FidelityConnects

Aneta Wynimko joins us on the program today to discuss the latest consumer spending patterns, and share where she is finding opportunities around the globe. Aneta manages the Fidelity Global Consumers Industry Fund, which focuses on companies engaged in various sectors of the consumer industry, such as retail, luxury goods, cosmetics, apparel, electronics, and many more. Aneta shares that her focus is on identifying companies with powerful brands, pricing power, and the ability to adapt to changing conditions. She seeks out high-quality management teams with innovative ideas that have a proven track record of execution, leading to sustainable growth over time. Aneta touches on a variety of topics, including the impact of interest rates on consumer behavior, the interplay between brand loyalty and quality, and a concept Aneta calls "money illusion", where consumers don't realize the impact of inflation on their spending power.

Recorded on August 11, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Today we welcome Assistant Portfolio Manager at Fidelity Global Finanical Services Fund, Lee Sotos, as dives into the financial sector and gives an overview of the effect of regulations on banks. He says the regulations involve increasing capital by 20 per cent in risk-weighted assets to slow lending. Banks are adapting to higher regulation but are not completely closed off to lending. They are exploring other forms of income and deposits and not just focusing on loans. Regional banks are trying to keep up and compete with larger banks. They face extra macro-prudential regulation if they have over 100B in assets. They participate in more stress tests and follow more liquidity rules. He adds that there are opportunities in the banking sector, especially for banks with stable deposit bases and better capital situations. And big banks offer diversification in deposits, loan books, and revenues. Lee also points out that despite the potential risks of higher rates or credit losses, banks are already reserving for credit issues, positioning themselves well for any downturn.

Recorded July 28, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Director of Quantitative Research Denise Chisholm joins us once again on the program to discuss credit rating agency's Fitch’s downgrade of the US government credit rating, and how it plays into the ongoing inflation story.  Denise says that valuation spreads remain wide in the equity market and are resting at the exact same levels as they were during the trough of correction after the 2011 debt downgrade, a historical pattern that points to the ability of markets to shrug off current uncertainty.  Denise also explains to host Pamela Ritchie that in some ways the debt story is related to the inflation story, with the debt to GDP ratio markedly higher on the government side than on the consumer side.

Recorded on August 3, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Today on the program we welcome back Fidelity International Investment Director Tom Stevenson to the show as he discusses the state of the global equity markets, what are the latest developments in Europe and around the globe, and where he is seeing opportunities. Tom speaks about the inflation and points out that inflation is coming down in Canada and in Europe it’s becoming moderate, but adds we’re not out of the woods yet. Over the next few months, it might go up again 4 to 5 per cent. He adds UK interest moved up a bit. The next question is how long will interest rates stay at peak then come down again as we move towards a recession. Tom also speaks about earnings. He says we’re halfway through the earnings season and so far, so good. The expectation is that we get a decent double-digit bounce back, which constitutes a soft landing. Tom also touches on the slower than expected growth in China and what stocks look attractive right now including consumer stocks in Europe.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Today on the program are Equity Research Analysts Evan Zehnal and Vishal Chopra.  They discuss how technology and A-I are moving the markets right now and what that could mean for Canada and the U.S. Vishal, whose coverage includes Canadian technology and healthcare, explains that IT services have experienced elevated flows with regards to earnings. Evan, who covers U.S. software, cybersecurity and internet, says that this year’s market story has largely been one of consumer resilience, but that companies are still trimming their budgets to get leaner in anticipation of a recession. Vishal and Evan speak to host Bryan Borzykowski and explain that with rising interest rates companies are looking to grow at a slower and more sustainable rate and are paying attention to things like near term cash flows as opposed to growth duration.

Recorded on August 1, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Today on the program, Director of ETFs Andrei Bruno shares his insights on the  capital market playbook for the second half of 2023.  Andrei speaks about the inflation story and how it may change and he also points out the different indicators he’s looking at that may potentially move the markets.  He says inflation is heading in the right direction. With Canadian consumers much more sensitive to interest rate hikes than their US counterparts. He believes the Bank of Canada is more hawkish and says we won’t see the interest rate going down anytime soon, maybe sometime in 2024. In terms of market factors, he’s keeping an eye on import-export data, employment numbers, and GDP.  The main goal is to get that number to 2 per cent or below but banks do not want to push the economy into a hard landing scenario. Andrei also discusses the inverted yield curve, the state of the equity market and if people are taking on more risk at this point in time.

Recorded on July 31, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Today on the program, we’re joined by fixed income portfolio manager Jeff Moore. Jeff provides his insights on the fixed income markets for the short and long term, what’s moving the market, and where he sees inflation going at this point in time.  So is inflation under control right now? Jeff says inflation is falling, but we’re not getting back to two percent anytime soon. At this stage, the market is saying the Fed is behind pace, but is making progress. Jeff adds an analogy saying if we get to a blue or black ski run, that means something in the economy has broken - but right now, we’re on the green run. But what if something does break, and a recession happens, why do you want to be in bonds? Jeff suggests you’d love to be in bonds right now because of yields. We’re seeing the power of yield and compounding come to the forefront.  Jeff also touches upon China’s slow growth and opening and the European central banks latest moves. 

Recorded on July 27, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Joining us on the podcast today is economist and author Linda Nazareth. She discusses the shifting tides of Canada’s economy, and how factors such as technological advancements and climate change are altering the future of work. She says AI is causing huge changes and it’s time as individuals and a society to start changing with technology. She adds organizations need to be constantly on top and looking for what they need - this means hiring people, retraining them, and figuring out how to make employees stay long-term. Linda explains to host Pamela Ritchie that there are two primary ways to boost productivity- either have people work longer hours or invest more in advanced technology. She adds companies must change the climate of work and avoid a toxic work environment to get the best performance out of employees. Linda says investing in machines that boost productivity are essential, in addition to re-educating workers as they get older.

Recorded on July 26, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.

Today on the podcast we are joined by Director of Global Macro Jurrien Timmer to discuss what it will take for markets to enter a recessionary environment and what he thinks about recent earnings.  And with earnings season well underway, many companies are reporting better than expected numbers. But despite these results, Jurrien says he doesn’t expect the Fed will give markets an easy out, with a recession expected to occur 3 to 9 months after the yield curve’s most inverted point.  Jurrien explains to host Pamela Ritchie that declines in earnings have largely been the result of shrinking profit margins following inflation. He says that top 10 S&P mega-caps continue to move the market, but that 87% of stocks in the S&P 500 remain above the 50-day moving average, a big difference from the last several months.  

Recorded on July 24, 2023.

At Fidelity, our mission is to build a better future for Canadian investors and help them stay ahead. We offer investors and institutions a range of innovative and trusted investment portfolios to help them reach their financial and life goals. Fidelity mutual funds and ETFs are available by working with a financial advisor or through an online brokerage account. Visit fidelity.ca/howtobuy for more information.

For the second year in a row, FidelityConnects by Fidelity Investments Canada was ranked the #1 podcast by Canadian financial advisors in the 2022 Environics’ Advisor Digital Experience Study.