Investment Q&A

Q: As an income-oriented investor, I would like dependability, minimal risk and a predictable, steady cash flow. Can you suggest a few companies to consider? What are your thoughts on Firm Capital Mortgage Investment Corp to this regard?

Q: Greetings:
I have held the above in my RRIF for quite some time, and under water. The interest is adequate, but eaten up badly by the loss of capital. I thought that as interest came down it would benefit the MIC'S, but not so!! What is the outlook for this one? Under what conditions would it improve? Is it just poor management?

Thanks, BEN.

Q: Indications of a .5 point reduction in interest rate on Wednesday. If materializes which sectors would be a positive. I am thinking of investing in dfn and enb. Your thoughts

Q: Telus appears to be diversifying itself with Telus Agriculture and now Telus Health. What would be your opinion on these initiatives and their potential?
What kind of timeframe should an investor have in mind for them?
Jack

Q: Hi team, I would like to generate some income in US dollars.

Could you please recommend 2 or 3 dividend paying US stocks, together with a brief explanation as to why you like those companies. I would also be OK with an ETF if you think that is a better way to go.

Thanks as always,
Paula

Q: In my RRif I own Key & PPl, high yielding stocks to help cover forced withdrawals.
They declined on Friday despite a drop in bond yields.
So you think the decline was due to a drop in Wti?
Trump intends to increase tariffs which could result in higher interest rates due to inflation and his energy policy could lead to lower oil prices.
As a result of the above should I reduce key & Ppl & invest the proceeds into companies that will benefit from higher interest rates such as Mfc & Slf

Q: Which would you buy today?

Q: my tfsa equities are long trrm holds and i want to buy stocks/etfs that are on the drip program
Please advise where i can look to find out if an equity is available for drip
Many thanks
peter

Q: Good evening,

My understanding was that the annual distribution for AW.CA was to remain the same as AW.UN (based on a previous 5I answer). I note that AW.CA has now been set at $1.50 per annum versus $1.92 for AW.UN. This is a significant difference! What am I missing here? Please clarify.

Thanks very much.

Q: I do have a sizeable chunk of TD and am just wondering if y'all think a different bank is better suited for upside over the next 4 years or so....

Q: Retired, dividend-income investor. Long, long term holder of BCE in my wife's cash account. Sold it in mid-Nov, captured a $12k cap loss, and plan to buy it back next week....prior to the ex-dividend date.

I am ok buying it at the roughly $38 level, even if it floats around that level for the short to medium term. I understand that there might even be some further downside risk. I plan to buy around 1400 shares, either in one shot or maybe 2-3 tranches.

Your opinion on which makes more sense in this case? Multiple purchases is the more conservative way to go, but one shot gets the full dividend back (and more) to where we were a month ago. The BCE board has said they would not touch the dividend for now....although their credibility has taken a hit lately. We are ok with "some" volatility. It's almost a "flip a coin" decision.

Thanks for your help...Steve

Q: What are your thoughts on buying Telus right now ?

Q: Hello when is the next dividend on the stock ?
And how much ?

Thank you

Q: Every time a company cuts their dividend, the stock suffers.....BCE should be no different and it becomes dead money for awhile..at what support price should I start a new position??...

Q: Would you please provide a list of companies domiciled in Canada but pay dividends in USD (for example: NTR, BN, BAM).

Q: Hi 5i,

All these questions about BCE and it's dividend has me worried about the other two in the industry. Could you comment on T and RCI's debt load, payout ratios, dividend sustainability, and earning growth rates?

Also, separate/unrelated comment: It would be great to be able to do a search on a company and have BOTH the Canadian and U.S. questions both come back together. It's a bit of a pain to have to do two separate searches and then manually read them in chronological order. Well, it is the season...and I thought I'd just ask... :)

TIA

Q: Chasing dividends. Could you please rank these in order of strength and sustainability.

Q: Hello Team 5i,

You mention the following for Algonquin Power in your Nov. 19 Tax loss screener :
‘We don’t think investors should try to catch the bottom in AQN at any price until the company manages to reduce its debt levels to conservative levels.’

Apparently, the company is trying to sell its renewables to raise money and reduce its debt load. The question becomes, in this post Trump world where renewables have suddenly become a buzz word for undesirable assets, how will the company be able to raise a reasonable amount to achieve its goals? And if it can’t what will ‘any price’ will be for you ?

As always, thanks for your valuable insight.

Adel

Q: I bought this stock about 3 years ago at $2.85 and today it is about $3. I choose to have my dividends reinvested so today have an additional 300 shares but my Adjusted Cost Base has also gone up accordingly. I am ahead very little considering the length of time invested. Do you have any suggestions on income vs growth? Am I better to continue this dividend reinvestment or just sell the stock and move on, or just move to cash dividends? Thank you.

Q: I read your comments on Canadian telcoms with your suggestion to go to the US to get exposure in this sector (TMUS). But could part of the weakness in Canadian telcos be due to tax loss selling? Or are there too many long time share holders whose adjusted cost basis is so low that even this year's telcom pull back is not enough to trigger a capital loss? Just a thought, s for me I will keep my telus but I am not adding any more.