Smith Manoeuvre
Running out of HELOC Space with the Smith Manoeuvre
If you’ve been following the blog for a while, you may have heard about the Smith Manoeuvre. At a high level, it’s a long-term investment strategy for investors with high risk tolerance. Essentially, it’s where an investor borrows against his home (using a HELOC) to invest in the stock market, business, and/or real estate. The plan…
Read MoreShould I Start the Smith Manoeuvre?
Lately, I’ve been getting a lot of questions from readers on starting the Smith Manoeuvre. This article is from the archives but very relevant today. Hope it helps! As this blog has quite a bit of content regarding the Smith Manoeuvre, I often get reader questions regarding how to start the Smith Manoeuvre, and when…
Read MorePaid Off Mortgage and the Smith Manoeuvre
This post was originally posted in 2009, but brought back to the foreground after some readers emailed me about the same topic. I added a couple of comments below on how my philisophy on this matter has changed over the years. A reader question that I’ve been getting quite a bit lately is, what if…
Read MoreThe Smith Manoeuvre – Canadian Tax Deductible Mortgage (2018)
Have you guys heard of the Smith Manoeuvre (SM)? For those who don’t know what it is, it’s a Canadian wealth strategy to structure your mortgage so that it’s tax deductible. Our U.S. neighbors already get the luxury of claiming their mortgage interest and now there is a way for us Canadians to do the…
Read MoreWhy I Don’t DRIP my Leveraged Smith Manoeuvre Portfolio
The Smith Manoeuvre questions keep coming in. For those of you new to the Smith Manoeuvre, it’s essentially a leveraged investing strategy where you obtain the capital by borrowing against your house. You can read all about it here. Sounds risky? I’m not going to sugar coat it, the strategy is certainly risky. Borrowing to…
Read MoreSmith Manoeuvre Questions – Capitalizing the Interest and Tax Deductibility
It’s been a while since I’ve written about the Canadian version of a tax deductible mortgage, also known as The Smith Manoeuvre. Yes, you read right, a tax deductible mortgage for Canadians, but it’s probably not exactly as you imagine. I’ve written a lot about the Smith Manoeuvre over the years, you can find the…
Read MoreThe Smith Manoeuvre Resource
Over the past year so, MDJ has posted many articles on the topic of using a HELOC to invest in equities aka: The Smith Manoeuvre. As I’ve been receiving quite a number of emails regarding the Smith Manoeuvre lately, this article compiles all the posts into a single Smith Manoeuvre Resource. Hopefully, you’ll find it…
Read MoreNew HELOC Rules and How it Affects Smith Manoeuvre Mortgages
When I started this blog, I wrote about the Smith Manoeuvre in the first month and implemented the controversial strategy in 2008. For those of you new to the strategy, the Smith Manoeuvre is where you leverage your home equity to invest in the stock market. I modified the strategy by first paying down my…
Read More