In the Money with Amber Kanwar · Sep 24, 2026 · 55m · 38m saved
With Gordon Reid, President and CIO of Goodreid Investment Counsel
Gordon Reid trimmed Goldman Sachs by 33% and Morgan Stanley by 25% about six to eight weeks before this interview. Those were his picks when he last appeared on the show, and they have rolled over since he sold part of each.
Several recent guests had warned about the deficit and about how expensive US stocks are. Reid is getting more defensive too, but by trimming winners rather than selling out, and he said US profit margins near 15% make the market less expensive than it looks.
"You trim a stock for one reason and one reason only, and that's defense."
Gordon Reid, president and chief investment officer of Goodreid Investment Counsel, on In the Money with Amber Kanwar. He entered the business in 1985 and has been a registered portfolio manager in Ontario since 1989. The three stocks he picked on the show in July 2025 have since gained between 40% and 60%, by the host's count.
The full interview is covered here so you can skip it. 55 minutes of audio, 17 minutes of reading.
Here are the 18 calls that matter.
Key Takeaways
Reid expects this year's rate hikes to prove transitory, lasting until oil prices fall
He said the US economy can sustain a 5% 10-year yield and "probably even a 6% level"
US profit margins have risen to about 15%, which he said makes the market less expensive than it looks
He trimmed Goldman by 33% and Morgan Stanley by 25% because they had become too big a part of the portfolio
He bought Verizon, a new position paying a dividend of about 5.5%
He is adding to health care and will not buy beaten-up software stocks until a bottom is in
GM's software and services could double the company's profitability by 2030, on GM's own figures
He has never owned Costco because of the risk in its 43 times earnings multiple
He called Netflix "yesterday's story for now", with YouTube holding twice its share
CrowdStrike is the one or two expensive stocks he allows himself, managed by trading around it
His three new picks are all AI infrastructure: Ciena, EMCOR and MasTec
1. Rate Hikes Look Transitory
Kanwar opened with rates. September had been messy for stocks, the world is back in a rate-hiking cycle nobody expected going into 2026, and oil is making things more expensive. She asked whether it is time to take chips off the table.
Reid would not sell, and blames goods inflation
"Well, certainly we wouldn't take chips off the table." — Gordon Reid
Change is the constant, he said, after many cycles. Rates were expected to fall this year and have done the opposite. He named oil and tariffs as the inflationary forces, and said the evidence that tariffs are inflationary is fairly clear, whatever the administration says. Goods inflation, not services inflation, is driving prices, and that moved the Fed to what he called a precautionary rate increase.
"I think the likelihood is that the history books will show it as a transitory move that will continue until we break the back of inflation, which is going to come when oil prices fall." — Gordon Reid
It is not only the oil price but the input costs it feeds into across industrial America, he said. He hopes tariffs become a back-page story, and at that point he thinks the Fed would like to cut.
A 6% 10-year is not his line in the sand
The US 10-year yield seems to test 5% often, Kanwar said, and she asked whether 6% is his threshold for selling stocks. Reid said higher rates make companies more expensive to run and no chief executive would rather pay 5% than 3%. But his career goes back to a time when 5% or 6% would have been considered below normal.
"But I think that the structure of the US economy will certainly sustain a 5% level and probably even a 6% level." — Gordon Reid
