The Canadian Investor · Braden Dennis & Simon Belanger

3 Things to Do Before You Invest a Single Dollar

December 1, 2025·43 min·3 clips

Why paying off a 6% debt beats chasing uncertain 8% market returns.

This episode of The Canadian Investor Podcast focuses on three essential financial steps to take before beginning self-directed investing. Hosts Simon Beranger and Dan Kent structure the episode around foundational personal finance principles. They later feature a special interview with Dan Broughton, SVP and head of EQ Bank, discussing a survey of Canadian solopreneurs and micro-business owners. The first recommended step is to pay down any high-interest debt, defined as 6% or more, because this provides a guaranteed return and avoids the volatility of market investments. For debts between 4% and 6%, a combination of investing and accelerated repayment may be suitable, while debts below 4% can be a more personal decision based on overall debt load. Kent shares an anecdote about his parents choosing to pay off a small, low-interest mortgage for peace of mind, valuing that emotional benefit over pure financial optimization. The second step is to establish an emergency fund of three to six months' expenses to avoid becoming a forced seller of investments during market downturns. Beranger advocates building this fund gradually through automated transfers into a high-interest savings account for liquidity. The third step is to maximize any employer matching program for retirement accounts, which Kent describes as "free money" and a foundational return that is difficult to beat through personal investing. He shares that he used his employer's RRSP matching to save for his first home down payment. The interview with Dan Broughton reveals that 51% of solopreneurs feel today's global trade environment impacts their business as much or more than the pandemic did. The EQ Bank survey found frustrations with high fees, low interest on business balances, and time-consuming traditional banking processes, with 40% of respondents spending 10 hours or less per week on their core business due to administrative burdens. Broughton outlines how EQ Bank's business account aims to address these pain points with no monthly fees, interest on all balances, and fully digital onboarding. A surprising insight is that despite the challenges, a strong majority of surveyed entrepreneurs said they would still choose to start a business again. The hosts emphasize that even experienced investors should review these basics, as neglecting them can effectively wipe out investment returns. The tone is educational and conversational, blending straightforward financial advice with personal anecdotes and practical examples. This episode is ideal for new investors, solopreneurs seeking better banking solutions, or anyone needing a refresher on core financial priorities. Listeners solely interested in stock picks or advanced market strategies might find the foundational content too basic.

As heard by us

A practical reminder that setup matters before the first trade.

Simon Beranger and Dan Kent frame investing as a sequence of setup decisions, not a single trade, and that gives the episode a steady, useful focus.

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Why you'd press play

If you want the three basics before you start investing, this lays out the order that matters.

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