While the broader equities market is hovering at all-time highs, people shouldn’t get cold feet just yet, instead investors should capitalize on the ongoing rally in stocks and related exchange traded fund.
ETF Trends’ Tom Lydon recently sat down with Dr. James Breech, President & CEO of Cougar Global Investments Ltd., to gauge the current equity market environment. Dr. Breech points to his company’s positive growth outlook for the overall stock market.
“As we moved through the past year, we’ve moved into a more bullish point of view,” Dr. Breech said. “Right now, looking forward one year – we have a one-year outlook, we have a 96 percent probability growth scenario… a very good thing.”
Cougar Global Investments follows a downside risk, or worst case scenario, management style where they measure a security’s potential for declines in value given current market conditions. Currently, the company now views traditional fixed-income assets as more risky than equities.
“The way we model bonds; Treasuries actually have over thirty percent probability going negative over the next year, whereas the S&P 500, for instance, has less than two percent probability going negative over the next year,” Dr. Breech said.
Watch the video below to see the full interview with James Breech.
To view past video interviews, visit our video section.