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[The show was truncated by live coverage of announcemnets by governments regarding softwood lumber].

All the stocks except North America. You have had a good experience in stocks in the US, but now you need to move out of North America. After the political shadow has been lifted in Europe, you want to be there.

Zeroing in on Germany and France. In September they expect money to be spread around in Germany.

Emerging Markets. He is going in on this very slowly. The emerging markets index is much cheaper than Canada. It is a bout of growth in emerging markets.

(Top Pick Mar 14’16, Up 45%) He likes the American Banks. He likes them even if they were a bit soft. Probably interest rates will rise. He is using the unhedged version of the ETF.

(Top Pick Mar 14’16, Up 1%) He parked US money here.

(Top Pick Mar 14’16, Up 15%) You have to take credit rate rise in the fixed income market. This one is hedged. He switched recently into HYI-T for an active manager.

Lumber. They subsidize BBD.B-T so why not lumber. This is going to play into the border adjustment taxes. Lumber companies log on publically owned lands. Canada is not negotiating on a position of strength on this issue.

Market. Looking at the landscape over the last year with all the election and all the noise, if you were to go back to say you were going to get 3% GDP growth in Canada and the US and keep interest rates low at 1.5%-2%, with labour being fluid but still tight, you are going to have higher equity valuations. Everyone is concerned with volatility, but in the last 3-4 months, there has been no volatility. Valuations are still not incredibly extreme.

This has struggled over the last couple of years as it got hurt by the environmental movement and the NDP government in Alberta wanting to shut down all coal producing energy assets. They are migrating from coal to natural gas and have 2 plants, Sundance 1 and Sundance 2 that are coal fired, which are going to close by the end of this year. That hurts their bottom line. Also, for the last number of years, they have been over levered. Their bond rating has always hovered below investment grade or just barely above it. Thinks it will be in the penalty box for another 6 months to 1 year because they don’t have the greatest of assets.

Owns TVs and radio stations and have to deal with the bundling and the CRTC decision of not having to take all channels. That negatively impacts them. They’ve spun in Shaw media which are good assets, but this company is still pretty expensive relative to what they earn. They are struggling with the business model that is in decay. Thinks the dividend is sustainable, but it is going to be tough over the next 2-3 years. 8.4% dividend yield.

Most, if not all of their assets, are in the US. They have 2 kinds of businesses. One focuses on hotels/motels for rail employees. The second is the named hotels/motels throughout the US that are mid-tier. Very good operators. They are trying to expand and increase their franchise hotels. This is in a good spot. They don’t have too much debt and are growing. Thinks they trade a little more than what the sector does, so wait for a better entry point.

This sector is doing incredibly well. In the REIT space, industrial properties are benefiting from the technological move, because they can demand really good sized rents if they have the proper facilities. That is growing quite well versus retail or office, which are really having problems.

Everyone expected that the Minnesota and Houston assets to outperform, but their Alberta assets got hit really hard when oil prices dropped. They are planning to sell some of their US assets. Good management. In office and retail, not only do you have to deal with Alberta’s slowing economy, but you are dealing with headwinds coming from retail.

(A Top Pick March 28/17. Up 5%.) 6.625% bonds maturing 2022. A safer way to play the recovery, because the bond was under distress, but are backed by the Eagle Ford assets in Texas, one of the best fracing natural gas plays. Last quarter they came out with really good production numbers, as well as lower costs per well.