Investment Q&A

Q: New member, first question :
What would be a sensible approach for a portfolio in the red for a number of years basically due to investments in shares of gold and silver companies, and to a lesser extent in uranium and iron ore ?
I am 74 old,and, as such, not looking for long term, but my investment portfolio is needed to supplement a modest pension. I have been hoping for a resurgence of gold and uranium prices, but I am beginning to despair on that account. Here are the shares I hold and, in parenthesis, my losses on paper against the price paid: in my regular account: anv-t (94% ) auq-t(45%) edv-t(89%) mag-t(17%) mdn-t(15%) sso-t(72%) slw-t(2%) yri-t(67%) nugt-n(62%), cev-t(99%) wai-t(99%), yel-t(90%), mat-t(92%), mga-t(58%). In my RRIF: ar-t(79%) abx-t(49%) bto-t(19%) img-t(60%) vgz-t(88%) . I also hold in my RRIF McKenzie Precious Metals (57%) and Sprott Gold (12%). In total, my losses on paper in my regular portfolio is 26 % and in my FERR, 52. %. The question is what is worth selling and keeping ? I would like to raise capital to invest along 5iResearch lines, but I see no point in selling shares who have lost more than 60% of their value as I will never recover from such a loss, even with the guidance of 5i research to buy promising companies. I already use a maximum of margin credit in my portfolio. Your views, Dr. Hodson ?

Q: I am very surprised at the relatively poor performance of HRX over the past year, particularly given the very large backlog of orders it is supplying to Boeing (and others). (Both National Bank and Scotia analysts have given it a 1-yr target of >$14 for some time now.) I would appreciate your opinion as to whether I should buy (more), sell, or hold. Thanks!

Q: I have a few different portfolios like many people. My RSP, my wifes RSP, her spousal RSP, Mine and her investment account, TFSA's and my kids RESP's. How does one do sector weightings for each of these? Should they be bunched togeather and considered as one or each of them should be viewed as a seperate entity.
Like your article pointed out in general some of these are weighted more towards finanlcials (SLF, BNS and HCG) and Oil (SGY and WCP) I am am trying to balance to consumer staples, health care and consumer descretionary. I am inclined to wait a little bit for the oil sector to improve prior to balancing. Some guidelines and suggestions are welcome. Thanks very much.

Q: Hi - we have bce, otc and cm invested in a rdsp.
could you please provide suggestions for 5k to be invested?
thanks for your help.

Q: Hi 5i,
I am in the process of completing our portfolio re-balancing after our 5i review. By the end of the process, I will have about 2.5 % cash left to deploy in our Non-registered investment account (i.e.: fully taxable). I was thinking of putting 1.25 % in each of any 2 of the following - in order of (my) preference:
1. DHX.B
2. HCG
3. CSH.UN
4. XTC
5. SJ
6. CXI

I believe we will be well diversified and well balanced for the most part and so this money will only have the constraints around taxation as an issue. So, given the foregoing, how would you rank these and are there any other suggestions you might make??

Thanks for everything - you folks are awesome!!!
Cheers,
Mike

Q: MY RRSP is full of large cap, dividend paying Cdn. equities so my TFSA is where I am a little more aggressive. I presently have SUMMIT REIT 2 as my only holding. I am looking for small cap, dividend paying stocks which offer income and growth to provide more balance to this account. Any ideas? Thanks

Q: I have recently transferred all my holdings from a Financial planning company to a self directed RRSP/LIF worth about $700,000. I joined 5I to get some thoughts on how to invest $350,000 in cash. The cash came after I sold all mutual fund holdings that existed in the former plan. Should I hold in cash for now as the market seems to be volatile & over-priced, should I purchase a basket of ETF's based on your sites recommendation or should I purchase individual stocks as per 5I's recommendations. I seem to be locked in fear of doing the wrong strategy but I know holding cash is not the answer. I really appreciate your advise and enjoy reading all the questions, thanks.

Q: I'm 66 w a blessed portfolio from years of investing and using 5i(thank you).
To preserve retirement capital would you:
1) Take 1/2 & buy 5 laddered bonds w 1-5 yr maturities,hold to maturity and replace as they mature annually?
2) Take 1/2 and buy a bond ETF? - recommendation?
3) Take 1/2 and buy a bond mutual fund? - recommendation?
4) Leave the rest in a well diversified portfolio(growth, dividends)?
Thank you.

Q: I have full positions of six Reits in my RRIF (AAR, BOX, BPY, DIR, HR, NPR). They represent 21% of my total RRIF and 12% of my overall portfolio. Please advise your opinion of these holdings, and is this percentage allocation high, low, or okay in your opinion? I have been considering CHE.UN or VNR as possible replacements if I reduce my REIT exposure. Thanks, Barrie

Q: Hello Peter & Co.
I hold in my TFSA DHX Media, Evertz Technologies and Prometic Life Sciences. I would like to add 3 more in what I would call the "knowledge-based" industry. I already own in my RRIF:
Health/Pharma: CCT,CPH,CXR,GUD,RX and VRX
Tech: CGI,CSU,DSG,ESL,MDA and OTC
Thanks, as always
Antoine

Q: Hi:
I am having great difficulty in deciding where to place the following stocks as they all seem to have a service, entertainment or IT component that I feel perhaps relates to consumer staples/discretionary/cyclical. Your help, as always would be valuable.
AYA
BYD.UN
DHX
EH
ATD.B
RCL
KBL
AIM
SCR
IT
TNC
MDA
AVID.US

Q: Hello Peter,
Fairfax and Brookfield Asset management reported very good results on thursday feb 12th and 13th respectively. However, the stocks did not move much. Any comments? Do you feel valeant, constellation software, and cgi group still offer good value for increasing the positions. I currently have 3 percent weighting in each stock. Also, where would you suggest (web site) to look for anaysts estimates? i normally use globe and mail but do not find it useful at times. thanks very much

Q: Hi all. I am wondering if you have a suggestion where I can park cash waiting to be invested. I as a rule keep approximately 10% on hand however am not collecting much on it. Is there a reasonably stable spot where I can collect more than GIC rate and yet have it readily available? Maybe this is asking too much! Thanks in advance.

Q: What do you make of the 3-1 stock split? Is this stock worth investing in now?

Paul

Q: I have a small position in celestica and with hitting a new high on Friday I am thinking of adding to a 3 percent position. Cisco earnings were good and that should help lift celestica stock. Also would you consider it a good takeover candidate in the future for a bigger US tech company?

Q: RME has been beaten up pretty badly over the past year. At today's level and in view of the company's financial health (in particular, the sustainability of the dividend) and future prospects would you consider this an attractive entry point for a 2-3 year hold?

Q: Hi Peter I wish to keep 30% of my portfolio in non-Equities. What, and how much do you advise? ( no race horses please)-JP What happened to your bond, portfolio?

Q: Hi Peter,
Being retired, we owned WEQ and AAR.UN for dividend income for a couple years now. On WEQ we thought that the company would reduce the monthly dividend by atleast half, BUT they took it away completely. You said in the past that when a company does something that completely changes it to sell the shares...which we did last week for a very large loss. On AAR.Un we finally have our origiginal purchage price back and because both companies are run by much of the same management we would like to sell our AAR before management can run it into the ground like they did with WEQ.

We are looking for advice on a steady REIT to replace AAR.UN with for the long haul. Those were the only two REITs that we owned.

Thank you,
Charlie

Q: Hi Peter
Can you give me your opinion on Pure technologies . I bought it a while ago and it seems to be stagnating . Is it a hold or a sell . I was thinking of replacing it with Bin . Let me know.
Candi

Q: What is your opinion of this company?