Investment Q&A

Q: In this low interest environment where many investors are searching for yield, why is Riocan and generally all the reits going down.

Q: Thank you for your comments on acc takeover. I was looking at the valuation metrics but still can t understand why such a big premium. Can you please confirm that the purchaser is paying $18.75 cash per share and is assuming the existing debt of more than 500m$?When looking at takover bid, am i correct to integrate the existing debt to the purchase price to take into account all the financial obligations of the purchaser (entreprise value concept) Based on 2015 financials and excluding the debt on the balance sheet they are paying 14 times ebitda and 34 times ffo. Thank you for your general comments.

Q: I'm considering purchasing MRC, either in RRSP or non-registered account, depending on the nature of the distributions/dividends. Are they distributions like those paid out by say AX.UN or are they dividends like those paid out by say BNS?.....Thanks....Tom

Q: The recent 5i report on Morguard Corp describes the company as a REIT; having held it for many years I can state that I receive dividends qualifying for the dividend tax credit and not distributions as a REIT would pay, leading me to believe this is a REOC - an operating company like FCR. Please correct me if I'm mistaken.

I believe it has always traded at a discount to its NAV but if it were to be taken over or taken private it would likely be at a value closer to NAV. What is the current NAV per share? One way I like to look at the dividend is based on my purchase price, it's closer to 2%, not a half %. Thanks, J.

Q: could you please give advice for temple shareholders regarding their $40 million rights offering. stephen

Q: I cannot understand why you prefer CSH.UN over SIA. Over the past year SIA is up over 20% whereas CSH.UN is up just over 9 %. CSH.UN yields 4.5% compared to 5.6% for SIA. You can look at 3 and 5 year comparisons and SIA is clearly ahead of CSH.UN is stock price appreciation. SIA has the momentum and pays a higher yield so beats CSH.UN on both counts. Can you please explain your preference for CSH.UN.

Steve

Q: Why the trading halt?

Q: Do you know the take out date for regal, and is there anything a shareholder has to do before the take out date.


thanks

Q: Good Morning
Would you recommend this stock for an income investor??
My broker has reported some insider buying.
Thank you for your insight

Q: I am down 17% on AX.UN If I include the dividend collected in cash I am down 8%. It was meant to be a long term hold. Would you recommend switching to another Reit(s) or keeping it through the oil downturn? I do understand its Alberta exposure.

Q: I currently hold Chartwell (CSH.UN) but am thinking of switching to Sienna (SIA) as its yield is better and its stock price growth has been better. Your thoughts on this please. I need the income but am comfortable holding if I lose on the capital side.

Q: Hi Peter and Team!! In a nutshell, could you explain to me how income trusts work. How are they taxed? Would now be a good time to buy some, and if so, which would you recommend? Thank you for your tremendous service!!! Cheers, Tamara

Q: Hi there
What are your thoughts on this reit .
Couldn't,t find its payout ratio but it look ok
Thanks for the help

Q: HR.UN is the only REIT stock that I owned. It make up 2.25% of my portfolio. I am under water by 12%. Would you recommend this stock as buy and increase my holding or add another REIT? If I should add another REIT what would you recommend.

Thanks

Q: I accept this REIT was not a good purchase as I am down 27% on it. With
the new prices and situation it is in, is it ok for add to for a small underweight holding.

I have a small amount of cash in my TFSA and could use a high dividend payer.
It is paying 10.5% and is buying shares in itself. When an outfit is buying shares
in a normal course issuer bid can it be interpreted the divvy payout is fairly safe?

Thanks

Q: I saw your reply to Kathy; however may I ask you for a brief explanation of what their plan entails.
Thank you very much

Q: Do you think Tricon's announcement to-day will be positive or negative for current share value?
Thanks
Kathy

Q: Good Morning
The recent acquisition of TN.UN by NPR.UN is not looked favourably by some experts. Others suggest that there will be some pain for both the shareholders of the two companies. I own shares of NPR.UN and I would like your opinion wheteher the deal will be beneficial for the holders of NPR.UN shares. If the deal is not beneficial for NPR.UN, would you recommend selling?
Thank you

Q: Hello 5I team

I am interested in MRC, I see that the company is trading well below book value (although I think it trades below book regularly) and the P/E ratio looks appealing as well. The debt levels look reasonable compared to other real estate based companies. Would you add this company to a well diversified portfolio or would you pick another real estate company which ones would you pick if so? Would you consider their properties to be high quality ( they look good from their web site but then every company makes their properties look good)? Do you think that they trade below book value because of the low div yield? What do you think of the management, have they made good acquisitions in the past, have they kept their balance sheet strong? Is this company well diversified geographically as well as sector wise ( industrial, residential, commercial, ect)? What caused the almost $8 dollar drop at the end of July, I didn't notice any news that would have caused this.

Thank you for your opinion.

Q: Thank you for quickly answering my earlier question today on REITs. Can you please suggest some of the preferrd "larger, residential companies" referred to. Are you suggesting that individual companies would be better than buying an ETF?
Again, Thanks.