Maximizing Your RRSP   It's that time of year again when one has to make that important decision as to the choice of investments for your RRSP contribution. Most people realize that retirement planning is a necessity, not a luxury. The government programs currently available will not be able to support the wave of baby boomers who will be retiring in the next 10 to 15 years and todays decisions will affect tomorrows standard of living. With advances made by medical science, people are living longer. A recent study by Dr. Ronald Klatz, President of the American Academy of anti-aging medicine in Chicago, predicts that the life expectancy of men by the year 2010 will be 96 (The current actuarial age is 76) and women outlive men, on average by 10 years. Will your money last that long in your retirement? Based on these statistics it is also clear that rate of return within your RRSP is the key. In improve your rate of return you should take advantage of the 20 % allowable foreign content in your RRSP. As Canada only represents 3 % of the world market capitalization, failure to maximize the foreign content in your portfolio means that you are missing 97% of the growth opportunities available in the rest of the world, namely the US, Europe, Far East and the many emerging nations. By diversifying globally, risk is decreased and the overall performance of your portfolio is improved. It is true that Canada is well positioned for growth at this time, The dollar is low, inflation is stable and exports are booming. However, the quebec referendum issue is not resolved and neither is the dept and unemployment situation. By investing globally whenever possible, you are hedging against any slow periods in Canada.   Back