🌍 Day 50 of the Iran war. The Strait of Hormuz is closed again. The US Navy just seized an Iranian cargo ship. Oil is back above $100.

😰 And yet the TSX is up nearly 4% year-to-date. Canada's Big Six banks just posted strong earnings. The economy has not collapsed.

💡 This week, we zoom out. Because the most important financial skill you can build right now is the ability to separate the noise from what actually matters for YOUR money long-term.

☕ Let's get into it. Remember to follow Newcomer Wealth on Social Media.

🚀 Let's go!

What's Happening: 🚢 Today — Day 50 of the US-Iran war — the Strait of Hormuz is closed again. Here's the rapid-fire timeline of this past week:

🛢️ Oil reacted violently to every twist. Brent has swung between $94 and $113 in just two weeks — the most volatile oil market since 2020.

Why it matters: 📊 Here is what is genuinely new this week: markets are becoming desensitized. Markets went from pricing in rate cuts before the oil shock to pricing potential rate hikes at the peak of this scare, and those bets are now falling back as oil prices moderate. Investors are no longer panicking at every headline. They are watching the underlying data instead, and that data tells a more nuanced story.

The IMF just released its April Global Financial Stability Report this week, warning that global financial stability risks are elevated, with the global financial system confronting the ongoing war in the Middle East, potential inflationary pressures, and rising risks of further tightening in financial conditions. But crucially, they are not calling this a recession. They are calling it a test.

The Takeaway: 🧠 The conflict is entering a new phase: exhaustion diplomacy. Both sides are escalating in words but becoming more careful in actions. For newcomer investors, the message is simple, this is exactly why you hold a diversified portfolio. Some of your holdings benefit when oil is high (energy stocks, gold). Others benefit when calm returns (tech, financials). You don't need to predict the outcome. You need to be positioned for multiple outcomes.

What's Happening: 🏦 While global headlines screamed chaos, Canada's Big Six banks quietly delivered some of the strongest earnings in recent memory. Here is what just came in:

The TSX has been very strong, and that's a big reason why the banks did so well last year and so far this year, and why they're seeing earnings increase across the board. Now that Canadian banking has such a heavy emphasis on capital markets and wealth management, there's often going to be a high correlation with how stock and capital markets are performing.

Why it matters: 🎯 For newcomer investors, this story carries a lesson that goes beyond the numbers. Canada's Big Six banks are not just stocks, they are the backbone of the Canadian financial system. They are where you hold your TFSA, RRSP, FHSA, and chequing account. They manage the mortgages of millions of Canadians. Understanding their health tells you a lot about the broader Canadian economy.

Strong bank earnings in a period of geopolitical chaos and oil volatility tell us one thing clearly: Canada's financial system is resilient. The oil shock hurt, but it didn't break anything.

The Move: 📅 All eyes turn to April 29 — the Bank of Canada's most important decision of the year, coming with a full Monetary Policy Report. Strong bank earnings heading into that meeting give the BoC confidence that a hold is the right call. But with oil swinging wildly, anything can change. Mark it on your calendar.

Brookfield Infrastructure Partners (NYSE: BIP)

The Everything Infrastructure Company

The Update 📈

🍁 If you wanted to design the perfect stock for a world with rising energy prices, geopolitical uncertainty, and an AI infrastructure boom, you would probably end up building something that looks a lot like Brookfield Infrastructure Partners. The company owns and operates essential infrastructure across utilities, transport, midstream pipelines, and data centres in over 10 countries.

Why I'm Interested 🤔

🌍 Brookfield Infrastructure is fascinating right now because it benefits from multiple tailwinds at once:

🤔 For investors building a portfolio for the long term, infrastructure stocks like BIP are often described as the "boring" choice. But boring in investing is usually good. These are assets the world cannot function without — and that means steady, predictable cash flows even when markets are volatile.

Morningstar Rating: ★ ★ ★

52-Week Low/High: $27.36 — $40.32

Recent Catalyst: 🔥 Completion of a major $9 billion pipeline acquisition, accelerating data centre expansion to capture AI infrastructure demand, and a 5% dividend yield that remains attractive as rates stay on hold.

Disclaimer: This is for informational purposes only and not investment advice. Always do your own research or consult a professional before making investment decisions.

😮 This week we cover the account that most newcomer families overlook completely and it could be the most financially impactful thing you do for your child's future.

It is called the Registered Education Savings Plan (RESP) — and the Canadian government will literally give you free money just for opening one.

What is an RESP?

🎓 An RESP is a registered savings account designed specifically to help families save for a child's post-secondary education (university, college, trade school, or apprenticeship). Your money grows tax-free inside the account — just like a TFSA.

But here is the part that makes the RESP uniquely powerful: government grants.

The Free Money You Should Not Leave Behind 💰

The Canadian government offers the Canada Education Savings Grant (CESG):

📊 Think about what that means: If you contribute $2,500/year from birth to age 17, the government adds $500/year in grants, and your money grows at a modest 6% — your child could have over $90,000 waiting for them on their 18th birthday.

The Newcomer Rule to Know 🍁

🌟 The CESG grant is available to any Canadian resident child under 18 with a Social Insurance Number. That includes children of newcomers. The moment your child has their SIN open the RESP. Grant room does carry forward, but you can only catch up $1,000 per year in additional grants (meaning you can get $1,000 in grants by contributing $5,000 in one year). Starting early maximizes every dollar.

The Move ✅

📱 Open your RESP today at any major Canadian bank or at Questrade (use my referral Key 426019605447668 to get a $50 bonus) or Wealthsimple. (code, OFZZHW to receive $25 bonus). You can hold ETFs and index funds inside an RESP — so that government grant money can also be invested and grow tax-free.

😊 Great question, and the honest answer is more nuanced than a simple yes or no.

🧠 Here is the framework for thinking about it:

💡 The newcomer investor take: If you do not own any Canadian banks yet and want broad exposure to Canada's financial system, a Canadian bank ETF (like ZEB.TO or HCAL.TO) gives you diversified exposure to all six banks in one simple purchase, without having to pick a winner.

And if you already own Canadian banks, strong earnings in a chaotic market is exactly the kind of reassurance that should make you comfortable holding, not a signal to sell.

🤝 The Newcomer Wealth Community: Join us to get your specific questions answered, this is exactly what we are here for!

💬 Need Personalized Guidance? For those deeper, one-on-one questions about your specific situation (Setting up TFSAs, RRSPs, FHSA, RESP, credit cards, stocks/ETFs picking or anything else!), I offer personalized coaching sessions. Learn more and book your spot! 💬

See you next week!

Warmly,
Yudara Bernard
Founder, Newcomer Wealth