
TSE:IGM
(A Top Pick Jan 8/13. Up 15.66%.) There has been a dearth of interest in the equity side over the past 5-6 years. Most of the money being invested has been in bond funds and, in the last couple of years, in balanced funds. This company makes a lot of their money on the long-term product, i.e. equities. Still likes them. 4.5% yield.
Big theme over the past 5 years has been outflows from equities to fixed income. Starting to see the thin edge of the wedge in reversal of attitudes towards equities. We are going to see a credit cycle default in front of us, where credit is going to be easy and will bleed into the economy and risk-taking will come back.
Benefiting from money rotating back into equities. Will benefit going forward.