Only 31 days remain until the capital gains tax changes come into effect. One of many planning decisions is whether to flow out gains from estate-planning trusts. Alter-ego trusts, joint spousal or common-law partner trusts, and spousal trusts are subject to a deemed disposition when the relevant trust beneficiary dies. Absent planning while the beneficiary is alive, a big gain in the trust in the year of death would be subject to the increased capital gains inclusion rate, and, as one tax expert put it, “that’s going to hurt.”

Financial advisors and portfolio managers believe next week’s transition to T+1 (next-day trade settlement) will be relatively seamless. Sources shared their insights about the change as well as what makes for a successful trade process.

The 2022 federal budget clamped down on the manipulaton of Canadian-controlled private corporation (CCPC) status as a way to avoid tax on passive income. The related legislation is at third reading in the House of Commons; however, such planning could exit on high note, given a recent Tax Court decision.

In the latest development in Ontario’s title protection, the Canadian Securities Institute stopped administering its designated financial services advisor (DFSA) credential. Anyone holding the DFSA has six months to get a different approved credential if they want to use the “financial advisor” title. However, given that securities and mutual fund licensing also qualifies as a credential under the province’s title protection, few people are likely affected.

I spoke to a couple advisors this week about the challenge of finding (and training) successors, particularly on the insurance side, and thus the value of a team. Here’s a throwback story from a couple years ago that highlights the team approach.