Q: What is Blockchain Technology. How does it work ? What is the Future ? RAK
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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: I appreciate you noting the Insider Ownership in your reports. Where does a retail investor best access Insider and Institutional Ownership for CDN and US stocks. Thanks.
Q: FYI ...
I see questions posted about where to park money for short term periods and get a decent rate of interest. GIC's are mentioned but they have minimal rates and fixed terms. Virtual banks like EQ Bank currently offer daily interest at 2.3% with no minimum timeframe and are covered by CDIC (up to $100,000). They also offer GIC's.
https://www.eqbank.ca/personal-banking/features-rates
I see questions posted about where to park money for short term periods and get a decent rate of interest. GIC's are mentioned but they have minimal rates and fixed terms. Virtual banks like EQ Bank currently offer daily interest at 2.3% with no minimum timeframe and are covered by CDIC (up to $100,000). They also offer GIC's.
https://www.eqbank.ca/personal-banking/features-rates
Q: Hi,
I apologize if this has been answered before. Occasionally I have temporary cash balances in my Canadian registered and unregistered investment accounts. However, my broker does not pay any interest on those balances. Do you have any recommendations for short-duration money-market or bond-style or alternative etf's that earn interest and either pay out or increase in value? My only objective, besides earning a return, is that the etf units should maintain their value and not be subject to declines due to credit, interest rate or other risks (understanding that there is no such thing as entirely risk-free).
Thanks,
Derek
I apologize if this has been answered before. Occasionally I have temporary cash balances in my Canadian registered and unregistered investment accounts. However, my broker does not pay any interest on those balances. Do you have any recommendations for short-duration money-market or bond-style or alternative etf's that earn interest and either pay out or increase in value? My only objective, besides earning a return, is that the etf units should maintain their value and not be subject to declines due to credit, interest rate or other risks (understanding that there is no such thing as entirely risk-free).
Thanks,
Derek
Q: Hoping for some education on economics here. In an answer to Terrance about portfolio weightings, you were suggesting 20% be allocated to Industrials and 5% to Materials. I would have thought Materials would have been higher in this scenario on the assumption that a strong industrial sector would boost raw material costs.
Is the reason for the suggested minimal Materials allocation because of your oft-stated concern that Material producers tend to be price takers and not price makers or is there an underlying economic reason where material costs are shown to lag production increases?
Appreciate your insight.
Paul F.
Is the reason for the suggested minimal Materials allocation because of your oft-stated concern that Material producers tend to be price takers and not price makers or is there an underlying economic reason where material costs are shown to lag production increases?
Appreciate your insight.
Paul F.
Q: How much influence do the various market players have in manipulating a stock price? I see Facebook is down 20% pre-market but I question to what degree if any is this manipulated or is it a true reflection of the number of buyers and sellers? I've been burned once or twice selling on a drop only to see it rebound hard. After years of investing I'm more at peace with holding for the long term as for myself it's been a losing game in the short term trying to out game short term reactions.
Q: Your take on FSV's quarterly results? I've been considering increasing my holdings in this company (2.5% now) because it's been far less volatile than the market of late, a steady grower. But I'm worried it's expensive already. On that subject, I keep hearing these guys on BNN talking about this or that stock, like Enbridge, like Parkland Fuels, Constellation Software and Methanex as being too pricey, above their normal P/E ratio, and due for a pullback, and they advise not to buy. PE doesn't seem to bother you much. It seems to be your position that if a company is good you don't really care if the stock is over-priced because even if it falls 10%-20% it will recover that in a year or two and then surpass the current price. Do I have that right?
Q: Comment - it would be nice to see you comment on earnings reports of all the companies that you follow as they report vs. waiting for a member to ask. Have you thought about doing this?
Q: Various sources are urging companies to stop issuing quarterly forecasts. What is your position on companies issuing quarterly forecasts?
Q: Earlier today William asked about a portfolio tracking software. After trying a few I would highly recommend Stock Market Eye. It handles all transactions types, multiple portfolios, multiple currencies, live data, basic charts, tax tracking, and more... they also have fantastic technical service.
Q: After many years I am deciding whether to throw in the towel on Extendicare I know the stock has never been a 5i favourite
Demographics say this should be a growth stock but Extendicare has been a dog
Do you think there is any hope for this stock Should I wait until Extendicare reports In August
Could you suggest a replacement in the same space hopefully with a similar yield
Thank you
PaulW
Demographics say this should be a growth stock but Extendicare has been a dog
Do you think there is any hope for this stock Should I wait until Extendicare reports In August
Could you suggest a replacement in the same space hopefully with a similar yield
Thank you
PaulW
Q: I am just wondering if you know why sometimes a stock cannot be traded on line when in a self directed account. For example, in order to trade MOGO finance with TD I must call them in order to make a trade. The answer I get from TD is that they do that with a certain number of stock with low trading volume or when they are high risk stocks. I don't think MOGO falls into that category anymore than many other stocks that are thinly traded and much riskier. They have no explanation as to why MOGO is one of the stocks that cannot be traded on line. Is it worrisome? Is there something wrong with the company?
Q: I use BMO investorline. A good service, but not user friendly when it comes to tracking monthly/quarterly dividend payments. Any recommendation on good software to help us keep track at a glance as to received and projected dividend payments?
Q: Hello team,
I have been wanting to ask you this question about the relationship between share price, dividend, and yield. I am going to use KWH-UN whose current SP, annual dividend, and yield are $6.01, $0.82, and 13.56%, respectively.
Suppose I buy 1000 shares of KWH. I understand my purchase will cost me $6010.00 and I shall earn $820 in dividend after a year on this investment which amounts to 13.65% of my purchase price. Now let's say that in the second year share price increases to $8.00 and the company continues to pay $0.82/share in which case my investment yield is still at 13.65% but that of a new investor will be 10.25%. Is my understanding correct?
If I am correct then, it is no-brainer that one should buy a company like KWH or ENB when they are in some sort of predicaments but have proven reliable in maintaining their dividend over time. The reward will be higher yield for the contrarian/patient investor if the company continues to pay the same amount of dividend per share.
Hope I am getting it but I am sure you let me know wherever I am going wrong on this....Thanks as always!
Now back to reading more of the questions/answers on 5i site...
I have been wanting to ask you this question about the relationship between share price, dividend, and yield. I am going to use KWH-UN whose current SP, annual dividend, and yield are $6.01, $0.82, and 13.56%, respectively.
Suppose I buy 1000 shares of KWH. I understand my purchase will cost me $6010.00 and I shall earn $820 in dividend after a year on this investment which amounts to 13.65% of my purchase price. Now let's say that in the second year share price increases to $8.00 and the company continues to pay $0.82/share in which case my investment yield is still at 13.65% but that of a new investor will be 10.25%. Is my understanding correct?
If I am correct then, it is no-brainer that one should buy a company like KWH or ENB when they are in some sort of predicaments but have proven reliable in maintaining their dividend over time. The reward will be higher yield for the contrarian/patient investor if the company continues to pay the same amount of dividend per share.
Hope I am getting it but I am sure you let me know wherever I am going wrong on this....Thanks as always!
Now back to reading more of the questions/answers on 5i site...
Q: Airborne Wireless Network (ABWN.US) has an interesting technology / concept but recently ran into financial problems. As a result it issued Convertible Notes and other instruments that has led to a "Weimar-Republic"-like share dilution. The company is still very much active.
I recently bought 250,000 shares at $0.0004 (=$100). Today I was looking at their financial statements and noticed that the "par value" of their shares is $0.001, more than twice the market value of my shares. (I have never previously bought shares at less than the par value.)
Does this mean that, in principle, I can demand the par value from the company, making a quick 150% profit? Of course, if everyone demands par value the company will go broke, so I would need to be the first :-)
I would appreciate your comments on this unusual (for me) situation.
I recently bought 250,000 shares at $0.0004 (=$100). Today I was looking at their financial statements and noticed that the "par value" of their shares is $0.001, more than twice the market value of my shares. (I have never previously bought shares at less than the par value.)
Does this mean that, in principle, I can demand the par value from the company, making a quick 150% profit? Of course, if everyone demands par value the company will go broke, so I would need to be the first :-)
I would appreciate your comments on this unusual (for me) situation.
Q: Do you know if it is possible to purchase U.S. T-bills via a self directed (TD Waterhouse) US$ margin account? If not, how would a Canadian resident go about purchasing a U.S. T-bill?
Q: I've been waiting for a significant market correction for awhile. I blew it with a 3x U.S. bear ETF at the beginning of 2017. I'm getting itchy again. What U.S. market strategy would you suggest if you felt that a downturn is overdue? I'm not as liquid with my Canadian holdings so I'm only focusing on the U.S. for the time being.
Q: In the near future I will be making some TFSA investments. My understanding, from commentary I have heard, is that it is wise to not invest in US stocks as the US government withholds dividend payments inside such an investment vehicle.
However, my thinking is that this does not necessarily mean that buying US stocks inside a TFSA is an absolute no no as this negative should be balanced against the positives with a given US stock. If the company is a fast growing US tech stock, for example, that doesn't pay a dividend then the withholding of dividend income is a moot point. Please comment. Thanks very much.
However, my thinking is that this does not necessarily mean that buying US stocks inside a TFSA is an absolute no no as this negative should be balanced against the positives with a given US stock. If the company is a fast growing US tech stock, for example, that doesn't pay a dividend then the withholding of dividend income is a moot point. Please comment. Thanks very much.
Q: Hi a comment for Edgar.for a person who has as good as he did managing his own bucks to go to the hands off approach he would find frustrating .No one his going to have as much interest in his money thanEdgar to be successful at this game you trquire two key ingredients one is time and the other is interest .if you lack either let some else do it .i am approach 80 and I still do ok and love it.
Just my comments they are free so treat it as such
Stan.
Just my comments they are free so treat it as such
Stan.
Q: I'm now 70 (but spry) and reviewing my options for RRIFs. I have managed my RRSP portfolio and done well over the past since 2009; I remain 90% invested in US/CAN stocks. I also have larger non-RRSP stock portfolios. Going forward, I want to consider other less hands on options. Do you have any feedback/recommendations on Bank wealth management performances. Any experiences from other members would also be appreciated. References to other documents or trusted web-sites would be good.
Greg
Greg