STOCKCHASE

Brookfield Asset Management (A)

67.200

(A Top Pick Oct 14/08. Up 18.27%.) This and Royal Bank (RY-T) are the 2 most consistent performers in Canadian banks. (See Top Picks.) Increased its dividend in the later part of last year. US assets have done very well.

2009-09-04

PAST TOP PICK

Teva Pharmaceutical

TEVA-Q

51.160

(A Top Pick Oct 14/08. Up 23.38%.) World's largest generic drug company. Also have some branded drugs that are doing very well.

2009-09-04

BUY

Thomson Reuters Corp

TRI-T

34.260

Very strong balance sheet. Strong returns on capital over time. Steady increase of dividends. In a competitive sector but with the merger with Reuters last year it has ended up in a duopoly in information to the desktop.

2009-09-04

HOLD

Yellow Media Inc

YLO-T

4.850

A business in transition and is in a difficult situation. Moving from Yellow Page books to online services. Declining advertising revenue has happened much quicker than they can ramp up online advertising. A lot of the bad news is built into the price. Have a proven balance sheet and a strong free cash flow. 16.6% yield.

2009-09-04

DON'T BUY

BAM.A-T

23.280

Have a number of different assets in different fields. Recapitalized Brookfield Renewable Power Fund (BRC.UN-T) (formerly Great Lakes Hydro Fund) and have an opportunity to continue to build as part of their asset book. Very smart management. Trading around their NAV. Too expensive.

2009-09-04

HOLD

AGF Management (B)

AGF.B-T

10.630

(Market Call Minute) Questionable security behind some loans. Stock has run up on the expected sale of the company. Doesn’t think it is going to happen.

2009-04-17

BUY

Agrium

AGU-T

48.960

No doubt they will benefit going forward. Likes their business. People are shorting AGU against CF. Could see a significant rebound if economy rebounds.

2009-04-17

DON'T BUY

Bombardier Inc (B)

BBD.B-T

3.640

Aerospace business will remain grounded for some time. Lot of value to trains, etc. Doesn’t see a turn-around in Aerospace business any time soon. ‘C’ series is starting to get orders. Don’t have to wait until 2013 when they deliver first ‘C’ series for stock to take off. Travel business is not strong. Risk is losing backlog.

2009-04-17

PAST TOP PICK

26.070

(Top Pick Apr 08/08 Down 24%) Failure of takeover was perhaps the best thing that could have happened to it. 6 months or so of the private equity guys pouring through the balance sheets, looking to reduce costs was all a good thing. Valuation-wise he is a little cautious but long time you have a company that can grow dividends.

2009-04-17

BUY

Bank of Montreal

BMO-T

40.410

(Market Call Minute) Not first choice of banks – see Top Picks.

2009-04-17

WAIT

Caterpillar

CAT-N

32.290

(Market Call Minute) Excellent company and could come back in the long term. Will benefit as we come out of current economic cycle.

2009-04-17

PAST TOP PICK

Calloway REIT

CWT.UN-T

10.150

(Top Pick Apr 08/08 Down 44%) Buy it for the quality of the company, the fact that you are the Walmart landlord in Canada. Not much downside. Would buy for company and not for dividend.

2009-04-17

TOP PICK

Diageo PLC

DEO-N

47.260

Bought brands from Seagram’s. We drink in good times and in bad. Strong discipline on cost reductions and share money with shareholders and increased dividends. Some of their brands are the cheaper ones if you move down to cheaper brands.

2009-04-17

BUY

Enbridge

ENB-T

37.310

His choice over BA.UN-T. Long term record of steady returns, debt to equity position is kept under control. Management has shown discipline through various cycles.

2009-04-17

WAIT

Kraft Foods Inc

KFT-N

22.670

Doesn’t see any risk on dividend being ‘sliced’. Signs they may turn the company around. Interesting in picking them up. Thinks they will be in a position to meet the lower expectations for the May 9’th announcements. Might want to wait until after that announcement but after the announcement you may buy at a higher price.

2009-04-17

BUY on WEAKNESS

Manulife Financial

MFC-T

20.810

Was oversold when it was in the $10 range. Full of pessimism. Rebound takes it back into line. Thinks it will trade sideways and you could pick it up on weakness. Don’t wait for it to hit $10. Could go back to $15-$17. Favourite play in the insurance space, but Sunlife might be a better play short term.

2009-04-17

BUY

Power Financial Corp

PWF-T

23.410

Excellence in quality of management. Increase dividend and share increase in earnings with shareholders. You get share in holdings in Europe. Biggest shareholder in Total in France.

2009-04-17

WAIT

Rogers Communcations (B)

RCI.B-T

27.700

This sector has done relatively well during the downturn and you don’t expect these companies to do well on the rebound and they had a CEO succession. Telus numbers impacted RCI. Bell numbers would show that Good Telus numbers were self-inflicted.

2009-04-17

WAIT

Research In Motion

RIM-T

83.350

One of the best Canadian companies, creating a global market place for the use of smart phones. Concern is that what they have done is now to compete with Nokia an Apple on the consumer side of business and make it hard to make same returns. Fashion business does not work so well for Rim. Once you change to iPhone it is hard to switch back to RIM, but strength of business is how it ties back into business. When businesses start to hire again it will be strong for RIM.

2009-04-17

TOP PICK

Royal Bank

RY-T

43.150

Strongest bank based on valuation. Low as it has been relative to peers in 5-10 years. Dividend is safe. Write down on good will is signal that they are a strong company. Best fixed income debts out of any of the Canadian banks.

2009-04-17

BUY

Suncor Energy Inc

SU-T

31.300

Likes the company fundamentally and long term. Acquisition will really add some value long term. Short term will be a sideways move until Petrocan deal closes in 3-6 months.

2009-04-17

PAST TOP PICK

49.690

(Top Pick Apr 08/08 Down 19%) will continue raising dividends, still good pick.

2009-04-17

BUY

Toyota

TM-N

77.140

Validations are done differently in Japan. Good company.

2009-04-17

BUY

Trans Canada Corp

TRP-T

30.150

(Market Call Minute) Beneficiary of Mackenzie pipeline if it ever gets built (Believes it will). Beneficiary of economic recovery and good dividend.

2009-04-17

TOP PICK

Sysco Corp

SYY-N

22.920

Serve food to fast food and other restaurants. Disciplined on costs. Margins are consistent +/- 6%, generate high returns on capital. Increase dividend consistently.

2009-04-17

Comment

0.020

We are closer to the bottom of the cliff in the economy. The numbers are showing that the economy WILL turn around. We can expect an economic recover AT SOME POINT. The March lows were based on the prediction that the economy would fall off a cliff and the recover is a change in the prediction that it will recover and there wont be a depression. The November low could the low we will test. We will trade sideways for the next 3-6 months.

2009-04-17

Comment

HBP Global Gold Bull+ E.T.F.

0.020

Canadian Dollar : Probably pretty close to fair value. Comfortable at current value. Don’t see near term rebound in oil.

2009-04-17

DON'T BUY

Tata Motors Ltd.

TTM-N

7.220

This car makes smart car look like a mid-sized car and people are not confident in driving it on North American Highways. Prefers Toyota.

2009-04-17

VAGUE

HGU-T

8.830

Gold is an important part of any portfolio and is a good protector of value. There is enough gold bugs out there that will drive up the price of gold whenever there are inflation talks out there. This is a day-to-day speculative play. There is probably some more downside on the price.

2009-04-17

BUY

HBP S&P 500 Bear+ ETF

HSD-T

27.960

Going down because market is going up and this is how they play. Could test 50 day moving average in the short term so there is upside potential within next month or two.

2009-04-17

DON'T BUY

American International Group

AIG-N

1.030

Difficult one. US government has provided a lot of money to it. Any benefits they get from selling off bits and pieces of the business will likely go back to the government. Also think they will lose some of the best parts of the business.

2009-02-04

DON'T BUY

Bank of America

BAC-N

4.700

Will be a challenging time for them for the next 6 months. One need a better understanding of the valuations and understand how US will be putting a floor under the financial sector.

2009-02-04

PAST TOP PICK

24.900

(A Top Pick Feb 6/08. Down 26.7%.) Had believed the deal was going to go through. Going forward, it's a stronger company. If you are looking for a long-term dividend growth company valuations are not bad on this. Hold.

2009-02-04

Comment

Bank of Nova Scotia

BNS-T

29.720

Two-year outlook is probably good for any of the Canadian banks. The challenge and risk with this bank is their Latin American exposure. (See Top Picks.)

2009-02-04

PAST TOP PICK

Calloway REIT

CWT.UN-T

11.090

(A Top Pick Feb 6/08. Down 47%.) Their tenant Wal-Mart is one of the strongest retail names in North America and he was surprised that this has not done better. Still a Buy.

2009-02-04

DON'T BUY

Cemex SA

CX-N

8.280

Will be a long-term beneficiary of spending being done by governments. Challenge in the near term is their highly levered balance sheets. Would prefer CRH (CRH-N), which has a better balance sheet and good valuation.

2009-02-04

HOLD

General Electric

GE-N

11.260

Good proxy for the US economy. Expects recovery will not happen until the 2nd half of this year. Will probably trade sideways with potential of negative headlines because of their financial arm and the impact on their dividend and their AAA rating.

2009-02-04

BUY

Laurentian Bank

LB-T

28.220

(Market Call Minute.) Would prefer the bigger cap Canadian banks given their better diversification. They have done a very good job in improving their results.

2009-02-04

Comment

3M Co.

MMM-N

50.840

Very strong management team. Disciplined approach to reinventing their business regularly. Grown its dividends steadily.

2009-02-04

HOLD

Metro Inc (A)

MRU-T

38.700

Really likes this one. Has surprised over the years. Very shareholder friendly. Very disciplined management. Trading in line with the industry average at about 13X PE.

2009-02-04

WAIT

Morgan Stanley

MS-N

22.010

As a banker and being in the financial investment side and tied to economic recovery, you can wait until May or June before looking at this one.

2009-02-04

BUY

Research In Motion

RIM-T

69.100

(Market Call Minute.) Short term probably a Buy but as they move into consumer businesses, the nature of the business is changing.

2009-02-04

HOLD

Saputo Inc.

SAP-T

18.750

(Market Call Minute.) Difficult one. Earnings are just coming out which may change the story. Longer-term it is a Buy but in the short term it is a Hold.

2009-02-04

Comment

Suncor Energy Inc

SU-T

24.300

Have done a great job building their oil sands capacity. They will continue to be a very strong player in the oil sands. The challenge with the oil sands companies is the high capital costs and getting financing. If you're a long-term buyer this is probably a good time. Probably volatile over the next 6 months.

2009-02-04

TOP PICK

38.740

(A Top Pick Feb 6/08. Down 38%.) Excellent management with a very disciplined approach on managing. Very well positioned to take part in a recovery. US business is potentially in great shape with more deposits than loans.

2009-02-04

TOP PICK

Thomson Reuters Corp

TRI-T

30.600

People look at this as being very tied to equity markets. Thomson and Reuters gives significant amounts of synergy. Legal software should do well.

2009-02-04

DON'T BUY

TorstarCorp (B)

TS.B-T

7.830

2 businesses. Harlequin romances have had challenges over the last few years but seems to be turning around. Toronto Star has the largest newspaper circulation. This is a far more challenging business. Balance sheet is somewhat stretched.

2009-02-04

Comment

Unilever NV

UN-N

21.970

Well positioned on a global basis. Focused their product line on growth. Very long history of paying their dividends so presume it is safe. Payout ratio is less than 50%.

2009-02-04

TOP PICK

Sysco Corp

SYY-N

23.970

World's largest food service company. Very diverse client base with about 150,000 clients including Wendy's. Disciplined management. Very stable gross margins. Use cash flow to buy back shares and grow dividends.

2009-02-04

BUY

Armtec Infrastructure

ARF-T

17.640

Produce culvert pipes and things for bridges and roads. Very good way to play the infrastructure story. 12.25% yield should be safe. Good management.

2009-02-04

Comment

0.020

Bank Preferreds: Rank higher than common shares in the hierarchy of paying out in case of an issue. New ones being issued now are called perpetual and the price does not change because of the high interest rates. Over the longer term, he would prefer common shares, which gives you potential for a rising dividend.

2009-02-04

Comment

Intact Financial

IFC-T

28.820

Largest property/casualty insurer in Canada. ING globally had some balance sheet challenges. Selling ING Canada was a way for them to raise $1.5 billion. Very well run operation. Because of the economy, there may be questions if they can get the same rates.

2009-02-04

BUY

Visa Inc.

V-N

49.130

(Market Call Minute.) Expecting a recovery in the US economy in the second half of the year.

2009-02-04

BUY

CRH PLC

CRH-N

23.510

Manufactures cement, concrete products, aggregates. Will benefit from governments spending. Better balance sheet and evaluation than Cemex (CX-N).

2009-02-04

DON'T BUY

AGF Management (B)

AGF.B-T

10.480

Mutual funds are very market sensitive so you don't want to own one until you know the market is going up. This one has some challenges. They were lending a lot of money against the purchase of mutual funds. It has been a headache but they will probably do okay with it.

2009-01-06

SELL

Advanced Micro Devices

AMD-N

2.780

(Market Call Minute.) Company has missed every product cycle. Acquired ATI and still are missing the cycles. Following further behind its competitors.

2009-01-06

Comment

Aecon Group Inc

ARE-T

10.990

The problem with the infrastructure spending is that it takes a long time and benefits are probably more than a year out.

2009-01-06

DON'T BUY

Bombardier Inc (B)

BBD.B-T

4.760

Trains and infrastructure products are doing very well and will benefit from governments' infrastructure stimuli. Aerospace side has been hurt by the economy, which is what the market has been focusing on. Wait for a better outlook on the economy.

2009-01-06

TOP PICK

Canadian Imperial Bank of Commerce

24.210

(A Top Pick Dec 27/07. Down 36%.) New strategy cut a ton of costs and a lot of management layers. Earnings numbers will offset some of the slowdown in wire line business. Looking for stronger earnings growth than the market is expecting.

2009-01-06

TOP PICK

Bank of Montreal

BMO-T

34.660

Likes Canadian banks. This one has been more heavily impacted. Bank with a 10% capital and a 8.5%-9% yield and trading at 8X earnings, is a fairly attractive place to put your money.

2009-01-06

BUY

CM-T

55.110

(Market Call Minute.) Very strong capital ratios. Dividends are safe. Expecting a turnaround in the next little while.

2009-01-06

PAST TOP PICK

Calloway REIT

CWT.UN-T

12.450

(A Top Pick Dec 27/07. Down 42%.) 12% yield is safe. Wal-Mart is the anchor for the bulk of their malls. Still very well positioned. Still a Buy.

2009-01-06

WATCH

Dow Chemical

DOW-N

16.050

Pullout by Kuwait on the expected takeover of Rohm & Haas Co. Some clarity is needed as to whether they pay the full $78 financing, selling some assets there will be some volatility in the short-term. Longer-term an excellent company. 10.6% dividend.

2009-01-06

Comment

Manulife Financial

MFC-T

24.110

Difficult to examine all the moving parts of insurance companies. If you don't expect an improvement in the credit cycle or a rebound in the equity markets, then you get flat earnings.

2009-01-06

BUY

National Bank of Canada

NA-T

34.000

(Market Call Minute.) Any of the Canadian banks are Buys and this one is not a bad name.

2009-01-06

DON'T BUY

Nova Chemicals Corp.

NCX-T

7.220

A frustrating name. Essentially 2 businesses with polyethylene being good but styrenics has never really paid off. We prefer others.

2009-01-06

Comment

SNC-Lavalin Group Inc.

SNC-T

38.600

Infrastructure can take a long time to put in place and it could be 6 to 9 months before they benefit. Engineering should be good for them but it’s trading at a very high valuation at 16X next year's earnings.

2009-01-06

PAST TOP PICK

46.560

(A Top Pick Dec 27/07. Down 30%.) Still likes. Quality management. Strong retail focus. One of the few banks that grew its dividends. Still a Buy.

2009-01-06

DON'T BUY

Teck Resources Ltd. (B)

TCK.B-T

8.190

Took on a large debt to acquire Fording Coal. A fine line whether they will be able to skate through their bank lines. Depends on your call on zinc, metallurgical coal and their other commodities. Inherently a call on the Asian economies. Risky.

2009-01-06

TOP PICK

Thomson Reuters Corp

TRI-T

35.340

Great free cash flow company. A much better balanced company than it was. Another way to play this is to take out the ADR (Thomson Reuters PLC (TRIN-Q)) listed in the US, which gives you about a 20% discount to the Canadian price.

2009-01-06

BUY

Textron Inc

TXT-N

16.040

(Market Call Minute.) Will benefit from government spending initiatives. Largely a military spending and high-tech infrastructure.

2009-01-06

BUY

Yellow Media Inc

YLO-T

6.950

Have regularly beat numbers. Probably one of the best management teams in Canada. Challenge is that they are in the midst of a transition from print to an online model.

2009-01-06

Comment

0.020

Canadian Banks Preferred Shares: Banks have issued a lot of preferred shares partially as a response to the global issues that we have seen lately. Relatively cheaper money for the banks as opposed to new common issue. The risk is capital depreciation on your investment.

2009-01-06

Comment

0.020

Oil: $40 to $55 would be a reasonable price he would expect in the short-term. There had been far too much of a spike on the upside at $140 but the recent $36 range was too low.

2009-01-06

BUY

Bell Aliant

BA-T

25.410

The assets that were spun into this from BCE, excluded the wireless, which is where all the growth in the telecom space is. Its regional nature means less competition but wireless and cable is having an impact. A decent yield play. Not a homerun but a decent single.

2009-01-06

SELL

Deutsche Bank AG

DB-N

38.080

(Market Call Minute.) High-end investment bank and doesn't have the same capital position as Canadian banks.

2009-01-06

DON'T BUY

Agrium

AGU-T

36.070

Commodities are off and could continue to fall because Chinese allowed export of fertilizer for the first time in a long time. Very strong balance sheet. Nice stable business but there are issues with credit for farmers and about half their business is retail stores. Bad weather has made it difficult for US farmers to get their crops off.

2008-11-19

BUY

Bank of America

BAC-N

13.060

Increasing their stake in the Chinese Construction Bank, the 3rd largest bank in China, was a bit of a surprise. Hasn't seen anything to suggest that the government is upset about this. Acquisition of Merrill Lynch will hopefully provide them with counter cyclical strength as well as some good opportunities. Next 3 months you might be able to get it cheaper but this is a good opportunity.

2008-11-19

BUY