Top Funds Report – August 2017
July was a continuation of June, with bonds down on worries over higher interest rates, and equity market were mixed with a stronger Canadian dollar acting as a further headwind
July saw Bank of Canada Governor Steven Poloz pull the trigger, pushing the Bank’s key overnight lending rate higher by 0.25%. This move has sent yields up, with the yield on the Canada five-year bond move from 1.38% on June 30, to 1.65% on July 31. There was similar movement across the yield curve, with the Canada ten-year moving from 1.75% to 2.06%, and the long bond moved from 2.13% to 2.47%. This rise in yields pushed bond prices lower, with the long end of the curve taking most of the damage.
Read MoreJuly 2017 Portfolio Review
July was a continuation of June, with bonds down on worries over higher interest rates, and equity market were mixed with a stronger Canadian dollar acting as a further headwind. In this environment, the portfolios were again in negative territory. The Conservative Portfolio lost 1.1%, the Balanced Portfolio was off by 1.4%, and our Growth Portfolio fell by 1.7%. For a detailed review of the...
Read MoreRecommended List of Mutual Funds – July 2017
Additions
IA Clarington Floating Rate Income Fund (CCM 9940 – Front End Units, CCM 9942 – Low Load Units) – With the recent upward pressure on yields, investors are looking for ways to protect their portfolios. One asset class that can help do that is floating rate notes and loans, which pay a rate of interest that floats with a market interest rate, usually LIBOR. In most cases, this coupon rate is reset monthly, more or less eliminating duration risk. These loans are typically unrated, non-investment grade credits, that are often well-collateralized with seniority in the capital structure, providing protection against potential defaults. Another benefit is floating rate investments tend to have low correlation to the more traditional asset classes, making them a strong diversifier when incorporated in a well-diversified portfolio.
Read MoreSocially Responsible Investing Report – July 2017
With environmental and human rights concerns becoming more important to people, interest in the Socially Responsible Investing segment has never been stronger. In an effort to help keep investors and advisors informed on the SRI funds available, we have created our monthly Socially Responsible Investing Fund Report, which will be published on a monthly basis. You can download the July 2017...
Read MoreWRAP Funds Report – July 2017
Fund of Fund or WRAP funds have consistently led the mutual funds sales stats in the past few years. Investor and advisor interest in the products are at an all time high, given the unprecedented levels of market volatility and uncertainty that is prevalent in the markets today. To help you zero in on the best WRAP funds available, we have created our new Monthly WRAP Funds Report that will be...
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