It’s not easy being an investor these days. We’re facing higher taxes. We’re being vilified by the media, and we often feel distanced from our friends and families because of our life choices. The struggles we face are real 😐 but our voices have not been heard. Below are several examples of first world investor’s problems.
The Crude Reality
During the last couple of weeks the price of crude oil (WTI) fell slightly. As I’ve disclosed before I own many oil companies like Suncor and Crescent Point Energy. These businesses make more money when the price of oil is higher. So sadly my stocks have been going sideways these last couple of weeks.
Of course no one else is complaining because gasoline prices at the pumps fell slightly in recent weeks. But the lower oil price is really hurting my potential profits. Crescent Point shares are only up 12% year to date, and Suncor is only up 22%. How will I ever get by on these dismal returns? 😛
Last month the Federal government conditionally approved the Enbridge Northern Gateway pipeline project. This is great news for Enbridge investors. But most of my co-workers and friends are upset about Ottawa’s decisions. They don’t think the pipeline should be built, and they represent the majority. According to some sources, 80% of B.C. residents are opposed to this project.
So now I’m torn. I care about the environment as much as my friends do, but I also want my investments to do well. I can’t talk to anyone about this because I haven’t told my friends that I’m an Enbridge shareholder. I don’t want to risk the political backlash. I just avoid conversations if this topic comes up. And I have to make up excuses to not join my pals in anti-pipeline protests, which looks like fun. Being an investor really puts a damper on my social life, and I have to miss out on fun activities with my friends because otherwise I’d feel like a hypocrite 🙁
Exploiting Your Friends
Earlier this year I blogged about investing in the retail chain Dollarama. Then one of my friends jokingly tweeted this to me.
I also make money from her whenever she visits Tim Hortons, Starbucks, Target, or a number of other stores. In a previous post featuring Starbucks I calculated how much money I make from each cup of coffee sold. Unfortunately investing means taking advantage of my friends and family’s addiction to consumer goods and services. How will I cope with this guilt? 😛
Extra Tax Burden
The government raised the tax rate for non-eligible dividends this year 🙁 In B.C. for example, the average person will now have to pay 19% tax on all non-eligible dividends, up from 16.2% in 2013. Meanwhile ordinary citizens still pay just 29.7% for income tax. Dagnabbit, how come their tax rates didn’t go up? Instead of a 17% increase to non-eligible dividends, I would have preferred a smaller increase to the ordinary income tax rate so that it’s fair to everyone. It’s blatant discrimination to raise taxes on just the investors, but no one else 😕
As you can see, investors have to make sacrifices and deal with unique problems that other people don’t have to face. If you enjoyed today’s post here are some other examples of First World Financial Problems.
Random Useless Fact: