Investing in Canadian dividend equities has proven to be a successful strategy over the long run for our segregated fund portfolio managers. In addition to demonstrating favourable downside protection1 and diversification benefits, Canadian dividend equities have outperformed the broader Canadian equity market over the long term.
As we enter the new year, we’re taking a moment to reflect on some of the critical themes that shaped the markets in 2024. These include geopolitics, evolving trade policies, and the shifting dynamics of the future of global energy. We anticipate that these factors will continue to play a significant role in influencing economic and market trends in 2025. Our focus remains on closely monitoring these developments to identify potential risks and opportunities as they emerge.
Portfolio Manager, Neeraj Khosla shares his insights on India's economic growth prospects and where the team sees potential investment opportunities.
Inflation, geopolitical instability, and energy transitions require a proactive approach to protect wealth.
Join Paul Holba, SVP and CIO, Empire Life Investments Inc., as he provides expert insights into the key trends that will shape the markets in 2025, including inflation trends, central bank policies, geopolitical risks, and the resurgence of nuclear energy.
Ian Fung, Portfolio Manager, Fixed income, discusses recent BoC and Fed interest rate moves, inflation, employment and their potential effect on upcoming rate decisions.
This past week has been marked by significant developments in the United States, highlighted by President Donald Trump's conclusive electoral triumph, along with a policy adjustment from the Federal Reserve, which elected to reduce the overnight interest rates by 25 basis points. In response to these pivotal events, the Empire Life Investments Inc. team provides some explanation of the prospective implications on financial markets, with a particular focus on the U.S. market. The informed perspectives of Ashley Misquitta, Investment Strategist and Senior Portfolio Manager and Ian Fung, Senior Portfolio Manager have been collated and are presented here for a fuller understanding of the anticipated market dynamics.
The Fourth Industrial Revolution may be a watershed moment in human history, eclipsing the transformative power of its predecessors through the fusion of physical, digital, and biological spheres. As we witness the integration of groundbreaking technologies like AI, robotics, IoT, blockchain, and biotechnology, the investment landscape presents a wealth of opportunities that mirror the massive economic shifts of past revolutions.
The “Magnificent 7” refers to a group of leading tech companies — including Apple, Microsoft, Amazon, Alphabet (Google), Meta (Facebook), Tesla, and Nvidia — that have shown exceptional growth and market performance. While there may have been doubts that the run would continue after the massive returns over the last decade, here are several reasons why we believe these companies will continue to perform strongly into the next decade.
Fiscal stimulus remains an upside risk to growth in both Canada and the U.S.. Government bonds remain attractive heading into the second half of the year. Corporate bond holders are not being compensated as much for taking on corporate credit risk, with spreads at near 20-year lows, although all-in yields look attractive.
The Bank of Canada has expressed confidence that inflation will continue to move towards the 2% target. Canadian consumers will require further rate cuts and more time to alleviate pressure from their large debt-loads. The Trans Mountain Pipeline and LNG Canada project will create a positive backdrop for Canadian oil and natural gas.
