June 2003 Newsletter

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As mentioned last month, the Cartier Partners head office conducted a Retirement Readiness Quiz and you can try it out on the Cartier Partners corporate web site or ask us for a copy.

At a recent presentation by Bill Sterling, Global Strategist for CI Funds, Bill showed a
graphical model used by the US Federal Reserve to determine the relative valuation of different investments.  It currently indicates a huge under-valuation of stocks.  Click here to see the details.

I recently added a commentary about
mortgage insurance to this web site.  Click here to read the details.

  • Investment markets have continued to recover since the start of the war in Iraq.  Technology funds have the best returns so far this year - a stark contrast to the past three years. 

  • The devaluation of the US dollar will likely act as a catalyst for US exports and thereby strengthen the US economy which is very good news for Canada too since we have very strong economic ties to the USA.

  • Due to the rising Canadian dollar and decreasing inflation interest rates are likely to stay at current levels for a while.

  • A hypothetical investor who switched from AGF International Stock Class to bonds in early March as war approached has missed a rebound of over 25% in the fund.  It would take six years in a 4% bond to make the same return.

Dates of note

  • Tax freedom day June 15?

  • June: Time to reinvest your tax refund and make sure plans to 2003 RRSP are complete

Quote of the month: New Chemical Element Discovered

A major research institution has recently announced the discovery of the heaviest chemical element known to science.  The new element has been tentatively named "Governmentium".  Governmentium has 1 neutron, 12 assistant neutrons, 75 deputy neutrons and 11 assistant deputy neutrons, giving it an atomic mass of 312. 
These 312 particles are held together by forces called morons, which are surrounded by vast quantities of lepton-like particles called peons. 
Since Governmentium has no electrons, it is inert.  However, it can be detected as it impedes every reaction with which it comes into contact.  A minute amount of Governmentium causes one reaction to take over 4 days to complete when it would normally take less than a second.  Governmentium has a normal half-life of 3 years; it decays until it undergoes a reorganization in which a portion of the assistant neutrons and deputy neutrons exchange places.  In fact, governmentium's mass actually increases over time, since each reorganization causes some morons to become neutrons, forming isodopes. 
This characteristic of moron-promotion leads some scientists to speculate that Governmentium is formed whenever morons reach a certain concentration.  This quantity is referred to as a "Critical Morass".  You will know it when you see it.

Dundee Private Investors Inc.
2775 Lancaster Rd. #2
Ottawa, Ont. K1B 4V8
613-746-9588

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