Thoughtful stories —
Modern thinking to guide your way.
Market Ethos
Op-Ed
Jul 18 - 20246 min readJustified Concentration
Capital has crowded around the incumbents as it seems we’re inundated daily with market-cap concentration charts showing crowding around the majors. These charts are usually accompanied by some fantastical saying like, “Market-cap concentration not seen since the previous tech bubble!”...
Op-Ed
Jun 13 - 20249 min readPortfolios With a Purpose – Not Dead, Just Evolving
Throughout the past couple of years, there has been a surge in headlines that the classic 60/40 portfolio is dead. But, it's not dead; this is simply a cycle we have seen before, but with any challenging period comes the opportunity to evolve....
Op-Ed
Jun 12 - 20248 min readIs AI Eating Software?
AI opportunity seems to be everywhere, except for the very companies that have dominated the shift in digital transformation over the last several decades: software companies....
Op-Ed
May 16 - 20247 min readPortfolios with a Purpose – Dividend Divergence
Higher yields, inflation, and growth gyrations have increased performance dispersion in the dividend space. We believe a more active or rotational approach to dividend investing has become more optimal....
Op-Ed
May 09 - 20247 min readCloud Monsters
In an era marked by historic market concentration and narrative-driven investor reactions, megacap tech companies, defying conventional growth constraints, are leveraging AI and cloud services to propel their expansion....
Op-Ed
May 01 - 202412 min readCrypto for Advisors: A Guide to Creating a Cryptocurrency Investment Thesis
Investing in cryptocurrencies is not right for every investment strategy, but they are becoming an asset class that looks to be here for the long term....
Op-Ed
Apr 11 - 20248 min readPortfolios With a Purpose – Optimization
When it comes to portfolios, you often hear the term "optimize" thrown around, but what does it really mean to "optimize” a portfolio?...
Op-Ed
Apr 08 - 20248 min readThe Year of the Semiconductor
When a man in a leather jacket who works in semiconductors can pull crowds like it’s a T-Swift concert, you know The Times They Are A-Changin....
Op-Ed
Mar 14 - 20246 min readPortfolios With a Purpose – High-Quality Investing
The fundamental truth in investing is that no matter your expertise, you won't always make the correct call, whether it's a company or an overall portfolio tilt. Nor should you want to....
Op-Ed
Feb 15 - 20248 min readPortfolios with a Purpose – The Silent Winner
The media narrative has not changed much since the beginning of the new decade. Technology commentary continues to dominate the media headlines, and who is to blame them?...
Op-Ed
Jan 31 - 20247 min readHISA ETFs Unveiled: A comprehensive look at the growth, yield, and regulatory changes
In recent times, high-interest savings account (HISA) exchange-traded funds (ETFs) have been the focal point of many asset allocation discussions, and for good reason....
Op-Ed
Jan 11 - 20246 min readPortfolios with a Purpose – Balancing Act
From the outside looking in, the lifestyle of a portfolio manager typically looks very attractive. This belief stems from the dynamic nature of the role, which includes the benefit of individual financial acumen, the opportunity to shape the lives of Canadians....
Op-Ed
Macro Commentary
Dec 20 - 202311 min readIt’s Beginning to Look a Lot Like Market Recap Time: 2023 Edition
It’s that time of year again where we recruit a handful of our favourite portfolio managers and ask them to reflect on the past year and what they anticipate for the year ahead....
Op-Ed
Market Ethos
Nov 10 - 20239 min readPortfolios with a Purpose – Active vs Passive
The debate between passive and active is not something new. There are strong arguments that can be made for both sides, but in our eyes, there does not necessarily have to be a clear winner of this battle....
Op-Ed
Oct 05 - 20237 min readPortfolios with a Purpose – A Little Off the Cuff
Few things compare to the feeling of stepping out of your tailor’s shop in a perfectly fitted ensemble, be it a finely tailored suit or an elegantly crafted dress. It’s that singular moment when your attire aligns with you, and you enjoy the unique sense of being tailor-made for distinction....
Op-Ed
Sep 14 - 20238 min readInflation’s Silent Alarms: A Deep Dive into Central Banks’ Blind Spots
With the benefit of hindsight, I wanted to spotlight specific early indicators, particularly within the US, that foreshadowed the mounting inflation....
Op-Ed
Sep 08 - 20237 min readPortfolios With a Purpose: Factoring It In
Whether it’s monitoring the macro environment, ensuring you are invested in the right products, achieving the desired asset allocation, or simply feeling compelled to trade because you haven’t in a while, designing and maintaining portfolios is never a simple task. ...
Op-Ed
Aug 03 - 20236 min readPortfolios with a Purpose – Know What You Own Part III: Fixed Income
Just like an anchor keeps a ship stable and secure in turbulent waters, fixed-income investments serve as a stabilizing force within investment portfolios. In rough seas, equity investments can experience significant fluctuations, and in those times of turbulence, everyone needs an anchor....
Op-Ed
Jul 12 - 20239 min readPlaying Defence in a Weak Energy Market
With economic indicators pointing to slowing inflation and the looming recession, energy has become the market punching bag as investors have moved away from economically sensitive sectors. Still, there are plenty of opportunities to pick up uncorrelated risk-adjusted returns short to medium term....
Op-Ed
Jul 06 - 202310 min readPortfolios with a Purpose – The Art of Due Diligence
Fund manager due diligence is a vital step in the investment portfolio process. The best part about investing today is that the tools for the portfolio are more accessible than ever, but with that comes much more complexity....
Op-Ed
Jun 05 - 20237 min readPortfolios With a Purpose – Know What You Own Part II: Equities
If portfolio construction is akin to manufacturing an automobile, the equities are, without a doubt, the engine. Equity is the piece of the car that most often makes the portfolio go, and the engine has never promised a smooth ride....
Op-Ed
May 01 - 20237 min readPortfolios With a Purpose - Know What You Own Part I
In a rather secluded industry, we aim to set the tone by being as transparent as possible about how our team builds and monitors multi-asset portfolios. With that transparency, we strive to achieve a more comprehensive investment experience for the advisor and, ultimately, the end client....
Op-Ed
Apr 28 - 20235 min readWhat Can the Gas Pump Tell Us About the Economy?
Regardless of real-world impact, some consumers will still fill their tanks with premium gas when times are good despite the negligible impact on fuel economy and actual emissions....
Op-Ed
Mar 17 - 20236 min read(Energy Drawdown) Everywhere All At Once
In just three trading sessions, we saw one of the most significant drawdowns in the energy space in recent memory, with the iShares S&P/TSX Capped Energy Index dropping 10.6%. Markets went into FUD mode off the back of Silicon Valley Bank and Signature Bank insolvencies....
Op-Ed
Mar 14 - 20236 min readHow Silicon Valley Bank’s Bankruptcy Is Affecting Tech
As many are well aware, Silicon Valley Bank (SVB) failed over the weekend. SVB was a critical investor throughout the entire lifecycle of both employees and companies across the technology ecosystem....
Macro Commentary
Op-Ed
Mar 13 - 20233 min readDoes Silicon Valley Bank’s Demise Bring the End to Rate Hikes?
Over the past year, we’ve seen the most aggressive tightening cycle from central banks in history – with the U.S. Federal Open Market Committee alone taking the Fed funds rate from zero to 4.5% in one year. ...
Op-Ed
Jan 19 - 202313 min readEnergy Decarbonization: A 2023 Outlook
An energy decarbonization outlook for the year ahead with insights on how market catalysts will influence how investors should allocate energy into their portfolio over the short and long term....
Market Ethos
Op-Ed
Jan 04 - 202319 min readPurpose 2023 Outlook – Bear Market End Game
The current bear market began roughly the same time the ball in Time Square dropped to usher in 2022, which means with the more recent ball drop this bear celebrated its one-year anniversary. There is no blueprint for bear markets. Sometimes they are short (2020), sometimes long (2000-03)....
Op-Ed
Macro Commentary
Dec 15 - 202215 min readIt’s Beginning to Look a Lot Like Market Recap Time: 2022 Edition
In what is a time-honoured tradition here at Purpose, we recruited a handful of our favourite portfolio managers and asked them to reflect on 2022 and what they anticipate for the year ahead....
Op-Ed
Dec 05 - 202238 min readPreparing for the Next Bull
All good things come to an end, even bear markets. Of course, nobody knows when this bear market ends, we want to believe we are much closer to the end than the beginning, but this remains unknown. Some past bear markets have lasted a few months, some a few years....
Op-Ed
Nov 10 - 20228 min readCPI Deep Dive: Inflation Outlook and Indicators
Learn inflation’s effect on government policies, bond, and equity markets; break down the major categories that make up CPI in the U.S.; and understand key indicators investors should watch for as a metrics as to whether inflation is improving....
Op-Ed
Oct 06 - 20224 min readThe Tide Is Turning for Tech and Growth
It’s the end of another quarter, and the great rate debate continues to dictate the path of growth equities. Rising interest rates amongst global central banks have caused a drastic retreat in all major equity indices....
Op-Ed
Jul 27 - 20224 min readTech in a Time of Turmoil
Well, the good news is that the first half of this year is over. We just went through the worst six months in the S&P that we’ve seen since 1970....
Op-Ed
May 04 - 20222 min readHave the FAANGs Lost Their Teeth?
In this video Nick Mersch explains what's been going on with the tech market and FAANG stocks this year and provides his outlook going forward....
Op-Ed
Mar 26 - 20224 min readGoing for Gold: The Investment Case for Gold Today
While gold’s performance in 2021 was disappointing, recent geopolitical turmoil and inflation concerns have reminded investors of its value as a portfolio diversifier, inflation hedge, and store of value....
Macro Commentary
Op-Ed
Jan 20 - 20225 min readTop 4 Market Predictions for 2022
After years like the last two, it’s hard to forecast what may happen one week from today, never mind what will happen one year from today—but there are a handful of key trends we believe will act as market catalysts for the year ahead....
Op-Ed
Macro Commentary
Dec 08 - 202110 min readIt’s Beginning to Look a Lot Like Market Recap Time
In now what is a time-honoured two-year tradition here at Purpose, we recruited a handful of our favourite PMs and asked them to reflect on the year passed and what they anticipate for the year ahead....
Op-Ed
Dec 01 - 20215 min readInnovating with Purpose
This week marks another special one for us here at Purpose as we celebrate the launch of three new crypto ETFs....
Op-Ed
Nov 16 - 20214 min readA Fixed-Income Perspective on Inflation
High inflation has been front and centre with the U.S. Consumer Price Index (CPI) reaching 6.2% year over year in October and 0.9% month over month with both figures ahead of forecasts. These are big numbers not seen in more than 30 years....
Op-Ed
Oct 07 - 20216 min readAn Alternate Reality for Fixed Income
In our recent commentaries, we’ve discussed how rare it is for investors to actually forecast the future correctly and thus why it’s important to construct a portfolio that optimizes return from risk in a variety of scenarios....
Op-Ed
Feb 03 - 20214 min readCannabis sector next move on the pharma side?
Foresight into the proliferation of the cannabis industry is becoming clearer, in part due to the recent tide of change from US elections. ...
Op-Ed
Jan 13 - 202111 min readHindsight is 2020, Foresight is 2021
As 2021 begins, what should investors keep top of mind? While recognizing opportunities is essential to success, identifying potential risks is just as important. We asked five members of our investment team what to keep an eye on at the dawn of the new year....
Op-Ed
Dec 02 - 20204 min readFreeport McMoRan: A Case Study in Using a Multi-Faceted ESG Approach
As we’ve written in previous ESG Diaries, identifying risks and flagging portfolio holdings involves looking at ESG from multiple angles. For example, you can focus on absolute risk scores, industry/sub-industry relative rankings or by controversy...
Op-Ed
Dec 02 - 20205 min readWhat our Portfolio Managers and Investment Analysts are putting under the tree this year
We asked five of our portfolio managers what they had on their ‘nice’ list this holiday season. Here’s what they had to say...
Op-Ed
Dec 02 - 20204 min readWhy the Cannabis Trade is Just Getting Started Beyond Canada
As Canadians, we’ve been pioneers in the cannabis space. That puts us in a great spot to succeed elsewhere...
Op-Ed
Nov 05 - 20204 min readESG Diaries: Defining the Value (and Limits) of ESG Integration
One of the more difficult parts of establishing ESG as a pillar of an investment strategy is defining it. ESG as a concept is largely something that people have a consensus on...
Op-Ed
Nov 04 - 20204 min readThe green wave: cannabis initiatives get major boost in US election
While America continues to tally mail-in ballots to clarify who the next president will be, the next wave of cannabis legalization is already well on its way. On Tuesday night, there were five states with cannabis on the ballot, all of which were approved in a green sweep...
Op-Ed
Nov 04 - 20205 min readA contested election: more near-term uncertainty
As much as Canadians would like to be able to ignore US politics and focus on events within our own border, as investors that isn’t possible. Over the last year, investors have had to increasingly become macro traders to stay successful. That doesn’t seem to be changing any time soon...
Op-Ed
Oct 06 - 20205 min readNow is the Time to Buy Crypto - Here’s Why
In some ways, it has taken us back in time - a more local lifestyle and days spent with family. In other ways, it has catapulted us into the future - “distanced” working and socializing require a much deeper use and knowledge of technology...
Op-Ed
Oct 05 - 20205 min readESG Diaries: Five Things We’ve Learned About Our Approach
It’s been a year since we announced our plan to become one of the first firms in the world to integrate environmental, social and governance factors (ESG) into our investment processes, across our entire existing product suite...
Op-Ed
Sep 03 - 20205 min readWhat Do Gold and Tech Stocks Have in Common? And What’s High Yield Got to Do with It?
There are two asset classes you’re likely hearing about right now – technology and gold. Technology stocks have led the broader market with just a few names dominating the tape...
Op-Ed
Jul 28 - 20205 min readThe New Gold is: GOLD
Over the last ten years, investors have seemingly forgotten how and why gold fits into an investment portfolio...
Op-Ed
Jul 23 - 20203 min readThe smart money boosts Canadian preferred shares in what may be a big turning point for the asset
A new type of debt offered by RBC may drastically change the Canadian preferred share market...
Op-Ed
Jul 10 - 20206 min readCannabis 1H update: U.S. momentum shifts into higher gear while Canada left in neutral
With the first half of the year wrapped up and the deepest impact of the shutdown behind us (hopefully), we can circle back to our long-term thesis and breakdown the forces at play in the cannabis industry...
Op-Ed
Jun 29 - 20204 min readCanadian REITs in a COVID World: A Tale of Subsectors and Rent
The REIT market was not spared in the March sell-off as investors rushed to hit the sell button while the world’s economies shut down...
Op-Ed
May 01 - 20204 min readWhy investors should be cautious with Canada’s tech darling
The US “FANGs,” China’s Tencent and Alibaba, Europe’s Prosus and SAP, Canada’s…Shopify?...
Op-Ed
Jun 12 - 20199 min readInvesting in esports: revenge of the nerds
Video games have been around since the 1950s and have advanced from Pong on the Atari to the modern-day, cross-platform cultural phenomenon of Fortnite...
Op-Ed
Mar 27 - 20196 min read