Looking for investing ideas? Here’s your weekly digest of the Globe’s latest insights and analysis from the pros, stock tips, portfolio strategies plus what investors need to know for the week ahead.
This REIT just dropped in price Wednesday - and there are five good reasons to buy on the dip
Investors typically buy real estate investment trusts for their steady cash flows and above-average yields, John Heinzl writes. Capital growth, while nice, isn’t usually the primary goal. But with interest rates tumbling recently, some REITs have delivered growth-stock-like gains. Case in point: Choice Properties REIT. Through April 29, Choice posted a year-to-date total return – including distributions – of 21.2 per cent, easily topping the 17-per-cent total return of the S&P/TSX Composite Index. Will such scorching gains continue? Not likely. Is Choice still an attractive pick for investors with a long-term horizon? Absolutely. Here are five reasons.
Related: Yield Hog: John Heinzl’s model dividend growth portfolio as of April 30, 2019
More from John Heinzl: How not to die with a big RRSP
3% GICs are fading away - here’s where you can still find them
The Bank of Canada’s latest comments on interest rates offer no hope to conservative investors and savers about better returns in the near term, Rob Carrick writes. With the economy struggling to build momentum, the central bank essentially has stopped talking about getting rates back to more normal levels. If you were wondering whether the pullback in yields on bonds and guaranteed investment certificates since last fall will be reversed any time soon, you now have an answer. The opportunity to lock in money at rates of 3 per cent and higher has mostly, but not completely, slipped away. Here’s a look at the few left standing.
More from Rob Carrick: Interest-rate bonuses are how online banks pretend to be competitive
There’s a lot to like in Berkshire Hathaway and the aging Warren Buffett
For anyone who harbours doubts about Wall Street’s current euphoria, Warren Buffett offers an appealing alternative, Ian McGugan writes. His company is flush with cash, ready to do deals and managed by smart people. Unlike the broad U.S. stock market, Berkshire Hathaway does not depend on a handful of gigantic tech companies to propel its growth. If a downturn does come – and it always does – Mr. Buffett and Berkshire look like good candidates to prosper.
Related: The Oracle of Edmonton: Is Greg Abel the next Warren Buffett?
Read more: Warren Buffett defends Kraft, says Wells Fargo made ‘big mistakes’
Gordon Pape: Three lesser-known ETFs worth considering as the bull market marches on
Several major stock indexes touched new highs in April and, despite some negative indicators, it doesn’t look like this bull run is going to end any time soon, Gordon Pape writes. There are many ways you can participate in it, but the cheapest and easiest route is by using exchange-trading funds (ETFs). They offer a ready-made portfolio of stocks at reasonable fees. Here are three lesser-known ETFs you might want to consider.
More from Gordon Pape: It’s time to take advantage of the benefits of REITs. Here are two to jump on
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Why this Sun Life portfolio manager is trimming her equity position and embracing higher quality bonds
The markets have rebounded strongly so far in 2019, after a sharp correction in the fourth quarter of 2018, which has some investors feeling confident. At Sun Life Global Investments, portfolio manager Kathrin Forrest is more cautious. “There has been a push-up in valuations across both equities and bonds. One thing we are watching closely is the underlying fundamentals, where the data has turned mixed, particularly outside of the U.S., including here in Canada,” says Ms. Forrest, whose team manages more than $14-billion in assets. “We are watching corporate earnings very closely.” The Globe and Mail recently spoke with Ms. Forrest about her market outlook and the asset classes she’s been buying and selling.
Read more: Canadian equities: Why I’m still expecting mid-to-high single-digit returns over the next 12 months
What investors need to know for the week ahead
It’s another busy week ahead for corporate earnings. Companies set to report their latest financial results include Air Canada, WestJet, Aurora Cannabis, George Weston, Barrick Gold, Sun Life Financial, Thomson Reuters, Brookfield Asset Management, Canadian Tire, Hydro One, Magna International, Telus, Quebecor, TMX Group, Enbridge, Bausch Health, Great Canadian Gaming and Onex. Economic data on tap include: U.S. consumer credit for March (Tuesday); Canadian housing starts for April (Wednesday); Canada’s new housing price index and merchandise trade balance for March, plus U.S. goods and services trade balance and wholesale trade figures for March (Thursday); and Canadian employment for April and building permits for March, as well as U.S. inflation numbers for April (Friday).
Looking for more investing ideas and opinions?
Transat, Alphabet and more investing stars and dogs for the week
Why this investor should sell mutual funds and buy GICs
Billionaire tops up his investment in this penny stock
A stock that has delivered strong returns along with downside protection
Goodbye, variable-rate mortgage. Everyone’s going fixed these days, and for good reason
The argument for holding bonds: A diversified portfolio has proven benefits
The argument against holding bonds: Your portfolio is better off without them over the long haul