Investment Q&A

Q: My friend is coming into $150,000. She has 75k credit card debt and is asking for my opinion on how to manage the money. She doesn't need income from the money and plans to put it away for 20 years. She has no other investments. I said pay off the credit card debt first, max out the TFSA, and put the rest into an RSP. I recommended Vanguard funds covering approximately 30% Canada, 50% the U.S., and 20% the rest of the world, with about 80% of that in stocks and 20% fixed income. It's enough to make a nice etf portfolio consisting of VCN, VXC, VSP for the equity portion, and VAB, VBU, VBG for the fixed income portion. Does my advice sound pretty good? Am I in the ballpark? Thank you.

Q: Any thoughts on the Exchange Income (EIF) financing? The press release says the financing is to "to pay down debt and for general corporate purposes". Do you think this signals EIF is on the lookout for another acquisition?

Lastly, any idea why the one analyst who has come out with EIF's estimated earnings for 2017 is expecting minus 44 cents per share?

Thanks, again, and looking forward to renewing my subscription soon.

John

Q: What are your thoughts on below 6 ETFs for 3 to 5 yrs at today price. I can buy 1/2 postion now and another 1/2 by Oct. Please advise and if you prefer another ETF.

Any update when your team is planning to launch mobile app

15% -- ZUB or ZBK
20% -- ZUH
15% -- ZQQ
15% - VUN
15% - XSU
20% -- XSP (S&P 500)

Q: Hi, I am wondering your thoughts on LND.V. They have about 0.08 a share in cash . I loan book of $40million presently. would you consider I a buy at these prices?

Q: I am doing a dollar cost averaging plan monthly to buy dividend stocks. My retirement is probably about 25 years away and I will just hold these forever. I would like to start with the big banks. Would it be worth adding Brookfield Infrastructure also? Good dividend yield and quite good dividend growth so far. Or are the banks going to fare better in an (eventually) rising yield environment here? Thanks.

Q: You have indicated BEP as a higher rated stock but don't seem to have covered the other Brookfield companies. If I am intending on buying just one of the three companies would you recommend BEP? BAM seems to have a better P/E ratio, however, lower dividend.

Q: Good Morning All Aimia currently has a 6.7% yield. I originally bought it as a growth stock but it may be in the wrong account. Could it be included in an income account. How much growth should I expect. Thanks

Q: Hello,

I am new to 5i and investing, so I hope to not sound too uneducated... Learning, but taking time!

Anyway, I have some cash I would like to invest in something with more return than a GIC... I have been thinking this would be a good time to invest in some ETF's? If so, which ones do you think are the best if I were to invest today, and if not where do you think the best place to put my cash would be.

I have a pretty balanced level (conservative to aggressive) portfolio with cash, GIC's, mutual funds, and a handful of stocks like Apple and Google.

Thanks!

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!