Home Newspaper Mid-January 2009

Mid-January 2009

Comment & Insight

A newly nervy TTC is building support for a vastly expanded network, without the funding

Excessive optimism in the oilsands led to missteps by almost everyone

The Harper government can barely attract enough staff, let alone votes

Investment research

These well-managed and well-capitalized banks have strong brands and focus on traditional banking activities

Ecuador’s recent bond default raises the question of why anyone but a financial masochist would throw money at serial defaulters

The limited-risk concept is an advantage of trading options, but it only works if you’re willing to exit prior to expiration

Even with conservative methods of estimating corporate earning power, the numbers just don’t add up

Countries that are less developed than emerging markets present opportunities because of their rapidly expanding consumer markets

Focus on Products

High-yield, fixed-income funds are not all created equal

The markets’ precipitous decline has given fund managers with significant cash holdings a bevy of investing opportunities

Fidelity aims at high net-worth investors

Markets were treacherous places in 2008. Expect more of the same this year, say fund managers

Many are reluctant to admit that earlier decisions were wrong

A few basic checks can go a long way toward uncovering potential problems

News

A proposal to charge fees based on historical data means firms’ payments will be based on previous highs

But SCC ruling suggests such schemes be kept simple

Conditions are better in Canada, but domestic financial institutions still face possible asset losses

Expert Panel’s “opt in” recommendation is an intriguing twist

Hammered by dreadful markets, pension plans are suffering from large funding shortfalls

But critics say that retail investors with more than $1 million in assets are not getting a fair shake

James Moon wants to show other advisors how to avoid making the mistakes that have cost him dearly

The insurer is aiming to put its troubles in the past, says new CEO

That or a new provincial counterpart plan may be a way to enhance and extend pension coverage

The appointment of a new leadership team reflects the firm’s desire to leave its compliance problems in the past

Shareholders overwhelmingly approve sale of firm to Werba Reinhard

Regulatory changes coming into effect next year will affect some individuals and businesses with cross-border policies

Despite the decline in oil prices, new wind-power technologies retain their promise

The recent acquisition of AIG’s Canadian division gives BMO a complete infrastructure to sell any product line

Building Your Business

Good stocks available at bargain-basement prices

The purpose of these regulatory changes is to reduce risk, but they will also curtail firms’ earning potential

Financials are stable but economic uncertainty still hangs over their profit outlook

While opportunities for growth are likely, many money managers advise caution

Once the economic recovery gets underway, the world’s major currencies will be affected in different ways

There are various bargains to be had in the corporate bond universe — and they are not hard to spot

The credit crisis plaguing much of the developed world is also leaving its mark on emerging markets

Although there are many pitfalls on the horizon, money managers are overweighting industrials and consumer discretionary, staples

The least risky strategy right now is defensive stocks, but pay attention to the early signs of a recovery expected later in the year

Although two small-cap money managers don’t see an economic turnaround until 2010, they say many Canadian small-cap stocks are valued cheaply and they’ve already begun…

Recovery should set in by second half of 2009, but money managers are guarded on India, Taiwan and Thailand

Unusual conditions could lead to big gains if the bond buy-in is well timed

Oil prices expected to stabilize by mid-year; infrastructure spending could spur demand for some commodities

Money managers are betting on companies that will benefit from infrastructure spending; avoiding export-sensitive industries

Corporate earnings will probably fall in the short term, but Japan’s fortunes may be changing