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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: With reference to Bryron's question, I am also very concerned with deflation as opposed to inflation. There is way too much debt worldwide. As an experienced money manager and I know you don't have a crystal ball, would you lean towards deflation as opposed to inflation? I can't see how inflation can rear its head in this environment and is deflation in a short period of time a real risk to the stock market?
Read Answer Asked by Helen on September 03, 2015
Q: Hi guy,s Thanks to you I bought a 1000 shares at about 7.30 per Share. Right or wrong I cashed in at 18.55 today . Where would you put $20,000 today excluding the oil patch as I am over weight in this area. Thanks for your advice. Regards Cliff
Read Answer Asked by cliff on September 03, 2015
Q: Note that you are adding the above 2 stocks mainly due to value resulting from recent sharp declines.Please advise what is FX as You stated that ENB only has small exposure to FX.Both are related to the very weak energy sector,so I assume that that valuation overrides the sector in this case. Also,would BAM.A a better choice than BEP.un? Thanks a lot for your usual great advices & services.
Read Answer Asked by Peter on September 03, 2015
Q: I have a question about the upcoming election. Most polls show the NDP leading. From your experience do you think it is reasonable to expect something of a market sell-off (perhaps leading up to the election if the polls continue to show the NDP leading or after the election itself) if this continues? Please note I am not asking anything partisan here. I am just considering whether or not there might be a good reason to wait until after the election to buy a few things. Thank-you.
Read Answer Asked by Alex on September 02, 2015
Q: FSV rated on summary portfolio as B- but report shows B. CIG is not rated anywhere. Please advice, should CIG be sold and is FSV a B.
Read Answer Asked by Greg on September 02, 2015
Q: Good morning Peter and team,
I have some cash to invest and the 2 stocks I am still underweight from your equity balance portfolio are SYZ and ATD.B. I tend to favor ATD.B over SYZ although SYZ has dropped significantly. My portfolio is well balanced and would remain so after the purchase of either Co. Which one would you favor for a long term investment portfolio? Thank you for your unmatched service.
Read Answer Asked by jacques on September 02, 2015
Q: Hi Folks,

I'm looking to make an investment in the auto parts sector. I know you tend to favour MG but I'm looking for a little more torc. I was thinking of MRE or XTC. Which would you recommend or would your prefer a half position in each?

as always, thanks for your help.
Read Answer Asked by Dennis on September 01, 2015
Q: Hi Peter and Team,

In my RRIF,I have 1425 shares of ABT with an average cost of $9.7042. (ABT closed today at $8.33).

In today's mail, I received an "Offer to purchase for cash, up to $50,000,000 in value of its common shares at a purchase price of not less than $7.75 and not more than $9.00 per common share". If I want to accept the tender offer, I need to inform my broker by Sept. 30.

I am confused as to what course of action I should take, or should I do nothing and hope that this share buyback will increase the value of my shares, hopefully above $9.7042? It's obvious that I bought high, and would feel better if I was able to sell at at least for what I paid. Or is ABT's range for this tender too low, and they think that the stock isn't worth any more than $9.00, and I should tender my shares for $9.00 in their "Dutch Auction"? (The other alternative offered by Absolute is to let them determine the price which could be as low as $7.75 or as high as $9.00).

Sorry for such a convoluted question, and as always, await your timely advice.

Read Answer Asked by Jerry on September 01, 2015
Q: Hello 5i Peter and Team, I need to diversify, I have not rebalanced in years!
I currently own AD, BMO, DH, IPL, MCD, WCP. What stocks would you recommend to add to this list for more diversity over the next 6 months. I like dividend payers but do not need income yet. I am comfortable with a certain amount of risk.
Thank You
Read Answer Asked by Bill on September 01, 2015
Q: Are you a fan of the frequently expressed strategy of having your per cent of fixed income match your age? I suspect this is a personal decision based on one's risk tolerance, but as a general rule does it make sense? For myself, 50+ in fixed income seems like a lot.
Read Answer Asked by Alan on September 01, 2015
Q: Hello Peter, Ryan & team, "Manag. Incentive Plan"...what are you expecting out of this? And, how would it affect the stock price?
Thank you!!

TORONTO, ONTARIO--(Marketwired - Aug 31, 2015) - The Intertain Group Limited (IT.TO) today announced it will host a conference call with members of the investment community to discuss its Management Incentive Plan on Tuesday, September 1, 2015 at 8:00am ET.
Read Answer Asked by Silvia on August 31, 2015
Q: I'm looking to increase my exposure to the materials sector and invest in either ADN or WEF. Could you provide your analysis of each and which is the better investment.
Read Answer Asked by Rob on August 31, 2015
Q: Hi peter - I recently sold BYD.UN - LNR (did very well) - I want to buy a Canadian company and then have my broker switch to a US account. I believe that @10% I am underweight in the US. The Canadian dollar is still falling /not showing any sign of - The struggle I am having is I really still like the auto sector. LNR has really dropped from its $89 Cad high. Do you believe that (a) the Cad $ is headed lower. (b) MG has still got room to grow compared to LNR. (c) I am better off buying AGU and get out of the Auto sector? Any other suggestion would be welcome I am a moderate investor who likes stability/growth ...Thanks for your advise
Read Answer Asked by Terence on August 31, 2015
Q: Hi 5i team. Thanks for the great service. BAM recently invested in infrastructure in India. Does that in any way affect Brookfield Infrastructure? It seems, to me that sometimes the assets are passed on or are sold to the subsidiary. Can you comment please if this might have long-term impact on Brookfield infrastructure?. I have been focusing on building positions in Brookfield Infrastructure and Brookfield Energy Partners
Read Answer Asked by Tulio on August 31, 2015
Q: Dear Gentlemen,
I want to re-balance by adding in Industrial sector 6.%. from 10 to 16%
I hold these stocks in different PF: BDI 1,1% (-50% in value) MDA 1.6%, STN 3.3%, & WSP 4%.
For a balanced medium aggressive PF, your suggestions, adding new stocks or increasing actual stocks?

Thank You
Best Regards
Read Answer Asked by Djamel on August 31, 2015
Q: Could you comment on their latest results? This is a painful long term holding, down 10% over several years in a stock that should provide stability in a choppy market. Perhaps the market does not like their expansion plans? The chart trend is terrible and shows no attempt at stabilizing. Time to get out?
Thank You Ron
Read Answer Asked by Ronald on August 31, 2015