David Burrows

Markets. Investors were bearish through the summer. Now every major US investment bank is saying we're in for some kind of trouble. He doesn't see that. Rallies tend to go on for a long time, and there's been a consistent rally in major indices since last November. These rallies don't end with a bang; rather, they fade. Russell 2000 has been sideways since February. Average stock names in the S&P are down about 12.5%. Conditions are in place to absorb a lot of bad news. As we get through September and into October, fourth quarter will be pretty strong.

Market sentiment. We have more bearish sentiment in the market than we've had at any other time since 2012, except for brief occasions. The market has an intact wall of worry. In China, unlikely there's major contagion. Fed will taper, but that's no surprise. Typically third quarter weakness comes as analysts realize they've been too optimistic in estimates. But they're still raising estimates for the rest of this year and next.

Moving averages turned higher. Decent low in August, and now turning higher. Risk/reward looks pretty good. Dividend expected to grow. Likes CNQ a bit better. But both will throw off a nice bit of cash, for a nice rising dividend which will be valuable if we're in an environment where rates slowly go higher. Yield is 3%.

Energy sector. Quite bullish on the sector. Energy held in well on the recent pullback. Prefers exposure to gas than to oil. Likes the big guys in oil, such as CVE, CNQ, and SU.

Likes CNQ a bit better than SU. But both will throw off a nice bit of cash, for a nice rising dividend which will be valuable if we're in an environment where rates slowly go higher.

Really likes the investment management sector. It should be pretty good business in a time of a decent market and reflation. Great company. Decelerating revenue growth. Relative underperformer. Dividend is attractive at 8%. When a group gets into gear, you want to look at the leaders. He owns BX, CIX, BLK, IGM, and POW. You could also look at the IAI ETF.

Really likes the investment management sector. It should be pretty good business in a time of a decent market and reflation. Relative underperformer. When a group gets into gear, you want to look at the leaders.

Really likes the investment management sector. It should be pretty good business in a time of a decent market and reflation. When a group gets into gear, you want to look at the leaders.

Really likes the investment management sector. It should be pretty good business in a time of a decent market and reflation. When a group gets into gear, you want to look at the leaders.

Really likes the investment management sector. It should be pretty good business in a time of a decent market and reflation. When a group gets into gear, you want to look at the leaders.

Really likes the investment management sector. It should be pretty good business in a time of a decent market and reflation. When a group gets into gear, you want to look at the leaders.

Really likes the investment management sector. It should be pretty good business in a time of a decent market and reflation. When a group gets into gear, you want to look at the leaders. One of the best performing financial ETFs out there.

Commodities are more volatile, correcting since May. World is in a copper deficit, and FCX is the one you want to own. If it were to break $31, he'd be forced to the sidelines. Other risk-oriented sectors have been gaining ground, so we should see a reacceleration of the base materials and end the year pretty well.

People own it for the 3.6% dividend yield. Not a huge fan of infrastructure right now, as they're in the same camp as utilities and telecoms. Stable, low economic sensitivity, low dividend growth. Market likes faster dividend growers. Relative strength has been weakening. Not the best place for total return going forward.

Takeover candidate? Attractive assets. He can't speculate on the possibility of a takeover. If it happens, wonderful. Dividend growth is less likely. In the right space and acting quite well. Yield is 6%.