Ross Healy, chairman of Strategic Analysis Corporation; portfolio manager at MacNicol & Associates Asset Management
Focus: North American large caps

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MARKET OUTLOOK

The Trump tax cut has introduced massive risks to the U.S. economy and therefore the stock market. In a nutshell, the U.S. economy can’t take on more dead weight in terms of unproductive debt, and pushing it to do so will prove to be grossly counterproductive. Still, things can drift along like they’ve been, although the stock market itself is fairly extended.

The market is bounded on the bottom by one of our technical support levels at roughly two-and-a-half times adjusted book value (2,475) and its fair market value on the top (2,900), its fundamental maximum value at this time. I would be enormously surprised if either boundary condition is broken for some time.

Two safe forecasts: the U.S. growth rate isn’t about to accelerate as some hope, and long-term interest rates won’t rise to any appreciable degree, as many believe.

TOP PICKS

Ross Healy's Top Picks

Ross Healy of Strategic Analysis Corp shares his top picks: Enbridge Income Fund, Scotiabank and Alamos Gold.

ENBRIDGE INCOME FUND (ENF.TO)

BANK OF NOVA SCOTIA (BNS.TO)

ALAMOS GOLD (AGI.TO)

 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
ENF N Y Y
BNS N N Y
AGI Y Y Y

 

PAST PICKS: JULY 21, 2017

Ross Healy's Past Picks

Ross Healy of Strategic Analysis Corp reviews his past picks: Home Capital, Fortis and Cominar REIT.

HOME CAPITAL GROUP (HCG.TO)

  • Then: $13.30
  • Now: $13.72
  • Return: 3.15%
  • Total return: 3.15%

FORTIS (FTS.TO)

  • Then: $44.80
  • Now: $42.53
  • Return: -5.06%
  • Total return: -2.34%

COMINAR REIT (CUF_u.TO)

  • Then: $13.38
  • Now: $12.61
  • Return: -5.75%
  • Total return: 0.23%

Total return average: 0.34%

 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
HCG Y Y Y
FTS N Y Y
CUF_u Y Y Y

 

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