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

MARKET OUTLOOK

Supportive central banks, encouraging U.S.-China trade momentum, a favourable historical time in the American election cycle and an American president who’s hyper-focused on stock market appreciation combine to make this a favourable time for investors.

Valuations are OK, earnings expectations are low and positioning is yet to become unfavourable for equities. There are many ways to score points in an environment like this.

TOP PICKS

AG GROWTH (AFN.TO)

This company has been a solid growth story both organically and by acquisitions. With an elevated backlog, an expanded product offering and critical mass, we see nice growth for it. It’s also trading at an attractive multiple.

TFI INTERNATIONAL (TFII.TO)

TFI has been a solid growth story both organically and by acquisitions. With improving market dynamics, higher margins and a stronger balance, we see nice growth from here.

METHANEX (MX.TO)

Methanex is a global leader that’s well positioned to be competitive at all points in the methanol cycle. Buying back 5 per cent of its shares and trading below its historical multiple, we see both short- and long-term upside in this story.

PAST PICKS: MARCH 29, 2018

BROOKFIELD PROPERTY PARTNERS (BPY_u.TO)

• Then: $24.73
• Now: $26.54
• Return: 7%
• Total return: 15%

CN RAIL (CNR.TO)

• Then: $94.16
• Now: $118.40
• Return: 26%
• Total return: 28%

METLIFE (MET.N)

• Then: $45.89
• Now: $45.72
• Return: -0.3%
• Total return: 3%

Total return average: 15%

WEBSITE: newmangroup.ca