Monthly Report: Jan 2026
A few topics our newsletter touches on this month:
- Our Thoughts: The Donroe Doctrine and Looking Ahead to 2026
- By the numbers: December
- Interesting Links: Global Insight Monthly, Disruptors podcast
- Arts in Ottawa corner: Theatre spotlight
Our Thoughts: The Donroe Doctrine and Looking Ahead to 2026
We hope everyone was able to have a restful holiday period. The new year tends to bring with it a lot of reflection & goal-setting, and that certainly was the case for Peter’s son Xavier who decided he wasn’t big enough yet (reflection) and decided he would like to grow bigger this year (goal-setting). Aspirational really. After a volatile but in the end very strong year in 2025 for equity markets, there are a lot of questions on everyone’s mind about the road ahead and what to expect. In that vein, this month we are focused on the annual Global Insight Outlook publication, with a quick detour to commentary from RBC Capital Markets on potential impacts of Trump’s aggressive foreign policy actions last weekend.
Donroe Doctrine: Although the timing of the US capture of Venezuelan President Nicolas Maduro was a surprise – it was in fact the result of a widely telegraphed intention on the part of the Trump administration to institute regime change. For those interested in some commentary from the RBC capital markets group on the oil side of this geopolitical news, you can find that here.
Looking ahead: RBC Wealth Management has launched the Global Insight 2026 Outlook. Looking ahead to the next year is a necessary exercise for investors, but it’s even more useful to focus on investment themes that can endure for years or even decades. This special 2026 Outlook brings unique perspectives on the near- and long-term market opportunities. You can enjoy the complete report in PDF format here: 2026 Outlook.
Prefer your economic forecast more bite-sized? You can read the feature articles and regional focus commentaries by clicking on the links below.
Quarter-century crossroads – In the next quarter century, some themes that have emerged relatively recently should persist, and new themes have the potential to shape global economic developments and drive certain sectors.
More but less – After three consecutive years of strong gains for most equity markets, nothing historically rules out a fourth. The combination of lower inflation, lower interest rates, and faster GDP growth required for continued gains won’t be easy to achieve. We think “positive” rather than “above average” is the outcome to plan for.
Canada regional focus – We recommend focusing on stocks with quality characteristics and would lengthen average maturity of bond portfolios to increase yield.
U.S. regional focus – Stock and bond market returns face high hurdles in 2026, but we think the former should be given the benefit of the doubt.
As we kick off the new year, please do not hesitate to reach out to our office by phone or e-mail to book a meeting with Mark, Peter or Sarah to review your portfolio and financial plan.
By the numbers (Dec):
The TSX was up 1.3% and the S&P 500 was essentially flat, up 0.1% in U.S. dollars (down 1.7% in $CAD). The Europe, Australia & Far East index (EAFE) was up 1.1%, and the Emerging Markets index was up 0.9%. The Canadian bond market was down 1.3%.
By the numbers (2025): The TSX was up 31.7% while the S&P 500 was up 17.9% in U.S. dollars (up 12.5% in $CAD). The Europe, Australia & Far East index (EAFE) was up 22.1%, while the Emerging Markets index was up 24.6%. The Canadian bond market was up 2.6%.
Interesting Listening/Reading:
- Disruptors - A dynamic 30 min RBC podcast co-hosted by John Stackhouse and Sonia Sennik about reimagining Canada’s economy in a time of unprecedented change.
- To check out our Global Insight Monthly for Dec find the link here.
“Arts in Ottawa” Corner
Theatre spotlight – thinking of checking out some theatre to kick off the new year? We thought we would highlight a few productions being staged across the city that could be worth checking out.
- August: Osage County: a Pulitzer-winning dark comedy where a shattered family reunites, igniting a firestorm of secrets, betrayal and razor-sharp wit. Playing at the Gladstone Theatre off Preston St. Feb 4- Feb 14, 2026
- Clue (touring production): Based on the classic board game and movie, this is a “fiendishly funny” murder mystery stage show. Playing Southam Hall at the NAC Jan 6- Jan 11, 2026
- Women Fully Clothed: Actresses/comedians Jayne Eastwood, Teresa Pavlinek, Kathy Greenwood, and Robin Duke have put together a "Best of" comedy show playing at the Meridian (Centrepointe Theatre) Jan 30 to Jan 31, 2026
Regards,
Mark, Peter, Sarah, Corinne & Nathalie
Gallivan Wealth Management of RBC Dominion Securities
RBC Dominion Securities Inc.
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