Last week, I talked about sector diversification and how it helps reduce risk in your portfolio. This week, I want to build on that by introducing sector rotation – a strategy some investors use to try and stay ahead of market trends. But before we dive in, if you’re new to investing, sector rotation might […]
Monthly Archives: February 2025
Weekly Update for the week ending February 14, 2025
When it comes to investing, putting all your money into one industry is like relying on a single star player to carry your hockey team. Sure, they might put up big numbers in some games, but if they hit a slump, run into tough opponent or get injured, your team (or portfolio) could struggle. That’s where sector diversification comes in. Just like a championship team needs a mix of scorers, grinders, defenders, and a rock-solid goalie, a strong portfolio benefits from investments across multiple sectors. This strategy helps balance risk and improve long-term performance, no matter what the markets throw your way. Let’s take a closer look.
The Magnificent Seven
The Magnificent Seven: Powerhouses Driving Innovation and Market Growth The Magnificent Seven isn’t just a legendary Western movie anymore—it’s also the nickname for the seven technology giants shaping the future and dominating stock markets. These companies aren’t just industry leaders; they’re innovators, disruptors, and the driving forces behind some of the biggest trends in artificial […]
Weekly Update for the week ending February 7, 2025
With tariffs dominating the news the last few weeks, I thought it’d be a good time to talk about how they impact us as consumers and investors.
What Are Tariffs?
Tariffs are essentially taxes on imported goods, meant to regulate trade and protect domestic industries. In this case, President Trump is using them as a bargaining chip in trade negotiations. By making foreign products more expensive, tariffs can push consumers toward locally made goods, but they often come with unintended consequences.
Monthly Portfolio Update January 2025
January was a comeback month for the markets, with all four major North American indexes finishing in the green and getting back in the win column. The rally was fueled by strong earnings, solid economic data, and the Fed’s decision to keep interest rates steady. Excitement around AI also played a big role, pushing technology stocks higher—at least for most of the month. But it wasn’t all smooth sailing.
Weekly Update for the week ending January 31, 2025
I originally planned to kick off this update with an in-depth look at dividends—a topic I’ve been wanting to discuss for a while. However, two things changed that plan. First, the discussion on dividends grew much larger than I anticipated, making it tough to fit within this post. Second, an unexpected market-shaking event took centre stage: the rise of a new artificial intelligence (AI) player, sending ripples through the markets and making waves among the current AI leaders.
Rather than glossing over this event, I felt it warranted a more detailed discussion. This week, China’s DeepSeek AI entered the scene, disrupting expectations and raising major questions about the future of AI investments.