Travelling by Air … Travelling by Car … (TWTW – May 31-June 4, 2021)

“The Economy continues to expand, continues to rebound, said Quincy Krosby, Chief Market Strategist at Prudential Financial … Americans are travelling by car, travelling by air, and that’s reflected in the oil prices”.

June 3, 2021 = Delta (DAL) foresees business travel ‘renaissance” as airlines tally leisure rebound.

Read More => Click HERE!

This bodes well for the following ETFs:

in the US: JETS

in Canada: TRVL

The monthly barometer of what is happening in the broad economy could arguably be the monthly Non-farm payrolls in the US, respectively in Canada, the monthly jobs report. That is because with the reopening of the economy overall, respectively of areas of the economy that have earlier been laid waste by the pandemic – presumably you / we need workers. In the US, the report came out better than last month’s (+559,000), but well of the high forecast some had penciled in. As for Canada – well, the job losses (-68,000) last month aren’t exactly what we want to see … but hopefully a temporary phenomenon, as we are (aren’t we?) supposed to see OUR reopening pick up this month or around the middle of it (absent nasty development on the new COVID19 strains front – something along the lines of the nonsense that resulted from planes still coming in from India … until … when was that again?).

Crypto – Tesla’s Elon Musk continues to not be very Crypto friendly of late, with his Friday tweets putting pressure on the digital currencies overall (Purpose’s Bitcoin ETF: BTCC-B: off 4.73% on Friday, closing at CAD 6.65 (more or less flat on the week … aka the rebound attempt earlier in the week coming to naught). (BTW is it just me? or are all these CRYPTO ads just really annoying: first we go with “digital gold”. Now it is on withg “too big to fail”, respectively suggesting that from a high level perspective the trend is just up (and up and up being the implication), notwithstanding the recent major correction … (PS: I don’t like these ads!)

Horizons ETFs => Won the Wealth Professional Fund Provider of the year award! Congrats Horizons and team. In the not “gold department” (that was the award), but rather in the “Green” department, Horizons this past week launched their new Horizons S&P Green Bond Index ETF => Click HERE!

ETFs trading – Regarding the broader ETF space, BMO InvestorLine’s recent News => the introduction of commission free trading on a broad assortment of ETFs (theirs and some of their firm’s competitors) is noteworthy. Click HERE! to review the announcement, respectively peruse by clicking HERE the list of ETFs now accessible “sans” trading commission. Of note – over 80 ETFs qualify; spectrum covered is broad, incl. ESG; incl. Asset Allocation Solutions; incl. Thematic; etc.

Changing retirement outcomes/investing? Purpose Investment this past week announced that they were launching their Purpose Longevity Pension Fund. For the News => Click HERE!

The idea of providing an all-in solution going from accumulation to decumulation, and seeking to address the issue of the vanishing defined benefit contribution pension plan is obviously a very good one – rendered that much more imperative imo by the lack of yield out there in bond land, and by the challenge of derisking portfolio in a TINA context …

Questions I would have include:

  • will this possibly be available as an ETF at some point?
  • what are the total cost of ownership for this solution?
  • does the fund make any distinction between its holders that are say 75-80 versus those that are just turning 65?
  • what is the insurance component of all of this, and what are the pre-65 “contributions” levels – if any.

Lots more to clarify – to be sure – BUT a timely product solution, which as Purpose Founder and CEO Som Seif indicated, benefited from his firm’s affiliation with the likes of Allianz (insurance co), and OMERS (pension plan).

I am reading this => CLICK HERE! as I write πŸ™‚ and already some answers (age pools for instance) and fees (60 bps) provide some of the answers I am looking for.

oh, and here is Rob Carrick’s article on the topic => Click HERE!

Congrats on that Innovation, Purpose / Som. On the surface it may not be as exciting as launching the World’s first Bitcoin ETF … HOWEVER it does have the potential to positively impact WAY MORE people πŸ™‚

A look at May’s action and results via my taking a look at BMO ETFs, respectively Vanguard Canada’s ETFs

Vanguard Canada News => Vanguard to switch index provider for US Dividend from NASDAQ (achievers) to S&P (growers) Click HERE!

Other:

Hamilton ETF‘s Rob Wessel’s recap of the recent Q2 Canadian Banks results => Click HERE!

Brookfield’s bid for Inter Pipelines trumped (by Pembina) … and then … Brookfield upped the cash component of their offer. Pipelines are … attractive assets – it turns out. Click HERE!

Abbott Labs = took a hit earlier this week on the notion that with vaccination efforts continuing apace … forecasts of sales related to testing will … fall off sooner than earlier anticipated (that’s good news of course … except not for the stock which dropped a quick 10% on the news … before recovering some ground later in the week.

Our June Webinar with FT Portfolios Canada => Cyber Security => Register HERE!

ETF Champion of the Year => CETFA‘s own Pat Dunwoody. Congratulations Pat!

Other – CFR is coming …CREDO Consulting, in partnership with Jennings has looked at the topic, and is looking forward to engaging with the industry regarding this important initiative. We’ve just launched a LinkedIN group => to join, click HERE!

Sector performance – Energy on fire this past week … as Oil flirts with USD 70 WTI: