A Case For Higher Commodity Prices

Could we see even higher commoditiy prices in the future? The following is a case presented to support why we should continue to see an upward investment trend in commodities and how this positive long-term trend is due largely to the supply and demand imbalances that persist in industries that produce commodities. In addition, the market turmoil of the past two years caused new financings of commodity exploration and development projects

Read more

Calculating Return On Invested Capital

What is Return On Invested Capital? Return on Invested Capital (ROIC) in basic terms is the amount of profit that a company earns for every $1.00 of capital invested into the business. Some analysts may substitute “growth rate” for ROIC in some instances. How Do I calculate ROIC? Return on invested capital is calculated by dividing the organization’s net income by the total of the shareholder’s equity and the outstanding debt.

Read more

Investing In Canada

The importance of global diversification is often discussed as important as an investor in today’s global economy, and with the MSCI World Index and EAFE (Europe, Australasia and Far East) Index both up about 27% in U.S. dollar terms in 2009, that message remains important. However, over the past few years, we’ve been reminded of the great investment opportunities in Canada. More Than Just Resources Canada has not gone unnoticed by

Read more

ETF Facts and Misconceptions

ETFs have received a lot of attention in recent years particularly given the irrational market environment we’ve come through and the impact that has had on the results of active money managers. For example, over the past few years studies have shown that only a small number of actively managed funds beat their respective indexes which has proliferated the interest in ETFs, most of which use a passive index-tracking strategy.

Read more