The Illusion of Diversification

Most of the worlds wealthiest people have built their fortunes by betting on themselves or by inheriting money from someone who once did. For instance, tech billionaires like Larry Page and Sergey Brin (Google), Jeff Bezos (Amazon) and Mark Zukerberg (Facebook) took risks by creating businesses that opened up new frontiers and have dominated society in a way that we’ve never quite seen before. Their hard work paid off spectacularly, allowing them to build the kind of historic generational wealth that most of us can only dream of.

Of course, being an entrepreneur is not for everyone. It typically means working very long hours, taking life altering risks, adding debt and reinvesting in the business rather than taking significant cash out. It takes discipline and some luck, as most new businesses are a concentrated bet on one industry. In other words, it’s putting all your eggs in one basket while the odds are against you. According to the U.S. Bureau of Labor Statistics, typically 20% of new businesses don’t make it past the first year while almost half don’t survive year five (current data is harder to come by in Canada). As tantalizing as the success stories above are, they are also huge anomalies.

For most people, wealth generation means investing in securities like stocks and bonds, rather than entrepreneurship. As shareholders we don’t have a meaningful say in how a company operates or truly know the day-to-day interworking of a firm like a founder would. This is why we’re taught to diversify away our risk by investing in many baskets rather than just one.

Click here to read the full article and gain deeper insight.

Sincerely,

National Bank Financial

Rob Hunter                                 Campbell Hunter

Senior Wealth Advisor               Wealth Advisor & Portfolio Manager CIM®

National Bank Financial – Wealth Management (NBFWM) is a division of National Bank Financial Inc. (NBF), as well as a trademark owned by National Bank of Canada (NBC) that is used under license by NBF. NBF is a member of the Canadian Investment Regulatory Organization (CIRO) and the Canadian Investor Protection Fund (CIPF), and is a wholly-owned subsidiary of NBC, a public company listed on the Toronto Stock Exchange (TSX: NA).

 

 

 

 

Canada–U.S.: Gaming Out the Trade Negotiations

Our geopolitical analyst Angelo Katsoras examines the outlook for a Canada-focused trade agreement, the shift toward regionalized supply chains and economic security, and how recent Canada–China trade developments may shape future negotiations.

Click here to read the full article and gain deeper insight.

Sincerely,

National Bank Financial

Rob Hunter                                 Campbell Hunter

Senior Wealth Advisor                 Wealth Advisor CIM®

National Bank Financial – Wealth Management (NBFWM) is a division of National Bank Financial Inc. (NBF), as well as a trademark owned by National Bank of Canada (NBC) that is used under license by NBF. NBF is a member of the Canadian Investment Regulatory Organization (CIRO) and the Canadian Investor Protection Fund (CIPF), and is a wholly-owned subsidiary of NBC, a public company listed on the Toronto Stock Exchange (TSX: NA).

 

 

 

 

Economic Impact – Canada Is Not in A Recession

 

Canada enters the second quarter on firmer footing, shaking off a soft start to the year that stops short of a true recession. A sharp rebound in full-time employment and a surge in energy exports are setting the stage for stronger growth, even as the loonie weakens under shifting market forces. At the same time, renewed supply chain stress, driven by ongoing geopolitical disruptions, is keeping inflation risks alive and central banks on edge. Equity markets remain buoyant, but much of the good news is already priced in, raising questions about how much upside remains. Meanwhile, intensifying competition in AI, particularly from China, is challenging the sustainability of elevated expectations. Nancy Paquet and Stéfane Marion break down what it all means for investors and the road ahead.

Sincerely,

National Bank Financial

Rob Hunter                                 Campbell Hunter

Senior Wealth Advisor                 Wealth Advisor CIM®

National Bank Financial – Wealth Management (NBFWM) is a division of National Bank Financial Inc. (NBF), as well as a trademark owned by National Bank of Canada (NBC) that is used under license by NBF. NBF is a member of the Canadian Investment Regulatory Organization (CIRO) and the Canadian Investor Protection Fund (CIPF), and is a wholly-owned subsidiary of NBC, a public company listed on the Toronto Stock Exchange (TSX: NA).

 

 

 

 

Economic Impact – A Shock Like No Other

 

 Take a moment to hear from our Chief Economist, Stéphane Marion, and Executive Vice‑President Nancy Paquet as markets hit record highs amid persistent supply shocks, exploring the forces shaping Canada’s economy, from oil prices to inflation risks.

Sincerely,

National Bank Financial

Rob Hunter                                 Campbell Hunter

Senior Wealth Advisor                 Wealth Advisor CIM®

National Bank Financial – Wealth Management (NBFWM) is a division of National Bank Financial Inc. (NBF), as well as a trademark owned by National Bank of Canada (NBC) that is used under license by NBF. NBF is a member of the Canadian Investment Regulatory Organization (CIRO) and the Canadian Investor Protection Fund (CIPF), and is a wholly-owned subsidiary of NBC, a public company listed on the Toronto Stock Exchange (TSX: NA).

 

 

 

 

The Iran Conflict: Scenarios and Geopolitical Impact

Our geopolitical analyst Angelo Katsoras explores several possible scenarios related to the recent Iran conflict. Click to read the article and gain deeper insight.

Sincerely,

National Bank Financial

Rob Hunter                                 Campbell Hunter

Senior Wealth Advisor                 Wealth Advisor CIM®

National Bank Financial – Wealth Management (NBFWM) is a division of National Bank Financial Inc. (NBF), as well as a trademark owned by National Bank of Canada (NBC) that is used under license by NBF. NBF is a member of the Canadian Investment Regulatory Organization (CIRO) and the Canadian Investor Protection Fund (CIPF), and is a wholly-owned subsidiary of NBC, a public company listed on the Toronto Stock Exchange (TSX: NA).

 

 

 

 
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