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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: HI.WHAT IS YOUR OPINION ABOUR BRF S.A,A BRAZILIAN FOOD AND PACKAGING COHAVE A GOOD DAY,EBRAHIM
Read Answer Asked by ebrahim on May 29, 2014
Q: For individuals who are self employed, is it better to keep their investments in the company or personally. I have always maxed my RRSP and TFSA, and have an investment account within the business. I know an investment advisor who tells all his self employed clients to not make any RRSP contributions, and invest within the business account instead. What does your math say is the better way to do it?
Read Answer Asked by Ian on May 28, 2014
Q: Hello Peter, I’m very pleased to join you as a new member. Hoping you can respond to a question.
I have a well-diversified RSP, but have a good amount of uninvested cash in my TFSA. I don’t expect to need any money from the TFSA for at least 5 – 7 years, and feel I can take somewhat more risk. I would appreciate your suggestions for a mini-portfolio of about five stocks for longer term gains. I would hope to double the portfolio over the next 5 years between dividends and capital gains. (I already own FSV, HCG, and SJ.) Thank you in advance.
Read Answer Asked by James on May 28, 2014
Q: Please rank the following Telco's in order of preference.

Rogers, Telus, Shaw Tv, Shawcorp, Quebecor, BCE.

If any other interesting ones please indicate as well.

Many thanks !
Read Answer Asked by paul on May 27, 2014
Q: I am sitting on some cash right now in my rrsp and tfsa.....what would you say are your favorite 2 or 3 must have stocks right now?
Read Answer Asked by Edward on May 27, 2014
Q: Hi Peter and team. I need to sell my sons 4 stocks by July 10th for him to purchase his first home. His stocks are Stantec, Home Capital, Cinelex and Amaya Gaming. What would you sell first ? should I wait for the momentum to change on AYA before I sell to get the best $ for him. I thought about adding to AYA today but I decided that might be a little risky. Your comments please and thank you.
Read Answer Asked by Cheryl on May 26, 2014
Q: Could you help me compare an investment in BAM versus BIP.UN,please.

Thanks
Bob
Read Answer Asked by Robert on May 26, 2014
Q: 5IR Income PF
Dear Gentlemen,
Is it possible to add the Sector & Industry for stocks in Income PF ?
Thank You
My Best Regards
Read Answer Asked by Djamel on May 26, 2014
Q: Hi Peter and the 5i team, It is always interesting to read the Q & A section. In relation to your reply to Maggie's question and Scot's follow up, I am as close to Harry as you can get. I purchased Royal Bank for 7.27 per share in 1994; never touched it. I have to spend the dividend as I depend on it for income (the real meaning of income-investing)so that my wife can go shopping and I go to canadian tire - the usual thing. The yield of the shares on cost is 40%. My problem is that it is getting to be 9% of the portfolio. My only regret is that I didn't do it with all my bank shares. I am putting this out to underline that it is real, not just a hypothetical situation. Henry
Read Answer Asked by Henry on May 26, 2014
Q: what is your present opinion on KPT?Thanks. Ebrahim
Read Answer Asked by ebrahim on May 25, 2014
Q: Profits...
I just came through a very elegant review of the above in a 4 parts serie at:
http://intrinsicmomentumblog.com/
Of potential interest to some of your members.
Publish at your choice
CDJ
Read Answer Asked by claude on May 23, 2014
Q: As follow-up and in addition to your reply to Maggie's question
this morning about the BUY/SELL/HOLD question in todays market.
Here is an extract from a column in the Globe & Mail by John Heinzl and it gives a startling example of the effect of re-investing dividends and by coincidence uses Royal Bank (RY) as an example:

"Consider two investors, whom we’ll call Harry and Sally."

"On Dec. 31, 1993, each invests $10,000 in shares of Royal Bank of Canada. They hold their shares for the next 20 years, the only difference being that Harry spends his dividends while Sally reinvests the quarterly payments in additional shares of Royal Bank."

"Now, it’s obvious that Sally will come out ahead. After all, she’s not spending her dividends like Harry is. But the magnitude of the difference may surprise you."

"At the end of 20 years – on Dec. 31, 2013 – Harry’s $10,000 investment will have grown to $98,923, according to Bloomberg calculations. That sounds impressive, until you compare it to Sally’s investment. It will be worth $193,301 – nearly twice as much as Harry’s. On an annualized basis, their returns work out to 12.1 per cent and 15.9 per cent, respectively."

Thought other member might be interested in this tremendous example of the power of compunding dividend re-investing.

Thanks 5i,
Scot
Read Answer Asked by Scot on May 23, 2014
Q: Hi,

Would you buy Y at the current prices. Why is their PE ratio so low compared to other companies. If you have to choose the best groowth stocks right now which stocks would they be.
Read Answer Asked by Imtiaz on May 22, 2014
Q: I'll need more great information from you guys.
Two of my holdings, Glenworth GNW is down about 7% from its recent highs. I have a small position I am wondering if I should add more if it looks like it is going to move back up.
A while back you had said that Cardiome PHARMA was okay, since then, the stock is down about 18% after I guess a bad quarter. I've had this stock for quite a while and it seems to be very disappointing. Is there any hope for it?
Thank you,
Dennis
Read Answer Asked by Dennis on May 22, 2014
Q: gwo and hwo what do you think of these companies and which do you prefer for income and growth. thanks
Read Answer Asked by don on May 22, 2014
Q: I have held POT since the $34. range so I am happy with the results to date. However I am wondering if this might be a good time to sell and switch into something with more torque, possibly in the industrial sector. POT represents approx 4%. Any suggestions or perhaps with talk of a possible buyer perhaps holding is ok.
Thanks. As always your service is extraordinarily helpful & informative.
Read Answer Asked by Maureen on May 22, 2014