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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 currently have a little over $250,000 in cash which I want to park in a "no risk" account.
One of the big banks has a deposit rate of 1.15 for $250K and 1.05 for less than $250K. My first question: Is this my best option or can you recommend something else? My second question: should I be concern with the CDIC Deposit Insurance limit of $100K and spread the deposit over 3 banks?
Read Answer Asked by micheal on October 12, 2017
Q: Further to the cash balance question of Oct.10, iTrade has a superior product to the cash optimizer 0.25%. It is the Scotia Investment Savings Acct. run by Dynamic, so technically a MF, symbol DYN1300, min $1000 paying 0.95% (same as TD's ISA).
Tangerine often has special temporary deals for large cash amounts to 500K (current one is 2.5% till end Dec.). I don't deal with RBC but you could probably find something competitive with the above rates if you poked a bit.
Read Answer Asked by Jeff on October 12, 2017
Q: It is discerning to see the huge drop in price on abnormally huge volume these 2 days despite positive news of increase 2% in distribution.The news today is that it is releasing its results on Nov 13.Did someone smells poor results.It does not have a good record of beating expected EPS Remember that it dropped sharply to around $8.50 before recovery after release of last Q.What are u expectations of upcoming results vs expected.Appreciate u normal great services & views
Read Answer Asked by Peter on October 12, 2017
Q: Reason for drop? "Crius Energy* (KWH.UN : TSX : $9.34), Net Change: -0.24, % Change: -2.51%, Vol: 221,451
WHY SO CRIUS? LET’S PUT A SMILE ON THAT FACE. Canaccord Genuity Industrial Technologies Analyst Raveel Afzaal has marginally downgraded his outlook on shares of Crius Energy after revising his US:CAD exchange rate assumption to $1.25 from $1.30. While he continues to believe his bullish target is achievable within 12 months, Afzaal expects the shares to trade sideways in the near term as Q3/17 consensus forecasts are potentially revised down, and due to the overhang created by expiry of the shares' lock-up period. This may result in temporary weakness in the share price and provide a better entry point. Afzaal has revising down Q3/17 EBITDA forecast from $29M to $19M; consensus at $30M: Crius Energy is expected to report its Q3/17 results in November (exact date not yet released). The company generated $21M in Adj. EBITDA in Q3/16. Afzaal believes mild weather can result in a $5-7M Y/Y EBITDA decline while gross margin compression can result in another $2-3M EBITDA decline. Afzaal expects USG&E to contribute ~$4-5M in Q3/17 (Q3 is seasonally weak due to its large natural gas portfolio). In the regards to the share lock-up, Afzaal expects 3.8M shares associated with the USG&E acquisition and another ~3.8M associated with the 2016 equity financing to come off lock-up during the Nov '17–Jan '18 time frame. At the end of the day, he says the attractive distribution yield and valuation multiple should provide support to the share price."
Read Answer Asked by Kurt W on October 11, 2017
Q: I hold BCE and T for income, as well as CTL in a retirement income portfolio.
I am thinking of switching either BCE or T for BPY for a similar income because of the much reduced (I think) Capex requirements and likely better growth prospects.
My utility and real estate sector holdings currently are 20% and 23%, respectively,each spread over about 12 companies.
What would your thoughts be?
Read Answer Asked by David on October 11, 2017
Q: I have invested in AI and holding it for close to 1 year. I like this purely for income/dividend yield and stability of capital.
Recently there was a news that they are filing a base shelf prospectus.
Im concerned if this will dilute the value of my shares and dilute the dividend. How much of an impact will this have on the MIC price and the dividend earned? Please advise. Thank you.
Read Answer Asked by Sridhar on October 10, 2017