Taking stock

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Taking stock

S&P TSX Composite Index

TSX performance through 2019

If someone were to tell you at the beginning of 2019 that the TSE was going to jump close to 20 percent in value and close nearly 3000 points higher, you’d likely have shaken your head in disbelief.

Wasn’t the world going to come to an end? With trade wars undercutting the global economy, with the uncertainty of Brexit, the political instability in several of the world’s major economies, an impeachment of a U.S. President.

But now we can look back on 2019 as a year that generated stellar returns. So let’s rewind 12 months. Perhaps you’re a cautious investor and you felt it was time to head to the sidelines before a recession strikes. That may have seemed prudent at the time. But look at all the gains you’d have left on the table.

The same scenario plays out again and again. How many people do you know who wanted to cash in on the GTA’s red-hot real estate market before it corrects, only to discover it has instead continued to surge?

So what’s the lesson here? This interconnected global economy has far too many variables for accurate forecasting. You can’t outsmart this economy. If you’re a believer in trying to finesse market timing, then we are probably not the investment advisors for you.

That doesn’t mean we ignore market timing. We continually shift weightings in portfolios to take advantage of rising and falling performance indicators in specific sectors and funds. That’s how we keep you on track with your growth expectations.

But we’re not in the soothsaying business.

As for 2020, with Brexit a coming reality on top of a polarizing U.S. election, continued trade tensions and pundits predicting a coming recession, who could possibly predict where we’ll be a year from now – the story goes on.

If you’re only going to invest in quiet stable times, you’re going to remain on the sidelines for the forseeable future – and you won’t be doing your nest egg any favours.

What is most important to us is the trust you place in our advice. We feel like one really big family.

Speaking of family, we have welcomed a new son-in-law into our own family so the circle keeps growing both personally and professionally.

2019 was an important year for us. As many will have noticed we have rebranded our firm as BarecWealth – short for Barbara and Eric.

In 2020, we will be doing more to develop our BarecWealth brand as a tool for better serving you with the timely information and advice you need.

From all of us at BarecWealth best wishes for a very happy and prosperous New Year.


Eric, Barbara, Jenny & Susan


This information has been prepared by Barbara & Eric Chong who are Financial advisor for Investia Financial Services Inc., and does not necessarily reflect the opinion of Investia. The information contained in this newsletter comes from sources we believe reliable, but we cannot guarantee its accuracy or reliability. The opinions expressed are based on an analysis and interpretation dating from the date of publication and are subject to change without notice. Furthermore, they do not constitute an offer or solicitation to buy or sell any of the securities mentioned. The information contained herein may not apply to all types of investors. The Financial Advisor can open accounts only in the provinces in which they are registered. For more information about Investia, please consult the official website atwww.investia.ca.

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