Balanced Fund Commentary Q1 2020

Financial markets performed well in the beginning of 2020 until COVID-19 impacted economies around the world. Governments reacted quickly by forcing people to stay home, closing “non-essential businesses” & providing support for the economy.

At this point, it appears the “Covid-19 infection curve” is flattening in many countries. Financial markets have improved since the end of March thanks to the curve flattening and positive news about treatments (ie Remdesivir). The next steps in opening parts of the economy will be critically important. Governments must balance encouraging commerce and preventing excessive stress on the medical system (new infections)

Key Concepts for Investors

  • Market volatility is a reaction to uncertainty. Uncertainty is here to stay until a treatment or vaccine is approved & implemented.
  • The balanced funds are invested in blue chip stocks and bonds. Fund managers are actively making changes to holdings to increase future returns and lower risk.
  • Patience is more important that ever. It will take time for the economy to normalize.

Benchmark Returns

Fund Asset Allocation

Monthly & Year-to-Date Returns for 2020

Historical Calendar Year Returns (2010 to 2019)

1st Quarter – Top Equity Holdings

1st Quarter – Top Performers (Stars) & Poor Performers (Dogs)

1st Quarter – Commentary & Analysis