Top 10 Best Ideas and Most-Read Articles of 2023
As the year draws to a close, Sam DiTella revisits the most- read articles published on BMO Fund Central over the last 12 months. Some themes that resonated with our Advisor community this year included artificial intelligence, recession, Canadian banks and cash.
Over the past 12 months, the economy took its first steps on the path to normalization—and away from the era of zero-interest rate policies and quantitative easing consistent with the last decade. As we entered a new season of investing, delivering timely market commentary and sharing deep expertise to address these real-world challenges was priority number one. We tackled the impact of persistent inflation, as well as the “AI boom” and ways to guide clients through the unfamiliar territory of higher for longer interest rates.
Here are the top 10 must-read articles from the year gone by:
#10 How AI Will Power the Next Industrial Revolution | Read Time: 10 minutes
The turn of the twentieth century was a period of immense transformation, which saw the introduction of several important innovations, including electricity, the automobile, and the telephone—showing how technology could fundamentally alter the world in which we live and work. Will artificial intelligence (AI) be the next world-altering megatrend?
#9 How to Talk to Your Clients About Cash | Read Time: 5.5 minutes
With client interest in cash and cash equivalents like GICs, high-interest savings accounts (HISAs), and ultra short-term bonds rising, here’s how Advisors can help their clients navigate this strange new world. (Also see our client aid on the topic — Mutual Fund vs. GIC: Which Can Generate a Higher After-Tax Return?)
#8 New Retirees Face Unique Risks from Unsteady Markets. Plan to Protect Them. | Read Time: 5 minutes
Diversification is the golden rule when it comes to navigating short-term market challenges and smoothing out returns. Certainly, 2022 was a prime example. Yet 2023 began with investors’ prospects similarly uncertain—especially for clients at or nearing retirement. We provide a toolbox of tactics to shield retiring clients from “sequence of return risk.”
#7 Three Ideas to Up the Value of Your Book | Read Time: 7 minutes
It can be said that value lies in the eyes of the beholder. However, for many Investment Advisors, certain factors matter more than others when buying or selling a book—including the makeup of your product shelf. (Includes three ways to simplify your book of business today—while maximizing the overall value—for a smoother transition approaching retirement.)
#6 How One Advisor Doubled His Book in Six Years | Read Time: 7 minutes
Meet the Wealth Advisor who began his career as a bricklayer, where he learned the value of building a solid foundation. Now, he shares the secrets that have allowed his advisory practice to more than double its assets under management in only six years—and why he sees the BMO Strategic Equity Yield Fund is an important building block for client portfolios.
#5 How to Coach Your Clients Through a Recession | Read Time: 5.5 minutes
With analysts debating whether a recession is likely, or even if we’re in one already, the topic has become a hot button. Here’s how Advisors can talk their clients through various possible outcomes and deliver a positive message to keep clients calm, and on course, despite the volatility. (Includes more information on the dangers of missing the best days in the market.)
#4 Thinking Long Term? Try Canadian Banks. | Read Time: 6 minutes
Despite high interest rates and mixed results in their recently reported earnings, Canadian banks’ fundamentals signal that they represent attractive valuations for long-term investors—remaining well-capitalized, diversified businesses, with a history of strong performance.
#3 An Advisor’s Guide to High-Yielding Income Strategies | Read Time: 8 minutes
Earning some additional income is never a bad thing. But with so many high-yielding solutions available, how can you decide which one is right for your client’s portfolio? We break down the key differences between the strategies in BMO’s suite of income-oriented mutual funds and recommend solutions for some common scenarios.
#2 Cash Rules: The 60/30/10 Portfolio ‘Paradigm’ Has Arrived | Read Time: 8 minutes
As expectations for rate cuts push further out, the very front end of the yield curve has become one of the most attractive investments around, offering competitive returns with very little risk. As the bond market enters this new phase—or paradigm—of fundamentally higher interest rates, here’s how Advisors and investors should view their fixed income exposures.
#1 Recession or Rebound? Three Strategies for Three Scenarios | Read Time: 7 minutes
As the old adage goes: failing to plan is planning to fail. Managing a portfolio through the rearview mirror is a recipe for disaster, which means that Advisors can best serve their clients by preparing for multiple scenarios in advance. (Includes a strategy for a soft landing, hard landing, and perfect landing.)
For a robust Mutual Fund search, Top Fund Ideas, PM insights, Advisor Stories, and an ESG hub, explore BMO Fund Central. For strategies and insights to further enrich your practice, contact your BMO Global Asset Management Regional Sales Representative.
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