Investment Commentaries

Navigating through the month of October, the markets faced a number of challenges, including rising yields, persistent inflation, and geopolitical turmoil. Despite these conditions, our three ABC Funds outperformed their respective benchmarks. The...

Historically, September has never been an easy month for financial markets. It was no different for the month of September 2023. Market headwinds included the growing investor recognition of “higher for longer” interest rates, as well as...

Our three ABC Funds generated positive returns during the month of August despite all major stock indices closing the month in negative territory. This outperformance was driven by a number of our common stock holdings including Amazon, Mastercard,...

The strength of the equity market in the first half of 2023 continued into the month of July. Interestingly, this advance confounded many of the investment pessimists who have prognosticated an impending economic recession, given that both the Bank...

North American equity markets extended their upward ascent during the month of June and ended the first half of 2023 well into positive territory. This appreciation occurred despite continued central bank interest rate hikes, economic uncertainty,...

Our three ABC Funds significantly outperformed their index benchmarks during the month of May. This positive result can be largely attributed to the Funds’ portfolio overweighting in two top performing sectors – information technology and...

During the month of April, the North American equity markets continued their impressive climb upwards, defying the predictions of many investment pessimists who had forecasted lower corporate earnings results, higher U.S. Federal Reserve...

In March, global securities markets were influenced by substantial financial and economic news flow, such as the unforeseen regional banking crisis, which triggered massive deposit withdrawals resulting in a concerted rescue action by several big...

Despite the early month optimism, North American equity indices slid into negative territory by the end of February. This decline was mostly due to lingering concerns about elevated inflation, U.S. 10 year treasury bond yields creeping towards 4%,...

The month of January produced remarkable investment performance, carrying forward a significant recovery from the lows of 2022. In retrospect, common stocks ended December unduly depressed and this past month’s extraordinary recovery was a...

Volume 34, Issue 1

After two consecutive months of positive equity returns, the North American stock market indices declined across almost all industry sectors in December. As we previously commented last month, investors have been deeply fixated on the monetary...

North American equity markets continued their positive price trend into November, finishing the month at two month highs. Investors remain deeply fixated on the monetary actions of the U.S. Federal Reserve and its chairman, Jerome Powell....

Disclaimer The Refinitiv Lipper Fund Awards, granted annually, highlight funds and fund companies that have excelled in delivering consistently strong risk-adjusted performance relative to their peers. The Refinitiv Lipper Fund Awards are based on...

The North American equity markets after two months of negative returns finally posted positive performance for the month of October. This recovery was not unexpected given the current oversold market conditions due to rising interest rates and...

Entering the month of September, it appeared to many investors that North American equity markets were deeply oversold and due for a positive bounce. This was, in fact, the case as equity markets by early/mid-September were showing positive...

The positive stock market momentum during the month of July carried into August with considerable optimism. For instance: financial services, large capitalization American technology shares, industrials, and health care stocks enabled the various...

North American equity markets posted positive returns during the month of July. This was largely due to a substantial rebound in large capitalization U.S. technology stocks and a positive reaction to their Q2 quarterly earnings, which drove equity...

While North American stock markets ended the month of June with significant price weakness, we believe that there are a number of positive observations. Firstly, there appears to be a noticeable disconnect between the weak stock market performance...

The month of May provided remarkable volatility for North American equity prices with considerable mid-month share weakness offset by a late month recovery. As a result, by month end the main North American equity indices closed flat to down...

Equity and fixed income markets declined precipitously during the month of April as investor pessimism grew due to fears of rising interest rates, central bank monetary tightening, and Eastern European turmoil. Although corporate earnings have been...

Equity markets during the month of March posted positive returns having “climbed the proverbial wall of worry”. Specifically, the investor fears of rising interest rates, tightening central bank monetary actions, continued supply chain...

As we entered the month of February, investors’ primary macro financial concerns were higher interest rates, pending U.S. Federal Reserve tightening actions, and inflation. The current geopolitical tensions at hand have caused considerable...

Common stock prices started the month of January quite weakly and remained at these low levels until the last two trading days when they rallied significantly to record a strong finish. Despite this recovery, however, all major indices posted...

Volume 33, Issue 1

North American equity markets rebounded from the November decline to register positive returns for the month of December and 2021. Consequently, in December the ABC Funds recorded new 2021 price highs with their positive performance. More...

North American equity markets started November positively, however, by late month common stocks gave up their gains to register losses for the period. Interestingly, all three ABC Funds recorded gains for November and outperformed their respective...

We are pleased to announce that the ABC Funds Family was awarded the 2021 Refinitiv Lipper Fund Canada Award for the Best Equity Fund Family Group Over Three Years. We are honoured and motivated to continue our pursuit of investment excellence....

North American equity markets made a remarkable recovery during the month of October after a particularly weak September. U.S. equities generally outperformed Canadian common stocks during the October period, enabling our ABC Funds to outperform...

The month of September tends to be a volatile month for the stock market and the past month was true to form: As Brandon Michael, senior analyst at ABC Funds commented: “Investors can breathe a sigh of relief now that September, historically the...

Canadian and American stock market indices continued their upward price momentum during the month of August, led by the information technology, communications, health care, and financial services sectors. Similar to the month of July, U.S. equities...

North American market indices were flat to slightly higher during the month of July with U.S. equities outperforming Canadian comparables. The three ABC Funds outperformed their respective index benchmarks during this period mainly due to four...

Volume 32, Issue 2

North American stock market indices reported positive investment returns for the month of June. Most interestingly, however, is that this performance did not emanate from the formerly top performing financial services/banking sector. Rather,...

While the ABC Funds prices for the month of May were mixed, there were a number of important positive developments indicating future ABC outperformance. For instance, NVIDIA, a top ABC Funds holding, reported better than expected Q1 earnings and...

Equity prices continued their ascent during the month of April. All five ABC Funds outperformed their index benchmarks this past month due to the resurgence of our technology and healthcare holdings and our major commitment to U.S. common shares....

North American equity indices rose during the month of March adding to their 2021 run. Ongoing positive stock market influences include improving corporate earnings results, continued low interest rates with an upward sloping yield curve,...

A late month equity market sell-off due to concerns of rising bond yields appeared to worry investors. We believe, however, that this anxiety is transitory given that interest rates are still at exceptionally low levels, an estimated 75% of...

While North American market indices were negatively impacted by temporary price volatility at the end of January, we believe that our portfolios are well positioned for the year. In fact, despite the slight January market setback, a number of our...

Volume 32, Issue 1

The North American stock markets continued their upward price trajectory during the month of December, enabling many equity indices to achieve new record highs at year end. All five ABC Funds closed out the December 31, 2020 year end positively and...

North American stock market indices catapulted higher during the month of November after two consecutive months of declines. This improvement was principally due to the peaceful resolution of the U.S. presidential election on November 3rd,...

We are pleased to announce that the ABC American-Value Fund was awarded the 2020 Refinitiv Lipper Fund Award for 5 year North American equity performance. We are honoured to receive this prestigious investment recognition and thank our whole ABC...

North American equity markets declined during the month of October. This weakness was largely a result of investor jitters regarding continued COVID-19 outbreaks, especially in Europe; rising investor anxiety as to the outcome of the November 3rd...

Volume 31, Issue 4

All North American stock market indices closed down during the month of September. Some investment pundits have attributed this poor performance to an uncertain U.S. November 3rd presidential election outcome, worsening COVID-19 outbreaks, and even...

The American stock market indices continued to climb a “wall of worry” during the month of August. Led by the technology and fintech sectors, the Nasdaq and S&P 500 advanced to new 2020 highs. This has confounded many investors who remain...

The summer 2020 stock market rally extended into the month of July showing powerful strength despite uncertain global economic activity, continued COVID-19 outbreaks, and an undecided US Presidential election. Positively impacting common stock...

Volume 31, Issue 3

Both the Canadian and U.S. stock markets edged higher during the month of June, providing for a third consecutive month of positive investment performance. Interestingly, not all sectors participated. For instance, interest sensitive utilities,...

North American stock markets continued to improve during the month of May, carrying forward a remarkable recovery from the late March 2020 lows. Although the present global economic environment remains uncertain, common share prices are forward...

North American stock markets rebounded remarkably during the month of April, despite the global economic and investment pessimism which had confronted investors at the end of March. Investors’ worst fears did not transpire as significant...

Volume 31, Issue 2

The month of March was challenging for global financial markets as investors assessed the spread of COVID-19 and the wide-ranging economic impact of social distancing and self-isolation. Additionally, an unexpected Saudi Arabian – Russian...

North American equity markets continued to set new all-time price records in February, up until the last ten days of the month, as escalating coronavirus fears brought extraordinary volatility to global equity markets. Despite this volatility, we...

All five ABC Funds ended the month of January with remarkably positive investment returns, significantly outperforming their index benchmarks. Among the notable Canadian equity winners included: Algonquin Power, Brookfield Asset Management, Fortis,...

Volume 31, Issue 1

The 2019 stock market run continued into the month of December, climbing a formidable “wall of worry” of investor pessimism relating to global recession fears, an inverted yield curve, U.S. China trade negotiations, presidential impeachment...

The bullish market tone continued into the month of November with both American and Canadian stock indices reaching 2019 highs. Although several important geopolitical concerns have yet to be resolved, a surprisingly positive 2.1% second estimate of...

The month of October saw a divergence between Canadian and American stock market returns. While the main U.S. equity indices produced a positive performance of 1/2% – 3 1/2%, the comparable Canadian results generated declines of 7/8% – 3...

Volume 30, Issue 4

All five ABC Funds produced positive returns for the month of September within a very fluid economic and political environment. While investors remain concerned with regard to slowing global economic growth and the lingering China/U.S. trade...

August was a volatile month in the financial markets as global trade tensions lingered and bond yields continued to recede. While common stock prices declined marginally over the period, our five ABC Funds are outperforming their index benchmarks...

All five ABC Funds appreciated during the month of July, outperforming their respective investment benchmarks and reaching 2019 price highs. This performance was primarily due to our portfolios’ meaningful overweighting of U.S. equities and...

Volume 30, Issue 3

The U.S. stock market rallied sharply in the month of June, capping off the best first half of the year performance for common stocks since 1997. All five ABC Funds produced meaningfully positive investment returns, outperforming their respective...

Global equity prices declined during the month of May amid lingering trade tensions. Although the Trump administration previously indicated great optimism in April with regard to a U.S. – China trade agreement, no formal resolution was...

All five ABC Funds produced materially positive investment returns for the month of April and outperformed their respective index benchmarks. These results were largely due to our portfolios’ meaningful weighting of Information Technology,...

Volume 30, Issue 2

All five ABC Funds posted positive investment returns for the month of March resulting in their comparative outperformance versus their index benchmarks over the one-month and year-to-date periods. More importantly, we believe the five funds are...

All five ABC Funds produced positive returns for the month of February, building on strong gains since the start of 2019. Equity markets benefitted from easing U.S. – China trade tensions and a more dovish Federal Reserve monetary policy...

North American stock markets rebounded significantly during the month of January from the late December 2018 price lows. Having maintained an optimistic investment stance and fully invested portfolio positions entering 2019, our ABC Funds recorded...

Volume 30, Issue 1

The year 2018 was an erratic investment year fraught with extraordinary security price volatility. Interestingly, despite good corporate earnings, dividend increases, and share buybacks, the major North American stock indices all ended the year with...

North American equity markets edged higher during the month of November, earning back a portion of October’s major price setback. All five ABC Funds posted positive November and year-to-date returns with firming prices in the health care,...

Although the month of October was a volatile period for common stocks, bonds, commodities, and the Canadian dollar, the ABC Funds took this opportunity to add new holdings and strategically position itself for the coming year. On earnings, many...

Volume 29, Issue 4

Despite all the financial, investment, and political confusion during the month of September, four of our five ABC Funds posted positive investment performance over the past four weeks. Although there was price weakness in the U.S. banks and...

The U.S. and Canadian stock markets pivoted in different directions during the month of August. For instance, while the major American equity indices rose between 2 ¼ % to 5 ¾ % the S&P/TSX Composite declined approximately 0.8%. Largely due...

The North America equity markets moved higher during the month of July. Interestingly, the U.S. stock indices continued to outperform the Canadian indexes and this event benefited our ABC Funds which are approximately 65% U.S. weighted. Our 100%...

Volume 29, Issue 3

All five ABC Funds performed positively during the month of June. More importantly, the year to date and 12 month returns to June 30, 2018 have outpaced the Funds’ respective benchmarks. Notable Canadian common share advancers over the past month...

All five ABC Funds outperformed their respective benchmarks for the month of May. These excellent returns were largely due to two important factors: Our portfolios’ significant U.S. equity exposure and our relative underweighting of Canadian...

The extreme stock price volatility experienced in February and March continued into the month of April. However, the excellent quarterly earnings and revenue beats of a number of our favoured portfolio holdings including Amazon, Facebook, Microsoft...

Volume 29, Issue 2

Considering the extreme price volatility of the market we are pleased that four of our ABC Funds are still posting positive year to date investment performance. Overall, we remain optimistic for the balance of 2018. It is our view that the equity...

While there was extraordinary global stock price volatility during the month of February our five ABC Funds outperformed their respective index benchmarks during this period. More importantly, a number of our individual stock holdings reported...

All five ABC Funds posted materially positive investment returns for the month of January and significantly outdistanced the S&P/TSX benchmark. This outperformance was primarily due to our portfolios’ meaningful overweighting of American...

Volume 29, Issue 1

The five ABC Funds outperformed their respective investment benchmarks for the year 2017. This achievement was primarily due to our portfolios’ significant U.S. equity overweighting relative to Canada, which provided our Funds with materially...

All five ABC Funds posted positive investment returns for the month of November to reach new 2017 price highs. The ABC Funds’ relative outperformance compared to their index benchmarks was mainly attributable to their 60-70% American securities...

Canadian and U.S. common stocks were notably stronger during the month of October lifting all five ABC Funds to 2017 price highs. Positive highlights over the past four weeks included earnings beats from ABC holdings: Amazon, Google, Microsoft,...

All five ABC Funds’ portfolios produced positive investment returns for the month of September. This performance was largely due to U.S. and Canadian banks and financials, as well as certain individual holdings including: Home Depot, Boeing,...

Primarily due to our significant equity exposure in American healthcare, technology and financials the five ABC Funds have outperformed our index benchmarks for year-to-date 2017. We continue to have in place a 100% U.S. currency hedge which has...

All five ABC Funds outperformed their respective benchmarks during the month of July, mainly due to our investments in select U.S. technology, industrial and consumer discretionary stocks. Although the Canadian dollar appreciated significantly...

Having just completed the first six months of 2017, we are pleased to report that all five ABC Funds outperformed their respective benchmarks during this period. More importantly, we have continued to reposition the portfolios toward larger...

Our ABC Funds’ investment strategy to overweight U.S. large capitalization equities, fully-hedge our $U.S. currency exposure as well as bulking up on solid, high dividend-paying Canadian pipelines and utilities, yielded significantly positive...

Over the past 18 months we repositioned our ABC portfolios toward a significant weighting in larger capitalization American technology, financial services, consumer discretionary and health care companies while fully hedging our U.S. currency...

All five ABC Funds appreciated during the first quarter of 2017 outperforming various equity benchmarks. Our portfolios are diversified and composed of high quality companies with strong growth prospects. Heading into the second quarter we remain...

All five ABC Funds improved during the month of February outperforming various equity benchmarks largely due to our significant commitment to U.S. common stocks. All five of our ABC Funds have a 100% currency hedge covering our American dollar...

All five ABC Funds increased in price during the month of January. This appreciation was largely due to a number of our U.S. holdings, which surged in value since the beginning of 2017, including: • Electronic Arts• Amazon.com • Brunswick...

All five ABC Funds appreciated during the month of December and are well positioned for 2017. Wishing everyone a healthy and happy 2017. Irwin A. Michael, President I.A. Michael Investment Counsel Ltd.

All five ABC Funds appreciated during the month of November. With the new U.S. president-elect and his expansionary business policies we anticipate positive economic and financial results in 2017. Irwin A. Michael, President I.A. Michael Investment...

The ABC Funds modestly declined on the October 31st valuation date primarily a result of weaker U.S. share prices. Largely due to the uncertain outcome of the November 8th U.S. presidential election, the major U.S. stock averages fell between -1% to...

On October 20th, ABC Funds holding, SVB Financial Group, reported third quarter earnings of $2.12 per share, topping analysts’ estimates of $1.73. SVB is the holding company for Silicon Valley Bank, a California based commercial bank serving...

Looking back at the macro landscape very little has changed over the past few months. Investors are still speculating when the U.S. Federal Reserve will initiate its next interest rate increase and on the outcome of the November 8th U.S....

The Apple iPhone 7 was released on September 16, 2016, and early data looks promising. iPhone 7 demand appears to be tracking ahead of expectations, led by a strong consumer reception and aggressive carrier promotions in the US, China and other...

ABC Funds’ holding, PepsiCo Inc., reported strong third quarter earnings results of $1.40 last week, topping analyst estimates by eight cents. Additionally, management increased its fourth quarter and full year earnings and revenue guidance. These...

All 5 ABC Funds produced positive investment returns for the month of September and improved three-month performance for the July 1 – September 30 quarter of between +3 1/4% to 5 1/2%. This appreciation was largely the result of rising share...

On September 20th, ABC Funds’ holding, Adobe Systems Inc., reported impressive third quarter 2016 financial results, exceeding analyst expectations on both the top and bottom line. Adobe develops and markets various software products, digital...

Brookfield Property Partners L.P. owns, operates and invests in commercial properties in North America, the UK, Europe, Australia, and Brazil. With the recent Brexit vote result and its subsequent price decline, BPY shares appeared quite...

One of the ABC Funds’ recent investments is Enbridge Inc., an operator of pipelines, storage facilities and distribution networks for natural gas, crude oil and liquids. The company also provides power in Ontario and the northern U.S. We see...

As mentioned in the January 2016 edition of The ABC Perspective, there have been many far-reaching economic, technological and social changes that have transformed the global investment environment. The newsletter’s front-page headline was...

The month of August was characterized by subdued stock trading volumes, the lowest daily volumes in about two years. Furthermore, the past four weeks were marked by a lack of price volatility, in which none of the major North American indices posted...

On Tuesday, The Home Depot reported a strong second quarter and raised its forward operating guidance. The company earned $1.97 per share, which was in line with analysts’ expectations, however, a significant positive was The Home Depot’s full...

On August 11, Nvidia Corporation announced another strong quarter with its Q2 2016 results. The graphics-chip company reported sales of $1.43 billion and EPS of $0.40 versus analysts’ expectations of $1.35 billion and $0.37, respectively. This...

An ABC holding, CCL Industries, a Toronto-based manufacturer and supplier of packaging and labeling for the consumer products sector, announced Q2 performance this week. The company reported revenue and earnings which significantly beat analysts’...

All five ABC Funds appreciated during the month of July. This improvement was largely due to the unexpectedly positive earnings results released over the past several weeks of such ABC holdings including: Apple Inc., Celgene Corp., Facebook Inc.,...

On July 28th, Alphabet reported an impressive quarter with strong revenue and profits. The company exceeded expectations with revenue growing 21% year-over-year as demand for online advertising continues to remain robust. The company experienced...

Equity markets continued their upward trend this week as a number of companies reported strong earnings results. One of our holdings, Microsoft, reported impressive revenue and earnings. These results beat analysts’ expectations because of its...

The past week has been characterized by positive financial and economic announcements which have taken the various equity indices significantly higher since the lows after the U.K. Brexit results. Notably, the American technology, health care,...

With the unexpected increase of 287,000 U.S. jobs created for the month of June, we would like to highlight four points: U.S. economic data is unusually volatile as evidenced by the comparatively disappointing May jobs creation of 38,000. May’s...

The month of June was mainly influenced by Britain’s referendum, which led to the surprise decision to exit the EU. As a result, stocks showed a meaningful negative reaction followed by a subsequent recovery. While the implications of the Brexit...

Over the past six days investors have experienced great shock, an overreaction and subsequent recovery from the surprising negative outcome of the U.K. referendum on remaining in the European Union. Interestingly, there might be a positive effect on...

The Brexit results out of the U.K. last night challenged global stock markets today. While not trying to minimize the consequences, we believe that the huge negative hype following the vote will eventually calm down and well-positioned companies...

Over the past week, international securities markets have exhibited considerable volatility. This current environment is largely due to the uncertainty surrounding the June 23rd UK referendum on whether to maintain its membership in the European...

On June 7th, Dave & Buster’s Entertainment Inc., a leader in operating entertainment centres and attractions, released impressive Q1 2016 results. The company reported revenue and EPS of $262 million and $0.72 versus expectations of $251.5...

All five ABC Funds appreciated during the month of May rising between +3% to +4%. This improvement was greater than the various stock market indices largely due to better quarterly performance results of a number of ABC shareholdings including:...

Algonquin Power & Utilities Corp. owns and has interests in a diverse portfolio of renewable power generation and infrastructure assets across North America. Some of these projects include thermal energy facilities, water distribution, and...

One of the ABC Funds’ favoured holdings is Electronic Arts (EA), a developer, publisher, and distributor of interactive entertainment. Our original thesis for adding the company to the ABC Funds was that EA would benefit from rising demand in...

Stingray Digital Group is a Montreal-based small capitalization company specializing in curated music to businesses and individuals globally and delivered through television and mobile platforms. Held in three of our ABC Funds, Stingray is free cash...

One of our ABC Fund holdings, Kraft Heinz, announced solid earnings this week: Kraft Heinz Company reported first quarter results that were surprisingly above analyst expectations. Earnings per share were $0.73, which was $0.12 higher than expected...

Over the past several weeks a number of our ABC Funds’ holdings have reported improved earnings which beat analysts’ expectations along with elevated forward business guidance. Examples include East West Bancorp, Amazon.com, Boston Scientific,...

Over the past two weeks we have seen several of our companies report their quarterly results in the midst of earnings season. Four ABC Funds’ holdings that have released their financials include: Uni-Select, a leader in the distribution of...

This week we would like to highlight East West Bancorp, a California-based regional bank specializing in a broad range of banking services in several states in the US as well as cities in China. The company reported strong results for Q1 2016. EPS...

The New Value “Every time we’ve moved ahead in IBM it was because someone was willing to take a chance, put his head on the block and try something new.” – Thomas J. Watson Over the past decade there have been many changes...

Six Flags Entertainment Corp. is a theme park operator across North America that offers rides, water park attractions, concerts, game venues, and retail outlets. We believe that Six Flags is an attractive investment for a number of reasons. Firstly,...

All five ABC Funds appreciated during the month of March. This improvement was largely due to a few factors including: Recently released and improved quarterly revenue and earnings performance of common share holdings held in the funds. Rising...

Nvidia is a technology company favourite owned by the ABC Funds. The company designs, develops, produces and markets visual computing products, earning most of its revenues from selling GeForce processors for PC gaming. We believe Nvidia operates a...

CCL Industries Inc. is a global leader in label and packaging solutions for large corporations and small businesses. The Toronto-based company operates a vast distribution network of 119 facilities in 31 countries. CCL Industries is attractive for...

One of our preferred ABC Fund holdings is Loblaw Companies Limited. Loblaw is attractive for several reasons. Firstly, it’s a leading and well-managed Canadian grocer selling under its Loblaws, PC and Joe Fresh brands. Secondly, the company, after...

Two ABC Funds’ favourites include technology companies, Skyworks Solutions and Broadcom. Skyworks and Broadcom both reported excellent Q4 2015 results as revenue and earnings both beat analyst expectations. We believe that the radio frequency (RF)...

One of the ABC Funds’ holdings, among several others, that reported stellar Q4 2015 earnings results was Kraft Heinz, one of the world’s largest food companies. On February 25th, Kraft Heinz announced results that beat analysts’ revenue and...

Although our five ABC Funds declined during the month of February several points should be noted: During the first two days of March the Funds have recovered almost all of the negative returns of February.   Interestingly, at least ten of our...

The Q4/15 earnings season has been characterized by considerable variability, although many of the ABC Funds’ holdings have reported consistent, strong results. On February 23rd, The Home Depot reported excellent Q4 and full year 2015 performance,...

Earlier this week, Exco Technologies announced the intent to acquire a group of private companies operating in Mexico and Michigan. The target is a leading supplier of interior trim components that sells to a diversified group of North American...

Some Thoughts on a Market Recovery  The present stock market negativity, extensive media attention on share price declines, fears of a pending economic recession and expanding investor pessimism are all adding to a growing crescendo of anxiety....

One of our favoured ABC Funds’ biopharmaceutical holdings is Gilead Sciences Inc. (GILD). Gilead discovers, develops, and commercializes medicines in areas of unmet needs around the world. Its flagship drugs are Sovaldi and Harvoni, both of which...

Notwithstanding the negativity of global equity markets, many ABC Funds’ holdings posted positive performance results over the past week, including Facebook, Aetna, Amgen, Microsoft, Visa, MasterCard, Skyworks Solutions, and Alphabet.  More...

In our January 2016 ABC Perspective, we highlighted the many far reaching economic, financial, and lifestyle changes that have transformed the investing environment over the past decade. Specifically, we pointed out: The development and rapid growth...

Although we have admittedly migrated to a number of good valued American common stocks, we still believe there are selective, attractively priced Canadian stocks that are: Debt-free Free cash-flowing High $U.S. revenues with low $CAD costs (currency...

One of our favoured ABC Fund holdings is Walgreens Boots Alliance, Inc. We are particularly attracted to its growing retail drug store/health care business, which is propelling the company to be one of America’s biggest prescription dispensers....

While North American common stock prices did make an attempt to rally in early December all the popular stock averages closed down for the month. This included the TSX 300 which declined 3.41% for the month and -11.09% for the year. Oil fell almost...

As we reflect back over 2015, investors have experienced extraordinary unsettling economic, political and financial events. This included the Greek financial crisis, Middle East turmoil, falling resource prices, a weak Canadian dollar and a...

A new stock addition to one of our ABC Funds is Brunswick Corporation. Brunswick is a diversified manufacturer of consumer products including marine engines, fitness, billiards, and bowling equipment. We believe that the company has great assets and...

One of our favoured Canadian equity holdings is Stingray Digital Group. Eric Boyko, the CEO of Stingray Digital was on BNN Monday December 14 and he explains the company’s Australian acquisition and Stingray’s future prospects. Below is the...

We recently purchased a US retailer for our ABC American Value Fund. The Kroger Company is an operator of food and drug stores across America and is currently the country’s largest supermarket chain by revenue. We believe that Kroger is an...

Two favoured ABC Funds’ holdings reported excellent results this past week. They include: Exco Technologies reported a solid quarter, with EPS and revenue beating analyst forecasts. Revenue growth was robust, driven mainly by increased European...

After significant investment outperformance in October, November was relatively flat. Despite November’s volatile equity market, we believe that we are approaching the end of the tax loss selling period and anticipate stronger common stock prices...

One of our favoured Canadian, non-resource common stocks is Uni-Select Inc., a Boucherville, Quebec distributor of automobile replacement parts and automotive paint products. With the recent opportunistic sale of its U.S. automotive parts division,...

Despite the excessive pessimism in U.S. retail stocks during the second half of 2015, we believe that specialty retail is an excellent place to invest. This week two of our favoured specialty retail stocks reported excellent quarterly results. Foot...

Despite market volatility and investor concerns with regard to US Federal Reserve policy, global economic growth etc., several of our ABC common stock holdings reported solid quarterly results this week. Two examples include Equitable Group and...

Yesterday after the market closed, it was announced that Honeywell International agreed to buy Com Dev International’s space equipment business for $455 million, with the ExactEarth segment being spun out to Com Dev shareholders. Com Dev is a very...

All five ABC Funds posted excellent performance results for the month of October. Admittedly, while some of this appreciation could be attributed to a snapback of equity prices due to unduly depressed September valuations, we were particularly...

Three of our common stock selections held in our ABC Funds reported news this week. We believe that these announcements were quite positive and should eventually lead to higher share prices: Transforce, a transportation and logistics services...

Over the past year, we have added numerous technology stocks to our five ABC Funds. We particularly like this sector as it contains a number of high quality, free cash flowing and fast growing companies trading at attractive valuations. Two of our...

Since the end of September, North American common stocks have materially recovered as higher U.S. interest rates have been pushed out to 2016 along with the expectation of easy worldwide monetary conditions for at least the next several quarters....

Over the past several months, North American equity prices have been extraordinarily volatile and negatively affected by the lack of clarity regarding a number of macro economic and political issues, including: Decelerating Chinese economic growth...

The various market indices fell precipitously during the month of September. The declines ranged from -1.5% to -6% largely due to continued concerns and lack of clarity with regard to decelerating Chinese economic growth, uncertain U.S. Federal...

Despite the extreme market volatility due to the Federal Reserve’s decision to hold interest rates unchanged, lower growth expectations in China, oil and metal price variability, Volkswagen, etc., one solid performing area has been the consumer...

Three ABC Funds’ free cash flowing, dividend-paying, Canadian favourites Although our recent common stock purchases have primarily been in the U.S., three free cash flowing, dividend-paying Canadian favourites include: Stingray Digital Group Inc....

Com Dev International reported its Q3/2015 results this morning and then held a 10am conference call. Given that Com Dev is a significant shareholding in our ABC Funds and its share price has been rather weak over the past two months, we were...

“An Unexpected Positive Surprise” About four months ago we purchased the common shares of Kansas City, Missouri-based H+R Block (HRB), a financial company primarily known for its tax preparation services. Despite the fact that H+R Block’s...

Global equity prices during the month of August were extremely volatile and weak. Nagging uneasiness about Chinese economic growth and its fragile equity market, speculation on the U.S. Federal Reserve interest rate policy, worries about the U.S....

Over the past two weeks, global equity markets have exhibited extraordinary volatility and remarkable price weakness amid late summer seasonality. Share price declines are largely attributable to lingering concerns such as China’s decelerating...

Global equity markets have declined precipitously this past week amid seasonally light volume. Interestingly, at this time of the year summertime seasonality can be quite influential on both common stock trading activity and prices due to North...

Over the past month numerous companies have reported their latest corporate earnings results. This week, we will highlight the earnings of two long-term ABC Funds holdings. For instance: Polaris Materials Corporation, an operator of aggregate...

Today, the U.S. Bureau of Labor Statistics released the July 2015 U.S. non-farm payroll employment numbers of 215,000 new jobs and an unchanged unemployment rate of 5.3%. Interestingly, the Bureau announced that the job gains occurred primarily in...

Our three open-ended funds, ABC Fully-Managed, ABC Fundamental Value and ABC American-Value all posted positive investment returns and relative outperformance versus their benchmarks for the month of July. These results were largely due to the...

Despite a very fickle marketplace for common share trading during the month of July, we are taking advantage of this volatility to purchase relatively undervalued securities. Two recent American stock purchases include: Amgen is a biotechnology...

Over the past several weeks, investors have seen significant share price volatility. This variability has been largely due to the Greek financial situation, the uncertain U.S. Federal Reserve interest rate intentions as well as a considerable price...

Since the beginning of 2015 we have repositioned all five ABC portfolios. We materially reduced our resource exposure and significantly diversified our equity holdings in free cash flowing undervalued companies. In fact, our macro investment thesis...

Global equity markets have remained very volatile as the U.S. dollar and commodity prices have continued to fluctuate due to worries about the ongoing negotiations with Greece, China’s deflating stock market, and the U.S. Federal Reserve’s...

Common share prices were extraordinarily volatile during the month of June. The fact is that a major cloud overhanging worldwide equity markets has been the precarious Greek financial situation and default risk. This ubiquitous financial threat has...

The month of June has been characterized by unusual volatility. The Eurozone’s ongoing negotiations with Greece, the U.S. Federal Reserve’s interest rate intentions, commodity price variability, and China’s slipping economic growth overhang...

Since the beginning of June, global equity and fixed income markets have continued to exhibit considerable volatility primarily due to expectations of an impending U.S. interest rate increase and the unresolved Greek debt situation. However, the...

Com Dev International Ltd. We have owned Com Dev International Ltd., a manufacturer and distributer of space communications for at least five years. We originally purchased its common shares at about $4 for our ABC Fundamental-Value Fund and...

As we complete the first week of June our ABC Funds are showing positive returns for the month. We have remained very selective and patient with our common stock activity as we continue to reposition our portfolios for a better performing second...

The month of May was characterized by a wide divergence in stock prices, mainly driven by speculation on the U.S. Federal Reserve monetary policy and the financial situation in Greece. Interestingly, while the Canadian market declined about 1.25%...

During the month of May, we continued our search for common stocks exhibiting respectable free cash flow, strong balance sheets, and attractive valuations. The latter half of the month has been characterized by wide variability in stock prices...

As we approach the last week of May, so far, there has been no sign of the “sell in May” trade that the media frequently publicizes at this time of year. In fact, common stocks have been trending higher. On the economic front, Wednesday’s...

As we head towards the latter part of May and the long weekend, we have seen positive signs of strength, particularly in the U.S. market. While there is still considerable variance in stock prices, many share values in our portfolio have been...

The past week has been characterized, once again, by a continuation of stock market volatility, which was mainly driven by corporate earnings and to an extent, a solid U.S. jobs report released this morning. Positive employment numbers are a good...

April was a very volatile month for common stocks and currencies. Not only were there huge stock price swings driven by corporate earnings reports but also there were larger than anticipated fluctuations between the Canadian and U.S. dollar. In...

The past few weeks have been turbulent for stocks, which were mainly driven by the myriad of corporate earnings reports and to some extent, more dovish comments by the U.S. Fed. It seems that with lower than targeted inflation, there is no rush to...

Over the past couple of weeks the market has remained volatile with greater than usual fluctuations in the equity indices and currency exchange rates. While some of the market variations were caused by speculation over China’s fiscal and monetary...

Since the beginning of April, ABC Funds continued its pursuit of attractively valued securities. Although this month has been characterized by volatility in North American market indices, energy prices, and the U.S./CAD exchange rate, we have taken...

The month of March has been quite volatile for both common stocks, oil and currencies. Over the past four weeks we continued to reduce our Canadian resource exposure and restocked our portfolios with free cash flowing, dividend paying Canadian and...

Stock market activity over the past four weeks has been quite volatile as new economic data was released and the prospect of interest rates increasing south of the border has been delayed. Oil continues to look for direction while Alberta is...

While North American equities during the month of March have been characterized by considerable price volatility, we have continued to strengthen and diversify our portfolios with attractively valued, free cash flowing equities. To exemplify what...

Over the last six months we have focused our purchases on free cash flowing equities. It is our view that companies which are free cash flowing are in a great position to add value through share buybacks, initiating or increasing dividends, paying...

All five ABC Funds performed well during the month of February as a number of our new and older holdings appreciated due to positive quarterly earnings results, dividend increases and company share buybacks. With regard to our Canadian holdings,...

We have been experiencing interesting times in the market over the past four weeks. Oil and the Canadian dollar both seem to have stabilized, and consumer confidence is positive, especially with the decline at the gas pump. As February is coming to...

The month of January was a very volatile month for equities and currencies. While the main Canadian equity benchmark rose approximately +1/2%, the various U.S. indices fell between 2.00-3.75% during this period. During this period, three of our...

The past four weeks have been quite eventful with regard to economic statistics, corporate earnings, volatile commodity prices as well as currency valuations. As we complete the first month of 2015, we would like to review our investment activities...