It’s that time of the year again when we look back at how our Dec 31, 2010 BNN predictions fared.

2011 was a year marked by uncertainty and volatility, to say the least. With only a few more days to go, 2011 thus far has given investors a rough ride with many feeling bruised and battered. The swings were sharp while the down days dominated the headlines.

One would think that the collapse of worldwide markets would have provided a wake-up call to governments and investors across the country. And yet, as a Portfolio Manager for private wealth individuals in Canada, I come across many intelligent and sophisticated individuals who have little if any clue as to their all-in management fees with their current adviser. Truth be told, one often needs a forensic scientist to discover how much their investment adviser really earns from managing your money.

Under the deal, RehabCare stockholders will receive $26 in cash and 0.471 Kindred shares for each of their shares. Kindred plans to issue about 12 million shares in connection with the transaction. The deal also includes the assumption of about $400 million in debt.

Nelson Peltz disclosed he’s offering to buy discount retailer Family Dollar Stores for $55 to $60 a share in cash.
Peltz said last year that he believed Family Dollar’s shares were undervalued, and he said he would discuss with the company ways to improve operating performance.
Family Dollar shares ended the regular trading session at $43.96 a [...]

Sanofi is paying $74 a share, or $20.1 billion, plus a contingent value right, or CVR—a pledge of additional payment of up to $14 a share if Genzyme meets certain sales and manufacturing targets. Genzyme shareholders will get extra money if Lemtrada, Genzyme’s experimental treatment for multiple sclerosis, makes it to market and achieves certain sales. Shareholders will receive additional money if Genzyme restores manufacturing to certain levels at the plant that has experienced problems.

Federal Reserve officials modestly upgraded their outlook for growth last month, but indicated little inclination to lessen their extraordinary support for the economy this year.

For months, we at Frontwater Capital, have been saying: stay away from government and investment grade bonds. When cash rich companies like, IBM, Microsoft, Pepsi, Walmart, McDonalds, etc. can issue debt at yields near or below 1% for 3 years, you have to question the intelligence of the bond market. Finally, this December, it seems as if we got the correction that we have been looking for.

The US unemployment rate attracts a great deal of media attention, especially during recessions and tough economic times. Generally, the national unemployment rate is defined as the percentage of unemployed workers in the total labor force. It is widely recognized as a key indicator of labor market performance.

No matter the category: gold, silver, copper, uranium, wheat, sugar, cocoa if it was a commodity, it pretty much kicked butt in 2010. Any way you slice it, commodity prices erupted on the backend of 2010.

Back in January 2009, when the financial markets were collapsing, George Weston was the envy of the market. It was flush with cash as it had just sold its US bakery business for $2.3 billion to Mexico’s largest bakery, Grupo Bimbo. Not in a hundred years could a company be better positioned to feast on such famine. For blown opportunities, this will certainly go down as one.