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What is your Investment Process?

How Does 19.8% Over 25 Years Sound?

Investing is all about decision making, what to buy, when to buy, when to sell and it is these decisions that ultimately determine whether or not you are going to meet your financial goals. The unfortunate thing is that these decisions are often influenced by negative factors which cloud our judgment. How many times have you bought a stock you saw being promoted in the newspaper or on television only to see that stock fall right after you bought it? How many times have you purchased a mutual fund simply because its performance was better than average last year only to see it become the worst performer the next? How may times have you sold a stock because the news told you that the stock was at the top only to see it double in the next three months? It is these decisions and more importantly the information that you use to make these decisions, that will determine how early you can retire or how many weeks vacation you'll be able to spend in the Mediterranean.

Our Quantitative Model takes the guess work out of these decisions and has stood the test of time by delivering superior returns for the past 25 years. The process is easy to use and simple to understand. We have identified six characteristics which we feel should signal strong performance in the coming year. We feel that stocks with higher yield, lower price to earnings, lower price to book, higher return on equity, higher price momentum and higher earnings momentum should outperform those stocks that lack these qualities. The stocks are then ranked by each characteristic and given an overall socre. We recommend purchasing the top 15 stocks on this list since they contain more of the desired characteristics which we feel should lead to out performance. Once a stocks fall out of the top 35, we sell the stock and replace it with the next highest ranking one. The process is simple to use and easy to understand. We know exactly which stocks to buy and the model tells us exactly when to sell. We review and update your holdings on a monthly basis so you can be assured that your account will be reviewd at least that frequently.

If you think that the process is too simple or that things should be more complicated, think again. This process has been around since 1982 and has stood the test of time against several market booms and crashes and has out performed the TSX by over 11% during that time period. Can you say that your portfolio has averaged 19.80% over the past 25 years?

Due to the success of this model, we have now expanded it to not only included the TSX but also the S&P 500, Income Trusts and Small Cap stocks.

Investing doesn't have to be complicated and your returns don't have to suffer. For more information about this process including more detailed performance numbers as well as specific portfolio details, feel free to give me a call and I would be more than happy to show you what I have to offer.