Optimism #88 - May 30 2025
Dear friends and clients,Interesting times we are in. Spain will be charging non-residents a 100% tax on (other than new) property purchases as the country faces a housing crunch, partly exacerbated by the rise of Airbnb rentals.
On my digital Costco credit card statement last week, CIBC is again offering their e-advantage high interest savings account, up to 1 million dollars (personal not company cash) 4.9% for 3 months.
Banks reported earnings this week and half of them increased dividends, so you got a pay raise. Life is grand.
John Heinzl wrote an excellent piece on dividend investing.
Thank you Bill D for this link to an interview with Barry Ritholtz and Paul Krugman. It has no shortage of humility and perspective on the reality of being a successful long-term investor. They agree that it’s less about being a genius and more about avoiding big mistakes. He mentions Charlie Munger saying that he and Warren “… are not smarter than others, just less stupid”. It’s well worth the read.
For those spending winter in the US, this article will be of interest. It explains details of the new Snowbird Act.
Further, the ‘closer ties’ 8840 forms, for anyone spending more than about 122 days per year in the US are due June 15th.
Another article called Welcome Home Snowbirds, by the Globe’s Tim Cestnick explaining what the 8840 form is and how it works is excellent.
Someone on Instagram called ‘the money cruncher’ notes that on April 4th, JP Morgan raised recession risk to 60% as the global stock market sell off continued, saying “there will be blood”. Then May 13th, they dropped their recession call.
Its another reminder why we have to tune out the noise and stick to our long-term plans.
Have a wonderful summer.
Derek Moran,
