Larry Berman, host of Berman’s Call on BNN, previews his keynote address for his upcoming 2015 winter-spring speaking tour, a cross-Canada series of free investor education events...
The world offers some exciting investment opportunities, but did you know that Canada represents a mere 4% of them? It turns out that, in the grand global scheme of things, the Canadian economy is pretty small. Good things often come in small packages, and for almost a decade Canada outperformed most of the world. All good things must come to an end though, and in the past three years, Canada went on to become one of the worst-performing markets.
Our high sector concentrations make our markets less diversified across economic sectors, and therefore more volatile (more of those big ups and downs). Just look at the price of oil or gold and other metals – all have been devastated, and our economy relies heavily upon them. Add in mounting concerns about overvaluation in our housing market, and excessive household indebtedness, and it’s clear Canadian investors will need to look at the rest of the world to help grow their portfolios.
The new reality of global investing
Investing abroad has historically presented some challenges. It wasn’t so long ago that we were restricted in the amount of foreign investing allowed in RRSPs, and weren’t allowed to hold currency other than Canadian Dollars. Investing globally also used to come at a huge cost premium, but all of that is now a thing of the past. In recent years, the ETF revolution has radically improved our access to global markets, and reduced the costs for individual investors to participate in them. Despite this freedom, Canadians continue to have the majority of their assets allocated at home. It’s time for a change.
What it could mean for you
Some of the current opportunities in global markets may surprise you: Would you buy a 5-year German Bund paying a negative interest rate? I’m here to show you what opportunities do currently exist, and how you can broaden your investing horizons to strengthen diversification and returns in your portfolio. In my upcoming tour, I’ll also be looking at the biggest factor in global returns – currency – and discuss whether the price of oil or the Bank of Canada will determine the value of the loonie in the coming years.
Interested in attending?
Upcoming tour dates include…
Vancouver - February 8th
Surrey/Coquitlam - April 16th
Calgary - April 18th
Grande Prairie - April 23rd
Edmonton - April 26th
Markham - March 8th
Ottawa - March 12th
Niagara Falls - March 21st
Kitchener/Waterloo - April 1st
Toronto West (Vaughan) - April 12th
Montreal - March 14th
Saskatoon - February 26th