A Comment -- General Comments From an Expert (A Commentary)

Canadian Banks: He exited Canadian banks in the spring of 2006 and still had a 0% weighting coming into December/08. Preferred shares are very attractive as dividend yields are strong. On common shares, earnings growth is going to be challenged.

Real Return Bonds: A bond that pays a yield over top of a short-term rate. Premise is that if inflation rises, the coupon you are paid is going to go up. Recently, long-term treasury bond rates fell, which pulled these bonds down with it. Worth a look.

Natural Gas: Has shown very little life at this point. In the short-term, the equities have started to perform better so the market is telling you that they believe the price can move higher. You could see some significant new supplies coming on with shale gas. He prefers oil or gas.

(His 3 Top Picks are sector based.) High-quality corporate bonds. When there is a market recovery, corporate bond spreads will tighten and they will benefit first and then you'll see the equity markets appreciate.

(His 3 Top Picks are sector based.) Blue-chip dividend equities. Valuations on some of the best companies are very low and attractive. If you are looking at 3, 5, 10 years down the road this is an opportunity to buy companies at extremely attractive valuations.

(His 3 Top Picks are sector based.) Global agriculture. Great opportunity to take advantage of supply/demand fundamentals through the purchase of great companies.

Canadian Banks Preferred Shares: Banks have issued a lot of preferred shares partially as a response to the global issues that we have seen lately. Relatively cheaper money for the banks as opposed to new common issue. The risk is capital depreciation on your investment.

Oil: $40 to $55 would be a reasonable price he would expect in the short-term. There had been far too much of a spike on the upside at $140 but the recent $36 range was too low.

Oil: $70 will probably be a resistant level for it. $60 oil should not be a big problem.

Re: Past Top Picks. BNN miscalculated the % returns. Any mathematicians out there feel free to double check what I calculated for you.

(Market Call Minute.) Gold.

Gold: We are now into a possible deflationary period but once that starts to turn around, inflation is not going to be far away. You will want to own gold when that happens. You could own bullion, one of the quality gold stocks or an ETF.

Canadian Dollar: Expect it will be stuck in a trading range and doesn't expect it to see parity in the near future.

(Market Call Minute.) Global bonds. Have had a good run because of dropping interest rates. Doesn't know that they will come down much further. Consider moving to corporate bonds.

(Market Call Minute.) Gold. Doesn't think he will lose money on this in 2009. You won't make a lot but you want to hold some in your portfolio.