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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: If I understand correctly, the Chinese government lifted some restrictions, and due to it, a lot of money from China has been moving into the Hong Kong market. This might explain why the chinese market has gone up 40% in 1 year. TD Waterhouse tells me that the PE ratio on ZCH is 11.5. That's 60% cheaper than the TSX. (a) Do you think this move by the government will be transformational for that market is could bring their valuations close to the north-american markets? (b) with canadian dollars, would you buy XCH? CHI.A seems to be the only other option but it's 8x smaller in size.
Read Answer Asked by Matt on April 14, 2015
Q: I am considering moving some money from an S&P 500 based ETF to a TSX 60 based ETF here now that the resource stocks decline has affected the TSX and made it better value here than the S&P 500. Am I thinking straight or does the momentum of the S&P 500 mean that I should keep my money in it? Diversification is not an issue for me, I am well diversified no matter what I do with this money, I am thinking in terms of timing here. Thanks.
Read Answer Asked by Michael on April 14, 2015
Q: Hi team;
due to the QE in Europe and the low Euro vs the US currency, some analysts on BNN suggest putting money in Europe
The above XEU and XEH, one is hedged and one is not
I would need your expertise to decide which one is the preferred one
looking at the lower loonie, many thanks,
Read Answer Asked by Michael on April 13, 2015
Q: I hold both of these ETF's. In the same account. I suspect they are essentially quite similar , can you point out differences? Great service as always, we are all appreciative of your guidance.
Read Answer Asked by Jerry on April 11, 2015
Q: Hi team, I have been watching ZPR for some time now at this level is it beginning to look interesting? I don't have any holding specifically in this area so I was looking for some diversification. Or would HPR be a better buy? Any thoughts would be appreciated, thanks again.
Read Answer Asked by Ray on April 10, 2015
Q: Hi,

Is there a similar ETF that focuses on CDN high yield sector? Also, is it ok do use xhy which is hedged given the 0.80 CDN dollar?

Thanks,
Jason
Read Answer Asked by Jason on April 10, 2015
Q: Is there any explanation for EWH's sudden rise this week? Is the Chinese economy coming out of its funk? Iron ore prices still seem weak when I look at my LIF shares.
Read Answer Asked by James on April 10, 2015
Q: Several of my bonds have just come due and I would like to deploy the cash.. There is lots of chatter concerning increasing interest rates. You have recommended in the past bond etfs CBO, XBB and HFR. Should I buy in now or wait? I'm a big fan! Thanks
Read Answer Asked by michael on April 09, 2015
Q: Recently the unit price of subject ETF has been steadily eroding each trading day. Could you please give me your analysis of why you think this price erosion has been occurring. Is there a bottom to this thing?

Thanks
Read Answer Asked by Michael on April 09, 2015
Q: Hello 5i
Could you please give me the equivalent fund that trades in US $, as I have the money available already in US $$ and don't want to change it to CAN.
Thanks a million
Rick
Read Answer Asked by Rick on April 09, 2015
Q: I’ve held this for many years and it is finally moving . I have my finger poised on SELL , but am delaying as the chance to finally make some profit on this is tempting. Should I hang on?
Read Answer Asked by donna on April 08, 2015
Q: Hi guys, for educational reasons only.
Why is CPD selling off. Is it the fear of higher interest rates.
It seems excessive to me. Thanks for all you do.
Read Answer Asked by Greg on April 08, 2015
Q: The oil and gas sector in Canada has been on the decline for a while. What are your thoughts on the prospects of this oil index and the oil/gas sector overall recovering in the summer, when the demand for this resource is expected to rise.

I bought HOU.TO at around $7.3 and am not sure when I should short it and if it is worth it to wait it out till the summer time.

Read Answer Asked by Michael on April 08, 2015
Q: INFRASTRUCTURE:
There are noises of increased spending in North America on infrastructure. Could you recommend several STOCK options that have a dividend and growth and THE rational for them. w\would also like an ETF, if there is one, for the above
THANKS
YOSSI
Read Answer Asked by JOSEPH on April 08, 2015
Q: Hi Peter
Would appreciate your recommendation for a top notch ETF that covers the Government Bond Market laddered one to five years and perhaps the same ETF in the U.S.
Thanks
Walt
Read Answer Asked by Walt on April 08, 2015
Q: Hi Peter: I would like to purchase a Canadian ETF that is based on Canadian Energy Infrastructure with reasonable management fees
{includes trp, ipl, ppl, ala, gei, enb etc}. I would appreciate your suggestions and comments on the timing of this purchase.

With thanks,

Tom
Read Answer Asked by Tom on April 08, 2015
Q: I own the ETF CDZ in my TFSA acct. The Mar. Statement had a CGDIV (+ $) and then a DRIP of the same amount (-$). ‘Settlement’ -Jan 8 then ‘Trade Date’ March 13. I did not receive any additional shares on the DRIP but my cost base was increased by the +$ amt. thus reducing the paper gain for CDZ on the statement. Would this be helpful in a taxable account for a sell? In a registered account it seems that there is no benefit to me? Is this some accounting process for the ETF.? If this happens with the ETF would it be best to hold it outside a registered account? I am primarily focused on ‘secure’ income at this time. I will appreciate any assistance in understanding the above. Thank you.
Read Answer Asked by Len on April 07, 2015
Q: What is your outlook on US financials as a sector? I hold VFH, I am up 46% but some of that is because I bought in when Canadian dollar was stonger. I am considering cashing in my gains and reinvesting in a Canadian dividend EFT. Thoughts?
Thanks
Read Answer Asked by Robert on April 07, 2015
Q: All three dividend EFTs have a number of differences, but which of the 3 do you feel will give the best overall long term return and why?
Read Answer Asked by Robert on April 06, 2015
Q: I have been looking for investments in water. CWW looks like it holds a group of good quality companies and risk is less because it gives you a basket of stocks. PUR has given a slightly better return over the long term but stock appears expensive from P/E perspective. Both have similar dividends. Which would be better buy, or can you think of another company with more torc and or has a cheaper valuation. With regards to CWW, what does average premium discount of .74% mean.
Read Answer Asked by Anthony on April 06, 2015