Investment Q&A

Q: 52 week low. Other than following the market trend is this low surprising? Any thoughts on near to mid term prospects? Still one of your favourites?

Q: Thank you for your answer re BX vs peers. I am planning on adding to an existing position in BX.
My question is: Stock price is back to early 2021 levels but on valuation metrics, how cheap is it actually? Additionally, at what valuation and at what approx share price would you feel is compelling enough to add to

Q: TD has $110 billion in HELOC balances which is greater than its 3 closest competitors combined. With crumbling real estate values is this a concern for shareholders?

Q: Any idea what the dividend will be on the spinoff shares?

Q: Hi,
I’m confused with the last press release of Brookfield on Friday :

""...The transaction will result in the division of Brookfield into two publicly traded companies – the Corporation (Brookfield Asset Management Inc. will be renamed “Brookfield Corporation”) and the Manager with the holders of Brookfield’s class A ………becoming shareholders of the Manager on completion (the “Arrangement”).

• Brookfield Corporation and the Manager will respectively own 75% and 25% of our asset management business;

• the Class A Shares of the Corporation are expected to trade on the New York Stock Exchange (the “NYSE”) and the Toronto Stock Exchange (the “TSX”) under the new ticker symbol “BN”;

• the Manager’s class A limited voting shares (“Manager Class A Shares”) are expected to trade on the NYSE and TSX under the ticker symbol “BAM”;

• each holder of Class A Shares will receive 1 Manager Class A Share for every 4 Class A Shares held;


It looks like the actual BAM.A shares will be « renamed » BN. And "NewBam" shares issued on 1 for 4 basis. Is it right?


Do you know how long it could take to implement the changes after the Nov9 meeting? 5-10 days? I plan to transfer some shares of BAM out of my RRIF this year and I prefer to wait after the spinoff.

Thanks a lot.

Q: I hold SLF in a non registered account. I’m down 19%. Thinking of selling, buying MFC for 30 days and then buy back SLF. I’m expecting an oversold bounce but a guaranteed tax savings is likely to be higher than the bounce and MLF should be a decent proxy. Flaws in this logic?

Q: Thoughts on BNS news today with new CEO?

Thx

Q: Hi Guys,

Can I please get your opinion of Ares Capital. How do you think it will hold up during a recession? Thanks

Dave

Q: Based on your response to Douglas today, I am concluding that BNS would be the Canadian bank to buy today. With a yield of 5.78%, P/B at 1.2, an RSI at 31, and trading at a one year low it appears to be a buy candidate. I would appreciate your comments.

Q: Want to beef up my finacials. I own SLF, TD, BAM.A and X . Trying to decide between 1. Buying BNS ( new position), 2. topping up my 4 existing more or less equally, or 3. putting it all into just 1 of the current 4 ( likely SLF as TD and BAm are already a big holding, jury is still out for me on X). Long term holds, balanced/income hybrid portfolio follower.

Q: How do you see XFN going forward in this environment, short and medium term?

Thanks for your service?

Q: Good Morning,

In a response to Gabriel on September 21 you suggested BX as a good US income opportunity.

Could you please expand upon BX and the reasoning for your suggestion.

I am interested but is it safe, secure and have growth potential.

Thanks very much.

Q: In a well balanced long term portfolio, with preservation of capital being the first priority, safety of dividend and some capital appreciation being secondary, would you add to BNS or SLF at this time? I have a 2.5% position in each and want to increase one to a 5% position. Would you suggest buying it all now or legging in over the next few months? Thankyou

Q: BNS has significantly underperformed the other Canadian banks over the last 5 years. From what I understand BNS is out of favour and being discounted due to its Latin American business. In the past BNS streamlined the business by pulling out of smaller countries and concentrating on just a few of the larger growing economy countries. Do you ever see them pulling out of Latin America all together and perhaps pursuing a growth strategy in the United States like the other Canadian banks have done? Or perhaps Asia? How much longer will investors, particularly large institutional investors, wait for this International strategy to work out before they demand a change of direction? Many thanks for the incredible service that you provide.

Q: Based on the answer to Douglas about CDN banks (Sept. 21) would BNS now be considered cheap with the metrics you provided?

Thx

Q: What are your thoughts on buying Berkshire on the neo exchange at this time?

Q: Hi - if you had to choose a couple of fundamental metrics in which to determine if the Cdn Banks as whole are "cheap", what would you look at? P/E...P/B, Div Yield, etc? Of course, it's only a general look at things and every bank is slightly different based on other metrics, but wondering if there are a couple of metrics where you say, "hey we should dig deeper on these"?

Q: which do you favour at this time? JPM or MS...
or is there another you favour over both?
ed in montreal

Q: I see you continue to have faith in Goeasy. On the weekend the Toronto Star had an article on potential reductions to the maximum allowable interest rate for the alternative lending market. As a longterm holder, and knowing of your previous position that this has been a potential concern for years, I’m wondering if this time is different. An unpopular government, public anger at corporate profits, a usury rate set when interest rates were much higher all lead me to believe the maximum rate might finally be reduced. Your thoughts please.

Q: What do you think the impact of AIG's Corebridge IPO to its stock price in long term? thank you.