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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: Any update on Easyhome EH? Your last report was March 2012. I'm interested in investing given good Q1 results, dividend and outlook, but would like to get your opinion first. thanks. John.
Read Answer Asked by john on June 04, 2013
Q: A couple of answers recently have mentioned 'sector rotation started last week'. Could you elaborate on this?
Read Answer Asked by Dave on June 03, 2013
Q: PPL :Pipelines, Utilities and REIT's declined sharply last week, presumably due to fear of rising interest rates, sooner than later. It all started after recent US Fed comments. After remarkable gains in these sectors over past few years, do you think, we could see a major correction in these sectors in near term? Is it prudent to cut back these positions now? Also, which pipeline stocks are most vulnerable? Thanks for your valuable insight.
Read Answer Asked by rajeev on June 02, 2013
Q: Peter,

Further to your response below re: companies / sectors to own in a hypothetical rising rate environment, and more importantly, what NOT to own (Utilities), "you could see some big stock drops, and investors might be surprised". You have Enbridge in the portfolio, as do I, I know you say its early (which I lean towards as well), but at what point do you start reconsidering the thesis that "its early" should an Enbridge consider to slide given its high PE?

Would you instantly advise your members when to sell something in the model portfolio?

Thanks team, great work.
Read Answer Asked by Ray on June 01, 2013
Q: Peter please excuse my lack of knowledge with this question.
A guest on BNN said the FED have turned the equity market into a bond market with QE and these low interest rates - HOW SO?
- The FED keeps interest rates low (lowering yields)
- Older bonds will go up in price as yields drop?
- Treasury buys up the mortgage assets and or bonds from the banks to re-capitalize them and put money back into the economy and try to force a rotation of money out of bonds.
- Companies (equities) can borrow cheap, increase: revenue, earnings and dividends, and stock prices go up - like bonds??
Is this what the guest was talking about?
Is it creating a bubble in high paying dividend stocks?
When will it burst?
I'll let you decide if you want to post this.
Thank you.

Read Answer Asked by George on May 31, 2013
Q: Hi 5i Team. Do leasing companies like Element EFN and Chesswood CHW make more or less money in in increasing interest rate environment? If you can comment on how a rising interest rate environment may impact there stock price that would be great

Cheers
Darcy
Read Answer Asked by Darcy on May 31, 2013
Q: Hi Team,
I require a fixed income investment. Bonds and GIC's just aren't worth it! I was thinking of buying a preferred share from GMP (GMP.PR.B) The yield on the preferred is around 6.70% plus capital appreciation. My decision comes down to weather GMP will survive long enough and have the resources to pay out the preferreds when they come due in 2016. What would be your thoughts on this company and investment.

Regards
John
Read Answer Asked by John on May 31, 2013
Q: Good morning! You state there is a sector rotation going out of stocks/utilities this week. What causes such a shift? Are there "typical" sector rotations that happen annually?
Am I correct is assuming that, in general, nothing has fundamentally changed with these companies, and if a company like ENB was suggested before the price drop, I'm just getting it at a better price? I've already purchased some and wonder how much more the price can decrease...
Thanks for this fabulous service --- it's great for do-it-yourself newbies like me!
Read Answer Asked by Brenda on May 31, 2013
Q: I would like to get your opinion on gh (gamehost) is it safe if rates rise?
Read Answer Asked by Dustin on May 30, 2013
Q: Hello Team,
I really appreciate all the advice, you have a solid team. With all this talk on the interest rates I would like to ask a question. I know you believe that rates will remain low or even decline a bit. I was curious what types of investments would be most beneficial in a rising rate environment? Hypothetically.

Thanks very much.

Zen
Read Answer Asked by Zenon on May 30, 2013
Q: KBL
What do you think the effect of the new 3S contract will have on KBL's revenues and income stability?
Thanks again for the great service
Read Answer Asked by Kish on May 30, 2013
Q: Hi Peter What is causing the sell off today in the reits appears both us and can
Regards Stan
Read Answer Asked by Stan on May 29, 2013