Macquarie Group Limited is an Australian multinational investment banking and financial services group headquartered in Sydney and listed on the ASX. As Australia’s top-ranked mergers and acquisitions adviser, Macquarie manages over A$871 billion in assets and holds the title of the world’s largest infrastructure asset manager. We have been closely monitoring the performance of MQBKY shares this year and are pleased to announce that, following the quarterly rebalancing of the SIA Hypothetical 5 CAD ETF Sector Model in Q3, it has now been included as a headliner. This inclusion comes with the purchase of the Hamilton Australian Bank Equal Weight Index ETF (HBA.TO), which is essentially a concentrated 5-stock portfolio comprising Macquarie Group, Westpac Banking, ANZ Group, National Australia Bank, and Commonwealth Bank of Australia, each holding equal weight. Australia's banking system operates in a near-monopoly environment, allowing these banks to benefit significantly from declining interest rates and substantial stimulus from China, along with anticipated commodity strength. The Hamilton Australian Bank ETF encapsulates these dynamics and positions investors to capitalize on the growth potential in this sector.
In recent days, we have implemented several changes to the SIA Hypothetical 5 5 CAD ETF Sector Model. Three previous positions—BMO Europe High Dividend (ZWE.TO), CI Japan Index ETF (JAPN.TO), and Ninepoint Carbon Credit (CBON.NEO)—were removed after declining in the matrix during the quarterly review. These positions were held for a short duration; BMO Europe ETF was sold for virtually no gain, while CI Japan Index ETF generated a solid return of 27%. However, losses from Ninepoint Carbon Credit (-19%) resulted in minimal overall movement in the portfolio. The removed positions have been replaced with the Hamilton Australian Banks ETF (HBA.TO), BMO Global Gold Index ETF (ZGD.TO), and iShares China ETF (XCH.TO). Our commitment to risk management and maintaining only the top-performing ETFs in this model has proven successful, with the SIA Hypothetical 5 CAD ETF Sector Model showing a CAGR of 11.83%, outperforming the SIA CAD 60/40 Balanced Benchmark at 10.77%. While we have previously discussed topics related to Base & Precious Metals and Chinese Equities in our Daily Stock Reports (DSR) and Equity Leaders Weekly (ELW), the inclusion of Hamilton Australian Banks ETF (HBA.TO) effectively brings together these concepts, with Macquarie ideally positioned to capitalize on these trends. This is further reflected in its Point and Figure chart, which indicates a breakout at $140.88 and a rise to $163.58, where it encountered initial resistance. With solid support levels at $139.48 and $130.10, built on 3.5 years of consolidation, we can anticipate a potential top-line resistance at $177.11. With an SMAX score of 10 out of 10, MQBKY shows strong short-term performance across various asset classes.
Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.
