With the summer months at hand, and stock markets less volatile than
they were over the past year, it may be tempting to simply ignore your
statements, and worry about them in the fall. This is understandable,
but summer is actually a great time to revamp your strategy.
Frequently, we see a pullback in the summer, and this is a great time
to invest for the long term. Why not sit down, review your strategy,
and be prepared if we get the opportunity to take advantage of any
summer weakness?
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
Monday, June 29, 2009
Friday, June 26, 2009
Wareham Weekly Insights
Market Watch
The big picture
Signs of economic recovery
The U.S. kept its near-zero interest rate policy unchanged while noting conditions in financial markets have “generally improved in recent months.” Orders for U.S. manufactured durable goods, such as household appliances, computers and aircraft, rose by 1.8% in May, the strongest increase since December 2007. As well, U.S. mortgage applications climbed 6.6% last week, following four straight weekly declines. Moody’s Investors Service reassured investors that the U.S. government’s triple-A credit rating was safe, even as the U.S. borrows heavily to spend its way out of recession.
The World Bank unnerved investors early this week by saying the global economy would shrink 2.9% this year, more than its previous estimate. However, the Organisation for Economic Co-operation and Development said prospects for industrialized nations are the best in two years: “It looks as if the worst scenario has been avoided. Even if the subsequent recovery may be slow, such an outcome is a major achievement of economic policy.” Finance Minister Jim Flaherty expressed confidence that the Canadian economy is on the mend, although “we are not out of the woods.” A new survey suggests consumer confidence is edging up – since March, the consumer confidence index has risen 10.6 points, a turnaround from late 2008.
The markets
TSX swings with commodity prices
Volatility was the name of the game as the Toronto stock market was driven down early in the week largely by falling commodity prices. However, the market later recovered its losses largely due to rebounding energy and gold prices. Despite mixed economic data, U.S. markets also recovered from weakness earlier in the week following better-than-expected earnings from homebuilder Lennar Corp. and home furnishings chains Bed Bath & Beyond Inc.
Last weekend, Apple sold more than one million units of its newest iPhone in its first three days on the market, doubling analysts’ expectations. In automotive news, debt-ridden Porsche is proposing a deal that would give the Gulf state of Qatar a 20% share in Volkswagen. It was the end of an era as Nortel shares were permanently delisted by the TSX and NYSE. Nortel plans to sell its wireless network business to Nokia Siemens for US$650 million while winding down the 127-year-old Canadian company; Nortel has been operating under court protection from creditors since January but will soon cease to exist.
Our recommendation
Favour shorter-maturity bonds as rates set to rise
· Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, says their continuing conviction is that equity markets will endure a pullback or period of consolidation over the coming weeks while seeking greater fundamental evidence and support for a sustained bull market. Investors may be motivated to take profits based on the conclusion that stocks have in fact moved too far too fast and have few pending catalysts to generate further gains until the Q2 earnings season commences in late July.
· Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, highlights that with Scotia Economics recently changing their forecast, calling for rising yields across the entire maturity curve in 12 months time, active traders should remain in shorter-maturity bonds. Municipal debt appears to show relative value with yields higher than Canadian bank deposit notes in the 5-year and greater maturity range. For passive buy and hold investors, the safety you receive from Municipals presents this as a decent opportunity to diversify from corporate sector and continue to pick up decent yield.
· Portfolio strategy. With significant volatility still a factor in the markets, it’s important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
·.
The big picture
Signs of economic recovery
The U.S. kept its near-zero interest rate policy unchanged while noting conditions in financial markets have “generally improved in recent months.” Orders for U.S. manufactured durable goods, such as household appliances, computers and aircraft, rose by 1.8% in May, the strongest increase since December 2007. As well, U.S. mortgage applications climbed 6.6% last week, following four straight weekly declines. Moody’s Investors Service reassured investors that the U.S. government’s triple-A credit rating was safe, even as the U.S. borrows heavily to spend its way out of recession.
The World Bank unnerved investors early this week by saying the global economy would shrink 2.9% this year, more than its previous estimate. However, the Organisation for Economic Co-operation and Development said prospects for industrialized nations are the best in two years: “It looks as if the worst scenario has been avoided. Even if the subsequent recovery may be slow, such an outcome is a major achievement of economic policy.” Finance Minister Jim Flaherty expressed confidence that the Canadian economy is on the mend, although “we are not out of the woods.” A new survey suggests consumer confidence is edging up – since March, the consumer confidence index has risen 10.6 points, a turnaround from late 2008.
The markets
TSX swings with commodity prices
Volatility was the name of the game as the Toronto stock market was driven down early in the week largely by falling commodity prices. However, the market later recovered its losses largely due to rebounding energy and gold prices. Despite mixed economic data, U.S. markets also recovered from weakness earlier in the week following better-than-expected earnings from homebuilder Lennar Corp. and home furnishings chains Bed Bath & Beyond Inc.
Last weekend, Apple sold more than one million units of its newest iPhone in its first three days on the market, doubling analysts’ expectations. In automotive news, debt-ridden Porsche is proposing a deal that would give the Gulf state of Qatar a 20% share in Volkswagen. It was the end of an era as Nortel shares were permanently delisted by the TSX and NYSE. Nortel plans to sell its wireless network business to Nokia Siemens for US$650 million while winding down the 127-year-old Canadian company; Nortel has been operating under court protection from creditors since January but will soon cease to exist.
Our recommendation
Favour shorter-maturity bonds as rates set to rise
· Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, says their continuing conviction is that equity markets will endure a pullback or period of consolidation over the coming weeks while seeking greater fundamental evidence and support for a sustained bull market. Investors may be motivated to take profits based on the conclusion that stocks have in fact moved too far too fast and have few pending catalysts to generate further gains until the Q2 earnings season commences in late July.
· Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, highlights that with Scotia Economics recently changing their forecast, calling for rising yields across the entire maturity curve in 12 months time, active traders should remain in shorter-maturity bonds. Municipal debt appears to show relative value with yields higher than Canadian bank deposit notes in the 5-year and greater maturity range. For passive buy and hold investors, the safety you receive from Municipals presents this as a decent opportunity to diversify from corporate sector and continue to pick up decent yield.
· Portfolio strategy. With significant volatility still a factor in the markets, it’s important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
·.
Wednesday, June 24, 2009
Investments with guarantees
After a couple of years of market volatility, there has been a lot of
interest in investments with guarantees. Recently, there has been a
lot of focus on the impact of guaranteed withdrawal benefit plans on
the finacial stability of insurance companies. These plnas, like
Manulife's \income \plus, provide mutual fund investment choices,
while guaranteeing income for life. These plansmake great sense for
investors, but you really should look beyond the guarantees, and
consider the stability of the company that offers the funds. If you
are considering one of these plans, give me a call.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
interest in investments with guarantees. Recently, there has been a
lot of focus on the impact of guaranteed withdrawal benefit plans on
the finacial stability of insurance companies. These plnas, like
Manulife's \income \plus, provide mutual fund investment choices,
while guaranteeing income for life. These plansmake great sense for
investors, but you really should look beyond the guarantees, and
consider the stability of the company that offers the funds. If you
are considering one of these plans, give me a call.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
Monday, June 22, 2009
Will global markets continue to heat up through summer?
Summer is here, and the spring of 2009 will certainly be remembered
for a while. After the long, tough winter, the global thaw in equity
markets mirrored the warming weather. Will global markets continue to
heat up through the summer? It is possible, but I believe it is
prudent for most investors to revisit their portfolios in an
overheated market. Long term, equity markets will recover further,
but it is likely we will see a pause over the next few months. Be
prepared, and seek an advisor that will work with you.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
for a while. After the long, tough winter, the global thaw in equity
markets mirrored the warming weather. Will global markets continue to
heat up through the summer? It is possible, but I believe it is
prudent for most investors to revisit their portfolios in an
overheated market. Long term, equity markets will recover further,
but it is likely we will see a pause over the next few months. Be
prepared, and seek an advisor that will work with you.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
Saturday, June 20, 2009
Market Watch
The big picture
Global economy stabilizing
Finance ministers from the G8 countries agreed over the weekend that the global economy was showing encouraging signs of stabilization. This week, the Bank of Japan held its interest rate at 0.1% and upgraded its economic assessment for the second straight month, on rising exports and output. The Reserve Bank of Australia also refrained from cutting interest rates, given signs of stabilization at home and abroad, noting in particular a strong recovery in Chinese industrial production.
In Washington, U.S. President Barack Obama unveiled a proposal for sweeping reforms to bank and market regulation. The plan urges stronger consumer and investor protection, and includes new policing powers for the Federal Reserve and government, and higher capital and liquidity requirements for financial firms. Consumer prices in the U.S. rose just 0.1% in May from April, quelling fears that inflation would threaten economic recovery. Meanwhile, the total number of Americans on the unemployment insurance rolls dropped for the first time since early January. In Canada, the outlook for the economy continued to improve, based on Statistics Canada’s leading indicator index, which slowed sharply in May to just 0.1%, marking the smallest of nine consecutive declines.
The markets
TSX gives up some gains as commodities pull back
Although the TSX is still up nearly 40% since March 9, falling commodity prices sent the resource-heavy index into a broad-based retreat early this week. Meanwhile, the Canadian dollar fell to a four-week low against the U.S. dollar as the price of oil and metals weakened, and global equities slid on doubts about the strength of an economic recovery. U.S. stocks sagged as some investors unwound trades betting on quick economic recovery.
Markets reacted to a disappointing earnings announcement by FedEx, as the company’s business levels are seen as a gauge of the economy’s strength. Research in Motion Ltd. (RIM) announced better-than-expected earnings on Thursday, but offered an outlook that fell short of some expectations, causing its shares to slide 5%. While RIM’s new BlackBerry Tour is slated to launch mid-July, Apple’s new iPhone 3G S launched today – sales could top 500,000 in the first weekend given consumers’ growing appetite for advanced smart phones.
Our recommendation
Favour shorter-maturity bonds as yields set to rise
· Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, believes that trading volume has declined recently suggesting the current rally is losing steam and at best may move sideways for a while in a period of consolidation, or indeed give back some of the recent gains. Investors may be motivated to take profits based on the conclusion that stocks have in fact moved too far too fast and have few pending catalysts to generate further gains until Q2 earnings season commences in late July.
· Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, highlights that with Scotia Economics recently changing their forecast, calling for rising yields across the entire maturity curve in 12 months time, active traders should remain in shorter-maturity bonds. Clients should consider taking profits on subordinate Canadian bank bonds such as Tier 1 Capital Securities, as many are up more than 20% in value since December. Corporate spreads have narrowed significantly since the beginning of the year, due to investor risk appetite returning. As such, we see better relative value in municipal bonds where spreads have not declined to the same degree.
· Portfolio strategy. With significant volatility still a factor in the markets, it’s important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
TM Trademarks used under authorization and control of The Bank of Nova Scotia.
ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPF
This publication is intended only to convey information. It is not to be construed as an investment guide or as an offer or solicitation of an offer to buy or sell any of the securities mentioned in it. The author is an employee of ScotiaMcLeod, a division of Scotia Capital Inc. ("SCI"), but the data selection, analysis and views expressed herein are solely those of the author and not those of SCI. The author has taken all usual and reasonable precautions to determine that the information contained in this publication has been obtained from sources believed to be reliable and that the procedures used to summarize and analyze such information are based on approved practices and principles in the investment industry. However, the market forces underlying investment value are subject to sudden and dramatic changes and data availability varies from one moment to the next. Consequently, neither the author nor SCI can make any warranty as to the accuracy or completeness of information, analysis or views contained in this publication or their usefulness or suitability in any particular circumstance. You should not undertake any investment or portfolio assessment or other transaction on the basis of this publication, but should first consult your investment advisor, who can assess all relevant particulars of any proposed investment or transaction. SCI and the author accept no liability of whatsoever kind for any damages or losses incurred by you as a result of reliance upon or use of this publication in contravention of this notice. All performance data represents past performance and is not indicative of future performance. Scotia Capital Inc. and its affiliates collectively beneficially own in excess of 1% of one or more classes of the issued and outstanding equity securities of Royal Bank. Within the last 12 months, Scotia Capital Inc. and/or its affiliates have undertaken an underwriting liability with respect to equity or debt securities of, or have provided advice for a fee with respect to Royal Bank. TM Trademark used under authorization and control of The Bank of Nova Scotia. ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPF.
Global economy stabilizing
Finance ministers from the G8 countries agreed over the weekend that the global economy was showing encouraging signs of stabilization. This week, the Bank of Japan held its interest rate at 0.1% and upgraded its economic assessment for the second straight month, on rising exports and output. The Reserve Bank of Australia also refrained from cutting interest rates, given signs of stabilization at home and abroad, noting in particular a strong recovery in Chinese industrial production.
In Washington, U.S. President Barack Obama unveiled a proposal for sweeping reforms to bank and market regulation. The plan urges stronger consumer and investor protection, and includes new policing powers for the Federal Reserve and government, and higher capital and liquidity requirements for financial firms. Consumer prices in the U.S. rose just 0.1% in May from April, quelling fears that inflation would threaten economic recovery. Meanwhile, the total number of Americans on the unemployment insurance rolls dropped for the first time since early January. In Canada, the outlook for the economy continued to improve, based on Statistics Canada’s leading indicator index, which slowed sharply in May to just 0.1%, marking the smallest of nine consecutive declines.
The markets
TSX gives up some gains as commodities pull back
Although the TSX is still up nearly 40% since March 9, falling commodity prices sent the resource-heavy index into a broad-based retreat early this week. Meanwhile, the Canadian dollar fell to a four-week low against the U.S. dollar as the price of oil and metals weakened, and global equities slid on doubts about the strength of an economic recovery. U.S. stocks sagged as some investors unwound trades betting on quick economic recovery.
Markets reacted to a disappointing earnings announcement by FedEx, as the company’s business levels are seen as a gauge of the economy’s strength. Research in Motion Ltd. (RIM) announced better-than-expected earnings on Thursday, but offered an outlook that fell short of some expectations, causing its shares to slide 5%. While RIM’s new BlackBerry Tour is slated to launch mid-July, Apple’s new iPhone 3G S launched today – sales could top 500,000 in the first weekend given consumers’ growing appetite for advanced smart phones.
Our recommendation
Favour shorter-maturity bonds as yields set to rise
· Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, believes that trading volume has declined recently suggesting the current rally is losing steam and at best may move sideways for a while in a period of consolidation, or indeed give back some of the recent gains. Investors may be motivated to take profits based on the conclusion that stocks have in fact moved too far too fast and have few pending catalysts to generate further gains until Q2 earnings season commences in late July.
· Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, highlights that with Scotia Economics recently changing their forecast, calling for rising yields across the entire maturity curve in 12 months time, active traders should remain in shorter-maturity bonds. Clients should consider taking profits on subordinate Canadian bank bonds such as Tier 1 Capital Securities, as many are up more than 20% in value since December. Corporate spreads have narrowed significantly since the beginning of the year, due to investor risk appetite returning. As such, we see better relative value in municipal bonds where spreads have not declined to the same degree.
· Portfolio strategy. With significant volatility still a factor in the markets, it’s important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
TM Trademarks used under authorization and control of The Bank of Nova Scotia.
ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPF
This publication is intended only to convey information. It is not to be construed as an investment guide or as an offer or solicitation of an offer to buy or sell any of the securities mentioned in it. The author is an employee of ScotiaMcLeod, a division of Scotia Capital Inc. ("SCI"), but the data selection, analysis and views expressed herein are solely those of the author and not those of SCI. The author has taken all usual and reasonable precautions to determine that the information contained in this publication has been obtained from sources believed to be reliable and that the procedures used to summarize and analyze such information are based on approved practices and principles in the investment industry. However, the market forces underlying investment value are subject to sudden and dramatic changes and data availability varies from one moment to the next. Consequently, neither the author nor SCI can make any warranty as to the accuracy or completeness of information, analysis or views contained in this publication or their usefulness or suitability in any particular circumstance. You should not undertake any investment or portfolio assessment or other transaction on the basis of this publication, but should first consult your investment advisor, who can assess all relevant particulars of any proposed investment or transaction. SCI and the author accept no liability of whatsoever kind for any damages or losses incurred by you as a result of reliance upon or use of this publication in contravention of this notice. All performance data represents past performance and is not indicative of future performance. Scotia Capital Inc. and its affiliates collectively beneficially own in excess of 1% of one or more classes of the issued and outstanding equity securities of Royal Bank. Within the last 12 months, Scotia Capital Inc. and/or its affiliates have undertaken an underwriting liability with respect to equity or debt securities of, or have provided advice for a fee with respect to Royal Bank. TM Trademark used under authorization and control of The Bank of Nova Scotia. ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPF.
The Start of a Summer Surge?
Over the last 5 days, we have seen the TSX pull back about 5 1/2%.
Keeping it in perspective, this pullback is in the context of a 40%
rally from the market bottom in March. Is this the start of a
correction, or just a pause? Regardless, summer frequently features a
lower than average volume, and sliding stock prices. Is this the
start of a summer surge, or swoon? Regardless, this current market is
full of opportunity. Tune in tomorrow at 8:30. as I discuss
constructing a portfolio that will hold up well, either in a swoon or
a surge.
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
Keeping it in perspective, this pullback is in the context of a 40%
rally from the market bottom in March. Is this the start of a
correction, or just a pause? Regardless, summer frequently features a
lower than average volume, and sliding stock prices. Is this the
start of a summer surge, or swoon? Regardless, this current market is
full of opportunity. Tune in tomorrow at 8:30. as I discuss
constructing a portfolio that will hold up well, either in a swoon or
a surge.
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
Wednesday, June 17, 2009
Ensure You Are Prepared
On Monday, I discussed preparing for a market pullback, and the last
couple of days we have seen significant weakness in global markets.
History tells us that major rallies, after a bear market, may be
volatile, and often involve significant sell offs before the market
ultimately recovers. If we do see this kind of pullback, it makes
sense to ensure you are prepared to respond. If you have a long term
view, a pullback gives you the chance to buy quality stocks, and hold
them until the market recovers. By working with an advisor, you may
ensure you are prepared if opportunity knocks.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
couple of days we have seen significant weakness in global markets.
History tells us that major rallies, after a bear market, may be
volatile, and often involve significant sell offs before the market
ultimately recovers. If we do see this kind of pullback, it makes
sense to ensure you are prepared to respond. If you have a long term
view, a pullback gives you the chance to buy quality stocks, and hold
them until the market recovers. By working with an advisor, you may
ensure you are prepared if opportunity knocks.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
Tuesday, June 16, 2009
Surging Market or Pull Back in the future
I spent some time on the weekend reading forecasts of a couple months ago, for the end of this year. Few saw the market ending 2009 anywhere near the level we are at currently. In fact, most analysts see little extra growth in the next few months. Many are predicting as insignificant pull back from the levels we have reached. It is quite possible that the analysts are wrong, but it is likely a good time to revisit your portfolio, and rebalance your assets, so you are properly prepared for either a surging market, or a pull back. Do you want to discuss your alternatives? Have you outgrown your mutual funds? For a review your portfolio, or a complimentary copy of my CD, visit,www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260.
This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed arethose of the author, not Scotia Capital. ScotiaMcLeod is a division ofScotia Capital, member CIPF
This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed arethose of the author, not Scotia Capital. ScotiaMcLeod is a division ofScotia Capital, member CIPF
Friday, June 12, 2009
Market Watch: The big picture
10 U.S. banks to repay bailout funds
In the U.S., 10 of the largest financial institutions are ready to repay $68 billion of government-bailout money. More good news came from a U.S. Federal Reserve survey suggesting the worst of the recession may be over as the "downward trend is showing signs of moderating." Many analysts predict the U.S. economy to slow by 1-3% this quarter, versus sharp declines of 5.7% and 6.3% in preceding quarters. U.S. retail sales rose in May by 0.5%, the first advance in three months, and job losses slowed, with new applicants for jobless benefits at the lowest level since January.
Finance ministers from Group of Eight (G8) countries are expected to offer a brighter assessment of the global economy at a meeting this weekend in Lecce, Italy. Many countries have seen signs of improvement as a result of coordinated policy actions by governments worldwide. In Europe, European Central Bank (ECB) governing council member Christian Noyer expressed cautious optimism that the global economy could turn up in the first half of 2010. The strength of Canada's banking system has helped it navigate the crisis better than most, according to World Bank President Robert Zoellick. Zoellick offered the praise while speaking to the International Economic Forum of the Americas.
The markets Oil drives TSX higher
The S&P/TSX Composite Index has rallied 40% from its March lows, led by the Energy sector. Oil prices extended a three-day rally to hit above US$73 a barrel on Thursday, the highest price since Oct. 21, after the International Energy Agency revised its outlook higher for global oil demand. Oil imports into China rose 5.5% in May compared to the previous year, hitting the second-highest volume on record.
Fiat acquired a controlling stake in Chrysler on Wednesday after the U.S. Supreme Court lifted a temporary stay on the sale. Restructuring at General Motors (GM) continues with the Wall Street Journal reporting that GM is "very close" to cutting a preliminary deal to offload Sweden-based Saab. Meanwhile, the US$13.5 billion acquisition of Barclays PLC's investment unit, BGI, by BlackRock Inc. has created the world's largest asset management firm with a staggering US$2.7 trillion in assets under management
Our recommendation
Choose shorter maturity bonds as rates set to rise
* Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, believes the current strength in equities is overdone and that the market is vulnerable to a pullback, or at least a period of consolidation. We continue to advocate that investors take profits in long trading positions or overvalued cyclical positions that do not represent long-term core holdings. In the event of an inevitable pullback, return to selectively accumulating equities in anticipation of the next sustainable bull market for stocks.
* Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, highlights that with Scotia Economics recent change to their forecast, calling for rising yields across the entire maturity curve in 12 months time, active traders should remain in shorter maturity bonds. Clients should consider taking profits on subordinate Canadian bank bonds such as Tier 1 Capital securities as many are up more 20% in value since December. Corporate spreads have narrowed significantly since the beginning of the year as investor risk appetite returns. As such, we see better relative value in Municipal bonds where spreads have not declined to the same degree.
* Portfolio strategy. With significant volatility still a factor in the markets, it's important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
In the U.S., 10 of the largest financial institutions are ready to repay $68 billion of government-bailout money. More good news came from a U.S. Federal Reserve survey suggesting the worst of the recession may be over as the "downward trend is showing signs of moderating." Many analysts predict the U.S. economy to slow by 1-3% this quarter, versus sharp declines of 5.7% and 6.3% in preceding quarters. U.S. retail sales rose in May by 0.5%, the first advance in three months, and job losses slowed, with new applicants for jobless benefits at the lowest level since January.
Finance ministers from Group of Eight (G8) countries are expected to offer a brighter assessment of the global economy at a meeting this weekend in Lecce, Italy. Many countries have seen signs of improvement as a result of coordinated policy actions by governments worldwide. In Europe, European Central Bank (ECB) governing council member Christian Noyer expressed cautious optimism that the global economy could turn up in the first half of 2010. The strength of Canada's banking system has helped it navigate the crisis better than most, according to World Bank President Robert Zoellick. Zoellick offered the praise while speaking to the International Economic Forum of the Americas.
The markets Oil drives TSX higher
The S&P/TSX Composite Index has rallied 40% from its March lows, led by the Energy sector. Oil prices extended a three-day rally to hit above US$73 a barrel on Thursday, the highest price since Oct. 21, after the International Energy Agency revised its outlook higher for global oil demand. Oil imports into China rose 5.5% in May compared to the previous year, hitting the second-highest volume on record.
Fiat acquired a controlling stake in Chrysler on Wednesday after the U.S. Supreme Court lifted a temporary stay on the sale. Restructuring at General Motors (GM) continues with the Wall Street Journal reporting that GM is "very close" to cutting a preliminary deal to offload Sweden-based Saab. Meanwhile, the US$13.5 billion acquisition of Barclays PLC's investment unit, BGI, by BlackRock Inc. has created the world's largest asset management firm with a staggering US$2.7 trillion in assets under management
Our recommendation
Choose shorter maturity bonds as rates set to rise
* Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, believes the current strength in equities is overdone and that the market is vulnerable to a pullback, or at least a period of consolidation. We continue to advocate that investors take profits in long trading positions or overvalued cyclical positions that do not represent long-term core holdings. In the event of an inevitable pullback, return to selectively accumulating equities in anticipation of the next sustainable bull market for stocks.
* Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, highlights that with Scotia Economics recent change to their forecast, calling for rising yields across the entire maturity curve in 12 months time, active traders should remain in shorter maturity bonds. Clients should consider taking profits on subordinate Canadian bank bonds such as Tier 1 Capital securities as many are up more 20% in value since December. Corporate spreads have narrowed significantly since the beginning of the year as investor risk appetite returns. As such, we see better relative value in Municipal bonds where spreads have not declined to the same degree.
* Portfolio strategy. With significant volatility still a factor in the markets, it's important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
Cdns pay highest mutual fund mgmt fees in the world
A lot has changed over the last few months, but one thing remains consistent. Canadians continue to pay the highest mutual fund management fees in the world, even though most funds fail to beat the market index. Management expenses chew up abut one quarter of the historical return of equities. This gives you significantly less return for the risk you are taking. Whether you feel optimistic, or discouraged, by the market, you still need to recognize that long term, you should consider your options beyond mutual funds.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Wednesday, June 10, 2009
Are things improving, or still deteriorating?
After a massive three month recovery in the global stock market, the debate between bulls and bears continues. Are things improving, or still deteriorating? In fact, most economic indicators remain dreadful, but the market has rallied in response to things getting worse at a slower pace. That may sound confusing, but this apparently irrational thinking is how the market works. Investing can be complicated, and it is a compelling reason to work with a professional. Are you looking for a partner to help you navigate difficult markets?
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Monday, June 8, 2009
Turn Your Retirement Thinking On It's Head
Many investors have seen dramatic losses in their mutual fund portfolios over the last few years. Many global markets, including Canada and the US, appear likely to end the first decade of this millenium with either minimal gains or losses. Moving forward, it really will be necessary to turn retirement thinking on it's head, based on the lessons of this decade. The emergence of retirement savings vehicles with guaranteed income for life, without the restrictions of traditional annuities, may be one of the positive outcomes of a pretty negative decade. Is it time for you to take a fresh look at your retirement planning?
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Friday, June 5, 2009
Wareham Weekly Insights
Market Watch
The big picture
Central banks leave rates unchanged
The Bank of Canada (BoC), Bank of England, and European Central Bank all left their benchmark lending rates unchanged this week. The BoC indicated that financial conditions and business confidence have significantly improved, while cautioning that economic recovery will likely be “more muted” over the near term. BoC Governor Mark Carney also warned that if the recent unprecedented rise in the Canadian dollar persists, it could threaten to derail the recovery.
Prime Minister Stephen Harper said this week that, although Canada’s latest gross domestic product (GDP) figures are bad, they are better than expected and show the economy is over the worst of the crisis. Meanwhile, the GDP of Australia actually showed growth in the first quarter of 2009, making it the only major western nation to avoid recession altogether.
In Congressional testimony, Federal Reserve Chairman Ben Bernanke warned that the labour market "tends to lag" the business cycle, "and so even as the economy begins to recover, unemployment can still remain high." The U.S. unemployment rate increased 0.5 percentage point to 9.4% in May, the highest level since August 1983. However, job losses softened markedly last month, sending one of the strongest signals yet that the severe recession may be transitioning towards recovery. Last month's drop was the smallest since September 2008, when the recession intensified in the wake of the collapse of Lehman Brothers.
The markets
Stock markets continue to rise
The TSX index is now up approximately 40% since its low of March 9th, with Financial and Energy shares leading the market. Higher energy and commodity prices and a steady trickle of positive economic data have helped fuel the rise, along with increasing optimism about the future of corporate earnings, which remain the ultimate driver of stock prices.
General Motors made its long-awaited filing for bankruptcy protection this week. The company’s restructuring is now underway with several parties coming to the table—including the Canadian governments’ pledge of $9.5 billion in bailout funds, and news that Chinese concern Sichuan Tengzhong Heavy Industrial Machinery Co. has tentatively agreed to purchase the Hummer brand. In other auto news, a U.S. Court of Appeals agreed on Tuesday to hear a challenge to Chrysler LLC’s sale of most of its assets to a group led by Italian automaker Fiat, in a move that could potentially delay the deal.
Our recommendation
Corporate bonds still offer attractive yield premium
· Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, believes the current strength in equities is overdone and that the market is vulnerable to a correction. We continue to advocate that investors take profits in long trading positions or overvalued cyclical positions that do not represent long-term core holdings. In the event of an inevitable pull-back, return to selectively accumulating equities in anticipation of the next bull market for stocks.
· Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, says high-quality corporate bonds, such as Canadian banks and insurance companies, continue to offer attractive yields relative to government issues. Although credit spreads have tightened significantly, they still remain wide, and we recommend investors following the laddered portfolio process add exposure to these sectors when rolling maturities at this time.
· Portfolio strategy. With significant volatility still a factor in the markets, it’s important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
The month in review
May: The return of optimism
May saw commodities, energy, the Canadian dollar, and equities all heading to new highs for the year. Although some sobering economic statistics were released this month, investors appeared to be paying more attention to the positive indicators, such as rising consumer sentiment, a more optimistic corporate earnings outlook, and signs of strength in the housing sector.
Signs of recovery
There were a number of signs of pending economic recovery this month. Canadian sales of new motor vehicles rose 6.3% in March, the largest monthly gain since January 2008. A Department of Commerce report showed an increase in U.S. construction spending and a 3.2% rise in pending home sales. In addition, the U.S. Conference Board said consumer confidence leapt to its highest level in eight months this month. ADP Employer Services also released a report noting a decline in private-sector job losses.
Not all good news
All the good news in May was tempered by some less-than-optimistic data. For example, the S&P/Case-Shiller national home-price index fell 19.1% in the first quarter versus a year earlier—the steepest decline in its 21-year history. In addition, the number of Canadians receiving jobless benefits surged 10.6% in March from the previous month, the biggest increase since the labour market started to weaken last October. Statistics Canada said the nation’s employment rate is running at an 11-year high in May as the worst recession since World War Two led to massive lay-offs in Ontario’s manufacturing sector.
Markets hit highs
The TSX briefly hit a seven-month high on the first day of June, capping a month in which it continued to show impressive upward momentum. The gains in Canadian equities went hand-in-hand with surging oil prices. Crude hit a new high for the year—over US$63—in the last week of the month. U.S. markets were also buoyant in May, with the Dow Jones Industrial Average coming within striking distance of its high point in January 2009.
Canadian dollar heading for parity?
The Canadian dollar gained a remarkable 9.4% in May, crossing the threshold of U.S.$0.90 cents. The strength of the loonie is, in part, a by-product of U.S. dollar weakness compared to most other world currencies. A falling U.S. dollar tends to contribute to higher commodity prices, which some economists see as creating continued gains for the Canadian dollar and, eventually, a return to parity with the U.S. dollar.
Auto restructuring
Investors were on the edge of their seats throughout May as the restructuring of General Motors hit a number of roadblocks. With a month-end, government-imposed deadline looming, there was a major setback as bondholders rejected an offer to exchange U.S.$27 billion in unsecured debt for 10% of the company’s stock. However, the month wound up with GM hammering out a deal that will see Canadian and U.S. governments digging deeper deficits in order to provide additional funding to the ailing company in exchange for ownership positions.
Privacy Policy and Legal DisclaimerTM Trademarks used under authorization and control of The Bank of Nova Scotia. ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPFThis publication is intended only to convey information. It is not to be construed as an investment guide or as an offer or solicitation of an offer to buy or sell any of the securities mentioned in it. The author is an employee of ScotiaMcLeod, a division of Scotia Capital Inc. ("SCI"), but the data selection, analysis and views expressed herein are solely those of the author and not those of SCI. The author has taken all usual and reasonable precautions to determine that the information contained in this publication has been obtained from sources believed to be reliable and that the procedures used to summarize and analyze such information are based on approved practices and principles in the investment industry. However, the market forces underlying investment value are subject to sudden and dramatic changes and data availability varies from one moment to the next. Consequently, neither the author nor SCI can make any warranty as to the accuracy or completeness of information, analysis or views contained in this publication or their usefulness or suitability in any particular circumstance. You should not undertake any investment or portfolio assessment or other transaction on the basis of this publication, but should first consult your investment advisor, who can assess all relevant particulars of any proposed investment or transaction. SCI and the author accept no liability of whatsoever kind for any damages or losses incurred by you as a result of reliance upon or use of this publication in contravention of this notice. All performance data represents past performance and is not indicative of future performance. Scotia Capital Inc. and its affiliates collectively beneficially own in excess of 1% of one or more classes of the issued and outstanding equity securities of Royal Bank. Within the last 12 months, Scotia Capital Inc. and/or its affiliates have undertaken an underwriting liability with respect to equity or debt securities of, or have provided advice for a fee with respect to Royal Bank. TM Trademark used under authorization and control of The Bank of Nova Scotia. ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPF.
.
The big picture
Central banks leave rates unchanged
The Bank of Canada (BoC), Bank of England, and European Central Bank all left their benchmark lending rates unchanged this week. The BoC indicated that financial conditions and business confidence have significantly improved, while cautioning that economic recovery will likely be “more muted” over the near term. BoC Governor Mark Carney also warned that if the recent unprecedented rise in the Canadian dollar persists, it could threaten to derail the recovery.
Prime Minister Stephen Harper said this week that, although Canada’s latest gross domestic product (GDP) figures are bad, they are better than expected and show the economy is over the worst of the crisis. Meanwhile, the GDP of Australia actually showed growth in the first quarter of 2009, making it the only major western nation to avoid recession altogether.
In Congressional testimony, Federal Reserve Chairman Ben Bernanke warned that the labour market "tends to lag" the business cycle, "and so even as the economy begins to recover, unemployment can still remain high." The U.S. unemployment rate increased 0.5 percentage point to 9.4% in May, the highest level since August 1983. However, job losses softened markedly last month, sending one of the strongest signals yet that the severe recession may be transitioning towards recovery. Last month's drop was the smallest since September 2008, when the recession intensified in the wake of the collapse of Lehman Brothers.
The markets
Stock markets continue to rise
The TSX index is now up approximately 40% since its low of March 9th, with Financial and Energy shares leading the market. Higher energy and commodity prices and a steady trickle of positive economic data have helped fuel the rise, along with increasing optimism about the future of corporate earnings, which remain the ultimate driver of stock prices.
General Motors made its long-awaited filing for bankruptcy protection this week. The company’s restructuring is now underway with several parties coming to the table—including the Canadian governments’ pledge of $9.5 billion in bailout funds, and news that Chinese concern Sichuan Tengzhong Heavy Industrial Machinery Co. has tentatively agreed to purchase the Hummer brand. In other auto news, a U.S. Court of Appeals agreed on Tuesday to hear a challenge to Chrysler LLC’s sale of most of its assets to a group led by Italian automaker Fiat, in a move that could potentially delay the deal.
Our recommendation
Corporate bonds still offer attractive yield premium
· Equities. Stephen Uzielli, Portfolio Manager, Portfolio Advisory Group, believes the current strength in equities is overdone and that the market is vulnerable to a correction. We continue to advocate that investors take profits in long trading positions or overvalued cyclical positions that do not represent long-term core holdings. In the event of an inevitable pull-back, return to selectively accumulating equities in anticipation of the next bull market for stocks.
· Fixed income. Chris Kennedy, Associate Director, Portfolio Advisory Group, says high-quality corporate bonds, such as Canadian banks and insurance companies, continue to offer attractive yields relative to government issues. Although credit spreads have tightened significantly, they still remain wide, and we recommend investors following the laddered portfolio process add exposure to these sectors when rolling maturities at this time.
· Portfolio strategy. With significant volatility still a factor in the markets, it’s important to review the impact on your portfolio allocations and ensure that your holdings remain appropriate for your goals and risk tolerance.
The month in review
May: The return of optimism
May saw commodities, energy, the Canadian dollar, and equities all heading to new highs for the year. Although some sobering economic statistics were released this month, investors appeared to be paying more attention to the positive indicators, such as rising consumer sentiment, a more optimistic corporate earnings outlook, and signs of strength in the housing sector.
Signs of recovery
There were a number of signs of pending economic recovery this month. Canadian sales of new motor vehicles rose 6.3% in March, the largest monthly gain since January 2008. A Department of Commerce report showed an increase in U.S. construction spending and a 3.2% rise in pending home sales. In addition, the U.S. Conference Board said consumer confidence leapt to its highest level in eight months this month. ADP Employer Services also released a report noting a decline in private-sector job losses.
Not all good news
All the good news in May was tempered by some less-than-optimistic data. For example, the S&P/Case-Shiller national home-price index fell 19.1% in the first quarter versus a year earlier—the steepest decline in its 21-year history. In addition, the number of Canadians receiving jobless benefits surged 10.6% in March from the previous month, the biggest increase since the labour market started to weaken last October. Statistics Canada said the nation’s employment rate is running at an 11-year high in May as the worst recession since World War Two led to massive lay-offs in Ontario’s manufacturing sector.
Markets hit highs
The TSX briefly hit a seven-month high on the first day of June, capping a month in which it continued to show impressive upward momentum. The gains in Canadian equities went hand-in-hand with surging oil prices. Crude hit a new high for the year—over US$63—in the last week of the month. U.S. markets were also buoyant in May, with the Dow Jones Industrial Average coming within striking distance of its high point in January 2009.
Canadian dollar heading for parity?
The Canadian dollar gained a remarkable 9.4% in May, crossing the threshold of U.S.$0.90 cents. The strength of the loonie is, in part, a by-product of U.S. dollar weakness compared to most other world currencies. A falling U.S. dollar tends to contribute to higher commodity prices, which some economists see as creating continued gains for the Canadian dollar and, eventually, a return to parity with the U.S. dollar.
Auto restructuring
Investors were on the edge of their seats throughout May as the restructuring of General Motors hit a number of roadblocks. With a month-end, government-imposed deadline looming, there was a major setback as bondholders rejected an offer to exchange U.S.$27 billion in unsecured debt for 10% of the company’s stock. However, the month wound up with GM hammering out a deal that will see Canadian and U.S. governments digging deeper deficits in order to provide additional funding to the ailing company in exchange for ownership positions.
Privacy Policy and Legal DisclaimerTM Trademarks used under authorization and control of The Bank of Nova Scotia. ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPFThis publication is intended only to convey information. It is not to be construed as an investment guide or as an offer or solicitation of an offer to buy or sell any of the securities mentioned in it. The author is an employee of ScotiaMcLeod, a division of Scotia Capital Inc. ("SCI"), but the data selection, analysis and views expressed herein are solely those of the author and not those of SCI. The author has taken all usual and reasonable precautions to determine that the information contained in this publication has been obtained from sources believed to be reliable and that the procedures used to summarize and analyze such information are based on approved practices and principles in the investment industry. However, the market forces underlying investment value are subject to sudden and dramatic changes and data availability varies from one moment to the next. Consequently, neither the author nor SCI can make any warranty as to the accuracy or completeness of information, analysis or views contained in this publication or their usefulness or suitability in any particular circumstance. You should not undertake any investment or portfolio assessment or other transaction on the basis of this publication, but should first consult your investment advisor, who can assess all relevant particulars of any proposed investment or transaction. SCI and the author accept no liability of whatsoever kind for any damages or losses incurred by you as a result of reliance upon or use of this publication in contravention of this notice. All performance data represents past performance and is not indicative of future performance. Scotia Capital Inc. and its affiliates collectively beneficially own in excess of 1% of one or more classes of the issued and outstanding equity securities of Royal Bank. Within the last 12 months, Scotia Capital Inc. and/or its affiliates have undertaken an underwriting liability with respect to equity or debt securities of, or have provided advice for a fee with respect to Royal Bank. TM Trademark used under authorization and control of The Bank of Nova Scotia. ScotiaMcLeod is a division of Scotia Capital Inc., Member CIPF.
.
Are You Prepared for Whatever Comes Next?
In the past three months, we have seen one of the most dramatic
rallies in stock market history. We are still a long way from the
market peak before the massive bear market of 2008-2009, but it is
definitely time to be looking at your portfolio, and ensuring that you
are prepared for whatever comes next. Is it time to make changes?
Tune in tomorrow at 8:30 AM, to Beyond Funds Market Weekly, and I will
discuss ways to prepare your portfolio for what is likely to come
next.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
rallies in stock market history. We are still a long way from the
market peak before the massive bear market of 2008-2009, but it is
definitely time to be looking at your portfolio, and ensuring that you
are prepared for whatever comes next. Is it time to make changes?
Tune in tomorrow at 8:30 AM, to Beyond Funds Market Weekly, and I will
discuss ways to prepare your portfolio for what is likely to come
next.
Do you want to discuss your alternatives?
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit,
www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This
program is for information purposes only. Fees, management fees and
commissions may be associated with mutual fund investing. Investors
should consult their prospectus before investing. Views expressed are
those of the author, not Scotia Capital. ScotiaMcLeod is a division of
Scotia Capital, member CIPF
Wednesday, June 3, 2009
rebalance your portfolio to suit your investment goals
Global markets continued to surge overnight, and most global markets are now in or approaching positive territory for the year. You may be thinking about sticking your toe back in the market, or simply sighing with relief when you open your statements, but I believe the real opportunity is to rebalance your portfolio to suit your investment goals. This market recovery may not last over the summer, so it is likely a good time to sell your losers, and ensure you own investments that you believe in. Are you looking for a fresh approach to your financial plans? Do you want to discuss your alternatives? Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Monday, June 1, 2009
Icon GM scheduled to file for bankruptcy
It looks like a dramatic day on the markets, as American Icon GM is scheduled to file for bankruptcy this morning. A few months ago, this might have seemed unthinkable, and markets would likely have plunged. This morning, markets around the world have surged, and North America appears set to follow. Chrysler and GM in bankruptcy are evidence of how much the market has changed in the past few months, and your investment strategy likely needs to change with the new realities of the global market. Are you looking for a second opinion on the state of your investment portfolio? Do you want to discuss your alternatives? Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Financial Longevity
On Monday, I discussed the risk to your finacial security presented by long term care costs. Another risk is longevity. Many retirees still have living parents, and are likely to live for twenty five or thirty years in retirement. At the same time, fewer and fewer people will see the benefit of a guaranteed pension. Fortunately, there are a number of options emerging to ensure you will not run out of money. With the guiding hand of an advisor, you may secure your retirement income for life.
Do you want to discuss your alternatives
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
Do you want to discuss your alternatives
Have you outgrown your mutual funds?
For a review your portfolio, or a complimentary copy of my CD, visit, www.beyondfunds.ca or call me, Jeff Wareham, at 519 660 3260. This program is for information purposes only. Fees, management fees and commissions may be associated with mutual fund investing. Investors should consult their prospectus before investing. Views expressed are those of the author, not Scotia Capital. ScotiaMcLeod is a division of Scotia Capital, member CIPF
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