Investment Q&A

Q: I am down 31% on this stock-Any hope of recovering or I should sell.Thank you.ebrahim

Q: What sector would you advise to look for some growth without huge risk. Excluding tech, which is clearly hated right now.

Q: During a serious market correction should a rebalancing happen?When the rebound in stocks eventually occurs you have less in stocks as the assets have been reallocated to bonds and cash. Therefore you will never fully recover. Should there be a waiting period?

Q: There appears to be some traction to Urban Transit Systems moving to the Westport Fuel Systems near zero NOx emission engines for their buses. As this name has fallen a lofty amount in the past few years, do you see any embers in the ashes.

Q: Hi team:
I do not want to invest out side Canada more then what I already have.I would like to invest in Canadian companies that have much of their income in other countries mostly Europe and developing markets.Could you provide a longish list of possible good investments with the above in mind. It would help if the were safe and had a div. Please include ETF'S if you like.
many thanks
Yossi

Q: Is there any advantage to use a fixed income ETF instead of using an account at Tangerine that pays 2%?
If there is, what would you suggest to use in the fixed income part (which is close to nil) of my unregistered portfolio?

Q: Hi 5i, between Pho, Bus and BB, which one has more potential grow for long term hold 3-5 years. Thank you.

Q: If you had an additional $20K to invest, which 3 companies would you consider that are not currently in your balanced model portfolio?

Q: Hi,
How/ where do I sign up for your ETF Update newsletter?

Q: As I grow older I find myself more risk adverse. You receive many questions regarding going to more cash when one fears a market correction and you claim, and I agree, that market timing is very difficult to pull off. None the less I am fearful of large loses similar to those encountered 10 years ago.
Now to my question. If one is investing for income, as I understand it, if the dividend is safe then a capital loss while not good can be tolerated with the hope of recovery because of the steady income flow. I am setting up a RRIF and am concerned about equity draw downs from a recession as well as increasing interest rates. In conclusion an income investor should be able to sleep at night knowing there is a steady income stream. I am trying to generate a 5% annual dividend stream. Thank you.

Q: Hi,
If I were to buy & sell options as a strategy to create a monthly income flow, would any proceeds (profits or losses) be considered as Capital Gains or Income for income tax purposes?
Also, if trading options, is there any consideration to be aware of in regards to option-able stocks that pay dividends?
Thank you.

Q: Hi Guys,

Inside my portfolio, my consumer cyclical weighting is over 20%, please rate best to worst;
GIL, MG, BYD.UN, TOY, AYA, CCL & NFI and on the U.S.A. side we have GPC, DIS & HD.
I would like to lower the % to 15%.
thanks,

Jim

Q: 5i

I am 75 years old and have $30,000 DOLLARS of cash in both my TFSA and my wife's TFSA. Regardless of sector weighting how would you invest the funds. Great service you provide for both the educated and less educated investors.

W

Q: Hi 5i team,

Costco has been taking a beating ever since Amazon announced its bid for Whole Foods Market (WFM) three days ago. At the time, it was selling at a premium but today it dropped well below its 200 MA. How much lower would it have to go before you would consider it an attractive buy?
Somehow, I don't see an Amazon-WFM tie up as being particularly threatening to Costco. I would appreciate you view on what the impact might be?
Robert

Q: DOL has a price:book ratio of 398.6 : 1 and 141 : 1 on the TMX and TD
Waterhouse websites respectively. These ratios seem too steep even for a growth investor. Your comments would be appreciated. Joe

Q: The fourth article ("Dividends for the long run")in the last "5 from 5i" by Michael was kind of thought provoking. There was research by Credit Suisse that found that "Cash Cows" (high CFROI/low growth) and "Dogs" (low CFROI/low growth) had outperformed in cumulative shareholder return going back 4 decades. If I understood correctly the thesis seemed to be that performance is a function of expectations versus what really happens and that for stocks that were "Cows" or "Dogs" expectations tended to be consistently too pessimistic which actually ended up leading to better share performance as expectations were exceeded. Are there any Canadian companies that come to mind that you think fall within those two profiles just to help me relate to some real life examples? Thanks,

Q: Hi, I want to increase my sector weightings in Manufacturing and Industrial stocks, plus obtain some Income. I currently hold Barrick ($7K); CAE ($37K); CNR ($58K), Intel ($20K); Pfizer($17K)and Wajax ($10K). Looking to invest $40K more in this area, your suggestions would be appreciated. Thanks!

Q: I have been following AGT as it hits new lows. I am considering gradual purchases (1.5%of portfolio to 4.5 %) if and when the price begins to rebound . I believe their market will grow over the years but wonder what your thoughts are of the company and if you believe a stock price increase will happen over the next 6 months?

Q: We would like to have more exposure to the consumer sector in our portfolio. We are considering adding one of the first three companies and/or adding more to winpak, which we currently hold. What is your opinion?

Q: Re: Paul's question concerning eligible dividends & domicile of company.
Thank you for your response earlier today to my question concerning TRL. I looked at their website, and they state that their dividends are "eligible" for the Canadian dividend tax credit. However, they are headquartered in Bellevue WA. Shouldn't that make them an American company?

On the other hand, they also state elsewhere on their website that they "complet[ed] a qualifying transaction with Alignvest Acquisition Corporation, a Special Purpose Acquisition Company or SPAC." Would that then make them a Canadian company for tax purposes?

Would I need to include my TRL investments on the Revenue Canada T1135 foreign property declaration form?