The devastating market correction of 2008/2009 and the accompanying global economic recession have left many investors feeling skittish about stocks.
While some have stood by with a ‘buy and hold’ approach, many abandoned equities and flocked to fixed income investments, such as money market instruments and bonds.
According to a report by Barron’s, in the United States, since the start of 2010, more than US$274 billion has flowed into bond funds, while net $35 billion has been redeemed from equity funds.
It’s a natural human tendency to react to short term market fluctuations. But could investors be taking on new risks they are unaware of?
We just returned from a breakfast presentation by our economic advisor,
We had our quarterly visit from Maureen Farrow last week. (Maureen is a highly-respected Canadian economist whom we retain to provide us with economic analysis and briefings.)


