To assist financial advisors, we have created a series of model portfolios that are designed to meet the investment objectives and risk tolerance of a number of different investor types. These portfolios are updated on a monthly basis. Alternatively, if you would prefer to have something more customized, contact us and we can work with you to help you build a fully optimized portfolio or series of portfolios based on your specific fund preferences and investment criteria.
February 2019 Model Portfolio Review
The market rally that kicked off the year in January kept on rolling through February with nearly all asset classes ending the month higher. Investor’s appetite for risk remained strong with small and mid-cap stocks outperforming large caps. The Russell 2000 gained 5.2% and the S&P 500 rose by 3.2%. The trend held globally as the MSCI World Small Cap Index was up by 3.8%, outpacing the large cap focused MSCI World Index which rose by 3.1%. Closer to home, the SMID focused S&P/TSX Completion Index surged by more than 4% and the...
read moreJanuary 2019 Model Portfolio Review
Markets came roaring back strong in January after what can charitably be best described as a horror show in December. The S&P/TSX Composite Index shot higher, gaining 8.74% with all sectors moving up with heavyweight financials and energy leading the way. The S&P 500 gained more than 8% in U.S. dollar terms, and the MSCI EAFE Index rose by 6.6%.
read moreDecember 2018 Model Portfolio Review
December was a volatile month for investors, which given the way the year played out was a very appropriate ending. 2018 was the year that market volatility returned with a vengeance, taking investors on a roller coaster ride that hasn’t been seen in a few years. In December, the S&P 500 fell by more than 9% in U.S. dollar terms, while the S&P/TSX Composite was down by 5.4%. In the U.S. Large caps outperformed the small and mid-cap stocks as the Russell 2000 fell by nearly 12%. European and Asian markets outperformed the U.S., falling by 4.6% and 4.7% respectively.
read moreNovember 2018 Model Portfolio Review
Despite global equity markets ending the month mostly higher, the volatility that too center stage in September and October was also very much in play in November. For example, the S&P 500 rose by more than 2%, yet the intra month swings were very pronounced. Peak to trough, the index fell more than 6.4% in the month. With worries over high rates, Brexit and trade wars front and center, markets struggled in the first three weeks of the month. That seemed to change as investor sentiment shifted in the last few days of the month as the U.S. and China appeared to have negotiated a temporary truce on trade, moving markets higher.
read moreOctober 2018 Model Portfolio Review
I will just come right out and say it. I hate October. Sure, the changing leaves make it a beautiful time of year to pack up the family and take a relaxing drive through the country, the NHL and NBA seasons kick off in earnest, and the Thanksgiving holiday gives us time to pause and reflect with friends and family about how grateful we are for all that we have. But, there is a dark side to the month. It is a forebearer of the impending cold and dark winter months that will soon be upon us. It is also the month where the investment markets are...
read moreAugust 2018 Portfolio Review
The dog days of summer were in full force in August as many traders took some down time. Market volumes and new issue activity were down, resulting in a mixed month on the markets. Canadian bond markets were mostly higher as yields eased. The FTSE/TMX Canada Universe Bond Index ended up 0.75%, with corporates outpacing governments on a slow new issue calendar and tight dealer inventories.
read moreJuly 2018 Portfolio Review
On balance, July offered up a solid start to the third quarter. Despite the increasing global trade war, economic growth numbers to pointed to continued expansion. Corporate earnings, particularly in the U.S. were strong, thanks largely to the tax cuts introduced by President Trump back in December. Investors also took some solace in indications the U.S. may be willing to pull back a bit on the trade front, after the U.S. and Europe agreed to a cease fire on tariffs while a new trade deal is negotiated. There were also signs that the U.S. may be willing to reopen NAFTA negotiations.
read moreJune 2018 Portfolio Review
In this environment, the portfolios performed well, led by our equity focused Growth Portfolio which gained 1.96% on the month. This result outpaced its benchmark thanks to a strong showing from the quality focused Fidelity Small Cap America Fund and the defensively positioned Mackenzie Ivy Foreign Equity Fund. The defensively positioned Conservative Portfolio rose by 0.6% but trailed its index. The largest headwind was the Sentry Small Mid Cap Income Fund which trailed its benchmark, followed by the RBC Global Corporate Bond, which ended the month 0.3% lower in a very tough global credit environment. Our Balanced Portfolio earned 1.1%, which matched its benchmark.
read moreMay 2018 Portfolio Review
In this environment, the portfolios each finished higher. The Conservative Portfolio rose by 0.3%, the Balanced Portfolio gained 0.9%, and the all equity Growth Portfolio was higher by 1.5%. The portfolios again trailed their benchmarks, with the defensively positioned Fidelity Canadian Large Cap Fund and the Mackenzie Ivy Foreign Equity Fund weighing on relative performance. These funds continue to position for a more volatile market environment.
read moreApril 2018 Portfolio Review
The volatility that was so prevalent in February and March continued through most of April, again taking investors on a bit of a wild ride. Geopolitical headlines continued to dominate the news, with the prospect of a trade war between the U.S. and China, as well as rising tensions between the U.S. and Russia over Syria dominating the news flow.
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