The Top 200 Canadian Stocks | 2013

Over the past eight years, our All-Star stock picks generated average annual returns of 15.2%, enough to triple your money. Here’s how we picked the Class of 2013.

39

by

From the December/January 2013 issue of the magazine.

39

top200_2012_322
Good stocks are hard to find because the market is filled with a plethora of choices. It’s difficult to know where to start. That’s why we’re pleased to present you with the ninth annual MoneySense Top 200 guide to Canadian stocks, which provides a helping hand. It directs you through the markets to some of the most compelling stocks Canada has on offer.

We’re happy to report our modest efforts have yielded excellent results so far. Last year our All-Star stocks, which meld the best growth and value characteristics, shot up an average of 13.4%. Meanwhile the Canadian market, as tracked by the iShares S&P TSX Capped Composite Index (XIC), lagged with gains of 3.8% since our last update. (The period was from Oct. 19, 2011 to Oct. 25, 2012. Figures don’t include dividends.)

Short-term results are one thing but the All-Stars really shine over the long haul. If you had bought equal amounts of the All-Stars and rolled your gains into the new stocks each year, you’d have enjoyed 15.2% average annual returns over the last eight years. By way of comparison, the S&P/TSX Composite Index climbed just 4.5% a year over the same period. The All-Stars outperformed by an average of 10.7 percentage points a year.

As you might imagine, we’re highly satisfied with our performance record. If you had split $100,000 equally among the original All-Stars eight years ago, then sold them and rolled your gains into the new batch each year, your portfolio would now be worth approximately $310,000—more than triple your original investment. Again, that doesn’t include dividends, which would have provided an extra boost over the period.

It’s important to emphasize that while we knocked the ball out of the park over the last eight years, stock picking comes with risk and uncertainty. Our method slightly underperformed the market twice in the last eight years and we fully expect to encounter soft periods again in the future. Furthermore, some individual stocks inevitably perform poorly. We hope others will more than make up the difference but this isn’t always the case. As a result, it’s important to know what you’re getting into. (If you’re just starting your stock-picking adventure, we suggest reading The MoneySense Guide to Investing in Stocks, now available on newsstands or online at moneysense.ca/books. It clarifies the basics and addresses more advanced topics.)

Nonetheless, we hope our track record will spark your interest in this year’s Top 200. As in prior years, we scrutinized the 200 largest public companies in Canada and graded each based on its investment merits. We have even provided an easy-to-use scorecard crammed full of the sort of data that should appeal to most investors. We like to think the Top 200 delivers a more objective and well-rounded take on large Canadian stocks than you’ll find from any other single source.

To find out which stocks made the cut, pick up the December/January 2013 issue of MoneySense or download the Top 200. The premium package comes complete with PDF articles and Excel tables showing grades for the Top 1,000 American stocks, the 100 bonus Canadian stocks as well as The MoneySense Guide to Investing in Stocks. The basic package includes the Top 200 Canadian stocks and 1,000 U.S. stocks.

39 comments on “The Top 200 Canadian Stocks | 2013

  1. I signed up for Money Sense in 2012. I have only received 3 monthly additions since. Can you investigate please.

    Bud Henry

    budhenry@sympatico.ca

    Reply

  2. i signed up for Money Sense in Oct and now almost 8 weeks later i have received 0 copies, whats going on, the confirmation email said 2 weeks.

    Reply

  3. Sorry for the inconvenience Steve. We're looking into the issue.

    Reply

  4. I am a money sense subscriber and every year when I finally get your article on the top 200 in the mail most of the gains have already occurred. Any suggestions

    Reply

    • Hi Karen,
      We pull our data for the stock picks as late as possible, but unfortunately there is a gap between data collection and publication due to our magazine timelines. Have you received your Dec/Jan 2013 issue in the mail yet?

      Reply

      • No

        Reply

        • It should be arriving any day now but I'll pass your name on to the circulation dept. just to double check. Thanks for reading Karen.

          Reply

    • So create your own list of allstars with today's data. For everyone asking for the excel spreadsheet there are tools to do this type of research yourself. What the author has shared is a methodology. Not just a "pick this". Besides, by the time you get the information it is already out of date, you would have had to make these choices in October. ELF for example has risen 10% since October, run the numbers it may not even be as big an allstar anymore.

      Reply

    • Is there a way to get access to the All Star list for current members before it gets published in hard copy and mailed out? Also does this strategy work best at the beginning of the year or can someone implement the 8 stock split in equal parts at any time of the year?

      Reply

  5. Is there a link for subscribers to get a free list? the paper magazine doesn't actually have a list of 500 US stocks despite saying it does, and when I go to moneysense/top200 it redirects me to a portal to subscribe to the magazine.

    Reply

    • Hi Ultigal,
      Thanks for reading. To answer your question: No, there is no link for a free list. The link provided (moneysense.ca/top200) leads to a portal where you can buy a digital version of lists containing Excel tables showing grades for the Top 200 Canadian stocks, the top 500 American stocks plus a bonus 100 Canadian and bonus 500 American stocks. Whereas the magazine features the American All-Stars. Let us know if there's anything else we can help you with. Best wishes, s.

      Reply

      • Thanks for your reply. I think this is something you should include with the subscription, it is the sort of thing I'm interested in when buying your magazine, not fluff pieces about credit cards. Also, when I tried yesterday the link only had packages that included the files and a subscription.Sent from my BlackBerry device on the Rogers Wireless Network

        Reply

        • Top 200 Premium Package does not include a subscription but does include bonus stock picks. The Top 200 Platinum Package does not include a subscription but does include the bonus picks and our new Guide to Investing in Stocks book. Hope this helps and thanks again for reaching out.

          Reply

      • I understand that the list would be available at a price for non-subscribers, but I'm a subscriber to Money Sense and already pay. I've received your Top 200 list in the magazine, so please let me know when I can download my copy of the list electronically without cost. Thank you.

        Reply

        • Hi J Young,
          There is a charge to access anything above and beyond what's already provided in the magazine (Top 200 Canadian Stocks + U.S. All-Stars). Thanks for reading and we appreciate your feedback.

          Reply

          • I don't think that answered his question.

  6. Wow, 8 years of beating the TSX Composite by an average of 10 percentage points. I guess active management getting better results than simple indexing is possible. It's strange though that a magazine that has so many people pushing indexing only would also have a stock picking component, that must make for fun editorial board meetings.

    Reply

  7. thanks ,good post .Investment in stocks its really confusing and tricky question .your suggesting link helpful to me . But can you suggest me which stocks are good for short term investment.

    Reply

  8. Hi, I'm a new subscriber this week (week of Dec 16) and want to know if my first issue will be the Dec/Jan issue as I'd like this one with the 200 stock picks. Please don't send out the Feb-March edition yet. Thanks!

    Reply

  9. Can I have a look (download) your TOP 2OO/500 stock list from Dec/Jan 2012?
    I would like to see for myself how you have done?
    Thanks

    Reply

      • I ordered a subscription about 3-4 days ago.
        Can I expect the DEC/JAN issue as my first copy
        of MoneySense?
        (I think you answered BBB below, with a reply)

        Reply

        • That’s a good question R. Sauve. Let us look into it for you. There’s a good chance you may receive the FEB issue as your first in late Jan. In any case, we’re glad you are with us. Happy New Year!

          Reply

  10. I signed up for Money Sense and everything is ok.

    Reply

  11. The recent 2013 Top 200 All Stars returned 13% for 1 year, which is the prior years return. The article also mentions the prior eight years of All Star returns averaged 15%. Is the 15% also based on prior year returns or is it based on the following year after each All Star selection?

    Much appreciated.
    Derrick Morris

    Reply

  12. Are the all stars all 200 stocks? At $9.95 per trade that would cost me $1990 to get started. I am not sure of the annual fees to buy/sell each time but is this included in the returns?

    Reply

    • No, the 200 stocks are graded on Value and Growth. The sub-set of stocks that get at least one "A" and at least one "B" in the two grading categories are considered "All Stars"

      Reply

    • i m redy work in canada plees give mw 1 chance ,

      Reply

  13. Hi, I signed up for Money Sense in 2012 and I've only received the Financial planner booklet vol. 1 and vol 4. What happened to vol 2. and 3.?

    Reply

  14. I don't appreciate it that the website says to click here to see the all stars then you route me to a site that is selling your magazine. If you say click to look to see that information then have it there or don 't put it at all. This is called bait and switch and it gives me a negative feeling about your magazine.

    Reply

  15. I have been a subscriber for many years… I recently purchases the all star Canadian stocks (8 in total I believe). Already have 10% return on the portfolio with two stocks returning about 20% each. Was considering cashing in the two stocks that returned 20% to take my profit. I'd also look to reinvest the principle and profit. Comments?

    Reply

  16. I've gotten Money Sense for many years & find the Top Canadian Stock information very useful. Please consider publishing it in September because the market/stocks really seem to go up in November & December. I set purchase prices for each stock. I miss buying some because the price moves too high. Such a disappointment to miss those profits!

    Reply

  17. In the past we used to be able to download an excel sheet version of the Top 100 Stocks. This was included in our subscription and perhaps was available to anyone. It was a good benefit and am not happy about being expected to buy a premium edition just to have the same information electronically. Couldn't you post it under a subscriber login area? Thanks

    Reply

  18. short term stock details has been put up here ranking up the best set of stock traders who has made tremendous achievements in eh recent past . i am really happy to read such things online that will give me more updates on the different business happening whole around the world. thank you for this shared. thank you.

    Reply

Leave a comment

Your email address will not be published. Required fields are marked *