Weak returns in the funds’ bond component reduces their overall appeal
Too often, media reports omit inflation and asset classes from projections (includes chart)
This strategy also provides healthy returns
Study shows that REITs have low correlations with equity indices
Research suggests it should represent only a modest portfolio allocation
Analysis shows Canadian value stocks make a great foundation
International equities have outperformed Canadian and U.S. equities
Clients will still need patience to cope with the volatility of these stocks
One option is global bonds, which have low correlation to Canadian bonds
They’re more volatile than government or investment-grade corporate issues