The Value of Discipline: Investing in 2023 and Beyond

Every year, Peter sits down with PWL’s Senior Researcher, Raymond Kerzérho to review the state of the economy and address key topics on the mind of Canadian investors. This year’s webinar was recorded live on February 23^rd, 2023.

Here are a few highlights from the session:

1:56 – 2022 year in review:

• Major themes in the 2022 investment landscape.
• Returns by asset class: a good start for 2023.
• PWL Portfolio performances, 10 year returns well ahead of inflation.

13:34 – The Economy in 2022:

• GDP slows down globally; Canada outperforms.
• Unemployment hits new lows.
• Inflation peaks in 2022, early 2023 numbers declining around the world.
• De-globalization: not showing up in the trade data yet.

30:06 – Key matters in the capital markets:

• Inflation vs. bond yields, a look back in time.
• Canadian bond market expectations.
• Value stocks are catching up to growth stocks.
• ESG performance in 2022.

53:05 – Expected returns:

• High bond yields are good for expected returns.
• Long-term expected return estimates on the rise.
• Impact of lower portfolio values, but higher expected returns on your retirement income.

1:05:26 – Portfolios in 2022-23:

• Maintaining short-term bias on bonds; allocate based on your spending needs.
• Continuing to reduce Other Income, selling utilities in 2023.
• Disciplined rebalancing methodology to keep clients on target.
• Strategies at work in your PWL portfolio.