Concerns about inflation, new variants, and a possible market correction loom over investors' optimism for the reopening. Fixed income portfolio manager, Sri Tella, joins us to discuss his outlook on the Canadian economy and the current positioning of the various funds he manages. For Canadian investors, Sri has portfolio manager or subportfolio manager responsibilities on 12 Fidelity Canada mutual funds, ETFs, and private pools – including Fidelity Canadian Bond Fund, Tactical Fixed Income Fund, and Canadian Balanced Fund. Sri believes that Canada is on pretty good footing as vaccination rates are high and there is growth in the global economy, which bodes well for Canada as it relies on exports. He notes that he is constructive on provincial bonds and thinks they look attractive from a valuation perspective. Additionally, Sri shares that in terms of positioning, he continues to like short corporate bonds and even lower quality bonds because the prospects for any defaults are extremely low. Sri also comments on housing in Canada and shares his thoughts on the Canadian dollar.

Recorded on July 28, 2021.