As a portfolio strategist at Desjardins Online Brokerage, I am pleased to announce the launch of Disnat GPSfootnote 1 reports. In addition to alerts and audio clips available to investors who subscribe to our guided portfolios, these reports provide an additional tool to further your knowledge of the various shares held in the portfolios. Future newsletters will offer a Disnat GPS report in each publication.
Each report will include five sections with commentary, followed by a warning reminding you that as an independent investor at Desjardins Online Brokerage, you are responsible for your own investment decisions.
Here is a description of each category:
- Company description:
- Brief text to help you understand the business in general.
- Financial health:
- The dollar amount of debt and debt/equity ratio of the company. In general, we prefer companies with low debt.
- The company's revenue and earnings growth per share over one, three, five and 10 years, as appropriate. In general, we prefer companies that show a superior growth for most periods.
- Price/earnings, price/future earnings, price/cash flow ratios and dividend yield. In general, we prefer companies with low price/earnings, price/future earnings and price/cash flow ratios, and a strong dividend yield.
- Earnings per share, dividends (in dollars) and number of shares issued in the last five fiscal years. In general, we prefer companies where profits and dividends per share (in dollars) are steadily increasing, and the number of shares is shrinking.
You will note that, in general, we prefer securities of companies with strong financial health, attractive growth and a valuation that is not too high.
Furthermore, we usually hold large capitalization companies that are global or national leaders in their respective fields and have a long history.
For these reasons, Disnat GPS reports will look at securities that are relatively stronger and more stable than average stocks. However, we must always remember that when it comes to the market, even stocks that seem stable at first can become very volatile!
I invite you to view our next newsletter to read our first Disnat GPS report. To get these reports early and regularly, subscribe to Disnat GPS guided portfolios.
- *Disnat GPS is an information tool exclusive to Desjardins Online Brokerage, to which all Desjardins Online Brokerage clients can subscribe free of charge and without any obligation or commitment on their part. To gain access, simply click the GPS tab of your Disnat account and complete the simplified form.