Greg Newman, senior wealth advisor and portfolio manager, Newman Group, ScotiaMcLeod
FOCUS: North American equities and dividend stocks
Top Picks: Citigroup, Power Corporation of Canada, Intact Financial
MARKET OUTLOOK:
Picking stocks always involves assumptions. Forecasting the direction of interest rates, earnings and execution are one set of variables. Another set involves government policies. At present, this last one is most opaque.
Will there be tariffs? If so, how broad, how high and for how long? What impact will this have on interest rates, earnings and asset prices in the U.S., Canada and across the Globe?
I believe the more prudent response is to fade this fear as “this too shall pass” for various reasons. That said, given the heightened uncertainty and higher valuations we are erring on the side of caution.
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TOP PICKS:
Citigroup (C NYSE)
Offers investors high growth at a compelling price.
Power Corporation of Canada (POW TSX)
Offers investors reasonable growth at a fair price with a high and growing dividend.
Intact Financial (IFC TSX)
Offers investors nice growth at a reasonable price.
| DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
|---|---|---|---|
| C | Y | Y | Y |
| POW | Y | Y | Y |
| IFC | Y | Y | Y |
PAST PICKS: January 4, 2024
Brookfield Infrastructure Partners (BIP.UN TSX)
- Then: $40.68
- Now: $47.32
- Return: 16%
- Total Return: 22%
Rogers Communications (RCI.B TSX)
- Then: $62.17
- Now: $40.59
- Return: -35%
- Total Return: -31%
Freeport-McMoRan (FCX NYSE)
- Then: US$41.55
- Now: US$37.09
- Return: -11%
- Total Return: -9%
Total Return Average: -6%
| DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
|---|---|---|---|
| BIP.UN | Y | Y | Y |
| RCI.B | Y | Y | Y |
| FCX | Y | Y | Y |