You would already know this if you had the privilege of following me on Twitter: For the first time in a very long time, I significantly paid down my margin debt! My margin debt now stands at $37,938. I have the Bank of Canada to thank for that! Starting probably tomorrow, the interest rate on my margin account debt will be 8.25%, which is quite high. Every year, I declare the interest earned as financial fees on my taxes, but I don't get back much. My salary isn't super high, and it's challenging to receive a substantial return due to overtime and dividend income. In 2022, my income reached $80k. It will probably be less in 2023, around $70k or close to it. But even at that salary, its hard to get something back from the taxes.
Anyway, I eventually came to the conclusion that I should reduce that margin debt. It would make more sense, especially since I am getting "older." Eventually, being debt-free would be nice. I just can't remember the last time my margin debt was lower than $40k. You can check my collection of little debt reports by clicking on my "debt situation" label. There are over 130 posts with that label. I also have another $6k that I could use to make a payment on my margin debt, which comes from some savings. I don't consider selling stocks to pay off my margin at this time.
Following TMX Group Limited (X) stock split announcement, I decided to invest in a few additional shares of X for my TFSA and RRSP portfolios. I may invest again in a few shares of TMX within my TFSA, as I still have contribution room left. I believe TMX Group Limited (X) can be an interesting long-term investment that may yield an annual return exceeding 8%, or 8.25% if you prefer. It's difficult for me to pay down my margin debt while keeping an eye on TMX, but sometimes, there are opportunities that are worth it.
For the past couple of days in Montreal, the weather has been cold, and there is heavy smog in the air. I think it's fortunate that the weather is cold, as it makes the smog more tolerable. I have a mild case of asthma and only have an old inhaler that my father gave me a long time ago. My throat was killing me before my work meeting this afternoon, but when I kept quiet, I felt alright, haha. Apart from that, I'm not suffering from the surrounding smog. We received rain this evening, which should help. Even with the rain, Montreal is still beautiful.
Now that I am back in Montreal, I am trying to control my expenses. Currently, I really want to get a haircut, even though I had one shortly before leaving New Brunswick. I also want to get some highlights to cover up the few white hairs that unfortunately stand out under the bathroom lightbulbs. I can afford it, but at the same time, if I want to invest in a few more shares of TMX Group Limited (X), the money needs to come from somewhere, and it definitely can't come from my margin anymore! The good old days when I could use my margin money to invest whenever I wanted are gone. I don't have the same freedom as before, and it's a little sad. I feel crushed and pushed down by the system, and I hate it.
Today, Dollarama announced some very good profits, which comes as no surprise. With this inflation, consumers are seeking cheaper options, and Dollarama is one of them. Usually, I only shop at Dollarama for my cleaning supplies, but recently, I've expanded my purchases to include food. I bought bread, some noodles (why not?), and strawberry jam...
In New Brunswick, that's the jam that my old folks usually buy. So it really made me laugh when I recently bought that same strawberry jam for myself. But the fun stops right there. Dollarama's strawberry jam is very high in sugar; I don't recommend it.
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