History Shows US elections Cause Drop in Canadian Stocks

History Shows US elections Cause Drop in Canadian StocksAny slump in Canadian stocks in the wake of the U.S. presidential election will be fleeting, history suggests. And while this isn’t any normal election, market strategists say the brighter outlook for energy outweighs rising qualms about the outcome. Canadian stocks tend to sell off on a change in the White House, regardless of the winner, with the S&P/TSX Composite Index tumbling in the aftermath of eight of the past…

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Canada and the Loonie Just Got Some Great News

Canada and the Loonie Just Got Some Great NewsIt looks like Canadian investors can enjoy a sigh of relief: the U.S. Federal Reserve signaled today that it wouldn’t raise rates. It also introduced an increasingly cautious approach by cutting the number of rate increases expected in 2017 and 2018. The long-run interest rate forecast was also reset lower to 2.9% from 3%. Why is this such a big deal? The loonie has faced an onslaught of pressures in recent months and years…

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World Will Feel Aftershocks of Brexit for Years to Come

World Will Feel Aftershocks of Brexit for Years to ComeBritain’s exit from the European Union is expected trigger increased volatility in global markets for months and years to come. Fears of the fallout were immediately manifested in global financial markets Friday, which lost about US$2 trillion in value, while the British pound suffered a record drop to a 31-year low. U.S. stocks witnessed their worst performance in 10 months. Here at home, the S&P/TSX Composite Index closed down 239 points….

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Loonie on Track For 2nd Biggest Decline Ever

Loonie on Track For 2nd Biggest Decline EverThe Canadian dollar is on track to experience its second-biggest decline on record against the U.S. dollar, and analysts forecast the currency could go lower before it bounces back next year. The loonie is now down nearly 17 per cent against the greenback for 2015, the biggest drop since 2008, when it lost 18.6 per cent against the U.S. dollar due to a collapse in commodity prices. With nine trading…

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Canada Remains One of the Top To Start a Business

Canada Remains One of the Top To Start a BusinessCanada remains one of the top countries in the world to start and run a business, according to a new report from the World Bank Group. The Great White North was just ranked 14th out 189 countries on the World Banks’ Doing Business 2016: Measuring Regulatory Quality and Efficiency rankings.Canada was ranked 13th last year, a drop of one spot. But, Rita Ramalho, manager of the Doing Business rankings and…

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Oil Price Forecasters Adjust to a New Market Reality

Oil Price Forecasters Adjust to a New Market RealityAs recently as a couple of months ago, few in Alberta would have predicted that the biggest blow to their oil-driven prosperity since the global financial downturn would come via a shakedown by Saudi Arabia. The most popular assumptions about the big risks would have been: lack of market access, competition from U.S. shale production, green campaigns against the oilsands, policy initiatives related to climate change and investment scarcity because…

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6 Stocks Loved By The Billionaires Club

6 Stocks Loved By The Billionaires ClubEvery quarter, I sift through a list of thirty billionaire asset managers and their holdings, uncovering the biggest similarities and differences that might be ripe for in-depth study. All the favorites are on my list: Warren Buffett, George Soros and Carl Icahn are some of the more notable names. Big earners like David Einhorn, Stanley Druckenmiller and Donald Yacktman add extra weight to the group, joining twenty-four others who have…

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The Invisible Correction

The Invisible CorrectionFrom Black Monday, Oct. 19, 1987, to the September 2008 crash caused by U.S. financials’ exposure to toxic subprime loans and credit default swaps, it’s no wonder that, when autumn nears, so do investors’ fears of stock-market routs. During the 2008 collapse, which was the last major market crash aside from the flash crash of 2010, U.S. equities lost 21% of their value in a week and continued to crater until…

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Why and When Using Debt to Invest Makes Sense

Why and When Using Debt to Invest Makes SenseThe history of investing is full of cautionary tales regarding the use of leverage to enhance returns, and how it is your best friend until it becomes your worst enemy. But many times, the trigger that causes great losses resulting from leverage has nothing at all to do with the quality of the underlying investments. The story is quite simple. Let’s say there is a good idea with a fair…

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How to Invest in Retirement

How to Invest in RetirementWhat happens to your RRSP when you retire? Prior to retirement, people maximize their contributions to their RRSPs, top up their children’s RESPs and put whatever is left over into their TFSAs and non-registered accounts. Once they hit retirement, the mystery about investing their savings to draw an income while unravelling these plans begins, and the biggest concern they face becomes not outliving their money. There has been a great…

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