Retirees are often advised to avoid risk by buying government bonds and holding them to maturity. But this exposes retirees to the risk of losing purchasing power due to inflation.   Read More

Peter Lynch is a highly successful investor. He’s enthusiastic about stocks that increase their dividends year after year. By contrast, Mr. Lynch cares little for investing in bonds. But a   Read More

Every month the Money Reporter, the newsletter for investors whose interest is more interest, publishes its list of recommended bonds and preferred shares. In October it recommended 38 government bonds,   Read More

Will the U.S. Fed raise rates sooner, rather than later, and torpedo the current bond bubble? Some investors are desperately chasing yield in riskier bonds, but that may be insufficient   Read More

Every month the Money Reporter, the newsletter for investors whose interest is more interest, publishes its list of recommended bonds and preferred shares. In September it recommended 38 government bonds,   Read More

The yields on 10-year government bonds are far lower than the dividend yields of many stocks. This is like the situation that existed until the mid-1950s. We expect government bonds   Read More

Foreign investors are buying Canadian and U.S. bonds. This is reducing bond yields to record lows. One way to generate more income and beat inflation is to buy blue chip   Read More

Every month the Money Reporter, the newsletter for investors whose interest is more interest,  publishes its list of recommended bonds and preferred shares. In July it recommended 38 government bonds,   Read More

Technical analyst and portfolio manager Keith Richards says bonds, utilities and consumer staples tend to do well in the weaker market months of May to November. He names some favourite   Read More

Since 1802 the dollar has lost 95 per cent of its purchasing power. After inflation, a dollar invested in stocks in 1802 would’ve soared to $704,997 by 2012. A dollar   Read More

Will the U.S. Fed raise rates sooner, rather than later, and torpedo the current bond bubble? Some investors are desperately chasing yield in riskier bonds, but that may be insufficient   Read More

Most bond funds are conservative, produce reliable returns and are unexciting. But most of them have trouble keeping up with the bond market. That’s why you’re better off buying a   Read More

We don’t know if portfolio manager Keith Richards gave any advice to Casey and the strawberry blonde he adored, but Mr. Richards recently warned his readers in The MoneyLetter to   Read More

Foreign investors are buying Canadian and U.S. bonds. This is reducing bond yields to record lows. One way to generate more income and beat inflation is to buy blue chip   Read More

With apologies to the “No Sex, Please—We’re British” playwrights,  The MoneyLetter’s behavioural finance analyst Ken Norquay takes a look at why people make seemingly irrational decisions about investment strategy. His   Read More

Every month the Money Reporter, the newsletter for investors whose interest is more interest,  publishes its list of recommended bonds and preferred shares. In July it recommended 38 government bonds,   Read More

Since 1802 the dollar has lost 95 per cent of its purchasing power. After inflation, a dollar invested in stocks in 1802 would’ve soared to $704,997 by 2012. A dollar   Read More

Technical analyst and portfolio manager Keith Richards says bonds, utilities and consumer staples tend to do well in the weaker market months of May to November. He names some favourite   Read More

The Money Reporter currently recommends a 40-per-cent portfolio allocation to fixed income securities, and 55 per cent of that in corporates. It is worth considering using some preferred shares to   Read More

When stock markets turn volatile like they did earlier this year, many investors start looking for refuge — a place to put their money simply to preserve it and maybe   Read More

“…there are known knowns; …there are known unknowns; …there are also unknown unknowns.”–Donald Rumsfeld.  “Don’t pretend to know the unknowable.”–Ken Norquay.
Behavioural finance strategist Ken Norquay is a frequent contributor to   Read More

With our current recommendation of a 40-per-cent allocation to fixed income, and 55 per cent of that in corporates, it is worth considering using some preferred shares to boost the   Read More

Every month the Money Reporter publishes its list of recommended bonds and preferred shares. In February it recommended 38 government bonds, 13 corporate bonds and 15 preferred shares suitable for   Read More

The Federal Reserve raised U.S. interest rates for the first time in more than 10 years. This should help stocks outperform bonds. Most forecasters expect the U.S. central bank to   Read More

Every month the Money Reporter publishes a comprehensive list of the best bonds to invest in including 13 Canadian corporate bonds and 38 Canadian federal and provincial government bonds and   Read More

Our job, as conservative investors, is twofold: (i) To safeguard our money; and (ii) To get a reasonable return commensurate with our risk tolerance. Ken Norquay, author of the behavioral   Read More

Every month the Money Reporter publishes a comprehensive list of the best bonds to invest in including 13 Canadian corporate bonds and  38  Canadian federal and provincial government bonds and   Read More

Assuming the global economy gradually improves, we expect corporate bonds to outperform government bonds. Straight preferreds have performed well relative to rate-reset issues and fixed-floaters, both of which have been   Read More

Bond and mortgage funds, treasury bills, stripped bonds and coupons and mortgage-backed securities help reduce short-term volatility and risk. Also, some of their timing features come in handy when planning   Read More

Diversified, conservative equity mutual funds make good core portfolio holdings, of course. But conservative investors would also do well to include a top Canadian dividend fund or equity income fund,   Read More

Every month the Money Reporter publishes a comprehensive list of best Canadian corporate bonds, Canadian federal and provincial government bonds and Canadian preferred shares─both straight and floating rate─that it recommends   Read More

We’ve often expressed our distaste for bond funds and other income funds. That’s because you stand a good chance of beating most of them by investing in fixed-income securities directly.   Read More

Six years ago was the right time for aggressive investing. The time for extreme caution is coming soon. That’s the market outlook from Ken Norquay, CMT and author of the   Read More

Basing patterns are often a buy signal and Canadian banks, global agriculture stocks and U.S. junk bonds are poised to take off says Keith Richards, portfolio manager at Barrie, Ont.-based   Read More

Overall, the stock market outlook remains volatile, while the bond market outlook could be on the verge of a tantrum. Here’s where to find some comfort food for the soul—and   Read More

Conventional wisdom is, well, conventional—and often inappropriate. Sunil Vidyarthi, president of Oakville, Ont.-based Value Sciences Inc., says the wisdom of putting bonds in your RRSP is flawed. In fact stocks   Read More

The Money Reporter tells you where to get the best GIC interest rates, best bond investments from both government and corporate issuers, and the best straight and floating rate preferred   Read More

After posting modest returns in 2014, Canadian bonds have gotten off to a strong start so far this year. Year to date, the FTSE Universe Bond Index has gained 4.2   Read More

The Money Reporter regularly publishes tables of recommended government bonds, corporate bonds and preferred shares suitable for income-oriented investors. The monthly Fact and Advice Sheet also gives guidance for current   Read More

Look to iShares CDN S&P/TSX Capped Financials Index Fund for a signal that Canadian stocks are due for a correction. When trying to gauge market outlook, financial stocks are a   Read More

Investors should diversify across many ‘asset classes’. One of these asset classes, of course, is fixed-income investments, like bonds. The trouble is, with interest rates so low (even on long-term   Read More

Although cheap gas is great for motorists, it could wreak havoc with Canada’s energy sector, as well as the market for junk bonds.
Central banks throughout the West last year found   Read More

The European Central Bank, or ECB, ushered in a new era by launching an aggressive bond-buying program in January. The euro zone is one of the global economy’s biggest trouble   Read More

Investing for current income requires an entirely different way of thinking than does investing for growth. But mutual funds that offer current income as their main purpose still report their   Read More

 “As a technical analyst, I tend to avoid making longer-term predictions about markets, sectors or commodity prices. I find that forecasting market movements or events out beyond a few months   Read More

 What to do about bonds

Canadian bonds have produced strong total returns so far this year. The FTSE Universe Bond Index, which covers over 1,300 Canadian bonds, has returned 3.5 per   Read More

“The good times are over.” So says Bill Gross, a co-founder of the world’s largest bond company, Pacific Investment Management Co., which is better known by its diminutive, “PIMCO.” Mr.   Read More

Bonds account for much of Canadians’ investments. And bond funds make up a large part of Canada’s mutual fund business. But investing in bond funds can deny you the very   Read More

Although many investors buy the units of real estate investment trusts, or REITS, and other high dividend-paying stocks for their attractive income — and maybe also for capital appreciation —   Read More

Though balanced funds are extremely popular with Canadian investors, we see little appeal in these investment products. It’s better to create your own balanced fund by selecting stock funds and   Read More

 “Neither a borrower nor a lender be,” wrote William Shakespeare. In the investment arena, well-known investors such as Sir John Templeton have echoed the same sentiment over the years. But   Read More

We see little appeal in bond exchange-traded funds, or ETFs, right now. That’s because even shorter-term bond ETFs are vulnerable to the potential of rising interest rates over the next   Read More