skip to content
  1. Home
  2. >
  3. Investment Q&A
You can view 3 more answers this month. Sign up for a free trial for unlimited access.

Investment Q&A

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

Q: I have done well over the years investing in the fast food industry such as AW.UN, PZA and others. I am thinking of exiting the sector, at least in Canada, due to the changes being implemented in Alberta and Ontario which will raise the minimum wage significantly. I understand it affects everyone equally but the prices will have to rise at these locations and it could generally force patrons to seek other ways to get lunch etc. The same store sales seem to be slipping in this sector already and now add in higher costs. Unfounded concern?
Read Answer Asked by Barry on June 05, 2017
Q: Hi Peter: I have 2500 shares of BPF.UN which is 17% of my RIFF. This is also 4% of my total investment portfolio. I have owned BPF.UN for sometime wherein the dividend pays a return of 8% on my original investment. Considering your recent remarks about would you suggest I sell, reduce or keep my shares? If I sell can you suggest a replacement? Thank you for your valuable advice. Ron N.
Read Answer Asked by ron on June 05, 2017
Q: This company was the focus of a recent positive write-up in ROB magazine:

https://www.theglobeandmail.com/report-on-business/rob-magazine/rogmaghow-aw-is-remaking-itself-into-a-hipsterhaven/article35099606/

With plans to open 40 new locations over the next year I don't believe the growth story is over, just paused. It seems to me that SSSG as a measure of growth is somewhat flawed for this type of business as locations have to be open for 2 years, or as a minimum 5 quarters, to be meaningful, correct? And they treat their franchisees a whole lot better than Tim's where a rebellion is happening.

It may be out of the 5i portfolio but it's still in mine where it's been since 2013. I note the distribution has been upped several times to the point it yields 6% on my original investment so I'd be more inclined to add to the position on its recent weakness.


Read Answer Asked by Jeff on June 05, 2017
Q: Always a nice surprise from Brookfield, to find a new stock dividended-out into your portfolio. I see that it's a global (re)insurance company, or looking for global opportunities at least. When BAM dividends out small quantities, prices to tend to drop as they get sold out of portfolios. Assuming that happens in this case, is this a reasonable opportunity to purchase more, to build it into a small position? Is there a projected dividend pay-out that you can see?
Thanks very much...
Read Answer Asked by Warren on June 03, 2017
Q: I hold AQN and have been very happy with it, but a proposed amendment to the share unit plan has me concerned. The proposal is that the maximum number of shares "available for issuance from treasury upon the vesting of the performance share units and restricted share units outstanding be increased from a fixed maximum of 500,000 common shares" to 7,000,000 shares. Based on the total shares out there, is the current 500,000 low by industry standards, or is the proposed 7,000,000 high. Insiders are proposing this, and I assume that only insiders would benefit from it. Could you provide your views on this proposal.
Thank-you
Read Answer Asked by grant on June 02, 2017
Q: Hi Peter, Ryan and all at 5i

My question concerns a small position that I own in CHW. It's a nice little company that largely flies under the radar.

The reason I bought stock in CHW is that I have a feeling that the Company will not be around for long (either privatized or taken out).

However, I have been studying the recent results from TF and its operations and it looks to be a better investment.

How would feel about switching Chesswood for Timbercreek?

Thank you
Read Answer Asked by Brad on June 02, 2017
Q: I do not know why a loss on A&W psychologically hurts more than the joy derived by seeing most of my other 5i equities that have increased by more than three times the loss. Also I find it hard to sell my losers when I should(there is always hope)and the need to keep my winners when they should be trimmed. Selling my winning and paying bank stocks (too much over indulged in) and putting the funds into XGD (which I should and did) is contrary to all my instincts but is rationally correct. Boy, his is tough!!

Thank you for the appropriate, timely advise and guidance, without which things would surely go awry.
Stanley
Read Answer Asked by STANLEY on June 02, 2017
Q: Hello 5i,
A guest on BNN recently mentioned Keyera in the context of being a potential take-over candidate. I realize such is likely nothing more than idle speculation, but I am now curious: where would such a bid most likely originate? Utilities such at ENB, FTS, TRP, etc or more the likes of a Suncor? Or, are either equally as probable?
I would like to know what kind of viable candidates you would see out there. I am guessing KEY would go to a Canadian buyer under the present set of circumstances. Thoughts?
Thanks,
Cheers,
Mike
Read Answer Asked by Mike on June 02, 2017
Looking for more? Sign up for a FREE 14 day trial! No credit card required

We invite you to sign up for a 14 day free trial of 5i Research!
Experience all the benefits and tools we have to offer; stock research, model portfolios, Q&A with our experts, and so much more. Join a community of like-minded investors today!