Mackenzie manager: Anxiety about a recession seems to be misplaced

“The current malaise is likely temporary and if anything, it has created buying opportunities”, says Martin Downie

Michael Ryval 6 December, 2018 | 6:00PM

Equity markets have been on a downward slope this year, concerned with a mix of worries about slowing growth, potential trade wars and central bank tightening. But Martin Downie, a 34-year industry veteran who has witnessed several severe downturns, argues the current malaise is likely temporary and if anything it has created buying opportunities.

Equity downturns are a normal course of events and the current one reminds Downie of previous corrections. “We saw a slowdown in economic growth in 2015-16, and 2011. Those were periods when we saw corrections in the equity market,” says Downie, senior vice-president, and head of the North American Equities Team at Toronto-based Mackenzie Investments. Downie oversees a team that manages about $10 billion in Canadian equity assets with a dividend focus spread across several Mackenzie and Investors Group equity and balanced funds.

“I can make a case that the lows we saw in the S&P 500, at 2600, was a good low in the market,” adds Downie, a Winnipeg native who graduated with a Bachelor of Commerce from University of Manitoba in 1984 and joined Mackenzie in November 2017 after working for organizations such as OMERS and Investors Group. “And I can also make a case that we should see more probing of that level as economic growth continues to slow.”

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Securities Mentioned in Article

Security NamePriceChange (%)Morningstar Rating
Bank of Nova Scotia54.31 CAD-0.49

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Michael Ryval

Michael Ryval  

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