ZCAN - Fitch: Customers Leaving Equity Funds Means Lower Revenue For Financial Sector
With the Canadian TSX today virtually unchanged from its April 2008 peak, even the most steadfast buy and hold investors have reaped zero capital gains over more than 12 years of risk and just 1.7% annually since the prior cycle peak in July 2000. Those who bought GICs and government bonds over these same periods earned significantly more with a fraction of the volatility.
As the current bear market continues its mean reversion course over the next several months, equity underperformance will get worse, and more of the present holders will exit with losses. This