What is an investment loan?
A finance leverage with low interest rate only available for Canadian. Through wisely investing strategy, you can achieve financial freedom quicker than you think.
How does investment loan work?
Benefits of Investment Loan
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No collateral
No physical assets are given as collateral, and only credit scores are measured. -
Low interest
P+0.75%, lower than that of housing mortgage under the same circumstances. -
Only the interest is required to be paid
Pay monthly interest only, with little pressure. -
No margin call
The bank has no margin call when the market fluctuates and falls. -
Tax deduction
A tax deduction can be realized with the interest paid.
With investment loan, you can……
1. Fast forward your savings
With a traditional savings plan, only the investment you make in the first year will have the full 20 years to grow. Each subsequent year, the amount you contribute will have less time to grow.
If you invest $14,900 annually for 20 years, with 18.8% return rate, you can get around $433,086 after 10 years; at the 15th year, your invest would reach $1,153,491.
However, if you made an interest-only annual payment of $14,900 toward a $200,000 investment loan, the entire loan amount could benefit for the full 15 years, and save 10 more years than invest with your own money.
After 15 years, your investment will worth $2,450,188 (after repaying the $200,000 loan), which is $1,296,697 more than the traditional savings plan.
2. Investment lending
A financial strategy that can for the right investor, help achieve your financial planning goals sooner by making a larger initial investment.
A way for investors to potentially grow their investment portfolio faster than traditional saving alone.
Investment loans can be a suitable tool to help with longer-term savings goals or to supplement RSP and government pensions in retirement.
3. Maximize your wealth
Generally speaking, interest paid to borrow money to earn investment income is tax-deductible. For example, if you borrowed $200,000 at 7.45% to invest, your annual interest expense would be approximately $14,900. All else being equal, taking the $14,900 deduction would yield a potential tax savings of $7,195.
From the above data, it can be seen that the interest paid each month is much lower than the nominal interest rate after tax deduction.
For high-income groups, the actual interest payment can even be halved.
Any Questions?
您每月只需支付利息，无需还本。如果您借$100,000贷款，每月只需支付$662.5。
Depending on individual/family circumstances, such as your investment goals, risk tolerance, etc., please consult our advisors for assistance in creating a suitable plan.
Yes, our office staff will guide you on how to view your investment accounts, which are held under the fund companies associated with the products you have purchased, unless we have your signed authorization. We cannot access your funds. Our services are transparent, secure, and reliable.
All loans are sourced from legitimate Canadian banks such as National Bank, B2B Bank, Manulife Bank, and others. Once borrowed, the funds enter the client's own account. We do not engage in private lending business and do not charge customers any fees.
AI Financial's profits come from fund companies and insurance companies, and our earnings increase as clients' investment returns increase. We are mutually beneficial with our clients.
You can withdraw and use the profit portion of your investment at any time without any time restrictions.
You can withdraw up to 10% of the profit portion annually without incurring any fees.