Please find in this May edition of the BMO Segregated Funds Monthly update:
- Review of This Week in the Markets from BMO GAM
- Are your clients nervous due to the market volatility? Don’t let the short term noise disrupt their long term goals! Check out the “Missing the best days in the market” pager to aid in your conversations.
- BMO GIF Performance Summary – April 30, 2022
- May 2022 BMO ETF Portfolio Commentary – Steven Shepherd, CFA Portfolio Manager (attached)
Please find the latest version of This Week in the Markets
- The S&P 500 Index fell 2.4%. Hopes of “peak inflation” faded as April inflation pulled back less than expected (CPI grew 8.3% YoY against estimates of 8.1%), with investors growing more skeptical that the Federal Reserve will pull off a soft landing. A sharp pullback in treasury yields did not offer much support for equities— with the exception of Consumer Staples, every sector was negative.
- The S&P/TSX Index was down 2.6%. Key sectors like Materials, Energy and Financials were all in trouble while more disappointing earnings results added to pessimism. Although not spared from the recent market turmoil, Canadian equities remain among the best performing asset classes on a YTD basis. For the week, lower treasury yields gave the FTSE Canada Bond Universe Index a rare break.
- Global equities were mixed, as Europe’s STOXX 600 Index added 0.8%, Japan’s Nikkei 225 Index lost 2.1%, while China’s CSI 300 Index gained 2.1%.