FOCUS - a newsletter from globeadvisor.com
14 August 2003
to Advisor Focus |
Winter for Bond Funds
Managers Turn Bearish on Bonds
A monthly survey by Merrill Lynch has produced one of the
most widespread underweightings of bonds in many years.
- Some 21 per cent of global fund
managers believe bond prices to be overvalued,
compared with 61 per cent who held that view at the start
- One-third of the panel still thinks
bonds are expensive at current levels.
- Two-thirds think that yields on
10-year U.S. Treasury notes will be higher one year from
now, Merrill found.
Read Carolyn Leitch's full report.
METER: The Richest Canadians
According to Forbes Magazine's annual
ranking of the world's wealthy, these are the Canadians
with the biggest bank accounts:
- Kenneth Thomson and family, $14.0-billion
- Galen Weston and family, $6.2-billion
- James, Arthur and John Irving,
- Jeffrey Skoll, $2.8-billion
- Charles Bronfman, $2.2-billion
- Jim Pattison, $2.2-billion
View the list of the Top 10 Richest Canadians
- At 74, Jimmy Pattison Focuses on Long Term
In spite of his extreme wealth, the head of the Jim
Pattison Group carries his own baggage when boarding
flights, drives his own car (a two-door white Cadillac) and
lives in the same West Vancouver home that he and his wife,
Mary, have occupied for more than 35 years. Read the
STRATEGIES: Hot then Cold, High on Japan, Tech Valuations
Yesterday's Star Funds Can't Hack a Hot Market
Your clients should brace themselves for mutual fund
statement shock, version 2.0, writes Rob Carrick. Big
funds in general have lagged the indexes.
"What's especially dismaying is that the laggards include
several funds that did an outstanding job of protecting
investor capital during the worst of the bear
market...including Mackenzie Ivy Canadian, CI Harbour and
Investors Canadian Equity."
Plus: Login to globeadvisor.com and view a report
Giant Funds with assets greater than $5-billion.
Faith in Struggling Japan Pays Off in a Rising Sum
thick-skinned Contra Guys, by definition, invest against the
tide. But they readily admit that in championing the case of
"buying into Japan over the past year, we needed
industrial-strength rhino hide." Read the article to
learn their unique rationale for investing in Japan.
Insight: Technology Stock Valuations Running High
Yes, technology stocks are overvalued, remarks analyst
Dan Hallett. The numbers he ran on the largest 25 stocks
trading on the Nasdaq based on a weighted average valuation
speak for themselves:
- Price-to-Sales (P/S): 6x
- Price-to-Earnings (P/E): 34x
- Percentage of firms that reported a
loss: 24 percent
TECHNOLOGY: MSBlast Worm Targets Windows
Computer Worm Wreaks Havoc at Firms
The latest computer worm to infect hundreds of thousands of
computers worldwide has targeted machines that run certain
Microsoft Windows operating systems.
Read David Akin's report to find out how to rid your home
and work machines of the infection.