Investment Q&A

Q: Hi team. Any thoughts on pair trades? For example, any recommendation of a weak stock (that you'd rate as a C or lower) that should suffer as rates rise and a high quality stock that may benefit as yields increase? Thanks and best regards.

Q: Based on current announcement of various financings, how does this affect their future profit and future stock price outlook.
Would this be a good stock and time to enter into. Any comments or concerns would be appreciated.
Thanks for your valued input.

Q: I hold a position in CREW which is down quite a bit - should I hold or sell - also HBM

Your advice is much appreciated- Hanna

Q: Do you think that the auto component suppliers are reaching the end of their run or could there be more upside? Thanks.

Q: Recently purchased in $2 range. Can this stock get to $3 level next spring? Decent dividend while we wait.

Q: Hello Peter & Co,
When I bought FSV way back when, I bought both components; now that the components are separate, would it not make sense to continue holding both of them?
Thanks,
Antoine

Q: Hi Peter and Company,
Your thoughts and advice please, on these stocks. I am 72 and these are part of my RIF, fortunately not a large part. Thanks to you I have done just fine this past year.


MY COST
BXE $6.90
IDC $0.19 (very small position)
RFC $5.06
AVO $31.19

Excellent service!
Heather

Q: Would either one or both stocks be growth investments within a TFSA account, or, considering current market volatilty, would MBK.UN (Manulife US Regional Bank
Trust) be preferable?
Thank you for your valued input!

Q: I am a beginner in investments.My question is this: Do I have an avantage in buying American stocks these days with the Canadian dollar so low even if, for example I would buy for 10,00.00$ in US stocks and receive only about 7,500.00$ in value. Or would I be better off purchasing Canadian stocks and get their full value? Thanks.

Q: You have recently commented on a number of stocks which have declined "on interest rate fears". Why aren't rate increases already be reflected in stock prices ? Markets have known for ages that interest rates are likely to go up - though only slightly, and probably before year end. Is stock price volatility due to interest rate fears a reflection of speculative action ?

Q: Hi Peter & Co:

David's Tea just went public on the NASDAQ exchange. This is a Canadian company that I am told started in Toronto around 2008, and they now have over 150 stores in Canada and the US. Do you think this would be a good (short-term or long-term) investment?

Q: Hi, I trust you folks at 5i are well and in high spirits? I have incorporated the Growth Porfolio as part of my TFSA. Here is the thought. If the market were to suffer a substantial correction; say the TSX tanks 20%, how much will the Growth Porfolio likely to fall by? I don't know what the average beta of the Porfolio is, but I guess it might be north of 1.5 but are there any mitigating factors, say people will take the opportunity to pile into some of the constituents or will everything just drop like in 2008? Thanks as always. henry

Q: Hi,

What would be the defensive companies to buy in this environment when most of the investment managers appearing on BNN are recommending keeping between 20% to 40% cash. These companies would have the lowest decline if the market corrects. Would BIN fit this profile. Can you provide your top 10 in this category. Thanks

Q: Hello Peter & Co,
(1) On your summary table you indicate a start price for each security. If you also indicate a start date, we would have an idea of timeline.
(2) Big Correction: The Tech bubble and the 2008 downturn were both preceded (a few months earlier) by the flattening (even reversion) of the yield curve....we're nowhere near that as the yield curve is fairly steep.
(3) Sector allocation: If I only held the winners (like someone suggested), I would hold NO Energy; but that would not be wise, as you said. I reduced the Energy content last fall to 4% of my portfolio to energy producers (TOU,VET and WCP) and 6% to energy infrastructure (ENB,IPL,KEY and PPL).
For your Info
Thanks,
Antoine

Q: I have been a holder of Transforce for several years. My thesis for hanging on to it is that the company participates to some degree in the growth of ecommerce. I believe strongly in the future of ecommerce, but find it hard to find reasonably priced companies in that area to invest in. That is why I have invested in a shipper rather than the Amazons of the world. My questions are:
1) do TFI earnings in fact have a significant correlation to ecommerce or is that more apparent than real?
2) is FDX a buy right now on the ecommerce thesis? always seems out of my valuation and dividend is so low!
3) are there any other companies out there that you would recommend that fit into this theme (they don't have to be a shipper, I have looked there only because I like earnings and a dividend in the stocks I buy)
Cheers and good luck fellow investors!

Q: Hello 5i,


I need help in finding a good stock tracking software, one that considers different currencies and dividends also, as they are included in my portfolio. Is there software available specifically for this purpose. I do not need one with budgeting and all that other stuff. Your help will be much appreciated.


Thanks,

Q: I was hoping you could provide a rough outline as to how you would determine the inclusion of each sector in a balanced portfolio, and what weights you would allocate to each sector. I have reviewed each of the portfolios you have constructed, but I am still unclear, in some cases, as to which companies belong to which sectors, and what the ideal weighting for each sector is (e.g. financials, manufacturing, resources). I did read the descriptions of the sectors in the balanced equity and income portfolios (noting that your sector weight distribution varies between the portfolios), and understand the different goals of each, but I was wondering if you could either directly state, or point me to the appropriate resource which describes appropriate weights (or ranges of weights) of sectors within a balanced portfolio. If this question proves to be too broad for this forum, I will gratefully accept any guidance you would have to offer. Thank you for your time and efforts.

Q: Hi,

My question is regarding Andrew Peller's recent results and would like your comments. It looks like a strong quarter with increase in sales, gross margins and a dividend increase.
With a stock having no analyst coverage how does one get a guage on future earnings growth to know when a stock has become "expensive"?
Thanks

Q: Good Morning Peter, How do you look at selections from the month before that have lagged ? Is it a good chance to pick them up or do you steer clear ?
Thank you.

Q: In a $100,000 portfolio, keeping to a full position @ 5% = $5000, does it make sense to buy only 10 shares of CSU and/or approx 20 shares of VRX. As I am typing this I realize it is not the number of shares but the return on the $5000. Does this make sense.

Thank you as always.
Craig