Article by Harry Griffin for the the Times & Transcript January 31, 2018

The idea of value investing is something that has been around for some time. The strategy, famously adopted by Warren Buffett, involves buying companies at a price below their intrinsic value. A company’s stock price is very simply the last price someone traded that stock at. But that doesn’t necessarily mean that price is what that stock is fundamentally worth. The intrinsic value is what the share price should be based on company fundamentals (growth estimates, profit margins, debt levels, risk, etc…). The intrinsic value of a stock can be subjective, but an investor who can come up with an accurate estimate can theoretically achieve superior returns by using it as a gauge of when to buy and when to sell.

The Purpose of This Role:
Reporting to the Operations Manager, this position is a key member of the Operations team with the responsibility of ensuring smooth business operations by performing various day-to-day accounting, reporting, and performance-related functions. This role is also responsible for the continuous improvement of operations by suggesting and implementing innovative improvements that aim to support the short and long-term success of the firm. The successful candidate has a passion for the investment management industry and strives for continuous self-development.

Equity Markets

This last quarter was simply an awful period for equity investors. The weakness was pronounced and spread across all equity asset classes. This is the result of a falling investor sentiment during the period as investors worried about slowing growth and trade tensions. While there is evidence that growth is slowing, the US economy continues to perform relatively well. For this reason, the Fed is normalizing interest rates higher. Equity investors are worried about interest rates slowing down the economy in the latter stages of a business cycle.

Article by Marcel LeBlanc for the Times & Transcript January 17, 2019

Have you ever wondered why it’s easy to convince yourself you deserve a trip every year yet it’s hard to bring yourself to increase your retirement savings? There’s a fairly simple economic model that is used to explain our preference in relation to consumption and savings over the course of our lives. This model can help explain why we make the choices we make and why we’re naturally inclined to make decisions that can hurt our financial success.

Equity Markets

Equity markets felt differently based on which region you were in this quarter. Certainly, the United States plays a central role in the world economy and investors felt comfortable buying more shares in its market. Investors were wary of other regions, which can in part be attributed to constant trade negotiations and frictions between the world’s largest economies. For most Canadian investors, this resulted in good returns from US equities but negative returns for Canadian and EAFE equities.

Equity Markets

Equity markets behaved well in the second quarter, a nice rebound from the first quarter of the year. Canadian investors benefitted from a strong domestic market and from a weak loonie versus the US dollar, which helped US returns be more generous when translated in Canadian dollars. However, the opposite currency impact occurred for EAFE returns as the Canadian dollar strengthened versus other foreign currencies. Volatility levels have fallen from the levels experienced early in the year but remain higher than the unusually steady year we experienced in 2017.

Louisbourg Investments seeks a self-motivated individual to join our dynamic team and play a leading role as Investment Advisor

Stepping up against gender-based violence

On May 25, the Louisbourg Investments men put on red (or pink) high heels and participated in Walk a Mile in Her Shoes® for a good cause. Together, we walked down Moncton’s Main Street to symbolize our intolerance towards gender-biased violence and raise awareness on this important issue. Our team raised $9,080 for the South East Sexual Assault Centre!

Equity Markets

Last quarter, we commented on the unusual low-level of volatility. As this is no longer the case and market gyrations are more commonplace, it’s important to remember that volatility is the historical norm and not the exception. Investors continually worry, rightfully so, about macroeconomic and company specific risks. The worries of the day are global trade and the pace of interest rate increases. We feel it is healthy to have corrections, to consider risks, in what we feel is a generally positive investing environment. In this environment, Canadian equities started off the year limping for investors. US and International equities were volatile but performed better than domestic equities and were helped by a weakening loonie for Canadian investors.

I often get asked, “Scott, what is your best single piece of advice?” Typically, I will respond that sometimes the best move you can make is to limit making bad decisions. Financial planning mistakes made now may sabotage your retirement dreams later. Poor financial habits such as overspending, lack of planning and bad risk management will increase the probability you will outlive your money.