Take care before adopting the Hot Potato because it is an aggressive approach that requires regular attention. The TMX Market Centre is shown in Toronto, on Sept. 11, 2024.Paige Taylor White/The Canadian Press
It’s time to sell U.S. stocks.
That’s the recommendation of the momentum-based Hot Potato portfolio, which buys the hottest asset-class each month – and U.S. stocks no longer pass the test.
The portfolio boasts a strong track record, with an average annual growth rate of 12.8 per cent from the end of January, 1994, through to the end of March, 2025. It fared particularly well over the last 12 months, with gains of 15.6 per cent.
The Hot Potato portfolio takes an aggressive approach because each month it invests all of its money in one of four major asset classes – Canadian bonds, Canadian stocks, U.S. stocks, and international stocks – depending on which one fared the best over the prior 12…
