Regardless of one’s view about Emerging Markets’ prospects, there can be no denying that Emerging Markets are on sale, with the low absolute P/E and P/B metrics. Taking a longer term view, this valuation is not something to fret about, but rather, something which may be worth taking advantage of.
by Richard Phillips, Chief Investment Officer and Kevin Muir, CFA, Market Strategist Executive Summary Over the past two decades, Canadian banks have outperformed their American counterparts. Lower taxes, less competition, and a robust consumer credit cycle have fuelled the Canadian rise. However, there are signs these tailwinds are ebbing, even reversing. South of the border, the U.S. […]
by Richard Phillips, Chief Investment Officer and Kevin Muir, CFA, Market Strategist Executive Summary Over the past century, value stocks have outperformed both growth stocks and the market as a whole. During the past decade, the value strategy has experienced uncharacteristically low returns causing a significant amount of pain for hedge fund managers and other investors […]
by Richard Phillips, Chief Investment Officer and Kevin Muir, CFA, Market Strategist Executive Summary Central bank financial repression has forced investors to come up with innovative ways to earn yield. Into this hunt for safe yield was born the modern credit fund. The modern credit fund attempts to generate alpha by exploiting a chronic mispricing […]
The 35-year bull market in bonds has created an environment where investors will most likely face either low future real returns or even sizeable losses. An optimally constructed portfolio does not completely abandon yield-generating assets. Given this backdrop, investors would be wise to consider substituting bonds with “alternative yield” funds.
