Author: Oskar Malone

5 Risks of Distributing a Press Release Yourself
If you work for a small business or an organization that rarely distributes press releases, you may be distributing them yourself instead of using a distribution service (newswire). While there is no single best approach to press release distribution, undertaking dissemination yourself can be challenging.
Below we break down five significant risks of distributing a press release yourself, and how to mitigate them.
1. Misidentifying Target Audiences, Media Outlets & Journalists
A press release can be an effective tool to increase brand awareness, promote audience engagement, alert readers of important company news, and secure additional, earned media coverage. However, to achieve these objectives, distribution must target the appropriate audiences. This involves identifying relevant media outlets and journalists一a big task without extensive effort and knowledge of the media landscape一and getting the press release in front of them.
These are monumental undertakings for an individual, with a high probability of lackluster results if done incorrectly.
2. Taking Too Long to Distribute
Distributing a press release yourself can be exceedingly time consuming. Once preferred media contacts are identified, accurate contact information is required, and unique pitches. In many cases, follow-ups are also necessary.
This takes time, especially if you don’t have existing relationships with targeted media contacts. If you’re distributing a timely piece, taking this approach may demand too much time, and the release may no longer be newsworthy once finally distributed.
3. Unpersonalized Journalist Pitches
Any journalist will tell you their inbox is usually filled to the brim with irrelevant press releases and poorly executed, impersonal pitches. While this risk isn’t strictly relegated to distributing a press release yourself, it can be consequential.
Even if you take the time and effort to identify the best journalists for your release, a generic email message isn’t likely to get their attention. In each journalist pitch, demonstrate you know their beats and why writing a follow-up piece on your release will provide value to their readers. For additional tips, see “How to Pitch a Press Release.”
4. Inappropriate Cadence
While organizations often risk distributing too many press releases一including those lacking newsworthy content一there’s also the potential to fall short when distribution is challenging. A regular but thoughtful cadence of press releases is probably warranted for expanding brand awareness.
However, regularly creating and distributing quality content may be untenable for an individual.
5. Inability to Measure Performance
Without the ability to measure the performance of a press release, it’s difficult to determine how effective the distribution strategy is and, by extension, return on investment (ROI). This is a particularly significant downside of distributing a press release on your own.
While you may be able to determine whether a journalist picks up your piece, you won’t have an accurate picture of the release’s reach or engagement without the ability to measure views, shares, and other metrics一often key ROI criteria. For more on press release metrics, see “How Do I Measure the Success of My Press Release?”
News Direct Helps Mitigate These Risks
News Direct, a relative newcomer to the newswire landscape, has reimagined press release distribution for the public relations (PR) pro一even those distributing press releases themselves.
At News Direct, users draft, collaborate, and distribute their press releases from a single, self-directed online platform called the Content Studio. Cloud-based isolation technology, secure sharing, and two-factor authentication provide next-generation security throughout the press release workflow.
It’s easy to add multimedia, such as images, videos, or infographics, and with News Direct’s proprietary Digital Asset Direct™ functionality, users can even distribute multimedia on a standalone basis一without accompanying text.
Targeting is a breeze with News Direct’s premier, global network of media agencies, news outlets, trade press, and niche outlets. In addition, users can leverage its exclusive integration with the global DB Direct™ Media Database, powered by Agility PR Solutions, to create a targeted list of journalists from more than 1 million media contacts and outlets. With a few mouse clicks, the release is on its way or scheduled for future distribution.
Users can easily track their press release performance with News Direct’s suite of metrics available in easy-to-share formats.
Finally, News Direct offers this functionality and more for a single, flat-rate, asset-based fee. Pricing is predictable, affordable, and fully transparent一perfect for those PR pros working independently, or with tight budget constraints.
Contact News Direct today to demo its revolutionary capabilities and eliminate the risks of distributing press releases yourself.
December 29, 2024
9 Mistakes You Might Be Making With Press Release Distribution
As a public relations (PR) pro, you may have years of experience drafting and distributing press releases. Perhaps you learned the ropes from a senior staff member when you started in the business.
But is your way the most efficient and effective? Are you making avoidable mistakes with your dissemination? To find out, check for these nine press release distribution errors.
1. Distributing Press Releases That Aren’t Newsworthy
In a world where content is ubiquitous, getting your story to stand out is critical to capturing journalists’ attention. Any reporter will tell you they are regularly besieged with press releases that are more like advertising than news一or just aren’t newsworthy.
Your content must be substantive, relevant, and impactful to your audience and the media. If you release information about an upcoming sale or the launch of a new shade to the color line of an existing product, chances are your recipients will press delete. Your press release has to be more robust than this.
2. Deviating From Conventional Formats
A press release should be no more than 300 to 400 words and written in a standard format recognizable to its audiences. While there can be subtle differences depending on the subject’s industry, a press release should include six major elements. They are:
- – The Headline
- – The Date & Location
- – The Summary Paragraph
- – The Body Text
- – The Close
- – The Boilerplate
For more about the six key press release components, see “How Long Should a Press Release Be?” In addition, the release should be written in Associated Press (AP) Style. This is the preferred grammatical style many American journalists and media outlets use.
3. Not Including Multimedia in Your Press Release
Maximizing audience engagement is essential for crafting and distributing press releases. And according to leading CRM provider HubSpot, consumers demonstrate a preference for visual content. Relevant and exciting images, videos, or infographics should be used in your press release一where appropriate一to pique your audience’s interest and enhance the opportunity for more and deeper engagement.
4. Not Making Your Release Sharable on Social Media
Making your press release shareable on social media is a great way to extend the reach of the piece. This can be done in various ways, including adding instant Tweet features to quotes, images, or other multimedia that can stand alone on Twitter. You can do that for free with Click to Tweet.
You can also add social share buttons, which enable the reader to post the release on social networks such as Facebook, Twitter, LinkedIn, and others with the click of a button. Learn how from HubSpot.
5. Not Targeting Your Audiences
It’s essential to get your press release in front of the appropriate audiences to provide the best opportunity to inform, engage, or inspire a follow-up story. In short, distributing content to an audience that doesn’t gain much value from it is a waste of time and money.
To maximize your press release’s return on investment (ROI), take the time to target your audiences carefully. If you’re hoping to get a journalist pickup from your piece on hospital patient advocacy, don’t send it to just any medical journalist. This will signal you didn’t take the time or care enough to understand their beat. Your release一and those sent in the future一are likely to end up in their spam folder.
Mass-distributing a release to mega-media sites is another targeting mistake. While there may be a chance suitable audiences are within the range, it’s probably low. A mass appeal is not generally well received by specialist journalists and will likely fail to achieve earned media opportunities.
Where relevant, target by industry, location, cultural affinity, language, interest, or other criteria. In most cases, distributing to smaller, targeted audiences will boost your chances of maximizing engagement, earned media, and ROI.
6. Limiting Your Distribution Channels
Today consumers get their news from many platforms, including online media outlets, social media, and even traditional print media. In fact, according to nonpartisan research think tank Pew Research Center, 48% of Americans get their news from social media at least sometimes.
Chances are, at least some of your target audience access all or some of these channels. If so, ensure you include them in your distribution plan.
In addition, for the best chance at engaging a journalist, send them a personalized email story pitch. This will likely take time and research, but can make all the difference in opportunities for earned media.
7. Distributing Your Press Release at the Wrong Time
If you’re distributing a press release outside your time zone, ensure it’s disseminated when your audiences are most likely to see it. This may mean in the middle of your night, but right when their business day is about to start.
Timing can also refer to when a press release is distributed relative to an event or launch it’s promoting. For example, if you’re alerting consumers to an upcoming concert that requires a ticket purchase, you may want to send the release a few weeks in advance. For more on getting your timing right, see “How Far in Advance Should You Distribute a Press Release?”
8. Not Tracking the Performance of Your Press Release
The performance of your press release can provide insights on what’s working and where there’s room for improvement. It also helps keep track of your ROI. If you’re distributing a press release and not tracking how it’s received, you’re missing out on an important part of the process.
Best practices include establishing clearly defined goals for your press release before distribution as a basis for evaluation. If you’re using a distribution service (newswire), ensure it offers performance metrics that matter most to your analysis, such as views, engagement, and earned pickups.
9. Using the Wrong Distribution Service
Today’s 24/7 news cycle puts constant pressure on PR pros to create new content. Working with a newswire that facilitates the efficient and effective press release process can make all the difference. Take News Direct, for example.
News Direct has transformed the press release creation and distribution process with groundbreaking technology, flexibility, and control. Users can draft, collaborate, and distribute their releases from a single, self-directed online platform called the Content Studio. Cloud-based isolation technology, secure sharing, and two-factor authentication provide industry-leading security throughout the press release workflow.
Users can easily embed multimedia such as images, videos, or infographics, or even distribute them on a standalone basis with News Direct’s proprietary Digital Asset Direct™ functionality.
News Direct also offers distribution to a global network of media and news outlets, trade press, customizable geographic options, niche media, and more. With a few clicks from the Content Studio, the user can select their distribution preferences, schedule distribution, or distribute immediately. A comprehensive suite of industry-first performance metrics is also available in easy-to-share formats.
Finally, News Direct offers all of this functionality and more for a single, flat-rate, asset-based fee. Pricing is predictable, affordable, and fully transparent.

Contact News Direct today to demo its revolutionary capabilities and eliminate mistakes from your press release distribution.
December 29, 2024
How to Pitch a Press Release
On any given day, news organizations receive hundreds, if not thousands, of pitches, many of which journalists dismiss as unrelated to the issues they cover. The sheer volume is also prohibitive. Journalists simply don’t have the time to sift through them all.
These are just some of the key findings of a comprehensive survey conducted by growth marketing agency Fractl involving about 1,300 writers, editors, publishers, and contributors.
To improve your chances of connecting with a reporter, we’ve compiled tips from public relations experts who’ve made pitching to journalists an art form, including FleishmanHillard Senior Vice President and Partner Jan Rasmussen.
“Reporters tell us that they receive up to 300 irrelevant emails per day, and what that tells you is that media relations practitioners haven’t done their homework,” she says. “They haven’t taken the time to walk around in the reporter’s shoes, so to speak, and understand their role in communicating valuable information to their audiences.”
Robert Wynne, owner of Wynne Public Relations and Wynne Events and a former contributor to Forbes, underscores this difficulty.
“It’s not easy to pitch journalists because with so many layoffs and firings in the media, there are fewer reporters to pitch and more PR people—many of them former journalists—reaching out to them,” he explains.
It’s clear your pitch needs to stand out. So, how do you ensure your email will be clicked on?
News Direct offers the following tips:
Target the Right Reporter
Eighty percent of publishers say a pitch irrelevant to their beat is a common reason for declining, Fractl’s research found.
“Many stories fail to land because they are emailed to the right publication but the wrong journalist,” explains Wynne.
What’s your press release about? The answer to this question will help you find the right reporter to pitch. Don’t just send an email to the publication’s general inquiry address. Match the topic of your press release with the various types of beats, or specializations, available. Then, build a target media list.
News Direct has partnered with Agility PR Solutions to streamline this process. Our exclusive integration, DB Direct™ Media Database, can increase the exposure of your story with targeted high-performance media lists of your choosing. With a DB Direct™ plan, you’ll have access to a global database of more than 1 million media contacts and outlets. Easily search journalists by beat, media type, location, and more directly within the News Direct platform. Seamlessly curate contact lists and send email pitches directly from the platform.
Put Yourself in the Reporter’s Shoes
Think like a reporter.
“There are only two ways to obtain media placements—create the news or follow the news,” says Wynne.
If you want your press release turned into a news story, you have to provide value to the reader. Ask yourself if the story is relevant, why it matters, and if it’s related to a current event of cultural conversation. If you decide it is relevant, it’s your job to explain why the news is necessary, such as how it solves a problem, meets a community need, creates opportunity, or represents a significant initiative, Rasmussen says.
“Remember, we are living in an overwhelming media environment in which the COVID-19 crisis, multiple political and social issues, and the economic crisis are at the forefront of reporters’ minds,” reminds Rasmussen. “Don’t let your email be one of those 300 irrelevant emails landing in their inbox–and soon deleted.”
Develop a Relationship
Developing a relationship with journalists who cover your industry is a surefire way to increase the odds of acceptance. Don’t just reach out to your contact when you’re asking them to cover your latest news. Engage more deeply.
Start a dialogue before you have a pitch ready. Always personalize that initial touchpoint. Lifestyle journalist Michele Koh Morollo explains she’s more likely to click on an email if it includes her name in the salutation, rather than just “Hello.” Introduce yourself and your organization. Take it a step further by following them on social media platforms such as Instagram or Twitter. Interact with their tweets by liking and retweeting, and comment on their photos.
Don’t forget about the junior staffers, advises 5W Public Relations CEO Ronn Torossian. With more than 20 years of experience creating powerful narratives, he shares his thoughts about the best ways to pitch press releases to journalists:
“One tip I can share that I’ve personally found effective, is to pitch the underlings,” Torossian says. “It’s an often overlooked approach since many publicists want to land big stories written by big names, but there is great value in building relationships with junior reporters and producers who are more accessible than senior staff. In pitching them a great story, you’ve set the foundations for a relationship where they continue to cover your pitches as they grow and advance in their own careers.”
Collaborate
Seventy percent of publishers prefer to collaborate on ideas as opposed to 30 percent who want to receive a finished asset, Fractl’s “Pitching Publishers Survey” reports. This means the outlet doesn’t want to repost your press release with a staff byline. They want to make it their own, add a twist on the subject, and interview additional sources.
How can you indicate your team is willing to collaborate?
Generate several article ideas for the journalist when sending your pitch. Send every media outlet different pitch topics to stimulate other ideas. Ensure it’s clear that interviews are available. List the names and titles of the sources you can provide.
“One tip I can share that I’ve personally found effective, is to pitch the underlings,” Torossian says. “It’s an often overlooked approach since many publicists want to land big stories written by big names, but there is great value in building relationships with junior reporters and producers who are more accessible than senior staff.
Use a Catchy Subject Line
The subject line is the part of your pitch that’s going to make a journalist click open. You want this brief line of copy to stand out among the hundreds of others in the inbox.
Fractl partnered with PR outreach platform BuzzStream to conduct the study “How to Write Effective Email Subject Lines That Drive Open Rates.” It found a majority of respondents preferred subject lines with lengths between six to 10 words. These eye-catchers should also be tailored to the specific journalist and their beat. Include statistics, content titles or a direct pitch that focuses on the most interesting aspect of the story. Keywords “raw data” and “exclusive” are quick ways to funnel your email to the open list.
Now, let’s focus on what not to do.
Koh Morollo suggests you leave the phrase “press release” out of your subject line. Also avoid the words “pitch” and “story idea.” Don’t add emojis, all caps or excessive exclamation points. And although you may have been advised to start your email with “Re:” or “Fwd:”—don’t do it. Journalists will see right through this tactic.
Write the Perfect Pitch
Writing the perfect pitch may sound intimidating, but it’s actually quite simple. Just follow these guidelines:
- Keep your pitch short. The aforementioned “Pitching Publishers Survey” found writers want a pitch under 200 words.
- Always double check your grammar and spelling. Your pitch may find its way to the trash if it has any errors.
- Answer the 5Ws and 1H: who, what, when, where, why, and how. It can be a good idea to create bullet points listing these elements under your pitch, so if the journalist only has a chance to skim, they can garner the important details.
- Spice it up. Don’t just throw basic information at a journalist and expect them to run with it. Make them understand why it’s important to the public and their readers. Include exclusive research or a catchy lede.
- Follow a format. Start off with a salutation including their name. Introduce yourself, including your name, title, and company. Express your interest in their publication, then let them know your article or information is the perfect fit for their reader demographic, whichever this may be. Add in your hook—why should they care? Summarize three topics or takeaways from the release. Mention you have attached a press release with further information. Finally, ask whether or not they would be interested and provide your contact information for follow-up. Don’t forget to attach your press release to the email.
Include Multimedia
According to the 2019 News Direct Market Assessment study, 86 percent of journalists find standalone media appealing.
Koh Morollo underscores this desire, stating, “Including a photo of the property, product or service within the body of the email usually gets my attention.”
Journalists are requesting infographics, images, videos, and other mixed-media content, so give it to them. Stand out from the crowd. Include multimedia in your pitch, or pitch standalone multimedia.
News Direct is the first news distribution company that enables PR professionals to disseminate multimedia content as independent assets. With Digital Asset Direct™ you can grab journalists’ attention by distributing standalone infographics, videos, and images direct to media outlets, without having to embed them in a news release.
Send at the Right Time
Enhance your success by clicking send at the right time. If your press release contains the date of an event or product launch, submit it early so the reporter can provide coverage leading up to the date. You also want to factor in the possibility of scheduling an interview with reporters and ticket sale end times. Remember to follow up closer to the date as a reminder.
Research has shown the best days to click the send button are Thursdays, Mondays, and Tuesdays. Avoid sending pitches early in the mornings and late in the afternoons. Between 10 a.m. and 2 p.m. are your best bet.
“Pitching is hard work with big rewards,” says 5W’s Torossian. “Even after being in the business for 20-plus years, it’s incredibly satisfying to see your pitch land and that story reach millions. It never gets old.”
Follow Up
When we say follow up, we don’t mean via phone. Calling a busy journalist to find out if they received your email can be the quickest way to ruin your pitch. Don’t worry; they received it. And they understood it. They’ll respond to you when they have the time to follow through if they’re interested.
However, there is a chance your pitch slipped through the inbox, so wait a week before sending a follow-up email. Keep it brief—shorter than the original pitch. Simply reply to your original email with a line letting them know you’re following up on your previous message. Outline the release in one sentence. Ask if they’re the right reporter to contact and if not, if they could please forward your message to the right person. Include your contact information so they can reach out to you if interested.
The Takeaway
“Pitching is hard work with big rewards,” says 5W’s Torossian. “Even after being in the business for 20-plus years, it’s incredibly satisfying to see your pitch land and that story reach millions. It never gets old.”
Don’t give up. Keep following up with journalists and form relationships deeper than pitches. Track your response and open rates, keeping tabs on which pitches did better than others or which days work best for your industry. Adjust your copy and strategies according to your results. Creating the perfect pitch takes time and lots of trial and error, but if you incorporate these tips from the pros, you’re more likely to stand out in a journalist’s inbox.
December 29, 2024
How to Optimize Your International Press Release Distribution
To compete in today’s global marketplace, a company must be intentional in promoting its brand beyond its borders. The press release, a stalwart component of today’s marketing and public relations (PR) mix, can be an effective tool toward this end. In particular, the press release
can be deployed to announce a wide range of news, events, updates, and more一all in the service of reinforcing brand values, expanding audiences, and increasing sales.
However, navigating international press release distribution is often easier said than done. The value chain varies from country to country (if not region to region). It can include a wide range of media outlets, press norms, press release formats, and languages, among other challenges. And it’s often expensive.
To help optimize your international press release distribution, we’ve provided a few easy-to-follow tips below.
Identify Your Target Market(s)
Whom do you want to engage with your press release? Finance professionals in London? Cinema buffs in Delhi? The answers to this question should be as specific as reasonably possible. Getting the right content in front of the right audience will get you a long way toward engagement.
The specificity of your target markets will help inform your distribution strategy. If you’re a travel agent with plans to open your first overseas office in São Paulo, make sure you’re targeting local or regional media outlets your prospective clients are likely to follow.
Alternatively, as a multinational conglomerate looking to announce a new product line or expand your exposure across Europe, global news services such as AFP or AP may be just the ticket. Chances are you’re likely to end up with a mix of target markets covering local areas, industry trades, and worldwide news services across several channels and formats.
While many established newswires specialize in national or global news outlets or niche markets, industry newcomer News Direct does both. Launched by industry veterans to revolutionize the legacy newswire model, News Direct offers a state-of-the-art, self-directed platform that streamlines content creation and distribution workflows.
With significant targeting capabilities in geographic regions, single countries, and by news beat, industry, and specialty wire, News Direct is the one-stop solution for all your targeting needs. View its global distribution list for more.
Partner With a Newswire With Local Media Relationships
Successful international distribution often depends on trusted relationships between newswires, press outlets, public relations professionals, and journalists. Don’t opt for distributing a press release across Eastern Europe if you’re only interested in Gdańsk, simply because that’s as targeted as your newswire can go.
Newswires that have nurtured relationships in smaller markets are generally more knowledgeable about local conventions, expectations, and processes. They also understand what cultural nuances can support more effective audience engagement in a given market. If you must, resort to an established, global newswire only if you can’t identify a reputable service with local knowledge and experience.
News Direct professionals have built their careers developing strong relationships with news services across the globe, and you can easily distribute to local markets with precision and efficiency一and at a significantly reduced cost.
Distribute Your Release in the Local Language
For PR pros working under tight deadlines and budgets, having a press release translated into another language may seem too much trouble and expense. However, the opposite is true.
Distributing a press release in the local language can boost your opportunities for earned media and reader engagement. Furthermore, a full translation goes beyond the words themselves. It includes translating context and, where necessary, industry terminology to boost reader understanding. And chances are your run-of-the-mill online translation app won’t capture the same level of nuance required here. It’s essential to work with human industry experts who can accurately impart the tone and meaning of the release appropriately to a foreign audience.
News Direct provides full-text, human-prepared translations in various languages, from French and Spanish一including continental variations一to Arabic, Chinese (simplified and traditional), Korean, and many more.
Distribute Your Release at Appropriate Local Times
Be sure to schedule your distribution to provide the greatest opportunity for audience engagement, regardless of location. That might mean your release crosses the wire in the middle of your night so your audience can access it in the early part of their workday.
With its automated workflows, News Direct provides optimum flexibility in scheduling your distribution. With a few mouse clicks, you can arrange for your release to go out just about any day or time.
Include Your Logo & URL
Be sure to include your company logo and URL in your press release. These are easy and great opportunities to extend your audience reach, reinforce your brand, and drive website traffic. And, unlike several legacy newswires, News Direct enables you to include these assets on your releases for no extra charge.
Include Multimedia
Adding multimedia to your press release, such as a video or image, can significantly improve engagement opportunities. It can boost the overall understanding and impact of your press release and, importantly, make it more memorable. Video, in particular, is especially effective as a brand-building tool. See this article for more on “How to Best Leverage Multimedia for Press Coverage.”
You can even consider deploying multimedia on a standalone basis without a supporting text release. Often an image一with or without a text caption一can deliver a message more effectively than the release itself. And journalists agree. According to News Direct’s 2019 Market Assessment Study, 86% of journalists surveyed find standalone multimedia appealing.
News Direct makes embedding multimedia easy with drag-and-drop capabilities. In addition, it’s the only newswire that has a Digital Asset Direct release, a streamlined format that accommodates standalone multimedia content without the need to embed it in a text-based release.
Measure Your Results
How will you know if your international distribution is a success? Work with a newswire that provides meaningful data on your release’s reach, earned media, and detailed visibility and engagement metrics to ensure you’re getting the ROI you want.
News Direct provides all these and more at no extra charge with actionable analytics and shareable, professionally formatted reports that are a cinch to access and client-ready in real time.
Partner With News Direct for Your International Distribution Needs & More
News Direct offers PR pros a content creation and distribution process purpose built for today’s modern media consumption preferences. With its ground-breaking, self-directed platform, unsurpassed global reach一including international and national news outlets, media agencies, trade press, customizable niche media, and flat rate, predictable pricing, News Direct is your go-to source for all your distribution needs.
Contact News Direct to demo its industry-leading capabilities for international press release distribution today.
December 29, 2024
How to Distribute a Press Release
A great press release can’t do its job unless the right people see it. In many cases, distribution has evolved into a significant undertaking involving multiple channels, platforms, highly segmented audiences, and costs.
Here we break down how to effectively distribute your press release to the appropriate audiences and increase your return on investment (ROI).
Determine Your Press Release Goals
The primary goal of most press releases is to relay important news about an organization or well-known person. But there are many others. Promoting audience engagement with the sender is a related objective and can include clicking on an embedded link or watching an embedded video, for example.

Other goals include sharing the release via email or social media, using a designated hashtag, or reposting it elsewhere. These are nontraditional forms of so-called “earned media” because they extend the reach of the announcement without any additional cost to the sender一which helps boost ROI. Earned media can also be traditional, in which the release inspires journalists to create related content, such as an article or blog post.

Earned media can be valuable because it adds to a brand’s credibility. For example, citing data from analytics platform Crazy Egg, media monitoring and analysis company Agility PR Solutions indicates 25 percent to 40 percent of all online traffic and lead generation comes from earned media, ranking higher than paid media advertising or owned media branding.
Identify Your Target Audiences
Your audience can range from millions of global viewers to a handful of regional niche journalists. If engagement is essential, narrowing your audience to those most likely to do so is often more effective than distributing your release to a broader, less affinitive group. For example, if you’re an automotive subcontractor, you might disperse a press release about a significant part upgrade to the automotive trade press consumed by selected auto manufacturers. Distributing it to major news sites consumed by the general public would likely be an ineffective approach to achieving strong audience engagement.

The combination of your goals and target audiences will inform how you deploy your release. There are two basic approaches: Work with a distribution partner (a newswire) or distribute it yourself. Let’s take a look at each of these options.
Work With a Distribution Partner
A news distribution service or “newswire” digitally distributes press releases to print and online news agencies and outlets, journalists, search engines, and non-traditional outlets such as social media, blogs, and others. Originally, telegraph machines were used to transmit releases over telegraph wires, hence “newswire.”

The process hasn’t changed much throughout the years. Generally, it involves emailing your release to a newswire, having it reviewed and edited by a human newswire editor, then distributing it to your preferred recipients.

Working with a distribution partner is a good choice if you disseminate your release to large audiences, across vast geographic areas, or niche audiences. Newswires typically have agreements with media outlets that can be essential to getting your press release published, improving your chances for search engine optimization (SEO), and possibly being picked up by a journalist—more on this below.

A newswire is also key to the simultaneous distribution of information. This is especially important to the release of company financial data, which must be secure until shared with the general public concurrently. This is almost impossible to achieve without a newswire. See “The Importance of Security in Financial Press Release Distribution” for more on this.

Since working with a newswire can be an effective way to reach multiple audiences quickly, most public relations (PR) pros use newswires. But the process can also be time consuming, inefficient, and costly. Most newswires charge by combining a release’s word count and geographic distribution, an archaic approach that ignores the digital distribution of most content.
Select the Right Distribution Partner
There are hundreds of newswires to choose from that range in the number, location, and types of media outlets and journalists they distribute to, so it’s essential to work with a partner that serves your audiences and can help achieve your goals.

This is especially true if you’re targeting journalists with your release. Journalists are often overwhelmed with content from newswires that doesn’t match their industry or beat. Be sure your newswire targets carefully, so your content reaches the journalists and other audiences who want to see it.

Finally, most newswires provide metrics to measure your release’s reach, views, and engagement. See “How Do I Measure the Success of My Press Release?” for more information.
Distribute the Release Yourself
For most PR pros, distributing a press release themselves isn’t realistic unless the distribution is local or they have relationships with the media outlets or journalists they are targeting.

This last point is key because, as mentioned, many would argue relationships with target media outlets are fundamental to getting coverage一especially from journalists一whether a newswire is used or not. If you plan on distributing a press release to journalists yourself, make sure you have thoroughly researched their areas of interest. If your release is about a new elementary school principal, for example, it probably won’t help to send it to a reporter covering higher education. For more detail on successfully distributing your release to journalists, see “How to Pitch a Press Release.”

Another challenge with distributing a release yourself is calculating ROI. Getting a pick-up from a journalist may be easy to track, but capturing other forms of engagement may be more difficult without the assistance of a third-party media monitoring company.
How News Direct Is Transforming Press Release Distribution
News Direct is a newswire designed for today’s PR pros. Unlike mainstream newswires, News Direct offers a content distribution and creation process purpose built for modern media production and consumption. It’s powerful, efficient, and easy to use.

A secure, self-directed, cloud-based platform (the Content Studio) enables PR pros to create, collaborate on, and control their content, without human third-party editing. From the same workspace, they can select distribution targets, schedule their release, or send it immediately.

When it comes to distribution, News Direct offers access to a large selection of global media agencies and news outlets and exceptional targeting of customizable niche media across geographic regions, industries, language, cultural, and affinity groups. Geo-targeting across regional, state, and metro areas is available for no additional cost. International distribution is also available by region or country.

News Direct also enables users to distribute standalone multimedia, such as videos, images, or infographics, consistent with current consumer preferences.

Finally, News Direct uses an asset-based, flat-rate model that’s simple, clear, and fully transparent for a fraction of the cost of mainstream newswires. In short, News Direct is your go-to source for all your distribution and content creation needs.
Contact News Direct to demo its revolutionary press release distribution capabilities today.
December 29, 2024
What Is a Newswire?
In today’s global news industry, the newswire plays an essential role in the daily dissemination of content to media outlets.
What Is a Newswire?
The term “newswire” refers to a company or service that facilitates the distribution of news and information一mostly from organizations一to media outlets. For public relations (PR) and communications professionals, it is the vehicle for the timely delivery of press releases to broad and diverse audiences they would otherwise struggle to reach.
There are hundreds of newswires that vary by the quantity and type of media outreach conducted. Mainstream newswires usually provide distribution to a combination of national and international media outlets, while others specialize in language and culture (Latinx Newswire) or interest (Pop Culture Newswire).
Sometimes, a news agency is also called a newswire. A news agency is an organization that investigates, writes, aggregates, and distributes news to downstream news outlets. The Associated Press and Reuters are two global examples.
A History of the Newswire
The formal distribution of news has been around for thousands of years. There’s the legend of Pheidippides, the Greek dispatch runner who in 490 BCE sprinted from the fields of Marathon to Athens to announce the defeat of the invading Persian army. American revolutionary Paul Revere’s ride in 1775 is another example. He alerted the patriots the British were on their way to lay siege.
Fast forward 131 years to 1906, when American publicity expert (and celebrated founder of modern public relations) Ivy Lee created the first press release. After a railroad accident involving his client, the Pennsylvania Railroad, Lee drafted a version of events from his client’s point of view and proactively distributed it to journalists.
Since then, press release distribution has evolved in tandem with technological advancement. While telegraph machines had been around during Lee’s time, it wasn’t until the mid-1950s that they were used to transmit press releases over telegraph wires. This was when the term “newswire” was coined.
Today, distribution by newswires is highly automated and often accomplished via an electronic interface with news outlet editorial systems. This enables releases to appear directly in news feeds, websites, or news apps. Email is also used to distribute releases一especially for direct outreach to journalists.
And while distribution technology has matured, the process for the PR pro has essentially remained the same. With most newswires, it involves forwarding a press release to a newswire, having it reviewed and edited by a newswire editor, and having the newswire distribute it to the media. See “How to Distribute a Press Release” for more detail.
Benefits of Using a Newswire
Utilizing a newswire helps PR pros reach large and diverse audiences quickly and efficiently. In addition, it enables the simultaneous distribution of information一an essential feature for the legal release of public company financial information. “Why Public Companies Prefer News Direct for Press Release Distribution” provides more on this topic.
Newswires often rely on professional relationships with media outlets to accept their content. Without the services of a newswire, a PR professional would have to develop and maintain such connections themselves, which can be time consuming, inefficient, and unscalable.
Many newswires also provide users metrics on their press release distribution performance. This, too, is hard to measure without a newswire or separate, third-party, media-monitoring service. For more about press release metrics, see “How Do I Measure the Success of My Press Release?”
Disadvantages of Using a Newswire
For all of their benefits, newswires can also have drawbacks. These can include ineffective or limited distribution, constraints on using embedded images or other multimedia, limited performance metrics, delays in distribution, or high costs.
Security of pre-public information can also be a challenge. Human newswire editors review and edit draft press releases before approval for distribution. While there’s no evidence to suggest editors would intentionally share or use sensitive information, the opportunity for unintentional leaks is always present, especially in our new work from home (WFH) world. See “The Importance of Security in Financial Press Release Distribution” for more information on newswire security.
News Direct Has Reimagined the Traditional Newswire
News Direct, a relative newcomer to the newswire space, has reimagined the newswire service. Conceived and launched by industry veterans, News Direct offers an end-to-end content creation and distribution solution made for modern media consumption preferences, and mitigates many of the issues related to mainstream legacy newswires.
With News Direct, PR pros can create, collaborate on, and control content from a ground-breaking, self-directed online platform called the Content Studio. Industry-leading protection supported by cloud isolation technology and advanced encryption protocols helps keep sensitive pre-distribution information secure from hacks, leaks, or data breaches. In addition, no human third-party editing is required. When the user is ready, real-time or scheduled distribution occurs directly from the Content Studio with the press of a button.
News Direct also benefits from the established industry relationships of its team members, which enables access to some of the world’s most desired and visited news sites. Distribution reach extends to international and national news outlets, media agencies, trade press, customizable niche media, hyper-targeted outlets and individuals, and journalist lists.
With News Direct’s best-in-class platform, the user can also distribute multimedia such as video, images, or infographics directly to the media on a standalone basis—without embedding them into a news release. And according to News Direct’s June 2019 Market Assessment Study, 86% of journalists find standalone media appealing.
After distribution, the user can also track and measure results of the most relevant categories, via News Direct’s analytics portal. Easily shareable formats are available for exclusive earned media reporting and detailed visibility and engagement metrics.
Finally, News Direct offers these capabilities and more using a flat-rate, predictable pricing model for a fraction of what mainstream newswires charge.
Contact News Direct to schedule a demo of its proprietary, best-in-class capabilities, and transform your press release distribution today.
December 29, 2024
‘It’s not taxed at all’: Warren Buffett shares the ‘best investment’ you can make when battling inflation — and it doesn’t have to cost you a dime
Warren Buffett is rich. According to the Bloomberg Billionaires Index, Buffet’s net worth is an estimated USD$116 billion making him the eighth richest person in the world.
Buffett’s net worth ranks below the likes of Elon Musk, Jeff Bezos, Bernard Arnault, Bill Gates, Steve Ballmer, Larry Ellison and Larry Page; however, it’s the way Buffett managed to make this exceptional list. Unlike many of his billionaire contemporaries, the Berkshire Hathaway CEO grew his net worth primarily through investing (although, he also focused on growing an investment business).
While very few people share Buffett’s investing prowess, the billionaire believes it’s still possible to protect yourself against inflation and, more importantly, leverage your skills to grow your net worth.
To help, here Buffett’s top two strategies to beat inflation and grow your nest egg — and the best part is these strategies won’t cost you a dime.
Skills are inflation-proof
Buffett firmly believes that anyone can mitigate the impacts of inflation by focusing on continuous self-improvement.
By staying on top of your game in your chosen field, you can expect to be paid at the top of your pay grade. Better still, knowledge and skills can’t be taken away from you.
““Whatever abilities you have can’t be taken away from you,” explained Buffett in a shareholder letter. “[These skills] can’t be inflated away from you.” He continued by stating that “the best investment by far is anything that develops yourself — and it’s not taxed at all.”
How to maximize the tax-free benefits of knowledge and skills
For some Canadians, this could mean learning a trade or getting a college or university degree. For others, it may mean working with a mentor or completing training courses related to your profession.
But, to be clear, the investing guru doesn’t believe that gaining knowledge or skills needs to be an expensive endeavour. Instead, he suggests we aim to do everyday things “exceptionally well.” For instance, he suggests developing your communication skills — both written and oral — as this is key to almost all work place environments.
“One easy way to become worth at least 50% more than you are now … is to hone your communications skills,” he previously said in a video posted on LinkedIn.
“If you can’t communicate, it’s like winking at a girl in the dark — nothing happens. You can have all the brainpower in the world, but you have to be able to transmit it, and the transmission is communication.”
Other ways to hedge against inflation
Updating skills is one way to hedge against inflation. Other tactics include developing basic (but integral) money management skills, using tax-advantaged accounts and focusing on the diversification of investments.
Why diversification is critical (and costs you nothing extra)
Diversifying your investments with assets not correlated with equities is important because it helps manage risk, stabilize your portfolio, and improve long-term returns. Here’s why:
1. Reduces portfolio risk
Equity markets can experience significant volatility due to economic downturns, geopolitical events, or other factors. By holding assets that are not correlated (e.g., bonds, real estate, commodities, or alternative investments), you reduce the impact of stock market fluctuations on your overall portfolio.
2. Improves risk-adjusted returns
Diversification across non-correlated assets lowers your investment portfolio’s overall volatility without sacrificing returns.
Plus, an over-reliance on equities exposes you to concentrated risks that could significantly erode wealth in the event of a prolonged market correction. Diversifying with non-correlated assets helps mitigate this risk, safeguarding your financial future.
3. Hedges against different economic scenarios
Different assets respond uniquely to economic conditions. For example:
- Stocks may excel during periods of economic growth.
- Bonds may thrive during recessions or deflation.
- Commodities and real assets may perform well during inflationary periods.
As a result, a diversified portfolio is better positioned to weather various economic cycles.
4. Leverages the power of asset allocation
Modern portfolio theory emphasizes the importance of asset allocation in driving returns. By diversifying with assets that have low or negative correlation to equities, you maximize the benefits of diversification and potentially enhance your overall return.
5. Provides stability during market downturns
Non-correlated assets often perform differently or even inversely to equities during downturns.
For instance, bonds tend to perform well during economic slowdowns when equities are under pressure, while gold is seen as a "safe haven" during times of market uncertainty. For investors looking for steady income, real estate can provide inflation-adjusted, ongoing returns and property typically holds its value when stock markets are volatile.
These alternative assets can act as a cushion against losses, preserving portfolio value.
What Buffett says about alternative investments
Real estate
According to Buffett, real estate is generally a “good investment” during times of inflation.
“They’re the businesses that you buy once and then you don’t have to keep making capital investments subsequently. So, you do not face the problem of continuous reinvestments involving greater and greater dollars because of inflation,” he said during the 2015 Berkshire Hathaway shareholders meeting.
“If you built your own house 55 years ago like Charlie [Munger] did, or bought one 55 years ago like I did, it’s a one-time outlay, and you get an inflationary expansion in replacement capital without having to replace yourself.”
If you want your real estate portfolio to grow beyond your home, you can invest in a residential real estate investment trust (REIT). REITs are publicly traded. They collect rent from tenants and pass that rent on to shareholders in the form of dividends.
Another low-cost option is to buy shares of low-cost exchange-traded funds (ETFs) that focus on real estate. To do this, you’ll need an online investing account. You can find the best discount trading platform through the Money.ca guide.
Gold
While Buffett is known for being uninterested in gold investing — describing it in a 2011 letter to shareholders as an asset “that will never produce anything” — other investment experts consider it a solid hedge against inflation because its purchasing power has remained relatively stable over time.
“The worth of a dollar can be weakened by inflation, but gold provides you with an edge to combat that decrease in purchasing power,” explained Certified Financial Planner (CFP) and CTFA William Bevins, CFP, during a CBS News interview.
You can invest directly in gold by buying it in its physical form, either as bars, coins or jewellery. Or you can use an investing app to invest in the commodity by purchasing shares of gold mining companies. For those looking for more diverse exposure, you can also invest in gold ETFs.
Bottom line
By incorporating non-correlated assets, you create a more resilient and balanced portfolio that can withstand the ups and downs of financial markets.
Sources
1. Moneywise: ‘It gave me a big advantage’: Warren Buffett and Bill Gates were asked to give the secret to their success in 1 word. They both gave the exact same answer (Sept 6, 2023)
2. LinkedIn: Michael Hood, Co-founder of @Voiceflow
3. CNBC: Warren Buffet Archive
4. Berkshire Hathaway: Shareholder’s Letter (2011)
5. CBS: 3 reasons you should invest in gold, according to the pros (April 18, 2023)
— with files from Romana King
This article ‘It’s not taxed at all’: Warren Buffett shares the ‘best investment’ you can make when battling inflation — and it doesn’t have to cost you a dime originally appeared on Money.ca
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
December 29, 2024
It’s not just turkeys and presents, the majority of Canadians are managing other debts this holiday season
With millions of Canadians struggling with day-to-day necessities like food, gas and rent, a majority (61%) will also be managing at least some debt over the holidays, according to Neo Financial’s 2024 Canadian Holiday Affordability Report. In fact, 54% say it will affect their holiday spending.
"Canada is in a cost of living crisis, which is why we’re focused on providing long-term, sustainable ways for Canadians to save more of their time and money,” Jeff Adamson, Neo Financial’s co-founder and CCO, said in a statement.
“We’ve seen that 35% of Canadians plan to reduce their holiday spending this year, and we’re committed to being part of the solution by providing top-tier cashback cards, no-fee banking, and leading high-interest savings rates.”
As of now, 28% carry over $5,000 or more in debt., which certainly adds some extra burden to the holiday season.
Holiday debt concerns
Gen X is the most affected by debt, with 61% noting it will limit their holiday spending.
Boomers are the most likely to tap into savings (45%), likely due to fixed incomes and a desire to avoid high-interest debt. In contrast, Millennials and Gen Z show lower intent to use savings (29% and 25%, respectively), often due to limited funds or competing financial priorities, such as student loans.
Residents of Ontario and BC are the most likely to dip into savings (42% and 39%, respectively), likely due to the higher living costs in these regions, while those in the Prairies and Atlantic Canada are less likely to do so, with only 28% planning to use savings, possibly relying on credit instead.
Having a budget can help mitigate the risk of piling on more debt. Boomers are the most diligent in budgeting, with 55% setting a holiday budget and 68% tracking their expenses. Millennials, while excellent at tracking (72%), prefer flexibility, with only 38% setting a predefined budget. Gen Z has the lowest rate of budgeting at 29%, though 54% are tracking their expenses, signaling an increasing awareness of financial management.
Regional differences also emerge, with Ontario and BC residents being the most likely to set a budget (46%), likely for the same reason they dip into savings. In contrast, Quebec and Atlantic Canada show lower budgeting rates, with 34% and 31%, respectively. Prairie residents, however, lead in expense tracking, with 68%, reflecting a more cautious approach in response to local economic conditions.
Canadians are still buying gifts and travelling, regardless of their existing debt
Despite these debt concerns, 36% of Canadians plan to use their savings for holiday shopping, while 35% plan to cut back on holiday spending.
Almost all are undeterred from any spending, with 96% set to spend on gifts, with an average budget of $534. Holiday travel is also a priority, with 74% planning trips at an average budget of $412.
Atlantic Canadians are the most generous, budgeting an average of $698 per person, while Quebecers have the smallest average gift budget, at $440. According to the report, Ontario and BC residents are the most committed to gift-giving, showing strong intent to buy gifts, while those in the Prairies are more likely to scale back on their gift budgets, likely due to financial caution.
Millennials are the top spenders, planning to spend nearly $600 on gifts, while Boomers are allocating around $470.
Despite financial strains, Canadians still want to give back
In news that will warm the heart of even the most cynical, charitable giving remains strong among Canadians, despite the cost-of-living crisis, with 72% planning to give during the holidays, averaging $187 per person.
Boomers are the leading demographic in charitable giving, averaging $210. Gen Z, however, plans to donate the least, with an average of $120. BC residents are the most generous, averaging $200 per charitable donation.
Survey methodology
These findings are from a survey conducted by Neo Financial from October 29 to 31 in English and French, among a representative sample of 1,521 online Canadians who are members of the Angus Reid Forum.
This article It’s not just turkeys and presents, the majority of Canadians are managing other debts this holiday season originally appeared on Money.ca
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
December 28, 2024
The bank accounts you need to know about
Bank accounts are a fact of life these days, but you may not be aware of the various kinds available to you.
Some are great for short-term savings, while others are ideal for retirement planning and investing. Keeping track of everything that’s available can be time-consuming, but it’s worth getting to know the basics since they can help your money grow.
Chequing account
For most adults in Canada, day-to-day banking is done through a chequing account.
With this account, you can have your pay deposited, pay bills, transfer money and, yes, even write cheques. Most financial institutions will typically offer different types of chequing accounts. Premium accounts come with more services such as unlimited transactions, credit card annual fee rebates and sometimes safety deposit boxes.
The monthly fee is often the biggest concern for consumers. Basic accounts usually have a set number of transactions. Once you go over that limit, you’ll be paying a fee for each additional transaction. The higher-tier accounts come with more options, but they can easily cost you $25 to $30 a month. That said, some banks will waive or reduce the monthly fee if you maintain a minimum balance or have multiple services open.
Eligibility:
- Canadian resident
- At least the age of majority in the province or territory that you reside
- The account must be in your name
- Valid email address (if signing up online)
High-interest savings account
Every financial institution offers a regular savings account, but these days those don’t pay much interest. You’re better off opening a high-interest savings account (HISA) with an online bank such as EQ Bank, Tangerine or Oaken Financial. Since these banks only operate online, they’re able to pass on the savings to consumers in the form of higher interest rates and no-fee accounts.
HISAs are ideal for short-term savings such as a home down payment or emergency fund. You’re not going to get rich off of the interest, but digital banks do pay significantly more than brick-and-mortar banks. You can even link your HISA to your chequing account. This would allow you to effortlessly move your money between accounts so you can capitalize on the higher interest.
Eligibility:
- Canadian resident
- At least the age of majority in the province or territory that you reside
- Valid email address
- Must have a Social Insurance Number (SIN)
Registered Retirement Savings Plan
A Registered Retirement Savings Plan (RRSP) is the most common type of investing vehicle for savings in Canada. What many people don’t realize is that you don’t buy an RRSP. Your RRSP is an account that allows you to purchase products inside of it such as stocks, mutual funds, bonds and other investments.
Whenever you contribute to your RRSP, your taxable income for the year is reduced by the same amount. This is beneficial because it often means a tax return in the spring. Although you’ll be taxed on withdrawals when you retire, the assumption is that you’ll be in a lower tax bracket at that time, and so pay less taxes on that money than you’d pay today.
Additionally, you can open up an RRSP with your financial institution, an investment firm or robo-advisor. You can even self-direct your RRSP with an online brokerage.
Eligibility and rules:
- Canadian resident for tax purposes
- Must have a Social Insurance Number
- RRSP contribution room is gained after you file your first tax return with income reported
- RRSP contribution room is based on 18% of your earned income in the previous year
- There’s an annual RRSP limit (the 2021 limit is $27,830)
- Unused contributions get carried over
- You can withdraw from your RRSP early without having to pay taxes if the money is being used for the Home Buyers’ Plan or Lifelong Learning Plan. These funds need to be repaid eventually or they’ll count as taxable income
- Contributions can be made until December 31 of the year you turn 71. At that time, you need to convert your RRSP to a Registered Retirement Income Fund (RRIF)
- Once converted to a RRIF, each year you must withdraw a minimum amount of savings, as set by the government
Tax-Free Savings Account
Although the Tax-Free Savings Account (TFSA) has been around for more than a decade, many people still don’t understand how it works. The confusion comes from the name. Even though it’s called a savings account, you can purchase most investment products within it such as guaranteed investment certificates (GICs), exchange traded funds (ETFs), stocks and so on.
Unlike RRSPs, there’s no tax break when you contribute to your TFSA. However, any gains made within your TFSA are completely tax-free, regardless of how much your investments have grown. This assumes you’re using your TFSA for personal reasons only.
Eligibility and rules:
- Canadian resident
- Must have a Social Insurance Number
- At least the age of majority in the province or territory that you reside
- The contribution room is set each year by the government. You gain additional room each year from the time you become eligible for a TFSA
- Unused contribution room gets carried over
- Withdrawals can only be contributed again the following year, or the same year if you have not exceeded your total contribution limit
- Investment income including capital gains and interest do not affect your contribution room for the current or future years
- Your TFSA contribution room can be found in Revenue Canada’s MyCRA portal, but note that this number is typically only updated once a year
Which accounts should you use?
In an ideal world, you’ll use every account available so you can maximize the benefits of each. That said, you may not have enough cash on hand to max out every account each year. In that case, you should focus on the ones that give you the greatest benefits depending on your needs.
For example, a high income earner might prefer their RRSP since they’ll get an immediate tax break. Younger people who are just starting their careers and are in a low tax bracket may choose to focus on their TFSA.
If you’re not sure which accounts are right for you, take the time to research the different options. Putting your money in the right accounts can make a big difference to your finances in the long run.
This article [The bank accounts you need to know about] (https://money.ca/banking/banking-basics/bank-accounts-you-need-to-know) originally appeared on Money.ca
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
December 28, 2024
5 money management tips for a successful retirement
Whether you’re on the cusp of retiring or a few years (or decades) away, it’s never too late to implement smart money moves for a successful retirement. And with the start of a new year, it’s the perfect time to review your finances and make strategic decisions to safeguard and grow your wealth.
To help, we’ve compiled five smart money moves designed to enhance your financial security and provide peace of mind during your retirement years. Use these money management tips to get your retirement savings on track.
#1. Reassess your insurance needs
When nearing retirement, you’ll need to pay attention to your insurance coverage — and the costs of that coverage.
Life insurance needs as you approach retirement
First, calculate how much life insurance coverage your beneficiaries will require in order to settle your estate. If you are still working, then a quick rule of thumb is to get a policy that covers 10 times your annual salary. For example, if you earn $50,000 each year, you’ll need a life insurance policy that pays your beneficiaries $500,000 or more.
But as you get closer to retirement both your premiums and the amount paid out to your beneficiaries may change.
That’s because as we age, the chance of dying becomes greater and, as a result, insurance premiums rise. However, as we age, the probability of paying down our debt is also greater, which means our beneficiaries require a smaller lump-sum payout to settle your estate. As a result, shopping around for your best life insurance options becomes a priority as you near retirement.
Finally, don’t forget to verify and update beneficiaries to avoid probate delays.
Update your car and home insurance
Canadians nearing or in retirement should evaluate their car insurance policies and eliminate unnecessary add-ons. Platforms like YouSet allow you to compare quotes from multiple trusted providers, ensuring you get the best coverage at the lowest cost. By reducing your car insurance costs, you can continue to enjoy the freedom of using your own vehicle without the burden of higher operating costs.
For home insurance, you’ll want to consider how you will be spending your retirement. For instance, if you plan to travel south during the winter, be aware that your prolonged absence could void your home insurance policy. To avoid a catastrophic claim event from being rejected by insurance provider, be sure ot read your policy and ask your insurer what steps to take.
Better still, by using digital platforms, like YouSet, you eliminate the need of finding a broker or shopping from provider to provider. As a fully digital insurance brokerage platform, YouSet simplifies the process of buying home and auto insurance.
#2. Explore real estate investments for stable returns
Real estate has long been a stable investment for building wealth. However, traditional property investments might feel overwhelming for retirees who don’t want the hassle of being landlords. Options like real estate investment funds (REITs) or exchange-traded funds (ETFs) that focus on property offer an accessible way to invest in diversified real estate portfolios without the hassle of being a landlord (or the massive upfront costs).
To start, you’ll need to open an investment brokerage account; one option is Questrade where accountholders do not pay annual fees, and when you start investing, you’ll pay just $4.95 per trade up to a maximum of $9.95 to buy stocks or REITs, and $0 per trade to buy ETFs. This means that you can sign up for Questrade, transfer money into your account, and build a real estate-focused ETF portfolio all for $0. Use REITs and the monthly, quarterly and annual income can easily help supplement your retirement income.
#3. Make saving effortless with automated tools
Even in retirement, small savings can add up. Consider using tools like Moka, which round up your everyday purchases to the nearest dollar and automatically invest the spare change. For instance, buying a coffee for $3.75 would trigger an automatic $0.25 investment.
Over time, these micro-investments can grow into a meaningful nest egg for unexpected expenses or future opportunities. For instance, if you implemented this spare change investment strategy and invested $2.50 each day, by the end of the first year you’d have $900 invested.
Add this money to a high-interest savings account or a Tax-Free Savings Account (TFSA) to get your money earning for you and you could compound these savings for a sizeable slush fund ready for your retirement years.
#4. Secure your retirement portfolio with gold
Investing in gold is a classic inflation hedge. Unlike fiat money, gold can’t be printed, and its value remains steady amid global economic shifts. Its safe-haven status often attracts investors during crises, making it a reliable option for preserving wealth.
Buying bullion, however, can be inconvenient, often requiring in-person transactions and pickups. A simpler alternative is investing in gold or precious metals through exchange-traded funds (ETFs). For example, the iShares Gold Trust (NYSE:IAU) tracks gold’s daily price movements, while the Aberdeen Standard Physical Gold Shares ETF (NYSE:SGOL) holds physical gold stored in secure vaults.
Gold ETFs have delivered impressive returns over the past five years. The iShares Gold Trust (NYSE:IAU) posted annualized returns of 11.63%, and SGOL achieved 12.40%, both outperforming the 8.66% annualized return of the S&P/TSX Composite Index (TSX:OSPTX).
Like REITs, to tap into gold and precious metals, you’ll need to open an online investment account. For instance, open a CIBC Investors’ Edge account and enjoy low commissions on trades and no or minimal account maintenance charges (depending on the size of your portfolio). Build your portfolio with CIBC Investor’s Edge and get up to 100 free trades and over $200 in cash back. Use promo code EDGE2425 and get exposure to dozens of REITs, offering both stability and growth potential — perfect for supplementing retirement income.
#5. Consult a financial advisor for personalized guidance
Retirement comes with unique financial challenges, from managing pensions to navigating taxes. Consulting a trusted financial advisor can help you optimize your income streams and investments. Services like Advisor.com match you with fiduciary advisors who specialize in creating personalized retirement plans. Studies show that working with an advisor can improve returns by up to 3% annually, making it a worthwhile investment for peace of mind.
There are plenty of ways to source a trusted advisor in Canada, whether through major banks such as Scotiabank, RBC or TD, or a simple online search (be sure to specify Canada or, more specifically, your city). The Government of Canada also has a great resource for choosing a financial advisor.
But, it’s crucial to be vigilant and thorough throughout this process. Financial advisors should have a minimum of one professional designation, such as Certified Financial Planner (CFP), Chartered Life Underwriter (CLU) or Registered Financial Planner (RFP), to prove they meet the necessary qualifications. Always check for relevant issuing bodies to ensure the advisor you’re considering is up to date and compliant with how to advise you on future money moves.
Bottom line
By implementing these strategies, Canadians nearing or in retirement can make 2025 a financially secure and stress-free year.
Sources
1. Financial Consumer Agency of Canada: Choosing a Financial Advisor
This article 5 money management tips for a successful retirement originally appeared on Money.ca
This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
December 27, 2024