Greg Newman's Top Picks: December 20, 2022
Greg Newman, senior wealth advisor and portfolio manager, Newman Group, ScotiaMcLeod
FOCUS: North American stocks and protection strategies
MARKET OUTLOOK:
We all know that if you miss the first 20 days of the next bull market historically you miss a lot of the gain.
We also know that those rallies usually begin at very counterintuitive times.
So at some point having too little equity exposure becomes a dangerous thing.
Many names look very cheap now. But if earnings are set to decline or costs are set to go up, due to inflation or a higher cost of capital, it can be misleading.
We are in one of those periods where it seems that almost anything other than cash or short-term income is getting punished.
Bear markets often bottom post-yield curve inversion when they start to re-steepen.
Once that happens the investor mindset should transition from a glass half empty to half full perspective. This could start to happen in the first half. Remain overweight in cash and short-term fixed income.
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TOP PICKS:
Greg Newman, senior wealth advisor and portfolio manager at Newman Group, ScotiaMcLeod, discusses his top picks: 1 Year Annual GIC, BCE, and Altagas.
1 Year Annual GIC:
Park some capital at the highest one-year GIC rate in many years.
BCE (BCE TSX):
Earn a nice dividend and some decent capital appreciation over time from this stable and growing business.
Altagas (ALA TSX):
Earn a nice dividend and some capital appreciation from this growing business.
| DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO//FUND |
|---|---|---|---|
| 1 YEAR ANNUAL GIC AT > 5% | Y | Y | Y |
| BCE (BCE TSX): | Y | Y | Y |
| Altagas (ALA TSX): | Y | Y | Y |
PAST PICKS: January 13, 2022
Greg Newman, senior wealth advisor and portfolio manager at Newman Group, ScotiaMcLeod, discusses his past picks: TFI International, Bank of Montreal, and Finning International.
TFI International (TFII TSX)
- Then: $123.91
- Now: $138.96
- Return: 12%
- Total Return: 13%
Bank of Montreal (BMO TSX)
- Then: $147.57
- Now: $121.48
- Return: -18%
- Total Return: -14%
Finning International (FTT TSX)
- Then: $33.74
- Now: $32.90
- Return: -2%
- Total Return: 0.4%
Total Return Average: -0.2%
| DISCLOSURE | PERSONAL | FAMILY | PORTFOLIO/FUND |
|---|---|---|---|
| TFII TSX | Y | Y | Y |
| BMO TSX | Y | Y | Y |
| FTT TSX | Y | Y | Y |
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