Invesco Canada blog

Insights, commentary and investing expertise

Staying on guard against overconfidence


Global Market Strategist, Invesco Ltd.
August 24, 2020

Subject | Macro views

It’s August in New England for the Hooper family, which means hot summer days, barbecues, and lots of time in the water. Every year at this time, my thoughts turn to the iconic movie “Jaws,” which, as regular readers of this blog may remember, is another summer tradition for me. The book came out when I was still a toddler, and the movie soon after, so I must confess that I have never felt comfortable swimming in an ocean in my entire life. In fact, I recall reading the book as a child in the car as we drove from New York to Florida for a beach vacation — and declaring after a particularly frightening chapter that I was ready to turn around and go home.

Continued

Comments Off on Staying on guard against overconfidence

Global central banks – The permanent actor


Senior Portfolio Manager
August 20, 2020

Subject | Macro views

The global financial crisis of 2008 has become a blueprint for how policymakers are acting today to smooth the negative growth and inflation shock from the ongoing health pandemic. Many global central banks have been forcefully pushing liquidity into markets to foster economic stability. Collapsing domestic demand and falling inflation has enabled an environment of co-operation between central banks and governments to ensure liquidity remains abundant and activity levels can be sustained without interruption.

Continued

Comments Off on Global central banks – The permanent actor

Today’s “risk on” environment may be here for the long term

To assess whether a prolonged “risk-on” environment has emerged, it is important to focus on what we know about market cycles. While no two market cycles are identical, they tend to follow similar patterns. This time has been no different, the global pandemic notwithstanding.

Continued

Comments Off on Today’s “risk on” environment may be here for the long term

Optimism persists despite U.S. stimulus stalemate


Global Market Strategist, Invesco Ltd.
August 17, 2020

Subject | Macro views

Last week, I laid out five things to watch in the month of August. Over the past seven days, we’ve seen new developments in each one. This week, I offer a quick update to each of those five issues, and then highlight positive news for U.S. jobless claims and vaccine development.

Continued

Comments Off on Optimism persists despite U.S. stimulus stalemate

Have the biggest mega-caps run too far?


Senior Director of Equity ETF Product Strategy
August 14, 2020

Subject | Invesco

In 2020, U.S. equity markets have taken a path that few could have seen coming.  As a result, the S&P 500 Index has become more top-heavy than it’s been in 45 years. Below, I explain why this is the case, what it means for investors — and what they can do to help mitigate this concentration risk while maintaining exposure to the companies that make up this well-known benchmark.

Continued

Comments Off on Have the biggest mega-caps run too far?