Pat McKeough

A professional investment analyst for more than 30 years, Pat has developed a stock-selection technique that has proven reliable in both bull and bear markets. His proprietary ValuVesting System™ focuses on stocks that provide exceptional quality at relatively low prices. Many savvy investors and industry leaders consider it the most powerful stock-picking method ever created.

As early as 1980, Pat was recognized as #1 in the world of published investment advice by the Washington, DC–based Newsletter Publishers Association, and he was the first multi-year winner of The Globe and Mail’s stock picking contest.

Both CBS MarketWatch and The Hulbert Financial Digest recognized Pat as one of North America’s top stock analysts. The Wall Street Journal called him “one of only four investment newsletter advisors who have managed to serve their readers well over the long haul.”

A best-selling Canadian author, he wrote Riding the Bull, his 1993 book that predicted the stock-market boom of the last half of that decade. Through his many television appearances, he is well-known to investors for his insightful analysis and his candid, unpretentious style.

Bottom line: Pat’s conservative, reduced-risk strategy is a proven approach to safe investing.

Posts by the author

Wealth Management

Retirement Investments to Avoid? Here Are Our Thoughts on This Critical Subject

Retirement investments to avoid include everything from bonds down to stock options. Here’s why.

4 min read

How To Invest

How to Get the Most Capital Gains Tax Benefits From Your RRSP

4 min read

How To Invest

Index Investing for Canadians: A Safe, Simple Starter Guide

6 min read

How To Invest

TRANSCANADA CORP. $42.69 - Toronto symbol TRP

TRANSCANADA CORP. $42.69 (Toronto symbol TRP; Shares outstanding: 708.9 million; Market cap: $30.7 billion; TSINetwork Rating: Above Average; Dividend yield: 4.9%; www.transcanada.com) recently had its proposed Keystone XL pipeline rejected by the U.S. The line would have pumped oil sands crude to refineries on the U.S. Gulf Coast.

So far, TransCanada has spent $2.4 billion U.S. on this $8.0-billion U.S. project. However, it can use some of the line’s equipment on other projects, which would minimize a writedown.

Meanwhile, TransCanada has $35 billion of large-scale projects underway, as well as $13 billion in small- to medium sized developments set to come into service in the next three years.

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1 min read

How To Invest

TELUS $42.20 - Toronto symbol T

TELUS $42.20 (Toronto symbol T; Shares outstanding: 605.0 million; Market cap: $25.5 billion; TSINetwork Rating: Above Average; Dividend yield: 4.1%; www.telus.com) earned $398 million in the three months ended September 30, 2015, up 2.8% from $387 million a year earlier. Earnings per share rose 3.1%, to $0.66 from $0.64, on fewer shares outstanding. Revenue gained 4.2%, to $3.2 billion from $3.0 billion.

Telus continues to sign up high-speed Internet and TV customers, which is helping offset lower demand for traditional phone services.

The company now aims to improve its earnings by cutting 3% of its workforce. That should lower its annual costs by $100 million to $125 million.

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1 min read

How To Invest

ISHARES MSCI BRAZIL INDEX FUND $23.14 - New York symbol EWZ

ISHARES MSCI BRAZIL INDEX FUND $23.14 (New York symbol EWZ; buy or sell through brokers) is an ETF that’s designed to track the Brazilian stock market.

Its top holdings are AmBev SA (beer and beverages), 10.6%; Cia Itau Unibanco Holding (banking), 10.2%; Petrobras (oil and gas), 6.8%; Banco Brandesco SA, 6.4%; BRF SA (food), 4.3%; Cielo SA (payment processing), 3.9%; Ultrapar SA (gas distribution and petrochemicals), 3.0%; and Itausa Investimentos SA (financial services), 2.8%. The ETF was launched on July 10, 2000. It has a 0.62% expense ratio.

Sluggish exports and low resource prices continue to slow Brazil’s economic growth. State-controlled oil and gas giant Petrobras is also in the midst of a huge corruption scandal. As well, president Dilma Rousseff, re-elected in late 2014, has yet to fulfill her promises of less growth-inhibiting government intervention in the economy.

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1 min read

How To Invest

ISHARES MSCI AUSTRALIA ETF $19.43 - New York symbol EWA

ISHARES MSCI AUSTRALIA ETF $19.43 (New York symbol EWA; buy or sell through brokers) is an ETF that holds the 71 largest Australian stocks. The fund’s top holdings include Commonwealth Bank of Australia, 12.1%; Westpac Banking Corp., 9.3%; National Australia Bank, 6.9%; Australia and New Zealand Banking Group, 6.7%; BHP Billiton, 5.4%; CSL Ltd., 4.2%; Wesfarmers, 3.8%; Woolworths Ltd., 2.7%; Macquarie Group, 2.2%; and Telstra Corp., 2.1%. The ETF’s industry breakdown consists of Financials, 53.0%; Materials, 14.4%; Consumer Staples, 7.8%; Industrials, 6.3%; Health Care, 6.0%; Energy, 3.9%; Telecommunications, 2.5%; Consumer Discretionary, 2.2%; and Utilities, 2.1%.

The iShares MSCI Australia ETF was launched on March 12, 1996. It has a 0.48% expense ratio. Australia benefits from its stable banking and political systems and is rich in natural resources. Low commodity prices have hurt the country’s economy, but its proximity to Asian markets with vast potential, including India and China, gives it strong long-term prospects.

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1 min read

How To Invest

ISHARES MSCI CHILE INVESTABLE MARKET INDEX FUND $31.91 - New York symbol ECH

ISHARES MSCI CHILE INVESTABLE MARKET INDEX FUND $31.91 (New York symbol ECH; buy or sell through brokers) is an ETF that aims to track the MSCI Chile Investable Market Index, which consists of stocks that mainly trade on the Santiago Stock Exchange.

The fund’s largest holdings are Enersis SA (electricity), 10.1%; Empresas Copec SA (conglomerate), 8.1%; Empresa Nacional de Electricidad (electricity), 8.1%; S.A.C.I. Falabella (retail), 6.1%; Banco Santander Chile (banking), 5.9%; Empresas CMPC (pulp and paper), 5.4%; Cencosud SA (retailer), 5.3%; Colbun SA (utility), 4.4%; and Banco de Chile, 4.2%.

The ETF’s industry breakdown consists of Utilities, 31.2%; Financials, 19.7%; Materials, 13.7%; Consumer Staples, 9.6%; Energy, 8.4%; Consumer Discretionary, 7.4%; Industrials, 5.3%; Telecommunications, 2.5%; and Information Technology, 1.7%.

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1 min read

How To Invest

ISHARES MSCI GERMANY FUND $26.83 - New York symbol EWG

ISHARES MSCI GERMANY FUND $26.83 (New York symbol EWG; buy or sell through brokers) tracks the stocks in the MSCI Germany Index. This index aims to replicate 85% of the market capitalization of the German stock market. The remaining 15% is unavailable for investment, partly due to limitations on foreign ownership. The ETF’s top holdings are Bayer (diversified chemicals), 9.6%; Daimler (automobiles), 7.3%; Siemens (engineering conglomerate), 7.1%; Allianz (insurance), 7.1%; SAP (software), 6.8%; BASF (chemicals), 6.6%; Deutsche Telekom, 5.1%; BMW AG, 3.1%; Deutsche Bank AG, 3.1%; Munich Reinsurance, 2.9%; Linde AG (industrial gases), 2.9%; Deutsche Post, 2.5%; and Fresenius (health care), 2.4%.

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1 min read

How To Invest

ISHARES MSCI SOUTH KOREA INDEX FUND $52.74 - New York symbol EWY

ISHARES MSCI SOUTH KOREA INDEX FUND $52.74 (New York symbol EWY; buy or sell through brokers) aims to track the MSCI Korea Index. The ETF’s top holdings are Samsung Electronics, 24.6%; Hyundai Motor, 3.6%; SK Hynix Semiconductor, 2.8; Shinhan Financial, 2.8%; Naver (Internet), 2.8%; Hyundai Mobis (auto parts), 2.7%; LG Chemicals, 2.4%; Kia Motors, 2.2%; KB Financial, 2.2%; AmorePacific Corp. (cosmetics), 2.1%; Korea Electric Power, 2.0%; KT&G Corp. (tobacco), 1.8%; and Posco (steel), 1.8%.

The iShares MSCI South Korea Index Fund was launched on May 9, 2000. Its expense ratio is 0.62%. South Korea has Asia’s fourth-largest economy, after China, Japan and India. It is heavily reliant on exports, but shipments to the U.S. are rebounding, offsetting weakness in Europe and China.

The steady rise of South Korea’s currency, the won, hurt its economy in 2012 and 2013 by making its goods more expensive for foreign buyers. But South Korea has cut interest rates to record lows, bringing the won back down to five-year lows against the U.S. dollar and boosting exports.

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1 min read

How To Invest

ISHARES MSCI EMERGING MARKETS INDEX FUND $33.84 - New York symbol EEM

ISHARES MSCI EMERGING MARKETS INDEX FUND $33.84 (New York symbol EEM; buy or sell through brokers) aims to track the MSCI Emerging Markets Index.

The fund’s geographic breakdown includes China, 23.5%; South Korea, 16.4%; Taiwan, 12.4%; India, 8.2%; South Africa, 7.6%; Brazil, 6.2%; Mexico, 4.8%; Russia, 3.9%; Malaysia, 3.2%; Indonesia, 2.5%; Thailand, 2.2%; and Turkey, 1.4%.

Its top holdings are Samsung Electronics (South Korea), 3.7%; Taiwan Semiconductor (computer chips), 3.1%; Tencent Holdings (China: Internet), 2.5%; China Mobile, 2.1%; China Construction Bank, 1.7%; Industrial & Commercial Bank of China, 1.3%; Hon Hai Precision Industry (Taiwan), 1.1%; and Bank of China, 1.1%.

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1 min read

How To Invest

RIOCAN REAL ESTATE INVESTMENT TRUST $24.99 - Toronto symbol REI.UN

RIOCAN REAL ESTATE INVESTMENT TRUST $24.99 (Toronto symbol REI.UN; Units outstanding: 319.9 million; Market cap: $8.2 billion; TSINetwork Rating: Average; Dividend yield: 5.5%; www.riocan.com) has settled its dispute with U.S.-based department store chain Target (New York symbol TGT).

In April 2015, Target closed all 133 of its Canadian stores, including 26 in RioCan’s malls. So far, the trust has found new tenants for seven of these stores. It will have to remodel the other 19, but it expects to have them rented by the end of 2017.

Target has now paid $132 million in compensation. Of that total, $92 million went to RioCan and $40 million went to its partners in some of these malls.

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1 min read