(Business Edge columnist Gyle Konotopetz regularly profiles the top three stock picks of some of Canada's most accomplished investment pros.)

FEATURED PRO: Gene Vollendorf is CEO and portfolio manager of Savoy Capital Management (www.savoycapital.ca). The Calgary firm manages the Gladiator LP long/short fund.

Fund Form: The Gladiator LP fund has a three-year average return of 23.6 per cent (through February) compared to a return of 8.2 per cent for the S&P/TSX composite index for the same period.

Management Expense Ratios: 1.5 per cent (plus incentive fees).

Vollendorf's Perspective: "Wow! Bay Street and Wall Street are falling in love with the energy sector. The momentum cannot be ignored. Although we are still bullish on energy earnings momentum and the fundamentals of the sector, this type of capital market behaviour seems frothy, to say the least. Overall, the Canadian market is in solid shape but the focus, especially from a global perspective, is on the new paradigm of the fundamentals of the energy industry. Although there will be volatility, this type of momentum can persist for extended periods of time.

"Apart from base metals and energy, we maintain that the TSX earnings picture is demonstrating modest growth. We think industrial and consumer exporters will continue to be impacted by more permanent currency effects. Banks and interest rate-sensitive stocks will plod along, but we are definitely entering a period of increasing interest rates. We expect the TSX to return less than 10 per cent in 2005. Investment strategies focused on generating absolute returns for clients by emphasizing sector selection, nimble trading strategies and exploiting market inefficiencies will outperform regular buy-and-hold strategies."

First Star

* Rifco Inc. (TSXV:RFC)

* Recent Price: $0.80.

* 52-Week Range: $0.40-$0.99.

* Snapshot: Rifco is a specialty consumer finance company primarily involved in the auto and industrial machinery marketplace.

* CEO: Bill Graham.

* Head Office: Red Deer.

* Vital Stats: Revenue (last 12 mos), $2.4 million; Earnings/Loss (last 12 mos), $300,000 Loss; Market Cap, $11.02 million; Shares Outstanding, 13.8 million.

* Vollendorf's View: "This company is just entering the execution and growth phase of its business model. The short-term and secured nature of the loans, combined with the higher (than average) interest rates that they charge their customers, reduces the inherent risk in the business model. This stock is under the radar screen with investors, but it is in a very exciting and quickly growing segment of the financial services industry. As the company starts to announce earnings-positive quarters, you will see a rapid adjustment in the share price. The management team has invested significant capital in the company to align its interests with shareholders."

* Trading Strategy: "This is a long-term position that has the potential to increase by 100 per cent over the next 12 to 18 months. The stock is very illiquid and thus necessitates a longer-term outlook. This position requires patience to enable the management team to execute on its business plan. There may be quarterly bumps along the way, but the growth potential is significant."

* Web Watch: www.rifco.net

Second Star

* Norbord Inc. (TSX:NBD)

* Recent Price: $12.95.

* 52-Week Range: $10.18-$15.50.

* Snapshot: Norbord is the world's second-largest producer of oriented strand board (OSB) and has operations in Canada, the U.S. and the U.K. In addition, the company is a large-scale producer of other wood-based panel board such as particle board and plywood. Brascan owns about 20 per cent of Norbord.

* CEO: Barrie Shineton.

* Head Office: Toronto.

* Vital Stats: Current Price/ Earnings Ratio, 4.3; Revenue (last 12 mos), $2.8 billion; 5-Yr Revenue Growth, 2.7 per cent; Earnings (last 12 mos), $461 million; 5-Yr Earnings Growth, 4.1 per cent; Market Cap, $1.96 billion; Shares Outstanding, 151 million; Dividend Yield, 3.1 per cent.

* Vollendorf's View: "This is a play on the OSB prices and North American housing starts. Analysts have been anticipating lower housing starts and have reduced OSB prices for 2005. The reality is that OSB prices have been very strong and analysts will likely have to revise their 2005 OSB prices upwards. The stock trades at a sizable discount to its competitors."

* Trading Strategy: "Being cyclical in nature, it is important to actively trade this stock. The longer-term target could be as high as $18, but some profits should be taken at technical resistance - $15. Also be aware of the interest rates. This name is highly sensitive to rising interest rates in the U.S."

* Web Watch: www.norbord.com

Third Star

* Stoneham Drilling Trust (TSX:SDG.UN)

* Recent Price: $18.05.

* 52-Week Range: $15.00-$19.65.

* Snapshot: Stoneham Drilling, a drilling contractor focused in Western Canada, is currently in charge of eight drilling rigs. The company, which completed its initial public offering on Jan. 6, announced the financing for the construction of three new drilling rigs on March 3.

* CEO: Bruce Jones.

* Head Office: Calgary.

* Vital Stats: (Stoneham has not traded long enough to report revenue and earnings numbers). Monthly Distribution, 12.5 cents per trust unit; Shares Outstanding, 2.82 million; Dividend Yield, 8.09 per cent.

* Vollendorf's View: "Stoneham is a small-cap growth opportunity with high-quality assets. Since the company has a high-quality drilling fleet, the utilization should be significantly higher than the industry average and the company should have greater leverage to increase day rates. The company has aggressive growth plans to increase the size of the fleet by 38 per cent. Long term, this company is committed to 39- per-cent earnings-per-share growth and has sustainable competitive advantage, making it a core holding."

* Trading Strategy: "There is a seasonal nature to most energy related equities. From that perspective, some energy profits should be taken in the next couple of months. For instance, you may buy the stock at $18 and take profits at $21 over the next six months. Look for buying opportunities in the summer. Over the next 12 months, a target of $22 should be expected as they begin to deploy the new rigs once the drilling season begins to ramp up in the fall."

* Web Watch: www.stonehamdrilling.com

* Vollendorf's Edge Record (past 12 mos): +9.6 per cent. Best Pick: ACE Aviation Holdings (TSX:ACE.RV), +31 per cent. Worst Pick: Cyberplex (TSX:CX) -35.4 per cent.

* Disclosure: The featured stocks are held in the Gladiator LP Fund.

* NOTE: This feature is provided for information purposes. Investors should do their own research or consult a qualified investment professional before making investment decisions.

(Gyle Konotopetz can be reached at gyle@businessedge.ca)