By: Kevin McCreadie, CEO and Chief Investment Officer, AGF Investments, John Christofilos, Chief Trading Officer, AGF Investments, Dillon Culhane, Co-Portfolio Manager*, AGF Investments, and David Pett, Editor, AGF Perspectives
March 27, 2024
Kevin, John and David get into it with Dillon Culhane on becoming a portfolio manager and weigh in on the market’s shifting attitude towards the U.S. Federal Reserve and the New York Mets chances of winning the World Series this year.
* Pending regulatory approval
Why Dividend Stocks Seem Poised for Better Relative Returns in 2024
By: Stephen Duench, Co-Head, Highstreet Private Client & VP and Portfolio Manager, AGF Investments Inc.
January 15, 2024
It wouldn’t be right to say dividend stocks were a losing proposition for investors last year, but they weren’t exactly a boon for them either. In the U.S., for example, the S&P 500 Dividend Aristocrats Index –which tracks companies that have increased their dividend in each of the past 25 years – gained more than 8% in 2023 yet underperformed the S&P 500 Index by 18 percentage points (or more than double what it earned).
Big Picture: Investors Not on the Defensive, Despite Talk of Recession
By: Abhishek Ashok, Analyst, AGF Investments Inc.
September 26, 2023
Consumer staples, healthcare and utilities sectors have underperformed this year.
Big Picture: Growth Vs Value
By: Abhishek Ashok, Analyst, AGF Investments Inc.
August 31, 2023
The performance spread in favour of growth stocks has rarely been larger than it was earlier this summer.
Why the 60/40 Portfolio Isn’t Dead, but May Need a Rethink
By: David Stonehouse, Senior Vice-President and Head of North American and Specialty Investments, AGF Investments Inc.
August 31, 2023
In today’s uncertain environment, a more varied asset allocation framework is an option well worth considering.
Anatomy of a Narrow Equity Market
By: Abhishek Ashok, Analyst, AGF Investments Inc.
June 26, 2023
The narrowing of U.S. equity performance has been a hot topic of discussion so far this year, but what does it mean for investors when a small handful of stocks makes up such a huge percentage of the market’s overall returns?
What Would a U.S. Debt Default Mean for Markets and the Economy?
By: David Stonehouse, Senior Vice-President and Head of North American and Specialty Investments, AGF Investments Inc.
May 25, 2023
In part two of a two-part series, AGF’s David Stonehouse discusses the potential economic and capital market impacts if the United States were to default on its debt.
The Role of Machine Learning in Quantitative Investing
By: Tingting Lu, Co-Portfolio Manager, AGF Investments Inc.
April 17, 2023
AGF’s Tingting Lu explains the role of machine learning in quantitative investing.
Why It’s Too Early to Claim Victory Over Inflation – Or Recession Concerns
By: David Stonehouse, Senior Vice-President and Head of North American and Specialty Investments, AGF Investments Inc.
March 9, 2023
Less than three months into the new year, the prevailing narrative has changed substantially for the economy. In the fourth quarter of 2022, the consensus view was that peak inflation was behind us and that the economy was decelerating at an alarming rate, both in North America and globally. In fact, by some measures, expectations for an imminent recession were at record levels going back through decades of history. However, history has also shown how difficult it is to forecast a recession. Indeed, whether they be central bankers, economists or investors, observers have struggled to identify recessionary conditions in real time even when they’re in the midst of one.
Seeking Balance Following Market Extremes
By: Stephen Duench, Co-Head, Highstreet Private Client & VP and Portfolio Manager, AGF Investments Inc.
March 9, 2023
The dramatic rotation in market leadership that defined equity returns during the first month of 2023 has become less acute in more recent weeks, but investors still need to be careful about its influence on portfolio positioning going forward.
Why Last Year’s Stock Market Laggards Are This Year’s Early Winners
By: Abhishek Ashok, Analyst, AGF Investments Inc.
March 3, 2023
Investors were a decidedly bearish bunch at the end of 2022, but that’s no longer the case if the dramatic turn in momentum stocks is the result of the market’s growing confidence at the beginning of this year.
AGF Outlook 2023: The Return of Normal
By: AGF Investments Inc., with contributions from Highstreet Co-Head Stephen Duench
December 7, 2022
While volatility is expected to continue in the early part of 2023, the Fed and other central banks are poised to end their respective tightening cycles in the coming year, opening a path for markets to rally with more conviction. But the return to more "normal" interest rates means the next bull market, when it arrives, will likely look much different from the last one driven by ultra-accommodative policies that were put in place following the Global Financial Crisis more than a decade ago.
Yes, Markets Are Oversold. But Investors Still Need to Be Cautious
By: Abhishek Ashok, Analyst, AGF Investments Inc.
November 24, 2022
Every month (or so), AGFiQ highlights the quantitative investment factors that are helping shape equity markets. Today’s focus is oversold conditions and the risk of weakening economic and earnings data.
The Most Important Indicator to Watch Right Now? The Two-Year U.S. Treasury Yield
By: David Stonehouse, Senior Vice-President and Head of North American and Specialty Investments, AGF Investments Inc.
October 14, 2022
Inflation has been one of the key issues affecting global markets this year, and in recent months the focus has increasingly turned to whether it has peaked.
Three Takeaways from the Summer Rally in Stocks
By: Abhishek Ashok, Analyst, AGF Investments Inc.
September 9, 2022
Every month (or so), AGFiQ highlights the investment factors that are helping shape equity markets. Today’s focus includes the risk on/risk off nature of the rebound in stocks and what the PMI cycle means for factor performance going forward.
What is Momentum Telling Investors Right Now?
By: Abhishek Ashok, Analyst, AGF Investments Inc.
August 4, 2022
Every month (or so), AGFiQ highlights the investment factors that are helping shape equity markets. Today’s focus is momentum volatility and what it may or may not be signalling investors.
Should Equity Markets Really Be This Volatile?
By: Abhishek Ashok, Analyst, AGF Investments Inc.
June 20, 2022
Investors probably don’t need to be told that markets are extra volatile right now. That should be obvious to almost anyone experiencing the extreme ups and downs that have characterized the investment landscape so far this year. But not everyone may know that today’s volatility rivals some of the most turbulent periods in recent market history or that it may not reflect the current economic reality.
Value Outperforms and Other Extremes Defining Markets So Far This Year
By: Abhishek Ashok, Analyst, AGF Investments Inc.
April 27, 2022
Equity investors may not be keen to rehash the first few months of 2022. After all, the selloff in major equity indexes marks one of the worst starts to a year in recent memory. But that doesn’t mean they should turn a blind eye to what has already transpired. In fact, when it comes to the extreme performance of some factors – as well as sectors of the market – the more that’s understood, the more prepared investors will be for how stock returns might unfold moving forward.
Revisiting the Threat of an Inverted Yield Curve
By: Stephen Duench, Co-Head, Highstreet Private Client & VP and Portfolio Manager, AGF Investments Inc.
April 1, 2022
The start of the U.S. Federal Reserve’s latest rate-hiking cycle has some investors keeping close watch on the shape of the U.S. Treasury yield curve – and who can blame them? After all, if short-term rates continue to climb higher – and end up being greater than long-term rates – it would lead to an “inverted” yield curve, which has tended to be a very good canary for predicting past recessions, history shows.
Pricing In a Slowdown
By: Abhishek Ashok, Analyst, AGF Investments Inc.
March 22, 2022
The biggest question facing investors these days seems to be whether the global economy is set to plunge into recession, yet not everyone seems willing to wait for the answer. Instead, equity markets are reeling from the growing list of economic headwinds now at play and several facets of the selloff suggest the chance of a significant slowdown in the business cycle is a fait accompli that could lead to economic growth turning negative this year.
Quantitative Tightening: The Potent but Underappreciated Sister of Interest Rate Hikes
By: David Stonehouse, Senior Vice-President and Head of North American and Specialty Investments, AGF Investments Inc.
March 15, 2022
Understandably, much of the investing world – much of the world straight-up – has been focused on the geopolitical and economic fallout of Russia’s invasion of Ukraine. That conflict has implications for Europe and for commodity prices that are more serious than any we have seen in a very long time. Yet without minimizing the gravity of the crisis or its grim human toll, the risk for investors is that the conflict distracts them from another, perhaps more impactful, long-term development: namely, the most significant shift in monetary policy since the Global Financial Crisis.
Striking the Right Balance in a Dividend Portfolio
By: Stephen Duench, Co-Head, Highstreet Private Client & VP and Portfolio Manager, AGF Investments Inc.
February 28, 2022
North American dividend stocks are garnering a lot more attention from investors these days and should warrant a growing share of support as an effective hedge against inflation and higher interest rates in the months ahead. Not surprisingly, some of them have performed very well recently – especially in relation to historical returns. And that means a blended approach that takes into consideration the future growth of a company’s payout, as well as its current yield, could be more important than usual over a full market cycle.
Why Stocks That Fall Together May Not Rise Together
By: Abhishek Ashok, Analyst, AGF Investments Inc.
February 11, 2022
It may not be today or tomorrow or the day after that, but sooner or later, most investors will recognize this year’s selloff in equity markets as an opportunity to buy some good stocks at discounted prices. In doing so, their instinct might be to seek out the hardest hit names of the recent correction, yet that might not be the best approach – at least from a factor perspective.
When Value Gets Extreme
By: Abhishek Ashok, Analyst, AGF Investments Inc.
January 19, 2022
Growing concerns about central bank tightening caused an extreme rotation in equity markets over the first few weeks of the new year. Namely, value stocks were bid up and outperformed relative to other factors such as momentum and growth, which have been two of the dominant trades for much of the past two years.
Why Dividend Growth Is Back
By: Stephen Duench, Co-Head, Highstreet Private Client & VP and Portfolio Manager, AGF Investments Inc.
November 18, 2021
Equity investors don’t have much to complain about these days. Since bottoming in March of 2020, most stock markets around the world have rallied almost uninterrupted and made huge gains in the process. Yet one thing that many of them have sorely missed during this latest run higher is dividend growth and the extra “oomph” it usually provides to portfolios.
The authors are regular contributors to the Insights and members of the Highstreet Pooled Funds Investment Team as well as AGF Investments.
The views expressed in this article are those of the author(s) and do not necessarily represent the opinions of Highstreet, AGF Investments Inc, or any of its affiliated companies, products or investment strategies.
The commentaries contained herein are provided as a general source of information based on information available at the time of writing and should not be considered as investment advice or an offer or solicitations to buy and/or sell securities. Every effort has been made to ensure accuracy in these commentaries at the time of publication, however, accuracy cannot be guaranteed. Investors are expected to obtain professional investment advice.
AGF Investments is a group of wholly owned subsidiaries of AGF Management Limited, a Canadian reporting issuer. The subsidiaries included in AGF Investments are AGF Investments Inc. (AGFI), AGF Investments America Inc. (AGFA), AGF Investments LLC (AGFUS) and AGF International Advisors Company Limited (AGFIA). AGFA and AGFUS are registered advisors in the U.S. AGFI is a registered as a portfolio manager across Canadian securities commissions. AGFIA is regulated by the Central Bank of Ireland and registered with the Australian Securities & Investments Commission. The subsidiaries that form AGF Investments manage a variety of mandates comprised of equity, fixed income and balanced assets.
Highstreet Asset Management Inc. (“Highstreet”) is registered across Canada as a Portfolio Manager and Exempt Market Dealer. Highstreet is wholly owned by AGF Investments Inc., a subsidiary of AGF Management Limited. AGF Investments Inc. is registered as an Investment Fund Manager, Portfolio Manager, Mutual Fund Dealer and Exempt Market Dealer.
Effective January 1, 2020, all members of the Highstreet Pooled Funds Investment Team are employees and registrants of AGF Investments Inc., Highstreet’s parent company. Pursuant to exemptive relief, Stephen Duench is dually registered as an advising representative of Highstreet Asset Management Inc. and AGF Investments Inc., Highstreet's parent company.
The Highstreet Pooled Funds are investment vehicles offered exclusively to clients of Highstreet Asset Management Inc.
Highstreet was excited to welcome clients back to the London Hunt Club on November 7th, 2023 for our 13th Annual Investment Conference, celebrating our 25th anniversary. The evening first featured a business update from Co-Heads Mike Hammond and Stephen Duench, followed by a detailed presentation on Markets, the Economy, Interest Rates, and a Highstreet Pooled Fund 2023 performance review by Mark Stacey, Stephen Duench and David Stonehouse. We then welcomed Greg Valliere, Chief U.S. Policy Strategist at AGF Investments for a special keynote presentation. The evening concluded with a Q&A session organized by Patrick Weir.
2023 Highstreet Mid-Summer Update
Mid-Summer update from the Highstreet Private Client team includes business, economic and Highstreet Pooled Funds.
After two years of virtual annual investment conferences, we were excited to welcome clients back to the London Hunt Club on November 15th, 2022. The evening first featured a business update from Mike Hammond and Mark Stacey, followed by a detailed presentation on Markets, the Economy, Interest Rates, and a Highstreet Pooled Fund 2022 performance review by Stephen Duench and David Stonehouse.
Inside Perspectives: An AGF Podcast Series
NOVEMBER 7, 2022
From the United Kingdom to the United States, political dysfunction has emerged as a large and growing concern for investors. On this episode of Inside Perspectives, Kevin McCreadie, AGF’s CEO and Chief Investment Officer welcomes back Greg Valliere, AGF’s Chief U.S. Policy Strategist and special guest General Andrew Leslie to discuss the potential crisis facing some of the West’s most successful democracies and the impact that could have on financial markets going forward.
Updated Offering Memorandum and Statement of Policies
Updated copies of the Highstreet Pooled Funds Offering Memorandum (November 2022), its Amendments (March 2023 and January 2024) and Statement of Policies (December 2023) are available directly via the client portal. Alternatively, please contact your relationship manager to receive a copy.
