I wrote about Manulife in July, and it wasn’t clear at the time how it would perform in the face of some economic headwinds. Since that time, it has increased 16%. To be fair, it has experienced about the same growth as the market (11%), until the past week.
The reason is that they recently announced earnings that were well above the expectations of analysts. The company appears strong and well managed. They are profitable and poised for growth. That, however, is not a guarantee. The last time I wrote that, in July, interest rates failed to increase the way I expected.
I now own MFC in some of my accounts, in place of an ETF, to benefit from the momentum.
Another company that has recently rejoined my top five is SunLife (SLF). I also wrote about this in July. It has actually lagged behind the market until just this past week. It’s interesting to see the effect of (lack of) popularity, offset by the effect of actual business results.