Topic: How To Invest

The Successful Investor Hotline – Friday, January 13, 2017

Article Excerpt

Dear client, We’ve chosen TD Bank, CGI Group and TransCanada as our top stocks for 2017. We feel all of these picks (one from each of our portfolios: Conservative, Aggressive and Income) have exceptional growth prospects and trade at attractive multiples to earnings. TORONTO-DOMINION BANK, $67.10, Toronto symbol TD, is Canada’s second-largest bank with assets of $1.2 trillion. In the past few years, TD has expanded its U.S. operations. These businesses now provide 29% of its earnings. Its Canadian retail banking operations account for 62%, while the wholesale operations, which mainly consists of securities trading and underwriting services, supply the remaining 9%. The contribution from TD’s U.S. retail banking should continue to rise. That’s partly due to plans by the Trump administration to cut the corporate tax rate from 35% to 15%. In addition, the new president wants to relax restrictions imposed on U.S. banks following the 2008/2009 financial crisis. Trump’s infrastructure spending plans have also helped to increase interest rates. While that may…