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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: I own ZWU in an RRSP account. Today's market price is basically the price I paid to buy it. I own it for the healthy monthly dividend it pays (7% annually). With interest rates about to increase this spring and at least 3 interest rate hikes expected this year, how would those rate hikes affect the price of ZWU? Would I be better off selling ZWU and then investing the proceeds in ZWC which is more diversified in its holdings? My investment time horizon is 10+ years. Thank you.
Read Answer Asked by Cathy on January 24, 2022
Q: For context, this is a locked in RSP which will likely turn into a LIF and I am looking at this in terms of a dividend stream. Cashed in some cnq and have cash to deploy.

Of those mentioned, for relative safety of capital, good yield and yield appreciation, how would you rank these (cdn or us it does not matter). For eg, ABBV has an attractive yield but I am unsure of patents expiring etc. You thoughts.

Thank you
Read Answer Asked by Harry on January 24, 2022
Q: Where/how could one accurately determine the dividend payout ratio... It seems like an important fact, that is often not listed and often hard to obtain. I've read some Earnings are calculated after perferred dividends. Referencing GEI and Pembina, what are their annual divdend payout ratios?
Read Answer Asked by Mark on January 24, 2022
Q: If I was to suggest 3-5 stocks to a new investor (with under $10,000) to buy and hold for fairly long term (5-10 years), what should I recommend to them? Preferably ones in different sectors.
Read Answer Asked by Carole on January 24, 2022
Q: what 5 dividend stock today would you call winners . thanks!
Read Answer Asked by cliff on January 24, 2022
Q: Hi Peter, Ryan, and Team,

Like many members as well as 5i, I am increasingly frustrated with PKI. For example, it dropped 5.2% on January 18. :(

We hold PKI in both my wife’s and my RRIFs. Both holdings are still up, but I’m considering exiting PKI while we’ve still made some money.

I was considering equal purchases of SU, CNQ or CVE, TOU, and KEY for each RRIF (2 for each RRIF). Would you be OK with such a move? Please rank these 5 stocks for safety and upside.

Another move I was considering is to raise our US exposure by buying Vanguard’s ETF VDE. (According to Portfolio Analytics, we’re underweight in the energy sector, as well as USA). Would you endorse this purchase, which would be for our non-registered account? Am I correct in assuming that any withholding taxes shouldn’t prevent this purchase in a non-registered account?

I also manage our son’s TFSA, and unfortunately his holding in PKI is down by quite a bit. I intend to hold it, but would certainly exit it if 5i drops it from the Balance Equity Model Portfolio. Is 5i considering such a move?

Please deduct sufficient credits, and thanks as always for your insight and guidance.
Read Answer Asked by Jerry on January 21, 2022
Q: Hi team!

I've owned both SU and CNQ over the years and I have done well on both. It is my impression that when comparing these two, you tend to prefer SU over CNQ, but given SU's underperformance, dividend cut and operational issues, shouldn't CNQ be the preferred choice. CNQ has gone from about $10 during the pandemic crash to $66 while SU has gone from $16 to $36 because of the issues noted above. Suncor is cheaper, but maybe its cheaper for a reason. Operational issues are still a factor as recently as December and early January.

Jason
Read Answer Asked by Jason on January 21, 2022
Q: Favorite (hammered) growth stock that pays a divy? Bit of bottom-fishing for a long term hold. Thanks Ron
Read Answer Asked by Ronald on January 20, 2022
Q: Hi 5i Team - I'm quite sure this has been covered more than once in previous questions but could you summarize the differences between BEP.UN and BEPC. Also do you favorite one over the other for an investment in renewable energy and fundamentals in general. Thank you.
Read Answer Asked by Rob on January 19, 2022
Q: the above renewables are all down substantially; are there one or two that are worth buying at this time?
Thanks,
Read Answer Asked by Fred on January 19, 2022
Q: I would like to add one of the above now, to my TFSA for a long-term foundational hold.
In your view which one or two would you pick for the best long-term upside potential.

Would a concentration of the above name or names in an ETF be a better option?

thanks

Asset allocation not an issue
Read Answer Asked by Henry on January 18, 2022