Investment Q&A

Q: Any thoughts on Eurobank -Fairfax owns 13%-Wilbur ross also involved .Understand this consortium has well over a billion dollars invested which is about the current mkt cap . at prices much higher than current -37 cents versus current pricing around 7 cents . So does it make any sense to follow these savvy players ???????

Q: Hi Team,

I own full positions in EFV, EEM, and VXUS. I am looking to free up some US dollars to invest elsewhere and was wondering what you thought about selling one of these ETFs. Do you think I need all three or would two suffice for international exposure? If two is enough, which two would you keep? Thank you.

Michael

Q: Hello Peter and all; As always appreciate your great service, one news item from Bloomberg that as come Monday, Saudi Arabia lifts a ban on direct investments by foreigners, fund allocators are preparing to shift money out of other countries and put it to work in the Arbab world's largest stock market. I wonder are there any etfs that are related to this market that we have access from here? Thanks.

Lin

Q: We are travelling in Europe - Denmark, Sweden, Germany, Italy ... and cannot ever recall seeing so much construction activity. Is there any way to verify the accuracy of the observation - as in high current levels of infrastructure projects.

And if the perception is correct, is there an investment opportunity here be it in canadian or US lusted companies?

Thanks

Q: I would like your recommendation on ETFs for the US and Int'l portion of my portfolio. First a little background. My wife and I are both retired and in our late 50's with company pensions and CPP and OAS available when we reach age 60 and 65. Given that these income streams are secure and cover living expenses I have structured my Investment portfolio with 10% Fixed Income (CBO) and 90% equities of primarily dividend paying Canadian companies. I would now like to increase my US to 10%, Int'l exposure to 7% and Emerging Markets to 3% and want to continue to earn a good dividend yield. I would like to keep all my holdings in Cdn $ and am considering the following ETFs. The stock selection methodology of these ETFs should provide less volatility with a good and growing dividend. These would be for a long term hold.
U.S. - ZDY - 3.0%
Int'l - ZDI - 4.0%.
Emerging - RXD - 2.7%
Your thoughts on these choices or alternatives would be appreciated.

Q: In Peter’s last appearance on BNN he made a brief reference to the Chinese stock market being in a bubble. I currently hold some iShares China Large-Cap ETF (FXI), and with the recent run-up have done very well with them. I greatly value Peter’s opinions, so I of course take notice when he uses the term “bubble” to describe any investment (for me the only term that invokes more fear is “irrational exuberance”). I’m happy with my weighting and allocation to China which are right where I feel they should be. However, the recent run-up and Peter’s comments have me wondering if it would not be wise to sell all of my FXI and wait this one out on the side. At present there just seems to be too much downside risk versus upside potential to be worth it. Any advice?

Q: I'd like to get your opinion on recent changes to Vanguard ETFs. One of the changes is that VDU appears to change from ex NA to only ex US. For someone with an all-Canada portfolio looking to buy an ETF to diversify, what would you recommend now? Previous comments seem to suggest VXC is a bit small, and now that VDU includes Canada, I don't know if it's still a recommended product for diversification. Perhaps VGG or VEE? Thanks!

Q: Good afternoon team,
I wonder if you have any recommendations for ETF's that focus on China or Central America.
Thanks for your interesting insights. It has helped.

Q: Hi Peter,

I am looking for some global and US Specific (ex. Canada) diversification.
Can you please suggest some ETFS or Funds that would provide growth and some that would also provide some dividends for both global and US sectors. Please advise which would be suitable for a TFSA, for RRSP and for a cash account. US dividends in a TFSA are exposed to tax withholding, is it the same with dividends from the rest world.? Please advise if it still makes sense to hold US investments in a TFSA given that dividend taxes are withheld and not credited.

Joseph

Q: Hello 5i Team,

I have had this fund for about a year now in a non-registered account. I bought it for world wide exposure and at present my exposure to this fund and world wide exposure is small. I'm wondering what your thoughts are on the fund and if it would be prudent for me, retired, to increase my exposure here? I like the monthly dividend.

I am slowly working toward more balance in my portfolio but am satisfied with my progress in that area. I review my allocations quarterly and ponder making allocation changes, but do not necessarily make any.

Thanks

Q: Good Morning Team,

Would you please provide a recommendation for a European ETF that could be purchased in Canadian dollars? The funds would not be accessed for at least six years. The ETF would form a 15% position within an RESP.
Thanks,
Richard

Q: Good Afternoon,
What are your favourite ETFs and/or mutual funds for Emerging Market exposure and EAFE? Thank-you.

Q: Hello, thanks to 5I I feel comfortable with my diversified assets here in Canada, and I'm happy with what I have in the U.S.
Can you recommend some ETF's that can help me cover the rest of the world(maybe 3-4)? I'm ok with risk and can hold for 10+ years if needed. What would your total percent weighting recommendation be for these?
I would like to hold these in a TFSA, but what would the tax implications be? Or would it be better to keep them in an RRSP account because of the implications?
Thanks as always, I greatly appreciate your advice.
Patrick

Q: Could you recommend a currency hedged broad market index that covers the Japanese market?

Larry

Q: hello 5i team. Since your last comments on BABA, the stock has lost some of its momentum. I'm wondering how you view the stock currently. As a play on China (it would be my only holding), could this company be like an "Apple" proxy pointing the way to China's growing influence. I know you would probably prefer an ETF as a safer play, but I'm looking for a more growth potential approach. Any other suggestions are appreciated. Thankyou

Q: Could you please tell me what you think of HEDJ.US for exposure to European stocks? I am ok with the US dollar exposure but do not want the risk of the EURO declining versus the US dollar.

Q: Hi Team,

I know this is out of your core focus area, but I was hoping you could tell me if you think RDS.B's dividend looks safe going forward and if this might be a good entry point for this stock for a long-term position. Many thanks for any suggestions you have.

Michael

Q: Would you please advise me of what you would do - buy more, sell or hold given the recent news release regarding a lawsuit. I have held this stock for a while and, while volatile, the results have been great. Needless to say, I dont want to see the gains disappear. (What is that saying Peter, " ...rather leave the party a day early than an hour late?....)

Thanks.

Q: Good morning:
As a follow up to your answer to Vipin's question, what would you think of a direct investment in National Grid's ADR?
Thank you for your assistance.

Q: Good morning:
You recommended this morning DEM for an emerging markets dividend ETF. I have been holding EDIV for this purpose. I would appreciate your comparison.
Thank you.