Q: I am getting concerned about inflation, mostly in the U.S. Most of Trump's policy preferences, from removing illegal immigrants, to tax cuts and tariffs seem inflationary, and if he wrests control from the Fed, I don't see how inflation stays under control. What are your thoughts on this and what would you be watching? Finally how would one, as an investor, respond to signs of very high inflation? Thank-you.
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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: Recognizing that I never got past Economics 101 , I see the oil industry as having terrible supply and demand dynamics .We are oversupplied even with
OPEC + purposely restraining output and worldwide oil reserves continuing to grow. The oil energy sector continues to be pressured by the green energy politics and technology. With 2 significant wars going on and supply lines being restrained by Houthi activity , the price of oil has been less than spectacular. Canadian oil companies are cheap for a reason. Please provide another view on this sector. Thanks. Derek
OPEC + purposely restraining output and worldwide oil reserves continuing to grow. The oil energy sector continues to be pressured by the green energy politics and technology. With 2 significant wars going on and supply lines being restrained by Houthi activity , the price of oil has been less than spectacular. Canadian oil companies are cheap for a reason. Please provide another view on this sector. Thanks. Derek
Q: Hi!
I am thinking about getting a chunk of rci.b. Good idea?
Do the markets seem frothy?
Would you suggest your top 5 stocks for share price increase in the short term...and with next to no chance of permanent loss of capital in the long term?
Cheers,
David
I am thinking about getting a chunk of rci.b. Good idea?
Do the markets seem frothy?
Would you suggest your top 5 stocks for share price increase in the short term...and with next to no chance of permanent loss of capital in the long term?
Cheers,
David
Q: What sector do you think has a better outlook for the near to medium term: Oil and gas or banking? I have a bit of capital to deploy and was leaning towards a decent yielding dividend ETF in one of the 2. (If you don't want to be pigeon holed to either/or I could split it between both sectors or if you have a different sector suggestion that's more compelling I'm open to suggestions...)
Thanks very much
Thanks very much
Q: Dividend rates - stock seem to be popular when they have a high dividend rates . A stock paying 4% making a payout (will say quarterly), pays the 4% then the stock drops 4%, so what you get on one hand is taken away on the other. Basically, a growth stock would be a better play than a dividend stock. Please give me your opinion.
Q: Are there any articles in your Bloomberg library or other sources that would be a good read featuring an unbiased { good luck } analysis of what the protectionist policies amount to be implemented in the USA may lead to ? I would love to know how this can possibly avoid spiking the rate of inflation.
Thank you
Paul
Thank you
Paul
Q: at 1.40 and heading lower, why would anyone invest in Canadian stocks or bonds for that matter.?..also why cant the government get their house in good financial order to show to the rest of world that we care about balancing the budget? pissed off snow bird...
Q: there are some well known professionals predicting the USA stock market currently points to a bursting bubble , and investors should allocate heavily into bonds to protect the portfolio.If the risk of this happening is drawing near, will the Canadian markets suffer the same fate ?
Q: Is it time in the market that truly matters instead of trying to time the market?
Q: Hi Peter & team - I've seen you, and others, say there is still lots of money "parked on the sidelines". How do you know this? Where is it parked? And how do you know it will be deployed in the market? Thank you!
Q: I turned 71 this year and I am pulled between GROWTH & DIVIDEND stocks in my RRIF starting in January. Am I wrong in thinking that it does not make a difference, if: (I do have growth stocks in my Cash & TFSA accounts).
My Tech & other Growth stocks appreciate by 6% or more and I withdraw 6 % via my RRIF, or
Withdraw 6% of my Dividend stocks? Compounding does work, as I bought $20K of RBC a few years ago @ $112 & is now @ $172. Tried the same with TD which did not work.
Obviously, the idea is to not deplete my assets by the RRIF withdrawals? Am I right in my thinking?
Thanks!
My Tech & other Growth stocks appreciate by 6% or more and I withdraw 6 % via my RRIF, or
Withdraw 6% of my Dividend stocks? Compounding does work, as I bought $20K of RBC a few years ago @ $112 & is now @ $172. Tried the same with TD which did not work.
Obviously, the idea is to not deplete my assets by the RRIF withdrawals? Am I right in my thinking?
Thanks!
Q: Good morning,
Recently I have become concerned about the potential for a US sovereign debt crisis. From my understanding the amount of US debt is growing at an unsustainable rate and eventually it will become apparent that the US cannot pay back its debt while offering a real return to investors. Once this happens the US will have an issue borrowing money because there is a lack of lenders which will lead to them either having to cut back services (which would almost certainly cause a recession), defaulting because they can't roll over their debt (also causing a recession) or trying to change the rules of the fed to try and print the debt away (which would cause almost nobody to lend money to the US government again and almost certainly cause hyper inflation). To me any action that would involve cutting back services which would be better for the long term but really bad (and political suicide) for the short term would probably not be implemented because the politicians would be voted out. This line of thinking terrifies me and I am really hoping that I am missing something. Am I correct with my analysis? Is there anything that I am missing?
Thanks,
A
Recently I have become concerned about the potential for a US sovereign debt crisis. From my understanding the amount of US debt is growing at an unsustainable rate and eventually it will become apparent that the US cannot pay back its debt while offering a real return to investors. Once this happens the US will have an issue borrowing money because there is a lack of lenders which will lead to them either having to cut back services (which would almost certainly cause a recession), defaulting because they can't roll over their debt (also causing a recession) or trying to change the rules of the fed to try and print the debt away (which would cause almost nobody to lend money to the US government again and almost certainly cause hyper inflation). To me any action that would involve cutting back services which would be better for the long term but really bad (and political suicide) for the short term would probably not be implemented because the politicians would be voted out. This line of thinking terrifies me and I am really hoping that I am missing something. Am I correct with my analysis? Is there anything that I am missing?
Thanks,
A
Q: Donald Trump has previously signaled his desire for a lower US dollar. JD Vance has recently signalled an even stronger desire for a lower dollar, saying it would bring manufacturing back and calling China a currency manipulator. And if history is any indicator, Vance will be running just about everything in the day-to-day operations of the White House while Trump golfs and engages in twitter wars with celebrities (as Pence did 4 years ago). Right now most of my US holdings are in unhedged ETFs. Would it be wiser to shift some of that over to hedged ETFs? If the US starts trying to lower the dollar how quickly would that happen?
Q: What are some canadain companies that could do well under a trump administration
Q: Hello:
First, athis point and post-election, do you think the markets have gotten ahead of themselves?
Second, markets are enjoying a post US election upswing and while most expect further interest rate cuts, why are utilities down in the past fewdays, for example CPX and FTS.
Thank you
First, athis point and post-election, do you think the markets have gotten ahead of themselves?
Second, markets are enjoying a post US election upswing and while most expect further interest rate cuts, why are utilities down in the past fewdays, for example CPX and FTS.
Thank you
Q: Where would 5i see things in terms of an ideal cash level in a portfolio today? Fully deployment or is there a % you would reserve in cash for opportunities in a bad day/week/month? Would you agree that volatility should be expected in the months ahead based on Trump's comments moving the market as they did in the past?
Q: Everyone, what are the next headwinds and when will they show up in the markets. Clayton
Q: Hello 5i,
I caught a headline on BNN regarding BofC sentiment around interest rates. I took from it that the BOC might be poised for a much larger cut than it has done so far, perhaps 0.75, even 1.0 bp cut. Now, with a Trump win and policies that could fuel Canadian inflation by increasing the cost of U.S. imports on the one hand and a potential dampening effect on the Canadian economy as whole on the other, do you see any strong sense of direction for Canadian interest rate policy for the next meeting in December?
I know this kind of prognostication is problematic, but I would value your insights as to what Canadians might reasonably expect from the Bank of Canada on Dec. 11.
Many thanks for any analysis you can provide.
Cheers,
Mike
I caught a headline on BNN regarding BofC sentiment around interest rates. I took from it that the BOC might be poised for a much larger cut than it has done so far, perhaps 0.75, even 1.0 bp cut. Now, with a Trump win and policies that could fuel Canadian inflation by increasing the cost of U.S. imports on the one hand and a potential dampening effect on the Canadian economy as whole on the other, do you see any strong sense of direction for Canadian interest rate policy for the next meeting in December?
I know this kind of prognostication is problematic, but I would value your insights as to what Canadians might reasonably expect from the Bank of Canada on Dec. 11.
Many thanks for any analysis you can provide.
Cheers,
Mike
Q: What is your take on near to mid term inflation, rates and bond prices/yields based on proposed US tax cuts?
Q: Dear 5i team.
The common theory of interest rates decling was long bonds would benifit most. This does not appear to be the case currently, and I've seen some not so clear responses thus far in the Q+A. Please explain in further detial, why long bonds have not performed to this expectation thus far, and what you see as a catalyst for long bonds to perform as expected with possible future declining interest rates..
Many thanks for your help.
The common theory of interest rates decling was long bonds would benifit most. This does not appear to be the case currently, and I've seen some not so clear responses thus far in the Q+A. Please explain in further detial, why long bonds have not performed to this expectation thus far, and what you see as a catalyst for long bonds to perform as expected with possible future declining interest rates..
Many thanks for your help.