Portfolio Manager’s July Comment for Q2 Results

The upward trend of the Canadian equity market came to an end in the second quarter of 2022 with the reversal of the Materials and Energy sector performance in June.

In Q2, the S&P/TSX Total Return Index declined by 13.2%, the S&P 500 fell by 16.1% while the MSCI ACWI ex. USA decreased by 13.5%.

In Q2, NQICA returned -8.7%. The NQICA returned -8.4% while the S&P/TSX composite returned -3.9% on an annualized basis.

In Canada, the best Q2 sectors were Energy up 2.7%, Utilities down 4.4% and Consumer Staples down 5.4%.

The worst sectors were Health Care down 45.8%, Information Technology down 24.1%, and Materials down 24%.

In Q2, the best performers in NQICA were Dollarama (DOL), Hydro One (H) and Intact Financial Corporation (IFC) up 4.6%, 3.6% and down 1.2% respectively.

On the other hand, the worst performers were Labrador Iron Ore (LIF), goeasy (GSY) and Leon’s Furniture (LNF) down 31.3%, 29.4% and 28.7% respectively.