Q: Regarding your answer provided to Carla today on CVD and CPD, I understand your comments on CVD, but I am still not clear on how rising interest rates can impact CPD. How do rising interest rates affect a preferred share ETF such as CPD? Should I be cautious about buying at this time? Thanks for all the awesome info you provide.
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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.
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iShares S&P/TSX Canadian Preferred Share Index ETF (CPD $13.84)
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iShares Convertible Bond Index ETF (CVD $18.30)
Q: Hello,
Are the distributions for CPD and CVD considered dividend or income? Which would be better in a TFSA and which would be better in a non-registered? My understanding is that both of these ETFs should do well in a rising interest rate environment.
Best,
Carla
Are the distributions for CPD and CVD considered dividend or income? Which would be better in a TFSA and which would be better in a non-registered? My understanding is that both of these ETFs should do well in a rising interest rate environment.
Best,
Carla
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iShares 1-5 Year Laddered Corporate Bond Index ETF (CBO $18.61)
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iShares Core Canadian Universe Bond Index ETF (XBB $28.31)
Q: For a person with no bond or preferred share exposure. What would be your top 3 or 4 holdings to add at this time? Keep up the good work, you guys do a great job.
Q: Do you think this stock will benefit in the possibility of a rising interest rate environment I currently own a full position thanks
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iShares S&P/TSX Canadian Preferred Share Index ETF (CPD $13.84)
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BMO Laddered Preferred Share Index ETF (ZPR $12.37)
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Global X Active Preferred Share ETF (HPR $10.49)
Q: I wish all 5i staff and they families Season's Greetings' I hope 2017 sees our portfolios grow ever healthier.
I want to gradually add some preferred shares to my portfolio, partly in lieu of some fixed income. In looking at potential candidates, I am attracted to the above three ETFs, particularly ZPR with its laddered feature. Do you have any thoughts? Are all distributions of such ETFs taxed as dividends? Thanks, Bill
I want to gradually add some preferred shares to my portfolio, partly in lieu of some fixed income. In looking at potential candidates, I am attracted to the above three ETFs, particularly ZPR with its laddered feature. Do you have any thoughts? Are all distributions of such ETFs taxed as dividends? Thanks, Bill
Q: Can you tell me the ticker symbol for the preferred shares issued by TD in August of this year. It has a very good dividend and the renewal terms are I believe much better than than other resets.
Q: TA.PR.J - are the new terms applicable to this series and if so, what exactly are the new terms?
Thanks
Thanks
Q: Fund managed by J. Zechner & Assoc. - looking for a comment on the timing/safety of purchasing some units along with coupon rate reliability. Thanks
Q: Hi,
Which of the three series of preferred shares that Aimia offers looks most attractive at this time and why?
Regards,
Robert
Which of the three series of preferred shares that Aimia offers looks most attractive at this time and why?
Regards,
Robert
Q: Peter; With TA getting some coal money will this effect the pfd., as in a upgrade and or? Thanks. Rod
Q: I am wondering about your opinion of this preferred share. I like the reset conditions.
Q: Any comment on the ECN preferred shares announced today? Will they be rated by the rating agencies?
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Royal Bank of Canada (RY $232.80)
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Bank of Montreal (BMO $191.15)
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Power Financial Corporation (PWF $36.31)
Q: I own PWF.PR.L, RY.PR.O, BMO.PR.Z about equal amounts for a total of $150K which is about 5% of my holdings. They have been softening recently, is it time to sell and what would recommend? I have about 20% in bonds and balance heavily skewed to finance, utilities, infrastructure.
Q: Further to Garry's question on AHF, It currently has a Convertible Deb which is currently selling at $59 and yielding 39% to maturity.
It matures on Jan 31 2019.
In a highly diversified port, given what you've said about the company, do you feel this would be a 'PRUDENT' investment.
Would you buy it if you could?
Thanks
Sheldon
It matures on Jan 31 2019.
In a highly diversified port, given what you've said about the company, do you feel this would be a 'PRUDENT' investment.
Would you buy it if you could?
Thanks
Sheldon
Q: Purchased several years ago at $25. plus, I am now looking at a pref. that trades around $14.
Current yield is just short of 10%.
In your opinion Is it time to double down and enjoy more of the juicy yield or bow out and lick my wounds?
The position makes up less than 5% of my portfolio and is my only preferred share holding.
Should you think it prudent to sell this security, would you please suggest an alternative.
I am 70 and comfortably retired.
Dave
Current yield is just short of 10%.
In your opinion Is it time to double down and enjoy more of the juicy yield or bow out and lick my wounds?
The position makes up less than 5% of my portfolio and is my only preferred share holding.
Should you think it prudent to sell this security, would you please suggest an alternative.
I am 70 and comfortably retired.
Dave
Q: Hello Peter, Manulife, Enbridge, Royal bank have been offering preferred-shares. Would appreciate your help selecting the best and their trading symbols. Should I also consider I-shares and or Horizons preferred shares? Your opinion of their vulnerability in view of future interest rate increases is greatly appreciated. Many thanks,
J.A.P. Burlington
J.A.P. Burlington
Q: I wanted a quick opinion on the nature of these two ETF's, does ZPR hedge ZRE with interest rates? What I mean is that if interest rates rise ZPR should rise and ZRE should decline and vice versa? Looking long term the interest rate effect will balance out with growth of the companies within ZRE and ZPR should be higher with higher payouts as the preferreds reset?
Q: Good morning,
Looking for your insights into the latest iteration of preferred shares issuances- fixed /resets with minimum floors. In the past number of years the broad market for various types of preferred shares have been negatively impacted by shocks( the perpetual market in 2013 "Taper Tantrum" / the most recent declines in fixed /resets with rates lower for longer) which for the most part, were wholly unforeseen. In terms of the newest preferred type, could you please offer your analysis on what factors could create the same problems( ie downside) for this share structure.
With thanks,
Brad
Looking for your insights into the latest iteration of preferred shares issuances- fixed /resets with minimum floors. In the past number of years the broad market for various types of preferred shares have been negatively impacted by shocks( the perpetual market in 2013 "Taper Tantrum" / the most recent declines in fixed /resets with rates lower for longer) which for the most part, were wholly unforeseen. In terms of the newest preferred type, could you please offer your analysis on what factors could create the same problems( ie downside) for this share structure.
With thanks,
Brad
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iShares S&P/TSX Canadian Preferred Share Index ETF (CPD $13.84)
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BMO Laddered Preferred Share Index ETF (ZPR $12.37)
Q: In the first few days after the Trump win the pref ETF's moved up. Now they have dropped below where they were pre-election. Do you anticpate a continued drop and another bad run for prefs in 2017?
Q: Thoughts on adding an ETF like RPF to our portfolio which currently has about 16% in the following preferreds: AIM,ALA,CPX,TD & POW? Any other suggestions?
Thanks,
Ted
Thanks,
Ted