Q: Hi All, at what point within your followed stocks would you sell to take profits? Is there a price increase (%) that would trigger selling? Do you ever suggest a sell to subscribers at a particular point or is it strictly buy a name and hold indefinitely? As time goes on subscribers would be buying names at various different entry points and obviously have different sell points...is there a good rule to follow?
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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: Hi Peter,
I have read some questions about "Middlfield offers to exchange ARTIS shares for shares in the MINT INCOME FUND". This reminds me of an investment "mistake" I did 7 or 8 years ago, here is the story: I had shares of Westshore Terminals (WTE), their value were of about $6.50, one morning I received a call from my broker (I do not have a broker anymore) who explained to me that I could exchange my WTE for a Sentry Select fund commission free! I have accepted the offer. As of today, the value of WTE is of almost $29.00, with a yield of 4.3%. I now understand why they wanted so much my WTE shares.
Since I have started to educate myself about investment and finance through Canadian Money Saver magazine and other sources, those kind of mistakes do not happen anymore.
Thank you,
Gervais
I have read some questions about "Middlfield offers to exchange ARTIS shares for shares in the MINT INCOME FUND". This reminds me of an investment "mistake" I did 7 or 8 years ago, here is the story: I had shares of Westshore Terminals (WTE), their value were of about $6.50, one morning I received a call from my broker (I do not have a broker anymore) who explained to me that I could exchange my WTE for a Sentry Select fund commission free! I have accepted the offer. As of today, the value of WTE is of almost $29.00, with a yield of 4.3%. I now understand why they wanted so much my WTE shares.
Since I have started to educate myself about investment and finance through Canadian Money Saver magazine and other sources, those kind of mistakes do not happen anymore.
Thank you,
Gervais
Q: I need to learn all about the impact of taxes on my portfolio. I'm a beginner so I need a plain languge approach. I was wondering if you could recommend some material to me. Thank you. I really appreciate your service.
Q: Everyone, especially those that manage LARGE funds seem to lose their grasp/comprehension of the English language when Bernanke speaks. What is your interpretation of Bernanke's intentions relating to QE?
Q: Good morning Peter & team,
I have been considering adding more energy stocks to my dividend-oriented portfolio, namely Arc Resources and Vermilion Energy. I am a bit perplexed on the valuations of these companies. Both pay a decent dividend in the 4.35% to 4.55% range. What confuses me is that the payout ratios for each are well over 100% (though the dividends are covered by cash flow), and the P/E ratios are sky-high. Am I looking at the wrong metrics here? Is there another, more appropriate way to evaluate these companies? My initial thought is that despite the energy sector's struggles, these are very expensive stocks. Your comments would be appreciated. Thanks!
I have been considering adding more energy stocks to my dividend-oriented portfolio, namely Arc Resources and Vermilion Energy. I am a bit perplexed on the valuations of these companies. Both pay a decent dividend in the 4.35% to 4.55% range. What confuses me is that the payout ratios for each are well over 100% (though the dividends are covered by cash flow), and the P/E ratios are sky-high. Am I looking at the wrong metrics here? Is there another, more appropriate way to evaluate these companies? My initial thought is that despite the energy sector's struggles, these are very expensive stocks. Your comments would be appreciated. Thanks!
Q: hi , thanks for taking another question of mine. i am trying to remember if there was any great investments back in the early 80s when interest rates ran up so much besides the obvious of really high interest on your cash . I hope your memory is better than mine.
Q: Given the recent spike in bond yields do you think it would be wise to reduce exposure to bonds (held in mutual funds or etfs, either pure bond or as part of a balanced fund) and either increase equity exposure or simply move the fixed income allocation into cash / money market? Are we at a turning point where bonds are higher risk than equities? I think Buffett made some comments to that effect last year.
Q: Hi,
This is another suggestion for Don. If you use excel you can download Excel functions file called RCH_Stock_Market_Functions-2.0k. Once you have downloaded it, you can unzip the files and save them in a folder in your Windows program files by creating a folder called SMF Add-in. Then go to Excel options and select add ins and then browse. Here you can refer to the progam file folder and select the file RCH_Stock_Market_Functions from the folder. This pulls quotes from Yahoo and updates them each time you open the Excel File but only pulls latest price information. Toronto stocks are followed by .TO or .V
This is another suggestion for Don. If you use excel you can download Excel functions file called RCH_Stock_Market_Functions-2.0k. Once you have downloaded it, you can unzip the files and save them in a folder in your Windows program files by creating a folder called SMF Add-in. Then go to Excel options and select add ins and then browse. Here you can refer to the progam file folder and select the file RCH_Stock_Market_Functions from the folder. This pulls quotes from Yahoo and updates them each time you open the Excel File but only pulls latest price information. Toronto stocks are followed by .TO or .V
Q: Hi Team, In response to Don's question, I use MS Excel, it has a link to get real time quote on the MSN website (Data/Existing connections/MSN MoneyCentral Investor Stock Quotes), a bit complex to setup, but well worth it. I use it all the time.
Q: hello 5i:
this is in response to a question asked by "Don", regarding tracking of a portfolio. I have two suggestions: one is to use TMX Money; free, very good news updates, current market prices on all listed stocks, etc etc.. The other suggestion is Morningstar; not free, but does an amazing amount of things including rating of companies. Very good portfolio tracking. Hope that helps; individuals will have to go to each site and explore them (obviously) to see which works better. I use both, for different reasons, and am VERY happy with the products.
this is in response to a question asked by "Don", regarding tracking of a portfolio. I have two suggestions: one is to use TMX Money; free, very good news updates, current market prices on all listed stocks, etc etc.. The other suggestion is Morningstar; not free, but does an amazing amount of things including rating of companies. Very good portfolio tracking. Hope that helps; individuals will have to go to each site and explore them (obviously) to see which works better. I use both, for different reasons, and am VERY happy with the products.
Q: Hi Peter. Don can try GlobeInvestor Gold to track his investments. Dividends are included. You also get some access to the paper.
Q: I have a different question for you. do you know of a software program, app, etc, in which I can list all my investments, cost base, dividends, rate of dividends, profit/ loss, etc. It would need to be linked tot the stock markets for current pricing. I am sing a Bloomberg App on my IPAD but it does not include dividends, and really does not give enough personal info. I thought of a spreadsheet but unless it is linked tote market, it is useless. thanks for your ideas.
Don
Don
Q: Good afternoon,
I really appreciate your question and answer service. However a few people (hello Edward!) seem to expect you to be their personal portfolio manager. Not only does this put you in a difficult position, but it renders their questions rather pointless for the rest of your readers. Have you considered discouraging this type of query?
I really appreciate your question and answer service. However a few people (hello Edward!) seem to expect you to be their personal portfolio manager. Not only does this put you in a difficult position, but it renders their questions rather pointless for the rest of your readers. Have you considered discouraging this type of query?
Q: PM, TCN,CWT.UN, WEQ...currently have loss. Are they hold & is average down a good option?
Q: What does sector rotation mean?
Q: Hi Peter & 5i: I am wondering about dividend reinvestment plans. Could you comment and maybe mention a couple of examples? Theoretically the company gets the money back that it would otherwise have paid out in dividends (at least to the extent of the DRIP participation rate), which it can then use to grow the business and, all going well, the results can be accretive to all shareholders and the accretion would be pleasantly leveraged for the DRIP participants. But suppose there is no progress being made on the growth front, or worse that the company isn’t really earning the dividend that it would otherwise have had to pay out in cash. Then it seems like all that is happening is a kind of steady dilution and potentially a dangerously growing snowball, because each new share that is issued comes with its own dividend rights stretching forward indefinitely. If the market intervenes by lowering the share price, then the rate at which the DRIP shares get issued increases because the dividends will buy more shares. Does this ever really get out of hand? It seems that there might be a significant difference in the DRIP impact on a company with a 3% yield versus one that slips above 10%. It would be different of course if the company was buying back its own shares opportunistically to offset the DRIP’s effects, but that would seem to negate the benefit of the company keeping the dividend cash in the first place. Are DRIPs generally a negative in the context of a company that might be a relatively higher risk investment? Thanks.
Q: How many stocks are required to own a diversified income portfolio of $125K and what weighting do you give for each stock? When should you sell to bring back the weighting down and what do you do with that profit, buy more stock for more income or buy more shares of the stocks that are down the most in the portfolio? Do you have a future plan to build an income portfolio, if yes, could you indicate a timeline? Thank you, Peter and Team. Your service and magazine are awesome tools.
Q: Hello,
I read your article in the National Post regarding sector rotations and would like to ask a question about it.
Out of the 20 stocks I own, 3 are energy, IPL,TOU,HAL.
Because of the rotation would 15% considered too much to hold?
The rest of my portfolio is 10% Communications, 15% Health, 25% Cyclical and 35% Technology.
Thank you.
I read your article in the National Post regarding sector rotations and would like to ask a question about it.
Out of the 20 stocks I own, 3 are energy, IPL,TOU,HAL.
Because of the rotation would 15% considered too much to hold?
The rest of my portfolio is 10% Communications, 15% Health, 25% Cyclical and 35% Technology.
Thank you.
Q: All the talking heads on BNN say sell your utility,telcos,banks and Reits-and buy what? If you are retired like me and don't mind volatility-they never < dividends during the worst financial crisis ever & telcos are planning to > dividends -eg. T why would you do that if you want mostly TSX exposure (pref. tax treat). I have some USD exposure in companies like J&J, MSFT (up nicely), MO, GE, KFT etc-held for over 4 yr.
Q: Hi Peter, "T" and "BCE" are getting hit again is there a particular reason for this and can this be an opportunity to add to existing positions as I hold both of these or can they fall further. Thanks, Nick