Q: So I ran with wsp, tri, and gsy in an sdrsp for the equity porrtion. Down on all. Looking forward do you think continuing to hold these three in an sdrsp is a good move? Or do you think changing one or all for better blue chip companies is warranted? If so what do you suggest?
5i Research Answer:
Changing tactics 'after' a decline has already occurred is generally not the best move. The companies mentioned certainly have the ability to recover. We would not make dramatic changes in any portfolio in the middle of a market correction, but would instead take more time to review overall objectives, diversification and risk profile. With only three stocks, certainly adding some diversification would likely be beneficial. While GSY's stock reaction today is very harsh, and it is much smaller/riskier than the other two, we think it will ultimately be OK. TRI/WSP are solid blue chips and we would not have real concerns on them for a longer term investor.