Market Insights

Decorative pattern

Economic Indicators

Debt downgrade threatens muni bonds

Having narrowly escaped the U.S. debt default blow, the holders of municipal and state bonds were only beginning to breathe easy when the credit rating downgrade rekindled their worst fears. A haircut for these investors may now be inescapable as state and local governments brace for unprecedented budgetary challenges. There could be some blowback on […]

By Vikram Barhat |August 11, 2011

3 min read

Decorative pattern

Industry

U.S. woes could boost emerging markets

As nervous investors grapple with the U.S. credit rating downgrade and the resultant market uncertainty and panic, the world continues to be reshaped. With renewed vigour, advocates of emerging markets are pointing out deteriorating debt metrics in the developed world, contrasting it with improving debt metrics in much of the emerging world. “There’s going to […]

By Vikram Barhat |August 11, 2011

3 min read

Decorative pattern

Industry

Active managers excel in Q2

A little volatility can be a good thing if you’re an active manager. Q2 saw 68% of active managers beat the index, according to the Russell Active Manager report. That’s a massive improvement from just 39% in Q1. The bar was set pretty low, as the S&P/TSX Composite Index declined 5.2% in Q2, dragged lower […]

By Staff |August 10, 2011

2 min read

Decorative pattern

Industry

BMO target date fund moves to protection mode

BMO Investments has shifted its BMO LifeStage Plus 2017 Fund asset allocation to a “protected” asset mix, and will exclusively hold fixed income securities and cash until its target end date. “In keeping with the fund’s investment strategies, this reallocation to a fixed income portfolio is intended to ensure the fund maintains sufficient assets, at […]

By Staff |August 10, 2011

1 min read