Greg Newman, senior wealth advisor and portfolio manager, Scotia Wealth Management

FOCUS: North American stocks

MARKET OUTLOOK:

Seasonality, fed tapering, the Delta, inflation, negative earnings revisions, the debt ceiling and economic deceleration are one set of headwinds investors must cope with.

But, the uncertainty of a systemic contagion from China’s Evergrande is an issue that likely needs to be resolved favourably before anything else.

How this situation is handled is critical to how the markets unfold from here.

While there is much uncertainty about how China will handle this, betting on contagion has historically been a poor bet – fortunately.

So, as long as the contagion issue is resolved favourable there are still opportunities in stocks.

TOP PICKS:

Greg Newman's Top Picks

Greg Newman, senior wealth advisor and portfolio manager at Scotia Wealth Management, discusses his top picks: AutoCanada, CAE Inc., and Tourmaline Oil.

AutoCanada (ACQ TSX)

Offers investors exciting growth at a very reasonable valuation.

CAE Inc. (CAE TSX)

CAE offers investors exciting growth at a fair valuation.

Tourmaline Oil (TOU TSX)

TOU offers investors exciting growth at a very reasonable valuation.

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
ACQ TSX   Y Y Y
CAE TSX  Y  Y  Y
TOU TSX   Y  Y  Y

PAST PICKS: Oct. 8, 2020

Greg Newman's Past Picks

Greg Newman, senior wealth advisor and portfolio manager at Scotia Wealth Management, discusses his past picks: Manulife, Magna International, and Citigroup.

Manulife Financial (MFC TSX)

  • Then: $19.38
  • Now: $23.95
  • Return: 24%
  • Total Return: 29%

Magna International (MG TSX)

  • Then: $69.66
  • Now: $97.50
  • Return: 40%
  • Total Return: 43%

Citigroup (C NYSE)

  • Then: $44.72
  • Now: $68.49
  • Return: 53%
  • Total Return: 59%

Total Return Average: 44%

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
 MFC TSX  Y  Y Y
MG TSX   Y  Y  Y
 C NYSE  Y  Y  Y