Market. The fact that the Central Banks are raising interest rates is causing lots of volatility in the markets. More in the US than in Canada. Household debt is extremely high in Canada. If the US economy starts to slow down the Fed will change plans, otherwise they would stick to the trajectory that is now. He doesn’t see a recession in the US for at least a couple of years. Canada is probably more likely given the household debt situation and the Energy sector. But he doesn’t fear that scenario now as interest rates are still at relatively low levels. 

What is best to hold now, perpetual preferred shares or rate resets? Very much depends on your outlook for interest rates and the quality of the preferred shares. He sees them lifting another 1% - 1.25% from here, so he prefers the resets. He suggests having the near duration resets and a few perpetuals. It is a timing game. Tricky.

Financial investments can do well in a raising interest rate environment. He likes Pram Watsa. He would look closely at the valuation. He likes the theme. 

He is looking at the name more closely. It is on the leading edge of technology and cloud. He likes it. Doesn’t look too expensive. 

He likes the rail. He is interested in this pullback as they were a little overvalued. The bigger play here is them going to grain shippers and other long-term contracts leveraging on the current crude contracts.

He likes the company. They recently divested the company not so much because they don’t like the company but because they like the competitor Linamar Corp (LNR-T) better. He likes the stock as well now. 

The stock suffered pressure when Ford wanted to be elected. The stock is undervalued. They are closing on a financing. They are buying a large utility in the US. He thinks this will make it a more valuable company. He owns convertible bonds on this company. 

He likes it but likes Verizon (VZ-N) better as they moved to 5G and he sees this technology as the future for everything we do in life.