December was a mixed month for equity markets as investors digested late-year economic data and positioned portfolios ahead of 2026. While market performance was uneven, our focus remained on quality and secular growth themes which we believe will drive long-term returns.
Several core holdings delivered strong results during the month. Micron Technology stood out with an exceptional earnings report and outlook, driven by surging demand for high-bandwidth memory, a key component in next-generation AI data centers. This momentum has propelled Micron into a top position within our ABC Funds. Other notable contributors included NVIDIA, ASML, Visa, Toronto Dominion Bank, and S&P Global.
Moreover, NVIDIA continues to lead the AI revolution. Today, the company’s CEO, Jensen Huang, will deliver the keynote address at CES, one of the most influential tech events globally, where he will highlight the future of AI across industries including robotics, healthcare, and autonomous systems.
Looking ahead, we are optimistic about the investment landscape in 2026. On the macro front, we expect the U.S. economy to remain strong, interest rates to decline, and corporate earnings to continue trending upwards. These factors combined with resilient economic data, should provide a positive backdrop for equities.
More importantly, we believe we are at the forefront of a transformative period in technology and our ABC Funds are strategically positioned to benefit from a broadening of artificial intelligence, robotics, and next-generation computing.
We wish you a happy and prosperous New Year, and we look forward to building on this year’s progress as we navigate the opportunities ahead.
Irwin A. Michael, President
I.A. Michael Investment Counsel Ltd.