The Retirement Strategy I'm Building Before 55 | Cash-Flow Wedge Update

[music] >> When I found out I was losing my job, I started setting money aside. Within 8 months, I had $15,000. Then I had to decide, what was I going to do with this money? It was currently sitting in a bank account earning no interest whatsoever. Everybody, it's Paul here on my channel Better Call

Paul. And today I want to talk to you guys about my cash flow wedge, which has been around for almost 1 year now if you include the 8 months that I was saving money. So, after saving up $15,000, I decided to transfer that money over to Wealthsimple, put it into a non-registered account, and put that

money to work. With the with the idea that by the time I'm 55 years old, I want to have a cash cash wedge that will protect me in case of a bear market. So, at that point in time, my employment insurance will have run out, and maybe I don't want to work anymore. So, I won't

have to go back to a part-time job or anything like that. So, let's jump into my spreadsheet, and I'm going to show you exactly how my cash flow system works. All right, guys. So, the first thing we have here is what I call the income factory. And yes, that's a great book. You guys should look it up, and uh

it'll teach you a lot about becoming an income investor. Um but anyways, so my income factory had to be made up of some pretty solid ETFs because I wanted to make sure the NAV was stable, the income was consistent, and if anything, hopefully, both would be growing over time. So, the first and largest position that

I have currently is LBS, right? This is the Brompton Life and Bank Split Corp. My yield on cost is 11%, and this this holds the Canadian financial sector. Right? Of course, being Canadian, it's a home bias and the Canadian financial sector over time always does well. So, I currently have 460 shares. My cost was 1103