 at 11.16.36 AM

This is EVEN LOWER than the inflation rate of gasoline in 2017, which was about 16%.

But as of today, I still hold TD stocks in my portfolio and have no plans to sell them anytime soon.

Why?

 

Last week, I had received the annual meeting package from TD Bank with their 2017 Annual Report, the notice of annual meeting of common shareholders and more importantly, the management proxy circular.

 

The 2017 Annual Report gave you the overview of how the company performed in 2017 as well as the 2017 Consolidated Financial Statements.  Furthermore, the management proxy circular provides shareholders with lots of information such as the list of director nominees for election to the board of directors, executive compensation plans and proposals from shareholders that wanted to be vote for.

As a common shareholder like me, there is not much I can do to influence the operation of TD Bank.   However, it is always nice to get to know the company you have in your portfolio better.

I cannot think of any other investments that are “transparent” to their shareholders.  Please let me know when you find another one.

I hope you guys are doing something meaningful for International Women’s Day and I will catch you on the flip side!

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