Barenaked Money

Cross Border for Business Owners: Tax Residency, Departure Taxes, and Cross-Border Planning (with Todd King)In this special bonus episode, Matt Kempton and Devin Cattelan, specialists in cross-border services with Verecan Capital Management, are joined by Todd King, Tax Practice Leader at Baker Tilly Nova Scotia, to discuss what business owners should know before moving between Canada and the United States. King explains how the two countries' tax systems differ and why changing tax residency can create unexpected complications. The conversation covers Canada's departure tax, which can leave business owners facing a substantial tax bill even without selling their company, along with strategies that may help reduce or defer that tax. They also discuss the risk of double taxation, how U.S. business structures such as LLCs can create complications in Canada, and the tax considerations surrounding trusts, insurance policies, and investments. Drawing on his experience working with clients on both sides of the border, King shares examples of situations where early preparation helped avoid costly problems, as well as cases where people sought advice after relocating. The discussion also covers the potential tax consequences of renouncing U.S. citizenship or relinquishing a long-held green card, emphasizing the importance of planning before a move, while more options may still be available. Click here to view the episode transcript. Mentioned in this episode (and worth checking out):·       Planning for U.S. Expatriation: The Ins and Outs of IRC 877A(00:00) - Welcome and Setup (01:01) - Meet Todd King (01:42) - Canada vs U.S. Tax Basics (03:50) - Residency Changes and Complexity (05:14) - Canada Departure Tax Explained (08:37) - Planning to Reduce Exit Tax (12:50) - Late Calls and Double Tax Traps (17:29) - U.S. Owner Moving to Canada (19:15) - LLC Trap and Entity Mismatch (22:54) - Pre Move Planning Ideas (28:16) - Trusts and Estate Planning Issues (32:35) - Case Study Structuring the Move (35:34) - Investments and PFIC Pitfalls (37:56) - U.S. Expatriation Exit Tax Rules (42:44) - Wrap Up and Disclosures

Moving to Canada: Citizenship by Descent, Express Entry, and Common Immigration Pitfalls (with Grace Allen)In this special bonus episode, Matt Kempton and Devin Cattelan of Verecan Capital Management, specialists in cross-border services with Verecan, interview Halifax immigration lawyer Grace Allen about what Americans should know before relocating to Canada, stressing that immigration, tax, investment, banking, estate planning, and lifestyle planning must align. Allen explains two main permanent-move avenues: family (citizenship by descent - potentially far back after Citizenship Act changes in December 2025 - and spousal sponsorship leading to permanent residence) and economic immigration, chiefly Express Entry, a points-based system now emphasizing category-based draws such as French proficiency (outside Quebec), healthcare, and trades, with options like provincial nomination. Timelines are typically 6–12 months after invitation, but candidates can wait years in the pool and may use temporary pathways like CUSMA work permits. She debunks buying property or investing as a shortcut, warns DUIs and non-disclosure can cause bans for serious criminality/misrepresentation, and notes citizenship can follow 1,095 days of presence as a PR plus testing and ceremony. Click here to view the episode transcript. (00:00) - Moving to Canada Basics (00:28) - Meet Immigration Lawyer Grace (01:38) - Who Can Move to Canada (02:04) - Citizenship by Descent (06:17) - Proving Your Lineage (07:35) - Economic Immigration Reality (09:16) - Express Entry Explained (11:48) - Invites Medical and Background (13:49) - Timelines and Temporary Options (15:15) - CUSMA Work Permits (16:49) - You Cant Buy PR (19:11) - DUI and Criminal Inadmissibility (21:39) - Common Application Mistakes (23:11) - DIY vs Hiring a Lawyer (27:13) - Culture and Labor Needs (29:11) - Path to Citizenship (31:05) - Final Advice and Wrap Up (33:44) - Outro and Disclaimers

Risk vs. Volatility: Why “More Risk = More Return” Can Mislead InvestorsJosh Sheluk and Colin White discuss how “risk and return” is widely marketed yet poorly understood, arguing that the industry often equates risk with volatility using measures like standard deviation, even though risk is subjective and tied to an investor’s goals. They outline different risks—volatility, permanent loss, inflation, liquidity, and behavioral risk—and stress that avoiding risk has costs, as seen in insurance and in giving up liquidity via products like long-term GICs or private investments. They challenge the simplistic pitch that more risk guarantees more return, noting examples where higher risk can have low expected returns (lotteries, casinos, zero-day options, concentrated positions, leveraged ETFs, and prediction markets). Their key point: define risk relative to objectives and time horizon, and be wary of sales-driven risk framing. Click here to view the episode transcript. (00:00) - Aug2026: The True Cost of Risk (00:12) - Podcast Intro (00:57) - Risk Return Myths (02:59) - Marketing Risk Reduction (05:27) - Volatility Versus Risk (06:56) - Goals Based Risk (12:30) - Liquidity And GICs (14:45) - Why Risk Pays (15:47) - When Risk Fails (19:11) - Stocks Versus Bonds (21:25) - Expected Versus Realized (25:12) - Managing Risk Tools (27:39) - Insurance And Cost (30:03) - Smart Versus Dumb Risks (32:31) - Leverage And Betting (36:54) - Final Takeaways (39:04) - Outro And Disclosures 00:00 The True Cost of Risk00:12 Podcast Intro00:12 Podcast Intro00:57 Risk Return Myths02:59 Marketing Risk Reduction05:27 Volatility Versus Risk06:56 Goals Based Risk12:30 Liquidity And GICs14:45 Why Risk Pays15:47 When Risk Fails19:11 Stocks Versus Bonds21:25 Expected Versus Realized25:12 Managing Risk Tools27:39 Insurance And Cost30:03 Smart Versus Dumb Risks32:31 Leverage And Betting36:54 Final Takeaways39:04 Outro And Disclosures

ETFs vs Mutual Funds: Wrappers, Not WinnersJosh Sheluk and Colin White of Verecan Capital Management debunk the belief that ETFs are inherently good and mutual funds inherently bad, arguing both are simply investment “wrappers” and that what matters is what’s inside, the strategy, costs, and role in a portfolio. They explain how mutual funds have historically been associated with higher-cost active management while ETFs began as lower-cost passive index vehicles, but the lines have blurred with actively managed ETFs and low-cost passive mutual funds. Key structural differences include ETFs trading intraday on an exchange with bid-ask spreads and liquidity considerations, while mutual funds transact at end-of-day NAV. They discuss risks of complex/leveraged ETF products, note similar strategies can exist in mutual funds, and contrast hedge funds as more loosely regulated, often higher-cost and less liquid. They also explain why Verecan launched pooled mutual funds to simplify reporting, improve execution efficiency, and potentially reduce client costs without adding fees.00:00 ETFs vs Mutual Funds Myth02:52 Defining the Wrappers04:33 Active vs Passive Origins07:02 Marketing and Narrative Shift08:52 Cost vs Value Debate10:23 ETF Hype and Copycats11:26 Hidden Costs and Bid Ask13:10 Trading Mechanics and Liquidity15:28 Leveraged ETFs and Strategy Risk18:17 Hedge Funds Explained24:39 Why We Launched Our Funds28:47 Wrap Up and Disclosures

Why Retail Investors Should Avoid IPOs (SpaceX, OpenAI, and Index Inclusion Games)Josh Sheluk and Colin White of Verecan Capital’s Barenaked Money explain what an IPO is, why companies go public, and the trade-offs versus staying private, including disclosure requirements and transparency. They argue retail investors should generally avoid IPOs because offerings are structured to favor insiders and investment banks, often rely on hype and limited float to influence valuation, lack a meaningful public track record, and tend to lose money or underperform the market on average—especially for buyers who can’t access the IPO price. Using SpaceX as a timely example, they discuss its extreme valuation, heavy losses, and the unusual, accelerated index-inclusion process and float adjustments that invite complex “gamesmanship” by large traders, making it a risky arena for individuals. They conclude markets can still build wealth, but it’s better to avoid IPO speculation.Click here to view the episode transcript. (00:00) - Should You Invest (00:08) - Podcast Intro (00:50) - What Is an IPO (02:11) - Public vs Private (06:10) - Why IPOs Are Risky (09:21) - IPO Data and Odds (12:06) - SpaceX and Mega IPOs (14:51) - Index Inclusion Games (20:44) - Float and Weighting (27:32) - Final Takeaways (29:45) - Outro and Disclosures 00:00 Should You Invest00:08 Podcast Intro00:50 What Is an IPO02:11 Public vs Private06:10 Why IPOs Are Risky09:21 IPO Data and Odds12:06 SpaceX and Mega IPOs14:51 Index Inclusion Games20:44 Float and Weighting27:32 Final Takeaways29:45 Outro and Disclosures