Stock price when the opinion was issued
All the insurance names, both in Canada and the US, continue to work. If interest rates do, in fact, go higher, that will only be beneficial for lifecos and other insurers. The chart looks fantastic. Good run, so there is some weakening in the intermediate term.
If a long-term holding, best thing you can do is sit on your hands and do nothing except participate in the DRIP program. Especially if he's right on the broader call of rates being 8-10% in the secular bear market of 2030-40, should be a big tailwind for insurers.
A lifeco, but also offers investment products. Solid, dependable. Never very exciting growth, well capitalized, prudent capital allocator. Dividend well covered and should grow. Asian angle gives it a bit of growth. Yield is ~4%.
He also owns MFC, and you can give that one a look. Similar business to SLF.
Some weakness in recent results. Sometimes when a stock's run up, and results come in lighter than expected, stock sells off on a trade. Fundamentals haven't shifted significantly. Relatively stable earnings, so it's good for income. Asset management divisions can be lumpy with interest rate moves. Reasonable investment for income with some growth.
She owns CB.
The extended low interest rate from 2008-2020 hurt insurance companies when they used the bond market to fund their very long-tail liabilities can can push up the risk curve on their investments. The lifecos are in good shape, though, and will benefit from lower rates. They continue to pay dividends, grow well and trade at decent multiples. SLF outperforms MFC.