SIC Multi Asset Institutional Composite

 May 2021Year to Date
SIC Institutional0.57%4.14%
Benchmark*0.98%3.44%

* 5% T Bills, 35% Canadian Bond Composite, 20% S&P TSX Composite TRI, 20% S&P 500 C$ TRI, 20% MSCI EAFE (Net) C$ TRI

Positive news on vaccination rates, declining COVID-19 infections and moderating social restrictions buoyed investor spirits during the month of May.  Enthusiasm was witnessed especially in economically sensitive areas of the capital markets.  To that end, Canadian equities were the standout, rising 3.4% for the month.  Performance for the S&P TSX Composite was led by the gold, energy, and financials sectors.  In addition, the Canadian dollar maintained its upward trend reaching 83 cents US for the first time in many years. 

The strong Canadian dollar and our emphasis on global rather than domestic cyclical markets resulted in the SIC Multi Asset Institutional Composite underperforming the benchmark for the month.  The Institutional Composite continued, however, to outperform the benchmark on a year-to-date basis.  

We expect that further abatement of COVID-19 infections will lead to wider economic and social activity over the next several weeks.  As such, we continue to maintain maximum allocations to equities.

Terry Shaunessy
James Garcelon