Investment Q&A

Q: after reading your recent market update, it appears Canadians really aren’t looking to slow down their borrowings, even thought the debt to income net of taxes is an all time high, as this ratio is now like 170 compared to 100 a few years ago.

with regulations getting tougher with the big banks, some Canadians can look to get funding from alternative lenders like Equitable Bank (EQB.TO).

in this economic environment, do you think the timing is right for EQB stock price to stream roll upwards, like bigly over the next few years?

Q: Is the dividend for IPL safe?

Q: A presenter on BNN Bloomberg displayed a chart showing that bond prices are rising while preferred share prices are declining. He claimed the divergence was due to most preferreds being rate resets and the changing outlook for interest rates was dashing the hopes and expectations of preferred shareholders for a better rate when they reset. However, since the rate resets are tied to 5-year bond rates and provide a premium over that rate, I would expect them to trade in the same direction as bonds. What do you say?

Q: The 5% interest rates from Co-Power Green Bonds is very tempting. How safe are these investments?

Q: I know you do not officially cover any U.S. names, but are there are any large cap dividend payers that would garner a "B" or higher rating using your methodology and you would consider worth a look at current levels with a long term holding period in mind

Q: SJR.B is in most of the investor portfolios. TD Waterhouse has Action List rating on this along with RCI.B. Is there anything in SJR.B and RCI.B over Telus and BCE that other investors are liking? Thanks

Q: Peter could you suggest 5 can or us stocks that have a div us I have $15000 to invest for each one
I am a conservative investor looking for div income
Thanks for your opinion
Pat

Q: Opinion on this stock please...

Q: Hi 5i - can you see a total return of 10% per year over 5-10 years on BEP.UN (currently yields 7%)? Thanks, Neil

Q: I own some TRP.PR.E (TransCanada rate reset preferred shares) which have taken a beating over the past 6 months (down around 20%)
What is the prognosis for recovery? Should I hold for long term or sell and move on?
Your good advice is greatly appreciated.

Thanks

Q: Can you please expand on your overview of this, one of my favourites, for its potential and healthy dividend. Also the new management of Ms Thomas and its blockchain use in a new finch international marketing of their and other diamond producers. They also seem to consistently find huge record sized stones. As usual thank you for your consistent and clear analysis.

Q: Thoughts on their earnings?

Q: PZA has been acting better as of late. Any reason why ? Is it a good time to let it go or do you see some potential going forward ? I don't need the yield. Thank you for your comments.

Q: I am considering selling ALA in my rrsp to buy ENB or T. Where do you see better potential total return? ALA, ENB or T. Thanks

Q: IPL pays an juicy dividend yield of over 8 per cent at the current share price. The dividend is covered and they have growth potential with their proposed in service date of 2021 for their propane to plastic processing plant. It looks like a safe stock with some good upside in a couple of years. But it makes me a little nervous that it is a little like the old Canexus in that IPL is getting a little bit out of their wheelhouse of expertise (shipping stuff around in pipelines or storing those products) and they are entering into more of a manufacturing business line. Is that diversification or worsefication? Is it a stretch for a pipeline company to think they can build and operator a propane-to-plastic "factory"? Canexus was a chemical company that thought they could build a oil-by-rail loading facility and in their case diversification was definitely worsefication!! I am still interested in IPL but I would appreciate you thoughts about IPL growth plans.

Q: Please comment on PPL's announcement pertaining to the building of a new petrochemical plant. In December 2017 IPL announced a similar project and since then the share price of IPL has noticeably under performed their Canadian pipeline peers. How different is PPL's project from IPL? Do you know much about their Kuwait based partner? How will this impact the PPL balance sheet? Do you expect they will need to issue more shares to finance this project? PPL is one of my largest holdings and I invest in it because they have shown to have good management and have the steady cash flow from the pipeline businesses. Does this transaction change that thesis in any way? The project feels like an unnecessary bet and all of a sudden a riskier holding for a conservative income investor.
Thanks
Rob

Q: What are your thoughts on the partnership with with Petrochemical Industries ("PIC") of Kuwait, to construct a 550,000 tonne per annum integrated propane dehydrogenation ("PDH") plant and polypropylene ("PP") upgrading facility, expected to be in-service in mid-2023 and expected to generate annual run-rate Adjusted EBITDA of $275 to $350 million, net to Pembina?

Impact to balance sheet, cash flow, and growth? Thanks.

Q: Good morning. I’m looking to invest in either BPE or AQN, both of which companies you are positive about. I’m looking at the respective yields ( 6.6 vs 4.2) and am wondering about that disparity. If risks is correlated to reward, does that mean BPE is more risky and if so, why is that? I notice that BPE is showing negative EPS and that makes me wonder how they can sustain such an attractive dividend yield. Thanks

Q: I'm considering starting a position in SIA or CSH.un for a long term hold (5+ yrs) based on aging demographics etc. On a total return basis which do you think is the better play in a cash account?

Q: I am looking to recession-proof my TFSA with stable companies like Chartwell Retirement Residences and Park Lawn Corp. But my stock chart shows Chartwell collapsing from $14 to $4 in 2008/9, taking until 2016 to recover. Park Lawn doesn't seem to be listed that far back (but I note your report describes it as "recession-proof." Would you recommend Chartwell despite the 08/9 numbers and does your assessment of PLC mean that it would be relatively unaffected by a similar market meltdown?