OPTIMISM #19 - October 27, 2020

Dear clients and friends,

Which month is statistically the best in the stock market?

If you said December, you are correct.

Astrazeneca, a UK based pharmaceutical, appears to be close to having a vaccine. 


As Charlie Munger, Warren Buffet’s sidekick once noted,

“ignore short-term fluctuations. As a result, we achieve higher returns.

I like this one as well:

“The fear of losing capital when prices are low and the greed for more capital gains when prices are high and rising are probably more than any other factors responsible for poor performance” 



The first real dividend growth investor I met was about 1996.  I have to laugh thinking back.  CP were his initials.  I made the mistake of making fun of his crappy car.  He said it was a “good car”.  He had about 7 million dollars in his account, and that was 24 years ago, at a time when bank and utility stocks were relatively inexpensive.  Oddly, the same week, my wife, a realtor met him.  She found him difficult. They were arguing over $60 on the sale of his condo.

He came into Investors Group looking for free financial planning. 

He chatted about how the market price for Royal Bank and others did not seem to be as high as they should be.

It was thought of as an ‘old economy’ stock.

Sound familiar?

It was about 8$ a share then. Today its $93.


Good article about dividend stocks from the Globe and Mail today:  (the article is attached if you are not a subscriber)


Smile.  In the next four days, you will receive dividends from TD, Scotiabank, CIBC, TC Energy, Power Corp.

In later November BMO & RBC dividends arrive.

We own best of quality companies so not matter how negative the headlines are, the dividends land in our accounts.

Be patient.  Democrats will win, markets will stabilize, covid case spikes from Thanksgiving will dissipate.

Have a great week.