Game Changer.

I’ve been writing for some time about how the constraints that the Federal Reserve (Fed) is operating under make it such that it’s likely they will overreact to inflation, thus causing a recession. Despite the gravity of the ‘R’ word, the recession that is likely to materialize should be mild given we’re coming off a…

The Economics of Care in Mental Health

With roughly one third of Canadians being affected by a mental illness in their lifetime[1], it can be argued that the historically underfunded sector of mental health care doesn’t make sense. It doesn’t make sense in the obvious humane sense, but it also doesn’t make sense economically.This is true, not just in Canada, but globally….

The Uncertainty Portfolio

“The test of a first-rate intelligence is the ability to hold two opposing ideas in mind at the same time and still retain the ability to function. One should, for example, be able to see that things are hopeless yet be determined to make them otherwise.”- F. Scott Fitzgerald Readers of Viewpoint’s publications over the…

Structural Alpha: Why the Diversification Premium Isn’t Going Anywhere

Factor investing has become commonplace in the world of investment management ever since Eugene Fama and Kenneth French published their three-factor asset pricing model three decades ago. Since then, a lot of dedicated work has gone into uncovering new factors and sources of excess return unexplained by the factors that came before them, launching a…

The World’s Sport

In the wake of an entertaining FIFA World Cup, many of us may be reeling in our recollections of the wide variety of memorable upsets that took place. Whether it be the Saudi Arabia team starting their tournament with a victory over eventual champions Argentina, or the Moroccan team knocking out Spain, the tournament was…

Navigating the Sea Change

As we reflect on 2022, most investors will agree that it was challenging year. However, we can also take a prospective view that the challenges of 2022 have provided a much healthier opportunity set for investors looking into 2023 and beyond. For equity investors, depending on the strategy, most diversified indices saw losses that clustered…

Who Killed the Phillips Curve?

As central banks around the world continue to tighten monetary policy in an effort to tame inflation, the question on everyone’s mind is if monetary policy will be able to slay the inflationary dragon without plunging the economy into a recession. Rhetoric from the Federal Reserve (Fed) would suggest that monetary policymakers have come to…

Financial Literacy: What Is It Good For?

Many families struggle with conversations about money. When this includes potentially large inheritances, it can be very difficult knowing when to begin these discussions with the next generation. Do they have the skills to manage large amounts of capital? How will you help them understand this is more about passing on a legacy than money?…

Stop Concentrating. Start Amplifying.

A well-known adage is that risk and reward go hand in hand. To increase your potential upside, you must be willing to withstand increasing levels of uncertainty as to whether that upside will be achieved. The prospect of becoming a famous actor in Hollywood sounds enticing, until you realize that there are very few leading…

Deus Ex Machina, Figuratively

Machine learning and artificial intelligence have seen a precipitous rise in popularity and noteworthiness over the past few decades, and with increasing vigor over the past few years. It seems like everyone and their dog is doing machine learning to solve some sort of problem. This herculean rise in popularity can be quantified by the…