Zachary Curry

Market seems primed for a larger cut, but he's in the camp of 25 bps. Risk to the upside is a lot higher. If inflation is higher, it's a lot harder to raise rates than it is to lower them. So his view is that they're going to lower rates more moderately and take their time. If they cut by 50 bps and they're wrong, it's going to be a lot harder to go back up. As well as being more detrimental to businesses and consumers. They're going to wait for the data, as they've mentioned.

For him, the more important thing about today's announcement is the communication. Whatever decision is made, it's based on the past. The market will be focused on what the Fed chair communicates.

Exactly. Communication, so far, has been that it's going to pay attention to the data and make decisions based on that. Yesterday's retail sales print was broadcast by the media as the most important retail sales print "ever". Probably not the case, it's just one data point in a series. Based on communication, the Fed will look at that and at other data going forward. There's also an election coming up.

A 50 bps cut would get them more involved politically, even though they're not supposed to be. Whereas a 25 bps cut could be seen as just reacting, starting the process, and they'll move forward after the election when more is known.

Low-cost ETFs are a great mechanism to include in a portfolio, especially for smaller accounts. Also good if you want exposure right away to a particular index; over time, you can build out a portfolio that's more custom-tailored. His view is that a professional manager can get you better returns, but there is a place for these ETFs for certain investors.

Downfall is that you're tied to what the index is. If you're comfortable with those weights, that's great. If not, then you'd want to create a portfolio by yourself or with an investment manager.

The S&P 500 is not the only index his clients have in portfolios. Other names, regions, and geographies can be used to build a quality portfolio. Want to make sure you're not overweight in any one sector.

Lots of moving parts. Healthcare side has lots of growth potential. Aerospace also has proven its worth. He'd leave it as it. Typically, spinoffs don't have the easiest time out of the gate, jury's out on Vernova. Hold the original, as it gives you a small slice of diversification right there.

New management, give them time. New strategy, with recent investment in US, the right path. Good yield, which pays you to wait. Latin American jurisdictions are not favourable, so he's stayed away for that reason.

Don't rush out and buy. Typically, spinoffs don't have the easiest time out of the gate, jury's out on Vernova. Just hold the original GE for now.

Doesn't own, mainly because of debt levels. Has tended to increase dividend over time, all the time, combined with high levels of capital spending. Rogers deal announced today involves selling a prize asset, but only a 10% reduction in debt. Dividend safer today than yesterday.

Caters to both EV and combustion markets, but car sales have come down. Tough, super-competitive business. Restructuring, which has gone on for a while, so wait for that to finish. Write-offs during restructuring usually help companies. 

REIT space is doing well because of interest rates coming down in Canada. Formula is tried, tested, and true. Good value in the name. Good place to be, as long as you have some diversification. Watch the payout ratio.

Great company. Acquires and integrates well. More positive things to come in the healthcare segment, good value there. Wouldn't be the top name as an industrial.

Rates coming down will help private equity. This will also foster more M&A. Because it owns so many assets, you get diversification in that one name. Good management. Positive on it, if you like that space. He doesn't own any private equity.

Nat gas prices still under pressure. Management and structure are set up for success, even in this environment. Minimal debt, special dividends. Management owns lots of shares. CREW acquisition cashflow-positive right away. Long-term thinkers.

Revenue and cashflow numbers are good. One of Canada's few strong, well-managed technology companies. Small dividend, but the growth is on the capital side.

Great company, even though Buffett's sold a bunch (he still owns north of 10%). Rates coming down will improve bank funding sources and bond portfolios.

His preference due to the recent acquisition of Kansas City. Still has synergies to go, better offerings for customers. High barriers to entry. Trades at a higher premium to CNR, which just pulled back on earnings.