Dear Valued Client,
A selling stampede hit global equities this month, resulting in the worst loss in October in a decade for U.S. and Canadian equity indices. At one point, the S&P 500 was down 10% for the month. At the time of writing, the TSX60 is down an estimated 7.5% year-to-date. However, because we reduced risk in our portfolios in the prior months, the downtick in our portfolio returns aren’t nearly as severe as losses in the market indices.
Our portfolios have been positioned for a short-term correction within a secular bull market, and they remain so. Even though we believe there will be a rebound from this sharp downturn that may lead to a significant year-end rally, we are also open to the notion that there could be a more protracted downturn emerging later. If we see those signs, more defensive moves will be made in the portfolios.
As always, if you have any questions or wish to discuss whether any of the mentioned investments are suitable for you, please do not hesitate to call us at 604-658-3043 or email.
Best Regards,
Ron Aloni / Alan Goh / Jason Chen
This commentary is intended for information purposes only and does not constitute an offer to buy or sell our products or services nor is it intended as investment and/or financial advice on any subject matter and is provided for your information only. Every effort has been made to ensure the accuracy of its contents. The views contained herein do not necessarily constitute the views of Leede Jones Gable Inc. Leede Jones Gable Inc. is licensed as an investment dealer in every Canadian Province and Territory and is a member of the IIROC and the Canadian Investor Protection Fund.
