ING THRiVE Chequing vs BMO

I've been an ING Direct saver since early 2010, having made a cool $2000 with the their Orange Key referral program. I also invest monthly into a TFSA (the streetwise mutual fund, to be exact). Earlier this year, ING Direct opened what they call THRiVE Chequing.

Given that I've had a BMO Chequing account for over two years, switching to THRiVE wouldn't be something I do without due diligence. ING Direct list their primary selling points for their new chequing account on their website. I decided to dig a little deeper and discover how BMO compares before making my decision.

No-fee daily chequing
I pay for the BMO Plus plan a a cost of $8.50 a month. This fee is waived if I don't let the balance dip below $2000.

THRiVE, however, is free – you don't pay a monthly fee. But there are fees associated with other services.

For example, replacement debit cards with THRiVE are $15 but you get one free a year. BMO provide free replacement cards no matter how many you lose (I wasn't charged either time when I lost my debit card twice in one year).

ING charge $10 for Canadian drafts, but BMO charge $6.50 (in any currency).

A book of twenty cheques will cost THRiVE customers $10 (but the first twenty are free). This could add up considerably if you write a lot of cheques. BMO, however, don't charge at all for cheques.

In summary, given that I'm careless with debit cards, BMO are the winners. Maintaining my chequing balance above $2000 to avoid the $8.50 fee isn't a problem.

Pays Interest

THRiVE pays 0.25% on balances below $50000. Perhaps it's just me, but I don't think people who could afford to keep $50000 in their chequing account would be swayed by the paltry interest rate on offer. Most people would be better served by keeping amounts this large in high interest savings accounts. ING's high interest savings account currently pays 1.5%

BMO pay no interest on their chequing accounts, but you can connect chequing accounts to the Smart Saver account paying 1.35% and switch money in and out online (you're allowed unlimited deposits, but only one free withdrawal from the Smart Saver account each month)

Given the small difference in rates on the high interest savings accounts, we're tied on this point

Free email alerting

THRiVE customers get email alerts for specific account transactions (like payments, balances etc). That's a pretty neat service – BMO do not offer anything similar.

Free ABM Access

ABM access is pretty important if you're an online bank, and THRiVE customers can use the THE EXCHANGE® Network to withdraw cash. I searched http://www.the-exchange.ca for ABMs in my home town of Waterloo and found eight. BMO just edge them out with ten.

Free Whoops! Protection

ING offer free overdraft protection up to $250 (but you have to pay this back in 30 days, otherwise you'll be charged $2.50 a month). This is amusingly called the Whoops! service.

BMO offer overdraft protection of up to $2500 (upon application) but charge you interest on the total.

I'm pretty savvy with money and I've never been in the red, so this isn't a factor for me.

Mobile Banking

If you're a proud owner of an iPad, iPhone or Blackberry, you can bank while mobile with the THRiVE account. BMO are technological Luddites and don't offer this service.

Summary

ING primarily advertise THRiVE as a no-fee chequing account. Since I effectively don't get charged for my BMO chequing account (as long as maintain a balance of $2000), this isn't a factor. So ING's offering has to stand on its other merits.

I currently hold a BMO credit card, and their online services allow me to see my balances across all my accounts. This unified website is a very big plus for me. ING Direct don't (yet) offer a credit card, so I'd have to constantly switch between two websites to keep track of my day-to-day finances.

THRiVE's other benefits, however, aren't enough for me to shift my banking to ING. I still value the presence of a physical BMO branch barely a mile from me more than I do THRiVE's other selling points like free overdrafts and email alerts.

In short, I'll keep my chequing account with BMO until ING decide to raise their game.

ING Direct Canada Orange Key Promotion

If you open any ING account with an initial deposit of $100, and specify any of these working Orange Keys during the online application, you (and the owner of the Orange Key) will get $25 each.

17066306S1

30684987S1

17465528S1

19328535S1

You'll also get your own Orange Key so you can make your own referrals, and get $25 each time, up to a maximum of $2000. Here's a rundown of the referral scheme

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

Once you have your own Orange Key, visit this site and post it in a comment. I'll then feature it in a new blog post!

ING Direct Streetwise Balanced Income Fund

I thought I'd blog about the Balanced Income Mutual Fund today. I've always veered away from bond-based funds myself, possibly for no good reason. I've always thought that you could get the same risk diversification simply by investing in savings accounts and lower-risk mutual funds. However, given recent financial events, I've been looking at them in a more favorible light. Given that I'm a satisfed ING Direct customer, I took a closer look at their bond-based mutual fund.

The Balanced Income Fund has grown by 4.75% in the 12 months ending September 30th 2010.  Not a bad return given the 1.5% I'm getting in my BMO savings account. It's a fine fund if you're risk averse, but want greater growth than the dismal returns from bank savings accounts

These are the top 25 holdings of the Streetwise Balance Income Fund.   It's largley invested in Canadian Bonds (70%) but the rest is largely equities.

Holding	Percent of Portfolio
Government of Canada	3.70%
Government of Canada	3.00%
Canada Housing Trust	2.70%
Government of Canada	2.60%
Government of Canada	2.40%
Canada Housing Trust	2.30%
Government of Canada	2.10%
Province of Ontario	1.50%
Province of Ontario	1.40%
Province of Ontario	1.30%
Cash and Cash Equivalents	1.30%
Government of Canada	1.30%
Government of Canada	1.20%
Government of Canada	1.00%
Government of Canada	1.00%
Canadian Credit Card Trust	1.00%
Government of Canada	1.00%
Canada Housing Trust	0.90%
Canada Housing Trust	0.90%
Province of Quebec	0.80%
iShares S&P 500 Index Fund	0.80%
Government of Canada	0.80%
Government of Canada	0.80%
Canada Housing Trust	0.80%
Province of Newfoundland	0.80%
TOTAL	37.40%

Geographically, the fund is invested 80% in Canada. Accordingly, you're not in danger of considerable currency fluctuation.

If you're new to ING Direct, use any of these reader-submitted Orange Keys to open an account (just enter the key at the appropriate point on the online application form). You'll get $25 (so will the owner of the Orange Key).

35372105S1

32994525S1

35386449S1

You'll also get your own Orange Key so you can get your own referalls (simply visit this site again, post it in a comment, and I'll feature it in a blog post)

ING Direct Streetwise Fund Performance 2010

It's rapidly approaching the end of 2010, so I thought I'd update my previous post on the performance of the ING Direct Streetwise mutual funds.

This chart shows the price performance of the Income, Balanced and Growth funds.

 

Along with the rest of the stock market, the funds have risen gradually during the latter part of the year.

This chart shows the fractional month-on-month change of each of the funds.

 

 

The performance isn't stellar, but I haven't lost money.  I've been buying units every month this year, and the price has gradually since July.

Since I started investing in the Streetwise Balanced fund in February, my total investment of  $4183.3 ($100 in February plus $408.33 every month after that) is now worth $4390.22. That's an increase of 4.9% - a bit better than a savings account.

By the way, if you're considering opening your first account with ING Direct, then use this reader-posted Orange Key

3068497S1 

You'll get a $25 bonus when you make an initial deposit of $100.  You'll also get your own Orange Key, so you can make your own referrals.  Every time someone opens an account with your Orange Key, both you and the account opener get $25.  

There are bonuses for every 10, 20, 30, 40 and 50 people you register, and you could make as much as $2000.  

When you get your Orange Key, post it in a blog comment and I'll feature it in a new post.

Working ING Direct Orange Keys for October 2010

More ING Direct Orange Keys for Canadians who want to make money!

17465528S1
22443372S1
17289125S1 

If you want your Orange Key posted, simply enter it into comments box and I'll feature it in a blog post!

More ING Direct Orange Keys for October 2010

 Use any of these Orange Keys to get your free $25 from ING Direct Canada.

35292765S1

35305534S1

You'll also get your own Orange Key so you can get your own referrals. When you do, come back here and post it in a comments box - I'll feature it in a new blog post. 

If you've just browsed here, looking for a place to post your Orange Key, leave it in a comment, and I'll publish it. Happy Thanksgiving!

Fresh ING Direct Orange Keys for 2010

Two readers have given me their Orange Keys

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17355816S1

Use either to get your $25 bonus, and your own Orange Key! Once you have your own Orange Key, leave it in a comment, and I will put them in a new blog post.

Go ahead and make $2000!

Post your ING Direct Orange Key here and gain referrals!

I started this blog earlier this year hoping to gain referalls for my ING Direct Canada Orange Key.  Well, I succesfully gained my 50 referrals, and made $2000 in the processes.

I still have people using my Orange Key to open their ING TFSA's, savings accounts, RSPs and mutual fund accounts and get their $25 bonus.  As of today, over 160 people have used my Orange Key to gain their $25 bonus, but because of the limits ING have placed, I personally don't get any more bonuses.

This site gets over 40 hits a day from people looking for a Orange Key.  That's over forty people keen to find a working ING Direct Orange Key, so they can open accounts and get their bonus of $25 (and in turn get their own ING Direct Orange Key).

I now want to hand this site over to the community. Post your ING DIRECT ORANGE KEY in the comments box in this post. Every couple of days, I will create a new post featuring the Orange Keys posted most recently. Those Orange Keys will get the referral bonuses that I am no longer eligible for.

So post your ING Direct Orange Key in the comments box, and start getting those referrals! If you do get a bonus from an Orange Key you've found on this website, then encourage your friends to visit, and perhaps even post a link on your blog.

ING Direct Orange Key for July 2010: 34431191S1

Want to make $25 in July 2010? What about $500? Want even more?

• Open any account (TFSA, RSP, GIC, or ISA) with ING Direct at http://www.ingdirect.ca
• Specify the Orange Key 34431191S1 when requested in the application
• Make an initial deposit by check of $100

You'll get $25 free credited to your account. You'll also get your own Orange key so you can make your own referrals - you could even create a blog like this to get referrals. Every time you refer someone you and the account opener get $25.

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

Remember to specify Orange Key 34431191S1 to get your $25 and your own Orange Key code.

Orange Key Code 34431191S1 is valid and working!  You will not lose out, but if you have any questions let me know via the chat box on the left.

ING Orange Key Canada - make up to $2000 free

All Canadians can get $25 free (and up to $2000 more with the Refer-A-Friend program) by opening any ING Direct account.

• Open any account (TFSA, ISA, RSP or GIC) with ING Direct at http://www.ingdirect .ca
• Specify the Orange Key 34431191S during the online application
• Make an initial deposit by check of $100

Your account will be credited with $25 free. You'll get your own Orange Key. If your friends and family open an ING Direct account and specify your Orange Key, you and they will get $25 free.

34431191S is a working ING Direct Orange Key - you will not lose out :)

When I opened an ING Direct Orange I found a working Orange Key just by googling "ING Direct Orange Key" - I got $25 free, and so did the anonymous person who posted the Orange Key I found. I realized this was a great money making scheme, so I created this website to promote my Orange Key (optimized for the right search terms, and with other valuable information like Streetwise mutual fund reviews and investment advice).

You could also consider posting your Orange Key on

• http://www.craiglist.ca
• http://www.redleafads.com
• http://www.eclassifieds4u.com
• http://www.sellitbuyit.ca
• http://www.usedcanada.com

There are many ways you can promote your Orange Key and make those referral bonuses - it just takes a small investment of your time.  The money is out there waiting to be made - go get yourself $2000.

Here's the rundown on the bonus scheme.

Refer 10 friends - get $25*10 + $50 bonus = $300

Refer 20 friends - get $25*10 + $100 bonus = $350

Refer 30 friends - get $25*10 + $150 bonus = $400

Refer 40 friends - get $25*10 + $200 bonus = $450

Refer 50 friends - get $25*10 + $250 bonus = $500

TOTAL = $2000

Streetwise Balanced Income Fund - A Review

The Streetwise Balanced Income Fund is primarily intended for investors with a low tolerance for risk who intend to keep invested for the medium-term (five years or so).  It is invested in

• 70% Canadian bonds via the DEX Universe Bond Index: The Index is designed as a measure of Canadian investment-grade fixed income market and consists of bonds which mature in more than one year.
• 10% Canadian equity via the S&P/TSX 60 Index: This is a capitalization weighted index that measures the performance of 60 large, liquid Canadian common stock listed on the Toronto Stock Exchange.
• 10% US equity via the S&P 500 Index: This is a capitalization weighted index that measures the performance of 500 widely-held U.S. common stocks representing all major industries in the United States.
• 10% International equity via the MSCI EAFE Index: This Index is a broad measure of performance of equity securities of companies domiciled in developed markets covering countries in Europe, Australasia and the Far East.

The Streetwise Balanced Income Fund returned 7.67% in 2009 (after an expense ratio of 1%). Given the turmoil in the world stock markets in 2009, this is a satisfactory result.

These are the top 25 holdings of the Streetwise Income Fund.

1. Canada Housing Trust 4.60% Sep 15/11 6.4%
2. Government of Canada 3.75% Jun 01/12 4.4%
3. Canada Housing Trust 2.70% Dec 15/13 2.5%
4. Canada Housing Trust 4.55% Dec 15/12 2.5%
5. Province of Ontario 5.00% Mar 08/14 1.9%
6. Cash and Cash Equivalents 1.7%
7. Province of Ontario 4.40% Mar 08/16 1.6%
8. Government of Canada 8.00% Jun 01/27 1.5%
9. Canada Housing Trust 2.75% Dec 15/14 1.4%
10. Government of Canada 5.75% Jun 01/33 1.2%
11. Government of Canada 5.75% Jun 01/29 1.2%
12. Government of Canada 3.50% Jun 01/ 13 1.2%
13. Province of Quebec 5.25% Oct 01/13 1.1%
14. Canadian Credit Card Trust 4.51% Apr 24 /12 1.1%
15. Province of Newfoundland 6.40% Jul 25/1 1 1.0%
16. Government of Canada 8.00% Jun 01/23 0.9%
17. Canada Housing Trust 3.15% Jul 15/14 0.9%
18. The Toronto-Dominion Bank 5.14% N o v 19/1 2 0.9%
19. Canada Housing Trust 4.10% Dec 15/18 0.9%
20. Government of Canada 3.00% Jun 01/14 0.9%
21. Province of Ontario 5.60% Jun 02/35 0.9%
22. Province of British Columbia 4.70% Dec 0 1/1 7 0.9%
23. Royal Bank of Canada 0.8%
24. Province of Quebec 6.25% Jun 01/32 0.8%
25. Canada Housing Trust 2.95% Mar 15/15 0.8%

I invest in another ING Fund (the Streetwise Balanced Fund), but if you want a safe haven then the Balanced Income portfolio is a fine pick.

ING Direct Refer A Friend

ING Direct Refer-a-Friend promotion gives new customers $25 when you use an Orange Key to open any account and make an initial deposit of $100.

I'd appreciate it if you enter my Orange Key 34431191S1 when you complete the online application at http://www.INGDirect.ca.  Both you and I will get $25, and you'll also get your own Orange Key so you can make your own referrals.  

ING Direct Orange Key for June 2010: 34431191S1

Want to make $25 in June 2010? What about $500? Want even more?

• Open any account (TFSA, RSP, GIC, or ISA) with ING Direct at http://www.ingdirect.ca
• Specify the Orange Key 34431191S1 when requested in the application
• Make an initial deposit by check of $100

You'll get $25 free credited to your account. You'll also get your own Orange key so you can make your own referrals. Every time you refer someone you and the account opener get $25.

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

Remember to specify Orange Key 34431191S1 to get your $25 and your own Orange Key code.

Orange Key Code 34431191S1 is valid and working!  You will not lose out, but if you have any questions email me at simulationconsultant@gmail.com

Orange KeyCode 34431191S1 works!

Use 34431191S1 to register any new account with ING Direct and you'll get a $25 bonus!

If you have any problems just email me at simulationconsultant@gmail.com

TFSA Investment Strategy: Capital Gains Permanently Increase the Contribution Room

Currently you can only contribute $5000 a year to a Tax Free Savings Account (TFSA).  However, any capital gains to investments in a TFSA permanently increase the contribution room.  

So let's say one year you put $5000 in a TFSA, and it doubles to $10000 because of some clever investment picks. That $10000 is now your investment limit for the year.  The money can be completely withdrawn (without tax), and the full $10000 recontribute in the same year, or any year after.  

However, if your $5000 TFSA investment dwindles to nothing, then the contribution room is permanently lost.  

In conclusion, if $5000 doesn't mean much to you, then go for broke and invest in high-risk but high-gain equities for your TFSA - if you're lucky you might hit it big.  If the $5000 is a significant sum of money for you, then you might want to take it easier and invest in something that's lower risk (but still gives a reasonable return).

ING Direct Canada have three mutual funds you can invest in, all eligible for TFSA status.  They are (in order of increasing risk)

• Streetwise Balanced Income
• Streetwise Balanced
• Streetwise Balanced Growth

Increasing risk reduces the fraction of bonds, and increase the fraction of equities in the fund.  Read the fund prospectuses at http://www.ingdirect.ca/en/save-invest/mutualfunds/learningcentre/prospectus/index.html before you make any investment decisions.

If you're new to ING Direct Canada, then use Orange Key Code 34431191S1 when you open your account at http://www.ingdirect.ca.  This will give you a free $25 bonus when you make an initial deposit by cheque of $100.

$25 ING Direct Bonus with Orange Key: 34431191S1

If you're in Canada, ING Direct Orange Key code 34431191S1 will give you a $25 bonus when you open any new ING Direct account and fund it with $100.

The account can be a Tax Free Savings Account, Retirement Savings Plan, GIC, or any other account. You can even invest in ING's range of Streetwise Mutual Funds.  This offer is open to any Canadian.

*  Go to http://www.INGDirect.ca
*  Pick your account (TFSA, GIC, RSP or a Streetwise mutual fund)
*  Start the online application procedure
*  Specify Orange Key 34431191S1 when requested in the online application
*  Make an initial deposit by check of $100

You'll get $25 FREE credited to your account. You'll also get your own Orange Key so you can make your own referrals - both you and the account opener get $25. You could make up to $2000. Here's the rundown:

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

That's right - you could make $2000 simply by registering with ING Direct. You'll need to use Orange Key 34431191S1 to get your initial $25 and your own Orange Key.

Retirement Planning: should I invest in a TFSA or an RRSP

I've never been the most financially adept of people, and it's only recently I've given these matters more serious thought.  Retirement seems to be a nebulous time in the future but I know that it can creep up on you. The last thing I want is an impoverished old age so I seriously started planning my financial future.

So I recently started both a Tax Free Savings Account (TFSA) and a Retirement Savings Plan (RSP), both with ING Direct Canada.  They have different tax benefits

• Contributions to a TFSA are taken from post-tax income, and is tax-free when you withdraw money.
• Contributions to a RSP are taken from pre-tax income, and is taxed when you withdraw money.

This essential means that it's best to contribute money to

• a TFSA early in life, because you will have a low income (your tax bracket will be lower)
• an RSP later in life when your income grows (your tax bracket will be higher)

However, I don't necessarily think I should worry about these things too much as long as I am saving something.  The tax-benefits of either may change in the 30 years I have to retirement.

Holdings of the Streetwise Balanced Growth Fund

When I discovered the ING Direct Orange Key promotion, I googled an Orange Key, completed the online application form, and opened the Streetwise Balanced Growth Mutual Fund.

When you buy into this fund, you're buying into MANY different companies. The top 25 holdings are:

1. iShares MSCI EAFE Index Fund 2.6%

2. Royal Bank of Canada 2.0%

3. Government of Canada 3.75% Jun 01/12 1.5%

4. The Toronto Dominion Bank 1.5%

5. Suncor Energy, Inc. 1.4%

6. The Bank of Nova Scotia 1.2%

7. Canada Housing Trust 4.60% Sep 15/11 1.2%

8. EnCana Corporation 1.1%

9. Barrick Gold Corporation 1.0%

10. Canadian Natural Resources Limited 1.0%

11. Manulife Financial Corporation 0.9%

12. Research in Motion Limited 0.9%

13. Government of Canada 2.75% Dec 01/10 0.9%

14. iShares S&P 500 Index Fund 0.9%

15. Province of Ontario 5.00% Mar 08/14 0.8%

16. Exxon Mobile Corporation 0.8%

17. Province of Ontario 4.40% Mar 08/16 0.8%

18. Canada Housing Trust 4.55% Dec 15/12 0.8%

19. Government of Canada 3.75% Sep 01/11 0.8%

20. Goldcorp Inc. 0.8%

21. Bank of Montreal 0.7%

22. Potash Corporation of Saskatchewan Inc. 0.7%

23. Canadian Imperial Bank of Commerce 0.6%

24. Canadian National Railway Company 0.6%

25. Canada Housing Trust 3.55% Sep 15/10 0.6%

If you're about to open any  ING Direct account, use the Orange Key 34431191S1 for your $25 bonus. With this Orange Key, you'll even get your own Orange Key so you can make refer your friends and family. Both you and the account opener get $25, so it's a win-win situation.

ING Direct Orange Key for May 2010

Need an extra $25 in May 2010? What about $500? Want even more? Here's how.

• Go to http://www.INGDirect.ca 
• Pick your account (TFSA, GIC, RSP or a Streetwise mutual fund) 
• Start the online application procedure 
• Specify Orange Key 34431191S1 when requested in the online application 
• Make an initial deposit by check of $100 

You'll get $25 FREE credited to your account. You'll also get your own Orange Key so you can make your own referrals - both you and the account opener get $25.

You could make up to $2000 by referring friends and family. Here's the rundown:

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

That's right - you could make $2000 simply by registering with ING Direct. You'll need to use Orange Key 34431191S1 to get your initial $25 and your own Orange Key.

Performance and Sharpe Ratio of the ING Direct Streetwise Funds

Sharpe Ratios of the ING Direct Streetwise Funds

• Sharpe Ratios are usually calculated on a year by year basis, but since there isn't enough performance information with the Streetwise funds to do this, performance is calculated month-by-month, and then averaged to calculate the expected return per month
• Risk free return is assumed to be 1.2% a year (ING's current ISA rate), which is 0.0995% a month

Streetwise Balanced Income: 0.009645

Streetwise Balanced Growth: -0.08041

Streetwise Growth: -0.09839

UPDATE: For an updated performance review (as of October 2010), click here.

ING Direct Canada - A Review

I opened a Tax Free Savings Account (TFSA) and an ISA (Investment Savings Account) with ING Direct several months ago.  I've been pretty impressed with their service so far (especially the remarkably simple and easy-to-use website), so I thought I'd offer a review

ING Direct Canada offer a range of savings products that are designed for people who don't want to spend every hour of every day managing their money. The accounts of most interest to ordinary consumers are given below (including current interest rates).

• Savings accounts
• Investment Savings Account (1.2%)
• Retirement Savings Account (1.2%)
• Tax-Free Investment Savings Account (3%)
• US$ Savings Account (0.75%)\
• Business Savings Account (1%)
• Retirement Savings Plans
• Savings Accounts (1.2%)
• Guaranteed Investment Certificate (up to 3%)
• Short Term Guaranteed Investment Certificate (up to 0.5%)
• Mutual Fund Account (Income, Balanced, or Growth) 
• Retirement Income Mutual Fund Account (Income, Balanced or Growth)
• Loan (4%)

The mutual fund accounts (known as Streetwise funds) are essentially index trackers and invest in a mix of bonds and equities (with different allocations dependent on your risk profile).  The three types of mutual funds are 

• Balanced Income (70% Canadian Bonds, 10% Canadian Equities, 10% US Equities, 10% International Equities)
• Balanced (40% Canadian Bonds, 20% Canadian Equities, 20% US Equities, 20% International Equities)
• Growth (25% Canadian Bonds, 25% Canadian Equities, 25% US Equities, 25% International Equities)

The mutual funds charge an annual management fee of 1% , and are automatically rebalanced every three months. The automatic rebalancing means that if the equities grow in value faster than the bonds, some of the equities are sold and bonds bought to maintain the allocation.  This strategy mechanizes the process of buy-low-and-sell-high (removing many of the emotional influences from investing), and is the primary reason I've invested my monthly TFSA contribution into the Streetwise Balanced Fund (you can arrange a monthly savings plan).

Given that most active managed mutual funds charge upwards of 2%, then the Streetwise Funds offer good value (of course you may find active managed funds that perform better than the Streetwise Funds, but this can often be a tricky affair - most of them perform worse than trackers over the long term). Make sure you read the Mutual Funds prospectus before you invest - you can find them here.

I've already mentioned the website - it's very simple to use and is designed for people who don't want to navigate a cumbersome web interface.  The options are streamlined and focussed. I've never needed to call ING, because I can do everything I want (including moving money into and out of ING from another a bank) on the web.

ING Direct also offer an incentive plan which gives you $25  when you open any account and making an initial deposit of $100 or more.  You need what's known as an ING Direct Orange Key, which you write into the appropriate part of the online application form when prompted.  Here's what to do

1. Decide which account you want to open (a TFSA is a no-brainer for most Canadians)
2. Go to http://www.ingdirect.ca/en/signmeup/index.html and complete the online application form
3. When prompted in the form, enter the Orange Key 34431191S1
4. Make an initial deposit by check of $100 or more.

You'll also get your own Orange Key so you can make your own referrals (both you and the account opener get $25 each).  You could make up to $2025 with this incentive referral program (including your original $25).  Here's how it works.

Refer 10 friends - get $25 x 10 + $50 bonus = $300
Refer 20 friends - get $25 x 10 + $100 bonus = $350
Refer 30 friends - get $25 x 10 + $150 bonus = $400
Refer 40 friends - get $25 x 10 + $200 bonus = $450
Refer 50 friends - get $25 x 10 + $250 bonus = $500
TOTAL = $2000

ING 25 dollar bonus for Canada in 2010

For the ING 25 dollar bonus use the Orange Key 34431191S1.

You'll also get your own Orange Key, so you can invite your own friends and family.  Everyone you sign up with your Orange Key gets $25, and so do you

ING Direct Orange Key 2010

Are you about to open an ING Direct account in April 2010? Need a working Orange Key code? Use 34431191S1

Working ING Direct Orange Key

Use 34431191S1 if you want a free $25 from ING Direct Orange Key, and the opportunity to make up to $2000 in your own referrals.

Still good for 47 referrals.

Ing Orange Key Canada

• Open any (TFSA, RSP, GIC, ISA) account with ING Direct at http://www.ingdirect.ca
• Specify the Orange Key 34431191S1 at the end of the application
• Make an initial deposit by check of $100

You'll get $25 absolutely free. You'll also get your own Orange Key so you can make your own referrals. Every time you refer someone you (and the account opener) get $25. You could make up to $2000 with this. Here's the rundown:

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

Need reassurance this will work? Go to ING's website: http://www.ingdirect.ca/referafriend

Remember to specify Orange Key 34431191S1 at the end of your application.  As of today, 34431191S1 still has 47 referrals associated with it!

ING Orange Key 2010 for $25 bonus

Use 34431191S1 for a $25 bonus and your own referral code. 

Get $25 dollars with ING Direct Orange Key code: 34431191S1

• Open any (TFSA, RSP, GIC, ISA) account with ING Direct at http://www.ingdirect.ca
• Specify the Orange Key 34431191S1 at the end of the application
• Make an initial deposit by check of $100

Need reassurance this will work? Go to ING's website: http://www.ingdirect.ca/referafriend

You'll get $25 absolutely free. You'll also get your own Orange Key so you can make your own referrals. Every time you refer someone you (and the account opener) get $25. You could make up to $2000 with this. Here's the rundown:

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

 Remember to specify Orange Key 34431191S1 at the end of your application :)

As of today, 34431191S1 still has 47 referrals associated with it!

Keeping Gillette Fusion razor blades sharp

Gillette Fusion razors are the only blades I can use. Others brands (including the Mach 3) shred my face into bloody ribbons.  However, they're expensive. Oh so very expensive.  I've often spent $30 on just 8 blades, with each blade lasting a week or so before it gets blunt and nicked (and becomes too uncomfortable to shave with).

I recently came across a way of sharpening (or more correctly, honing) blades which promises to drastically reduce the money I spend on blades.  It's simple, but remarkably effective.

• Get an old pair of jeans
• Gently run the blade 30 times up the jeans (about 10 or 15 cm)
• Switch the direction of the jeans (so the grain is pointing the other way).
• Gently run the blade 30 times up the jeans again

Remember not to "shave" the jeans, and you don't need to press down hard (I just use the weight of the razor).  This process hones any nicks in the blade and polishes them. Using this process, I've been using the same blade for one month now, and it shows no sign of losing its effectiveness.  

Of course, you'll lose the comfort strip, but this isn't much of a loss compared to the savings you'll make.  

My favorite frugal fourms

These are my go-to forums for Canadian tips on frugality, money-saving, and sometimes even investing!

http://www.reddit.com/r/Frugal/


http://www.redflagdeals.com/forums/


http://forum.smartcanucks.ca/


http://canadianmoneyforum.com/

Get $25 dollars bonus and up to $2000 with ING Direct Canada. Use Orange Key: 34431191S1

* Open any (TFSA, RSP, GIC, ISA) account with ING Direct at http://www.ingdirect.ca
* Specify the Orange Key 34431191S1 at the end of the application
* Make an initial deposit by check of $100

Need more information? Go to ING's website: http://www.ingdirect.ca/referafriend/

You'll get a bonus $25. You'll also get your own Orange key so you can make your own referrals. Every time you refer someone you (and the account opener) get $25. You could make up to $2000 with this.

Refer 10 friends - get $25*10 + $50 bonus = $300
Refer 20 friends - get $25*10 + $100 bonus = $350
Refer 30 friends - get $25*10 + $150 bonus = $400
Refer 40 friends - get $25*10 + $200 bonus = $450
Refer 50 friends - get $25*10 + $250 bonus = $500
TOTAL = $2000

 Remember to specify Orange Key 34431191S1 at the end of your application :)

ING Orange Key. Get $25 dollars and your own refer code

You will get a $25 bonus by simply opening an ING account with the Orange Key - 34431191S1 and depositing $100. 

1) Visit http://www.ingdirect.ca/en/signmeup/index.html and pick an account

2) Enter this Orange Key code at the end of the application form:34431191S1.

3) Write yourself a cheque for $100 or more and send it to them.

4) In 2-3 business days, the money will be deposited into your account (your $100 deposit + $25 bonus from Orange Key)

You will get your own Orange Key, so you can start refer people as well (if they use your key, you both get $25 when your referrals open an account).  You can make up to $2025

A week without spending?

Here's a game I sometimes play.  I buy $35 of food on a Saturday, fill my car up, and then see if I can go for the rest of the week without ANY spending money (not counting, for example, direct debits that go straight out of my bank account).  

This can sometimes be frustrating when my colleagues go out for lunch at work, and I have to politely decline.  Or when I'm in need of a sugar fix, given that Tim Horton's is only a three minute drive away, and the candy machine is 50ft from me. 

It helps that I carry no cash on me at all.  For some reason, I find it easier to spend the cash that's in my pocket rather charge the credit card in my wallet.

We get free coffee at work, so I'm never low on caffeine, otherwise I'd be crankier than a rabid dog on a bad hair day.

I look forward to the big sense of satisfaction I feel on the following Saturday.  That in itself is worth it.  I feel healthier because I haven't eaten any refined products for a week - just pasta, vegetables, fruit, fish, lentils and other basic food.  

Where can I find a working ING Direct Orange Key

If you're looking for a working ING Direct Canada Orange Key, then use 34431191S1

Perhaps it's a part of my detailed-minded nature...

...but I always read the nutritional information on food in shops - even food I'm not even intending on buying.  I take a prurient interest in examining the nutrients in unhealthy foods, like frozen pizzas and corn dogs, if only to congratulate myself on my healthy purchases.

I have to stop doing this though.  It's not a frugal use of my time.

Loyalty? I've got some...

One aspect of frugality (especially if you've got a few a hours a week to spare) is the make the most of loyalty and rewards programs - but making absolutely sure that you don't buy something you wouldn't otherwise just for the points

I'm a member of the following reward programs

• Aeroplan. I'm a semi-frequent flyer for work, and I end up buying Esso gas cards with my points.
• Asiamiles. I only fly an Asiamiles airline once a year, so these build up slowly.
• Sobeys. My regular supermarket for fruit and vegetables (I could travel further for somewhere cheaper, but the gas costs would outweigh the benefits)

Food Coupon Clipping?

Coupon clipping is not for me. Food coupons are by and large for unhealthy processes foods, full of fat, sugar, high-fructose corn syrup, and other substances.

The healthiest foods are those that are processed the least.

• fruit and vegetables
• nuts and berries
• milk and cheese
• water
• wholewheat pasta
• wholegrain bread

It's important not to ignore meat in your diet, but most people eat far too much (it sits in your gut, slowly putrefying.... yuck!). Lean chicken or beef once a week is about right.

I've done the math and found that eating far down the processing chain is cheaper than buying (coupon-reduced or otherwise) food.

Frugality

I've never been a big spender, but that doesn't mean I'm cheap. To me, frugality is knowing the difference between shiny (but ultimately worthless) trinkets that may occupy your attention for a week, and true value.

True value for me are things like

• Shoes that last a long time and quality clothes that you'll wear for many years
• Healthy, nourishing food
• Spending time and enhancing your relationship with friends and family

Now, if I had more money that I know what to do with, then I may just splurge on a brand new car, or an expensive holiday. But until then, I'll be a happy, contented Frugan.

ING Orange Key. Get $25 dollars and your own refer code

You will get a $25 bonus by simply opening an ING account with the orange key code - 34431191S1 and depositing $100.

1) Visit http://www.ingdirect.ca/en/signmeup/index.html

2) Enter this Orange Key code at the end of the application form: 34431191S1.

3) Write yourself a cheque for $100 or more and send it to them.

4) In 2-3 business days, the money will be deposited into your account (your $100 deposit + $25 bonus from Orange Key)

You will get your own Orange Key - so you can start referring people (if they use your key, you both get $25 when your referrals open an account)

Happy saving!

Sam