Who should buy them?
- Investors with a very low tolerance for risk
- Those seeking income in retirement
- People who want to put their savings out of reach for a specific period of time
Most investment portfolios will have a foundation of fixed-term products. How much of a foundation depends on you and your specific circumstances.
I don’t want any risk. Should I put my entire portfolio in GICs?
That’s a tough question that probably requires a conversation with a Coach. Modern portfolio theory, including concepts such as asset allocation and diversification, would suggest that the correct way to build a strong portfolio is to mix different types of investments. When you factor in inflation and taxes, the actual return in your GIC may not be positive even if that conflicts with what it says on your statements.
Our best advice is to come in a talk to Coach today to look at your personal situation.
Not yet banking at Libro? Speak with a Libro Coach today to learn more about investing a Libro and how to get started.
If you have GICs in your RRSP portfolio, ask a Libro Coach about five-year ladders to minimize your interest rate risk over time.
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View our short- and long-term GIC rates.