On Friday, the S&P 500 rose 0.5% and Toronto was up 0.4%.
Element Financial was up 4.8%. Constellation Software was up 2.2%.
The RioCan rate reset share was down 2.5% to $19.36. This decline appears to be related to the fact that these shares are expected to reset to a lower dividend in one year due to the low rate on the Canada five year bond which drives the reset and which is apparently not expected to rise much by March 31, 2016. We recently rated these shares a Buy at $20.70 and would consider them to be even more of a Buy at this price.
The next update will be for Constellation Software. The CEO Mark Leonard has an approach that is very similar to Warren Buffett. Nevertheless I suspect that the share price is going to look too high as it is pricing in continuation of a lot of growth.
Bombardier rose modestly this week on rumors it could sell off its rail division. Controlling family member and former CEO and now executive chairman, Pierre Beaudoin denied any such sale is under consideration. But the thing is, he is no longer CEO and there is nothing to stop the new CEO from exploring this option. Bombardier also turfed a couple of executives this week.