New Weekly Newsletter
In late January, we introduced a new weekly newsletter for our clients and followers. According to a 2016 study by Morningstar, 67% of clients want their investment manager to email at least every month or week. We already provide a monthly investment performance update, and we believe it is important for our investors to have ongoing access to key articles that we believe are relevant to building a solid financial foundation.
We hope you enjoy your access to the weekly premium subscription content from The New York Times, Reuters, Forbes, The Globe and Mail and other publications. We have also begun sharing this content via our Facebook, LinkedIn and Twitter social media feeds.
Feel free to share any of this content with your family, friends and business associates. If you feel the volume of correspondence is too much, please email us and we can adjust the timing to better suit your needs.
January 2017 Investment Performance
The post-election honeymoon period continued into January, with the market remaining relatively calm. Our top performers in January were Seagate Technology and CIBC, while Apple had a solid holiday quarter that has led to strong gains in its stock price in early February.
We continue to have difficulty finding good value in the current market environment with the Trump “hopium.” As a result, the cash levels in our investment products remain relatively high with the Affinity portfolio at 50% cash and the Optima10 at 24% cash. We believe that being patient with our dry powder will protect capital and allow us to take advantage of more attractive valuations over the next few months.
An overview of the performance of our actively-managed products is as follows:
- The AFINA Optima10 was up +0.1% in January, and was up +23.9% in 2016 compared to the benchmark return of 14.8%.
- The AFINA Affinity was down 1.3% in January, and was up +20.6% in 2016 compared to the benchmark return of 14.8%.
|Instruments (% return)||Jan. 2017||2016|
As of January 31, 2017. All figures are net of fees and other expenses. Past performance is not indicative of future results. Refer to https://www.afinacapital.com/legal/ for full details and disclosures.
(1) The benchmark represents a 50% weighting of the S&P 500 Total Return Index in Canadian dollars and a 50% weighting of the S&P/TSX Composite Total Return Index in Canadian dollars.