67 WALL STREET, New York - February 1, 2013 - The Wall Street Transcript has just published its Investing in Canada Report offering a timely review of the sector to serious investors and industry executives. This special feature contains expert industry commentary through in-depth interviews with public company CEOs, Equity Analysts and Money Managers. The full issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.
Topics covered: Investing in Canada - Long-Term Investing - Canadian Dollar Investing - Value Investing
Companies include: EnCana Corp. (ECA), Talisman Energy Inc. (TLM), Manulife Financial Corporation (MFC), Sun Life Financial Inc. (SLF), Boeing Co. (BA) and many others.
In the following excerpt from the Investing in Canada Report, an experienced portfolio manager discusses his investment philosophy and top Canadian stock picks:
TWST: How would you describe your overall investment philosophy?
Mr. Dubeau: The investment philosophy is always based on value, so we are not momentum players chasing a runaway company or runaway stock price. We are mostly fundamentalists that look at not only the company, but also the sector and the geopolitical hypothesis that can affect such a company in that sector. We are really value fundamentalists, and sometimes also deep value, so we must be patient managers and investors. We try to be way ahead of the curve, and then try to sell out of a comfortable position when things are a bit too rich, often when there is no more compelling value. So this is mainly how we operate.
It's very simple; as for fixed income, we invest mostly into high-yield corporate bonds of very good quality, and about 70% of holdings in equities have dividends along our value approach. As our clientele gets older, we try to have a very nice stream of income in our portfolio, so that makes us be a very patient investor. Very simple - no options, no hedge fund, so we are on the long side most of the time or cash in any given time.
TWST: Is there anything else you would add in terms of key criteria you focus on when you're evaluating and selecting individual equities?
Mr. Dubeau: Not necessarily. It could be a sector that is devalued. Like in Canada, the life insurance sector in Canada was really devalued over the last two or three years - incredibly devalued, stocks of very good quality cut in half, and that was a sector that was really appealing. We constructed our portfolio and the financial side of the portfolio not only in Canadian banks, but also in life insurance companies...
For more of this interview and many others visit the Wall Street Transcript - a unique service for investors and industry researchers - providing fresh commentary and insight through verbatim interviews with CEOs, portfolio managers and research analysts. This special issue is available by calling (212) 952-7433 or via The Wall Street Transcript Online.