Q: I currently own Enbridge. I am considering selling ENB for Pembina. Enbridge a 7.2% dividend, is so large now, it will take a lot to move its needle. Whereas Pembina has a smaller dividend but is a bit more nibble and perhaps has more upside for it's stock to move higher. Would you agree?
5i Research Answer:
We like both and think both could be owned. We view ENB as safer, and with a higher yield that can be attractive. It is about 3X as large as PPL. ENB does have a higher dividend growth rate over the past five years, however. We really could go either way here.