As we approach the end of the year, we want to share some key updates on decisions we made during the third quarter and how they\u2019ve helped position our portfolios to navigate changing market conditions. Here\u2019s a simple breakdown of what we did and what we expect moving forward:<\/p>\n
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Market Overview:<\/strong><\/p>\n <\/p>\n In the third quarter of 2024, inflation has started to cool off, which led central banks to begin lowering interest rates. Even though the market remains volatile, we\u2019ve stayed flexible and diversified, which has helped us find new opportunities while managing risks.<\/p>\n <\/p>\n Equities:<\/strong><\/p>\n <\/p>\n In August, one of our investment funds, a defined outcome exchange-traded fund (ETF), came to the end of its term. We carefully reviewed its potential and decided to hold onto it until it matured. We\u2019ve since moved into a new fund that focuses on using options (a type of financial tool) to reduce volatility, giving us exposure to U.S. stocks while managing risk.<\/p>\n <\/p>\n As interest rates started to drop, we also exited our positions in a high-interest savings ETF and an investment-grade corporate bond fund that we no longer favoured. We used the volatility in August as a chance to rebalance the portfolio and increase our investments in commodities, especially energy and metals, where we see potential due to factors like China\u2019s economic actions and global geopolitical issues.<\/p>\n <\/p>\n Technology and Digital Assets:<\/strong><\/p>\n <\/p>\n Our investments in technology have continued to perform well, especially in the field of artificial intelligence (AI). Seeing the potential growth in this space, we\u2019ve added more to our AI-related investments, particularly through the TD Global Technology Leaders ETF (TEC). While we\u2019re still being somewhat cautious with equity investments, focusing on low-volatility stocks, we are also increasing our exposure to tech to capture growth. We\u2019re optimistic about digital assets and see them as an important part of our technology strategy.<\/p>\n <\/p>\n Fixed Income and Other Investments:<\/strong><\/p>\n <\/p>\n In our Fixed Income portfolio, we\u2019ve upgraded the quality by shifting toward government and higher-grade corporate bonds. By keeping shorter-term bonds, we can stay flexible in case interest rates change. We expect these changes, along with our private debt holdings, to provide us with stronger returns going forward.<\/p>\n <\/p>\n If there\u2019s a sudden financial shock, we\u2019re ready to adjust our bond strategy by moving from government bonds to more attractive corporate bonds if they become available at better prices.<\/p>\n <\/p>\n Looking Ahead:<\/strong><\/p>\n <\/p>\n We\u2019re exploring short-term cash strategies that can provide steady income while keeping risk in check. Our equity portfolio remains cautiously positioned, focusing on low-volatility ETFs, which have done well during market downturns. However, future growth may rely on the continued strength of the technology sector, where we\u2019re gradually increasing our exposure.<\/p>\n <\/p>\n We\u2019re also keeping some investments in commodities like energy and metals. While these areas are currently factoring in fears of a possible recession, they could benefit if the economy stabilizes. Additionally, we\u2019ve taken profits in certain areas and maintained investments that act as “crisis hedges,” meaning they are likely to perform well in scenarios involving geopolitical risks or unexpected inflation.<\/p>\n <\/p>\n <\/p>\n As always, our goal is to align our strategies with your long-term financial objectives. If you have any questions or would like to discuss your portfolio, please don\u2019t hesitate to reach out.<\/p>\n Sincerely,<\/p>\n <\/p>\n The Team at Stonehaven Private Counsel<\/strong><\/p>\n <\/p>\n About the Authors<\/strong> The material contained herein has been provided for information purposes only.\u00a0 The information has been drawn from sources believed to be reliable.\u00a0 Graphs, charts and other numbers are used for illustrative purposes only and do not reflect future values or future performance of any investment.\u00a0 The information does not provide financial, legal, tax or investment advice.\u00a0 Particular investment, tax, or trading strategies should be evaluated relative to each individual\u2019s objectives and risk tolerance.\u00a0 This does not constitute a recommendation or solicitation to buy or sell securities of any kind. Market conditions may change which may impact the information contained in this document. \u00a0Wellington-Altus Private Counsel\u00a0 (WAPC) does not guarantee the accuracy or completeness of the information contained herein, nor does WAPC assume any liability for any loss that may result from the reliance by any person upon any such information or opinions.\u00a0 Before acting on any of the above, please contact your financial advisor.<\/p>\n","protected":false},"excerpt":{"rendered":" As we approach the end of the year, we want to share some key updates on decisions we made during the third quarter and how they\u2019ve helped position our portfolios to navigate changing market conditions. Here\u2019s a simple breakdown of what we did and what we expect moving forward: Market Overview: In the […]<\/p>\n","protected":false},"author":106,"featured_media":1027,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_oasis_is_in_workflow":0,"_oasis_original":0,"_oasis_task_priority":"","_exactmetrics_skip_tracking":false,"footnotes":""},"categories":[17],"tags":[],"class_list":["post-923","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-portfolio-commentary"],"yoast_head":"\n
\nThis commentary was prepared by Jeff Sproul, PFP\u00ae, CIM\u00ae<\/strong>, Victor Kuntzevitsky, CFA, CAIA<\/strong>, and Grant Dawes, CIM\u00ae, CFP\u00ae, TEP<\/strong> of Stonehaven Private Counsel at Wellington-Altus Private Counsel. Together, they provide portfolio management and wealth planning guidance to business owners, executives, affluent families, retirees, and multi-generational wealth clients<\/strong>. Learn more<\/a> about their experience, credentials, and areas of expertise and explore how Stonehaven supports different client needs<\/a> through its work with business owners<\/strong>, retirees<\/strong>, professionals<\/strong>, families<\/strong>, and next-generation wealth clients<\/strong>.<\/p>\n