Updates from our Chief Economist

Todd Mattina

Senior Vice President, Chief Economist, Portfolio Manager, Team Co-Lead

Mackenzie Multi-Asset Strategies Team

Todd Mattina, Senior Vice President, Chief Economist, Portfolio Manager and Co-Lead of Mackenzie Multi-Asset Strategies Team, shares monthly insights on the economy, markets and more.

Why financial markets shouldn’t fear inflation

January 12, 2021

The global pandemic put a damper on economic activity through 2020. With mass vaccinations progressing slowly but surely, economies around the world are expected to rebound strongly in 2021. What does this mean for inflation? Mackenzie’s Economists Todd Mattina and Jules Boudreau share their analysis.

January 8, 2021

Mackenzie’s Todd Mattina shares his predictions for the economy for 2021, including the speed of recovery, the role of economic stimulus, interest rates and inflation.

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2021 Global Market Outlook

December 16, 2020

With interest rates at (or near) all-time lows and high economic uncertainty, 2021 could be extremely challenging for investors. More than ever, taking a long-term approach and being well diversified is key, say Mackenzie’s Chief Economist Todd Mattina and Economist Jules Boudreau.

November 16, 2020

Todd Mattina, Senior Vice President, Chief Economist, Team Co-Lead of Mackenzie Multi-Asset Strategies Team provides his thoughts on market responses to the 2020 US Election.

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Markets rally on a split Congress

November 12, 2020

Joe Biden may be headed to the White House, but the Democrats’ Blue Wave failed to crest. The resulting divided Congress could be the best-case outcome for markets, according to Mackenzie’s Chief Economist Todd Mattina and Economist Jules Boudreau.

October 5, 2020

When the pandemic is finally behind us and essential crisis relief programs can be safely tapered off, governments will need credible multi-year plans to reign in public debt. Mackenzie’s Chief Economist Todd Mattina and Economist Jules Boudreau call for growth-friendly policies to reduce budget deficits post-pandemic.

September 24, 2020

In the Throne Speech on September 23, the federal government outlined its plans to fight the pandemic-related downturn in the near term and restructure the economy in the longer term. Economists Todd Mattina and Jules Boudreau share their insights and analysis.

September 8, 2020

As a result of the pandemic and other economic factors, low interest rates appear poised to persist. Investors may need to shift their focus on long-term asset allocation to satisfy their retirement income needs. Economists Todd Mattina and Jules Boudreau have ideas for you to consider.

September 2, 2020

The fiscal and monetary responses to the COVID crises have led to unprecedented public deficits and money printing. Economist Jules Boudreau discusses and compares current policy reactions to that of Modern Monetary Theory.

August 7, 2020

Near zero risk-free rates are expected for a prolonged period, supporting higher yielding assets. Mackenzie’s Chief Economist Todd Mattina discusses how shifting asset yields and liquidity conditions impact multi-asset portfolios.

July 10, 2020

In today’s low-yield environment, the traditional 60/40 asset allocation is expected to generate lower returns in the next decade compared to the exceptional performance of the last 40 years.

June 4, 2020

Recent gains in global stock markets suggest investors are more optimistic about the outlook. Surveys of economist forecasts point to a bounce in global economic activity next year following a “sudden stop” in 2020 to enforce social distancing.

May 5, 2020

In this month’s note, we provide an update on the economic outlook and discuss why financial markets appear optimistic despite an unprecedented economic slowdown. We believe that forward-looking investors are looking past current economic weakness to focus on an apparent peak in new cases and deaths from the pandemic, the expected re-opening of major economies and robust policy measures to replace lost incomes.

April 20, 2020

China’s Q1 GDP growth rate of -6.8% is the weakest since 1992, reflecting shuttered productive capacity during the lock-down. However, China has re-opened and activity is returning rapidly.

Todd's latest from social:

April 16, 2020

Government budget deficits this year are expected to surpass the 2008-09 recession. After the crisis, governments will need to rebuild fiscal space and ensure public finances are sustainable on a long-term footing.

Todd's latest from social:

April 9, 2020

Canadian job losses in March were 40% of total employment gains since the Great Recession. While many jobs are expected to return once the shutdown is over, the scale and speed of job losses highlight the urgency of supporting lost incomes.

Todd's latest from social:

April 7, 2020

For those who look to Italy’s experience with social distancing policy as a means to contain the spread of COVID-19, the recent peak in the daily number of new cases is noteworthy.

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Flattening the Curves

March 27, 2020

Summary:

Stopping the pandemic spread while minimizing the steep economic cost is the key policy challenge
Policymakers have acted quickly with strong measures to backstop the economy and credit markets
Policy stimulus should strive to prevent a further deterioration in demand and unemployment, but policymakers cannot offset the negative supply-side impact of a prolonged economic lockdown
The macro outlook depends on the duration of social distancing to contain the epidemic
Long horizon investors should continue periodic portfolio rebalancing and ensure adequate liquidity to avoid selling assets at distressed prices

March 19, 2020

As governments face the largest budget deficits since the Great Recession, strong fundamentals are important to underpin a “whatever it takes” fiscal policy response. Amongst the G-7 countries, Canada and Germany have the most fiscal space to accommodate larger budget deficits as needed.

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Market turbulence follows coronavirus and oil price war

March 12, 2020

The worsening coronavirus outbreak and oil price war have sharply increased financial market turbulence. The number of coronavirus cases is expected to rise sharply over coming weeks in North America and Europe based on the views of respected epidemiologists. Even if fatalities remain low, essential measures to contain the virus are expected to disrupt global supply chains and weaken consumer confidence. Compounding the economic shock from the coronavirus is Saudi Arabia’s oil price war, whichcomes at an inopportune time for the global economy. Ramping up oil supply to boost market share and displace US shaleproducers has increased credit risk in the high yield energy sector.

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