Portfolio returns: Q1 2026
| Total Return | 1M | 3M | YTD | 1YR | 3YR | 5YR | 10YR | Since Inc. (October 30, 2023) |
Canadian Neutral Balanced Series F | -2.94
| 1.12
| 1.12
| 10.92
| 14.07
| |||
Quartile rankings | 3 | 3 | 3 | 3 |
iProfile™ Enhanced Monthly Income Portfolio – Canadian Neutral Balanced Series F
Q1 commentary 2026
Highlights
① The portfolio gained in Q1 2026, supported by both equity and fixed income allocation.
② Positive returns were led by Canadian Dividend and International Equity pools, while the U.S. Equity pool detracted, due to weak sector positioning.
③ Bond funds contributed positively to absolute returns.
Portfolio Overview
Global markets delivered mixed returns in Q1 2026, as resilient economic conditions were offset by rising geopolitical tensions, particularly the U.S.–Iran conflict. Equity performance varied across regions, with weakness in the U.S. and Europe, while other developed markets posted more modest gains. Canadian equities were supported by strength in energy and materials, while emerging markets lagged amid ongoing economic and policy challenges. A stronger U.S. dollar weighed on non-U.S. returns in Canadian dollar terms. Value stocks outperformed growth stocks across global and North American markets, continuing the prior quarter’s trend.
In commodities, oil prices rose sharply amid geopolitical risks tied to the U.S.–Iran conflict and concerns around supply disruptions, particularly through the Strait of Hormuz. Gold also gained over the period, albeit with elevated volatility, supporting inflation-sensitive assets and contributing to sector dispersion.
Fixed-income markets delivered a mixed performance, with core government bonds generally flat to weaker, as rising yields weighed on returns. In both the U.S. and Canada, elevated yields and shifting rate expectations limited gains, while corporate bonds outperformed on the back of lower duration.
The iProfile Enhanced Monthly Income Portfolio – Canadian Neutral Balanced, Series F, delivered a positive return for the quarter, supported by gains from both equity and fixed income allocations.
The iProfile Canadian Dividend and Income Equity Private Pool, with a 35% allocation, was the highest contributor. The fund generated positive returns and outperformed its benchmark, driven primarily by the energy sector. Strong stock selection in industrials and materials, along with an underweight to information technology, further supported relative performance.
The iProfile International Equity Private Pool, with a 7% allocation, was the next largest contributor, benefiting from strength in the energy and materials sectors. Security selection in information technology and communication services also added value.
In contrast, the iProfile U.S. Equity Private Pool, with a 13% allocation, was the major detractor. The fund generated a negative return and underperformed its benchmark. Security selection in information technology and health care, along with an underweight to energy, were the primary drivers of relative underperformance.
The Mackenzie - IG Canadian Bond Pool, the heaviest weighted fixed income fund in the portfolio at 39%, also contributed positively, although it underperformed its benchmark. Government bonds supported absolute returns; however, relative underperformance was driven by an overweight to corporates, which offset positive security selection and contributions from government sectors.
Market overview: oil shock drove turbulence, commodities dominated inflation fears
The first quarter of 2026 began with supportive economic momentum; improving manufacturing, a stabilizing U.S. housing backdrop and contained inflation. However, this quickly pivoted as the conflict in the Middle-East involving Iran — along with trade disruption around the Strait of Hormuz — pushed energy commodities higher. The energy shock drove volatility across global equities, yet the underlying backdrop proved more resilient than headlines implied, reinforcing the value of diversification.
Canadian equities were resilient, as higher crude oil prices supported the energy sector and helped offset weaknesses in rate-sensitive areas. Defensive sectors, dividends and real-asset exposure provided additional insulation versus many global peers. U.S. fundamentals remained solid, but sentiment weakened as oil lifted inflation expectations. Investors rotated away from expensive, rate-sensitive growth stocks, making performance more about a valuation reset than deteriorating earnings.
Market outlook: positive on equities amid geopolitical tensions, neutral on bonds as rate paths diverge
Our outlook for equities remains constructive, supported by a resilient U.S. economy and improving global earnings momentum, despite recent volatility from Middle East tensions. While near-term market direction will depend on the economic impact of the conflict, we remain overweight equities in the absence of a clear deterioration in corporate earnings. We favour U.S. equities over Canadian equities, reflecting stronger growth and more supportive consumer dynamics. Structural advantages in productivity and sector composition continue to support U.S. earnings, while elevated household debt and housing headwinds weigh on Canada. We also see selective opportunities in developed international markets, such as Japan, supported by corporate governance reforms and attractive valuations.
In fixed income, we maintain a neutral duration stance. Resilient U.S. economic data may delay Federal Reserve rate cuts, while softer conditions in Canada increase the likelihood of earlier easing by the Bank of Canada. Elevated geopolitical risks and higher oil prices reinforce a measured approach to bond positioning.
To discuss your investment strategy, speak to your IG Advisor.
Commissions, fees and expenses may be associated with mutual fund investments. Read the prospectus and speak to an IG Advisor before investing. The rate of return is the historical annual compounded total return as of March 31, 2026, including changes in value and reinvestment of all dividends or distributions. It does not take into account sales, redemption, distribution, optional charges or income taxes payable by any securityholder that would have reduced returns. Mutual funds are not guaranteed, values change frequently and past performance may not be repeated. Mutual funds and investment products and services are offered through the Mutual Fund Division of IG Wealth Management Inc. (in Quebec, a firm in financial planning). And additional investment products and brokerage services are offered through the Investment Dealer, IG Wealth Management Inc. (in Quebec, a firm in financial planning), a member of the Canadian Investor Protection Fund.
This commentary may contain forward-looking information which reflects our or third-party current expectations or forecasts of future events. Forward-looking information is inherently subject to, among other things, risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed herein. These risks, uncertainties and assumptions include, without limitation, general economic, political and market factors, interest and foreign exchange rates, the volatility of equity and capital markets, business competition, technological change, changes in government regulations, changes in tax laws, unexpected judicial or regulatory proceedings and catastrophic events. Please consider these and other factors carefully and do not place undue reliance on forward-looking information. The forward-looking information contained herein is current only as of March 31, 2026. There should be no expectation that such information will in all circumstances be updated, supplemented or revised whether as a result of new information, changing circumstances, future events or otherwise.
This commentary is published by IG Wealth Management. It represents the views of our Portfolio Managers and is provided as a general source of information. It is not intended to provide investment advice or as an endorsement of any investment. Some of the securities mentioned may be owned by IG Wealth Management or its mutual funds, or by portfolios managed by our external advisors. Every effort has been made to ensure that the material contained in the commentary is accurate at the time of publication, however, IG Wealth Management cannot guarantee the accuracy or the completeness of such material and accepts no responsibility for any loss arising from any use of or reliance on the information contained herein.
Trademarks, including IG Wealth Management and IG Private Wealth Management, are owned by IGM Financial Inc. and licensed to subsidiary corporations.
©2026 IGWM Inc.