Search
Search for an ETF or holding
Search for an ETF or holding
Updated 2mo ago.
Updated 2mo ago.
Your investment time horizon is how long you plan to keep your money invested before you need it. It directly influences the level of risk you can take on and the types of investments that are appropriate.
If you're 25 and investing for retirement at 65, your time horizon is 40 years — you can afford an all-equity portfolio like VEQT.TO. If you're saving for a down payment in 3 years through the FHSA, your horizon is short — a bond ETF like ZAG.TO or a high-interest savings account would be safer.
With a long horizon, you can ride out temporary market downturns and benefit from long-term growth. With a short horizon, a 20% drop could force you to sell at a loss at the worst time. Choose your investments based on when you'll need the money, not just what has the best returns.