Michael Smedley, executive vice president and chief investment officer of Morgan Meighen & Associates

Focus: Canadian equities
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MARKET OUTLOOK
We have now been told, following the Manchester attack, that the only sophisticated intelligence services in the world are British and Israeli. That takes us further down the road of understanding that the leaking republic of America and its barking political crocodiles have zero effect on stock markets. Get used to that. It will be the over-pricing of stocks or some other financial impact that brings the next great correction — even if they find that three million Popoffs fraudulently voted for Trump, who should stay in power until we move into curious safety with Mike Pence, who has assured us he will not snack with a woman unless chaperoned by his wife.

However, the market always offers difficulties, and this year it seems to be dictatorship by five mostly Internet-related stocks, while stock pickers who need more than that have to peer between the mindless ETFs to recognize excellent companies that are ascending constantly. There are many more of these in U.S. markets than in Canada, naturally, but the pattern is the same both sides of the border. And now we are told that there are more ETFs than stocks and the number continues to grow. That is the madness of the times and it is impossible to fathom where it will lead us. I have many good stocks and good risky ideas for the ride ahead.

TOP PICKS

BLACKBERRY (BB.TO)
With the restructuring of the company, elimination of debt problems, hardware transfer to suitable Asian manufacturers, a load of cash, a strong position maintained in the software security field and the accomplishment of software pertaining to variety of auto needs, the stock should be ready to go up on direct and indirect positive news. Topping all of this is a seasoned manpower talent and strength headed by the cool Mr. Chen. He has made the new BlackBerry company, with more than a little help from his friends.

CCL INDUSTRIES (CCLb.TO)
CCL is a North American global packaging and containers company that has taken on the leadership role in components of the slippery polymer that will gradually take over much of the banknote world. A lovely giant 5-for-1 stock split is imminent.

BTL GROUP (BTL.V)
BTL is seemingly and oddly the only listed blockchain pioneer in the world. That was until a going- public announcement of a peer U.S. company last week. Blockchain involves a so-called distributed ledger system to simplify and make your life more efficient. Trial clients are Visa, banks they deal with and a group of powerful energy trading interests.
 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
BB Y N Y
 CCLb Y N Y
BTL Y N Y


PAST PICKS: APRIL 28, 2016

FIRST NATIONAL FINANCIAL (FN.TO)

  • Then: $27.15
  • Now: $25.20
  • Return: -7.18%
  • TR: -1.23%

AIRBOSS OF AMERICA (BOS.TO)

  • Then: $15.43
  • Now: $12.43
  • Return: -19.44%
  • TR: -17.74%

PRETIUM RESOURCES (PVG.TO)

  • Then: $9.83
  • Now: $12.53
  • Return: +27.46%
  • TR: +27.46%

TOTAL RETURN AVERAGE: +2.83%
 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
FN Y N Y
BOS Y N Y
PVG N N N


FUND PROFILE: SMEDLEY SPECIAL OPPORTUNITIES FUND

PERFORMANCE AS OF APRIL 30, 2017*:

  • 1 month: 2.2%
  • 3 months: 5.2%
  • 1 year: 12.6%
  • 3 years: 3.3%

* After fees, no dividends paid to reinvest
* No benchmark


TOP HOLDINGS AND WEIGHTINGS

AS OF MAY 19, 2017:

  1. Premium Brands Holdings Corporation: 7.5%
  2. The Middleby Corporation: 7.1%
  3. Kinaxis Inc.: 6.8%
  4. Morguard Corporation: 6.1%
  5. OTC Markets Group Inc.: 4.5%


WEBSITE: http://www.mmainvestments.com