May 12, 2008

As the Canadian market has snuck back to near it’s high of last fall, it may be tempting to follow the old adage of “sell in May and go away.” As I discussed on Saturday’s show, it may be prudent to look globally right now, as the Canadian market has been caught up in a massive surge in commodities, and many foreign markets have not recovered like ours. In my opinion, I believe it is time to rebalance in May, not go away…I believe we will see some short term repricing, especially in commodities, but global markets are still underpriced versus their historical norms. An investor with time to be patient will likely find that today was a good time to be shopping around the world.

Have you outgrown your mutual funds?