Invesco Canada blog

Insights, commentary and investing expertise

Market review: U.S. jobs disappoint, U.K. voters head to the polls


Global Market Strategist, Invesco Ltd.
June 6, 2017

Subject | Institutional | Macro views

Last week, the U.S. jobs report for May took centre stage in terms of economic data. Nonfarm payrolls grew just 138,0001 – well below expectations and certainly not what was indicated by the ADP National Employment Report released earlier in the week,2 which showed payroll growth of 253,000 in May. Employment disappointment extended back to the previous two months. The April nonfarm payrolls number was revised down from 211,000 to 174,000, while the March jobs report was revised down from 79,000 to an even more anemic 50,000.1

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Three ways we manage risk in emerging markets


Head of Emerging-Markets Equities, Invesco Hong Kong Ltd.
June 5, 2017

Subject | Active management | Institutional | Trimark

Many investors perceive emerging markets (EM) as a risky place to invest their money. Visions of faraway places with different approaches to business, regulation and governance can be intimidating, but the reality in many EM countries is very different today than it was just twenty years ago. In this blog post, I’m going to discuss the three main ways our funds differ from others when it comes to managing risk and maintaining a strong risk/return profile for our EM investments.

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Interest-rate outlook: Excess pessimism in U.K.


Senior Portfolio Manager, Head of North America Rates, Invesco Fixed Income†
June 2, 2017

Subject | Institutional | Invesco | Invesco Fixed Income (IFI) | Macro views

During the recent rate rally, the Canadian 10-year government bond yield held at 1.45% and has bounced slightly from there, but still remains at the lower end of its recent range.1 Economic data has tapered off from the strong rebound seen in the first quarter and the Bank of Canada continues to keep monetary policy on hold. The U.S.’s recently imposed tariffs on Canadian softwood exports raised concerns about broader trade implications. In addition, a Canadian subprime mortgage lender has experienced a liquidity drain, drawing attention to an area of the mortgage market that is not typically in the news. We would expect Canadian yields to remain supported in any sell-off.

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Can factor investing help overcome investor bias?


Vice President, Global Investment Strategies, Invesco Canada
June 1, 2017

Subject | ETFs | PowerShares | Smart beta

Modern behavioural science is revolutionizing fields as diverse as medicine, government policy and sports management. Nowhere does it have more potential to add value than in the field of finance, in my opinion. Case in point: smart beta factor-based ETFs.

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Market review: What to look for in Trump’s budget, and beyond


Global Market Strategist, Invesco Ltd.
May 31, 2017

Subject | Institutional | Macro views

Investors have no shortage of headlines to absorb as we approach the summer months. Below, I highlight three key takeaways from the U.S. last week, featuring a new federal budget proposal from the Trump administration – and preview three questions that will be answered this week concerning jobs, productivity and growth in North America.

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Currency outlook: Continued CAD volatility


Senior Portfolio Manager, Head of Macro Research and Global Multi-Sector Portfolio Management, Invesco Fixed Income
May 29, 2017

Subject | Institutional | Invesco | Invesco Fixed Income (IFI) | Macro views

The Canadian dollar weakened significantly in April, breaking out of its one-year range. A combination of factors contributed to the weakness. Higher U.S. oil production and lower oil prices have put pressure on the Canadian currency. The announcement of U.S. tariffs on Canadian softwood exports has also been a factor. Third, the recent liquidity problems of a Canadian subprime mortgage lender have played a role. Despite the recent strength in the latter half of May, we believe weakness in the Canadian dollar is likely to continue.

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