With the growth of online education, there are now many high-quality courses available to help Canadians learn about investment funds and diversify their portfolios. Taking an online course is a flexible and affordable way to build investing knowledge without going back to school full-time. In just a few weeks or months, you can learn the basics of asset allocation, risk management, and constructing a fund portfolio from respected instructors. Here is an overview of some of the top Canadian investment funds courses you can take online, key topics covered, and what to look for in a course.
Learn How to Research and Select Funds
One of the most valuable skills you can gain from an online investment funds course is how to actually research and select specific mutual funds or ETFs for your portfolio. Look for courses that walk through the process of analyzing factors like past performance, fees, manager tenure, investment objectives, risk ratings, and more. With so many thousands of funds available in Canada, building a shortlist and deciding what to invest in can be overwhelming without a systematic approach. An online course will teach you how to screen funds effectively to find ones that match your individual financial goals.
Master Asset Allocation and Diversification Concepts
A top online investment funds course will ensure you understand key theories like asset allocation, diversification, and rebalancing. Learning how asset classes like stocks, bonds, real estate, and cash complement each other is crucial for building a balanced portfolio with an appropriate risk profile. Course assignments that have you construct sample portfolios and calculate returns are extremely helpful for cementing these concepts. Look for curriculums that don’t just explain diversification but give you hands-on practice creating diversified fund portfolios.
Compare Active and Passive Investment Approaches
Many investment funds courses also dive into the differences between active and passive management styles. Passively managed index funds and ETFs simply aim to match the performance of a market benchmark while active funds attempt to outperform through security selection. Courses will outline the pros and cons of each approach so you can decide what role they should play in your portfolio. Understanding active and passive strategies will make you a more informed investor as you build your fund portfolio.
Learn How Economic Cycles Impact Returns
The economy moves in cycles between periods of growth and recession. A quality investment funds course will illustrate how these macroeconomic conditions can impact investment returns over time. Learning to take a wide lens view of the economy and position your portfolio accordingly helps manage risk and smooth out returns. Courses that incorporate economic history and teach theories like the business cycle provide useful context for long-term investors saving for major goals like retirement.
Understand How to Minimize Fees and Taxes
As with individual stocks, mutual funds and ETFs have expense ratios and transaction fees that can eat into your returns. A top online course will teach you how to minimize these portfolio drags through steps like using index funds or buying ETFs commission-free. You’ll also learn tax-efficient strategies such as holding funds in the right account types. Gaining more awareness of the impact of fees and taxes will ensure you keep more of your investment funds returns over time.
Taking an online course in investment funds is one of the most time- and cost-effective ways to build investing knowledge as a Canadian. With a solid curriculum covering research, portfolio construction, diversification, and more, you’ll gain skills to make informed decisions and achieve your financial goals.