Greg Newman, director and portfolio manager at Scotia Wealth Management
Focus: North American dividend stocks and protection strategies

MARKET OUTLOOK

These things happen from time to time in the markets. With the coronavirus black swan and the Saudi-Russia oil price war, the script has changed. Investors, however, should note a few things: First, investors should try and approach a period like this as the opportunity they’ve proven to be in the past. Second, having an asset allocation, quality positions, dividend income and an options facility can really help. Third, in a period like this you want to try to sell, hold and buy well.

While much of the intelligent selling window has perhaps passed, we would not rule out a second waterfall overshoot that really shakes investors up. But by and large, we are getting closer to the hold/trading period. At some point, the buy period will emerge. Doing this may not grant some instant gratification, but take heart that over time the prudent moves add up.

TOP PICKS

INTACT FINANCIAL (IFC TSX)

Intact offers investors a resilient and defensive business model with an attractive growth rate at a reasonable price.

BROOKFIELD ASSET MANAGEMENT (BAM/A TSX)

Brookfield offers investors a resilient and somewhat defensive business model with an attractive growth rate at a reasonable price.

ALPHABET (GOOGL NASD)

Google offers investors an enviable growth rate at an attractive price.

 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
IFC Y Y Y
BAM/A Y Y Y
GOOGL Y Y Y

 

PAST PICKS: FEB. 21, 2019

FEDEX (FDX NYSE)

  • Then: $182.28
  • Now: $111.01
  • Return: -39%
  • Total return: -38%


BROOKFIELD INFRASTRUCTURE PARTNERS (BIP-U TSX)

  • Then: $53.54
  • Now: $60.13
  • Return: +12%
  • Total return: +19%

ROYAL BANK (RY TSX)

  • Then: $102.27
  • Now: $87.87
  • Return: -14%
  • Total return: -11%

Total return average: -10%

 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
FDX Y Y Y
BIP-U Y Y Y
RY Y Y Y

 

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