Investment Q&A

Q: Can you explain how you calculate ROE, using as examples a couple of the companies for which you have written reports?

Q: I'd love to find out what you guys think about the Zero Hedge Financial Blog?

Some of it may seem fairly insightful but then you'll come across 15 tweets or articles in a row that sound reactionary, doom and gloom, zombie apocalypse is upon us and that immediately get disproven the next day. I'm having a tough time getting a handle on these guys. From my perspective, it seems like their moments of clarity and genuine insight is later ruined by pandering to an audience who is waiting for the markets to go to zero. Its weird, cuz Catherine Murray follows them on twitter and she strikes me as being very conservative (I guess though just because you follow someone on twitter doesn't mean you agree with their viewpoint).

Anyway, your thoughts would be appreciated. Thanks.

John

Q: Regarding your response to Indra regarding tax losses, I don't believe you are permitted to claim a capital loss if you transfer a security in kind to a registered account. You would have to sell the stock and then contribute the cash to the registered account but have to wait 30 days if you wish to repurchase the same security in the registered account to preserve the tax loss. So in Indra's case, there would be no tax loss available on this transaction.

Q: I will be buying GH, IPL, PKI and HSE as 12 % of a 20 stock portfolio. Is now a good time to buy a half position in each? Thanks.

Q: Out of all of your coverage companies, which 5 companies do you think would be the best to deploy some cash today?

Thanks,

Wes.

Q: What is your opinion of the latest QR results? Is it expensive? Is it high risk? Would you consider this an organic growth company or growth by acquisition?

Q: Following up on your answer to manochehr, I have $250,000 to invest right now, which is 60% of my mother's portfolio. You seem wary of the market right now, so how would you suggest I go about getting fully invested? She needs maximum dividends for income to pay for her retirement home but is also concerned with maintaining capital.

Thanks - really enjoy this service and so glad I found it!

Q: I am a fan of the Brookfield group and own BEP.UN. Looking at buying BIP.UN.However, this co. is concentrated in Brazil and Australia with assets that are to various degrees commodity related, ie, ports and railroads. Should this concern me? I am a long term investor Thanks

Q: Hi GREAT Team. Similar to Terry's question on Aug 26..I own M, BNS and SLF within my RRIF. I am trying to add more US to my PFs. I would like to have BMO change one of these to US $. and save the conversion costs. Of the 3 BNS is always in the red for me.
But which one as if today would be best? Thanks again for all you do for us...cheers for now

Q: I have bumped into to two fund managers/portfolio advisors in the last week, and I talked to both about their investing styles. Both said they were sitting on a lot of a cash that they have built up over the last couple months.

One also said they were selling there winners ex/ ATD.B and planning to pick it back up at a lower price.

Do these fund managers know something that retail investors don't?
It seems like professionals sometimes say buy and hold, meanwhile they are selling.

Or are they taking a guess and going for it?

I am very patient long term holder and don't trade very often, but I am curious who is doing all the selling in market down turns?

Cheers, Colin

Q: Intertain dropped from $18 to $11 in less than a month and now erased all gains for the year. Are there any hidden problems with the stock? Any explanations for the steep decline (aside from bad markets or cashing profits)? It is now among the worst decliners in my portfolio among with few other former 5i favorites such as FM, PHM, SGY, and AVO...

Q: Greetings,

I have always wanted to own one of the Canadian railways but they have always been too expensive but it looks like a great opportunity now. I had initially wanted CNR as I thought they had less exposure to oil shipments and are about 2 pts cheaper on a valuation perspective but I may have misread that. If you had to choose one over the other today, which would it be.

Thanks for all you do!

Q: Hi peter and team,

Disappointed with the performance of these 2 today especially considering how oversold they are. Do you think the betfair merger is cause for concern?

Thank you as always

Q: Good afternoon Peter and the Team

With the latest market insanity would this be a good time to purchase HNZ-T in an RRSP for a 3+ year hold. Your thoughts.

Cheers
Marc

Q: I am considering selling IPL and buying CNR. Which company has better prospects for earnings growth and dividend growth over the next five years? And which of the two is lower risk?

Q: Hi Peter and Team, with the recent volatility in the market, do you think the gains made are head fakes and we will test lows again which would give good buying opportunities?

Thanks again,
Charlie

Q: My question concerns the degree of volatility in a stock market. It is my perception the individual investor has virtually no influence on a stock price. They are simply too small of a player, even in grand total. The market is really controlled by pension funds, hedge funds, mutual funds etc. These are the people who should act rationally. When you see a market go crazy on the down side like this past Monday there had to be a lot of sellers willing to sell at a much lower price than the week before. I ask, who are the sellers? The retail investor wouldn't affect the market and the big players would know better. Please educate me.

Many Thanks

Paul

Q: I AM READY TO INVEST $250,000 (15 % OF MY PORTFOLIO)IN 10 DIVERSIFIED CANADIAN LARGE CAP WITH SAFER- HIGHER DIVIDEND . WHAT ARE YOUR THOUGHT?
THANK YOU FOR YOUR HIGH QUALITY SERVICE.
HIGH REGARDS.

Q: Would you please comment on this company. What percentage of it,s income is derived in US dollars.

Q: My dad is 65 and will retire in 5 years. He has been 65% invested in bonds until today. He is ready to slowly buy stocks if the correction continues. last week, I bought him two positions: ZPR + National Bank. He likes dividend payers. He also likes the idea of buying stocks that his mutual fund cannot buy, that is, illiquid stocks. (1) How would you rank AW.UN, LIQ.UN, PZA.UN, CHEM.UN (2) Even with the large pullback, LIQ has a PE of 20. If the US fed raises rates and Poloz doesn't, do you expect expensive high yielders such as LIQ to take a hit, or, the opposite, since retirees will still need to seek tax-preferred yield in Canada? Thank you for your help!