Paul Harris.
Paul Harris is partner and portfolio manager at Avenue Investment Management. His focus is North American and global equities.
Top Picks:
Barclays PLC (BCS NYSE)
Barlcays is a global financial services provider engaged in retail banking, credit cards, wholesale banking, investment banking and wealth management. It trades at 0.7 times book value, with a yield of 1.7 per cent and trades at 8.4 times 2015 earnings.
Amgen Inc. (AMGN NASDAQ)
Amgen is a biotechnology company that develops, manufactures and markets medicines for grievous illnesses. The company focuses solely on human therapeutics and advances in cellular and molecular biology. The stock trades at 18 times 2015 earnings and has a dividend yield of 1.55 per cent.
Canadian Natural Resources (CNQ TSX)
Canadian Natural Resources acquires, explores, develops, and produces natural gas, crude oil, and related products. The stock has a dividend yield of 2.4 per cent and trades at a 4.4 per cent price-to-cash flow on a forward basis.
Past Picks: November 7, 2013
Mainstreet Equity Corp. (MEQ TSX)
Then: $31.98; Now: $40.53 +26.76%; Total return: +26.76%
Regions Financial (RF NYSE)
Then: $9.26; Now: $9.76 +5.40%; Total return: +7.05%
Microsoft Corp. (MSFT NASDAQ)
Then: $37.50; Now: $46.05 +22.80%; Total return: +26.30%
Total return average: +20.04%
Market outlook:
Global stocks should continue theit slow long term "grind" higher due to low interest rates, high corporate probability and continued global GDP expansion. Bond yields will continue to stay low for the short and medium term as central banks withdraw monetary liquidity slowly. We think the opportunity is increasing in companies that can achieve good total return – a good dividend yield accompanied by strong balance sheets and high cash flow cover. In a low inflation environment these stock are likely to remain attractive.