Janet Rabovsky is an experienced investment professional.
These are the views of the author and not necessarily those of Benefits Canada.
With global growth improving, interest rates continued to increase in 2017, particularly in Canada and the United States. Many believe the U.S. Federal Reserve will raise rates three times in 2018, dragging the Bank of Canada along with it. On March 8, 2018, the 10-year benchmark bond sat at 2.37 per cent, which hardly represents a […]
Investors make decisions every day about how to allocate the monies entrusted to them, including choices which asset classes, which markets and which managers to select. Asset allocation and asset liability studies help to determine the trade-off between risk and return, which translates into an asset mix. From there, investors decide on how to invest […]
While fads usually refer to fashion, food, music and even hairstyles, we don’t often talk about them in the context of investments. Right now, however, mortgage investments are one of the hottest asset classes. One of the first mutual funds in Canada, launched in 1974, was a fund that invested in insured housing mortgages. At the time, […]
For years, Canadians have faced calls to invest overseas given the narrowness of the Canadian equity market and the relatively small proportion of global gross domestic product Canada represents. Publicly listed Canadian companies have ranged between three and five per cent of global GDP, and yet Canadian investors’ allocations to Canadian equities have historically been […]
Investors have long had a fascination with emerging markets and their prospect for higher growth rates, leading to a variety of investments in everything from bonds and equities, both public and private, to real estate, infrastructure and agriculture. Emerging market equities haven’t delivered on their expected promise, underperforming developed markets in the five-year period ending December 2016. […]
Infrastructure has been a hot topic over the past few years, with Canadian pension funds already considered investment leaders in the area amid solid returns for the asset class. Since late 2003, global infrastructure has delivered a 9.1 per cent return, with a 5.1 per cent standard deviation. The result compares favourably to global equities, […]
One of the most important decisions a plan sponsor can make is determining the amount of risk it’s willing to take in order to achieve a desired return. This is often expressed as a strategic asset allocation or target asset mix. At a very high level, plan sponsors are seeking the balance between safety (fixed […]
The investment industry likes to coin a new term, an heuristic, for each economic and market event. It referred to the BRIC countries to describe the rise of the economies of Brazil, Russia, India and China. The solvency issues following the financial crisis of specific European countries became the PIIGS — Portugal, Ireland, Italy, Greece […]
The reduction of a home-country bias, especially in equities, and an increase in the percentage of non-market-correlated strategies in investment portfolios are two prominent investment themes that have emerged over the past few years. Decreasing the allocation to Canadian equity in favour of global equity or alternative investments has been a profitable trade — at least […]
In the 1993 movie Groundhog Day, the main character, Phil Connors, played by Bill Murray, is doomed to repeat February 2 over and over again until he experiences personal growth and finally learns to be a better person. You’re probably wondering why I’m raising this now, since we’re well past February 2. Well, when you look at […]