On Tuesday, the S&P 500 rose 1.1% and Toronto rose 1.2%.
Notable gainers included Valeant Pharmaceuticals up 9.6%; Stantec, up 2.0%; Couche-Tard up 2.7%, Toll Brothers up 2.4%; Bank of America up 2.2%, Constellation Software up 2.2%; Liquor Stores N.A. up 3.5%. and Amazon up 2.2%.
Decliners included TransForce, down 2.2%, Melcor down 3.1%, and Bombardier, down 3.8%.
I added to my margined Boston Pizza position today. Boston Pizza Royalties units were down 0.9% today to $18.54. Since I only expect the yield spread to be something less than 4% per year, it’s clear that I could lose more than that in a few days. But I have confidence in this investment and am prepared to stay in for several years. I might reduce the position if the units rise back to about the $22 range. It’s one thing to talk about potential returns and losses ahead of time, but I always find that making an actual investment focuses the mind. I already had substantial Boston Pizza shares. But now it will be on my mind that I borrowed money for these shares. I made sure the amount borrowed was not large in relation to my portfolio.