Investment Q&A

Q: You have been indicating that Reits are a good buy at this time. Could you give your top 3 picks for long term holdings
\I know you do not cover US stock but would like your opinion on Deere and Company if possible. Thanks

Q: Hello 5i Team, I have been following several REITs closely and would like to buy one for my portfolio, as many have sold off considerably. However, I am having difficulty on deciding which one would be the best. Could you please give a recommendation as to what REIT you prefer? Thanks

Q: Sorry team, it didn't sent last time. Is it possible that the rotation into REITS etc has a further reason? Hedge funds borrowed tons of yen at almost no interest and use the money to buy North American dividend stocks and pocket s cool 3% in 6 months for free almost (leveraged that a few billion times). When they unwind, they sell the divendend stocks and buy yens to pay back the loan. Hence the back up in the value of the yen as well as the drop in those stocks. We, retail investers have to suffer these machinations, I'm afraid. Thanks, Henry

Q: Hello 5i Team. After 3 years as a DIY investor who's sought out numerous sources for information and advice, I have to say that the couple of months I've been a 5i subscriber has so far provided the best service and value. The individual company reports are concise and clear, and the Q& A is invaluable.

My wife and I are retired with some pension and a fair number of laddered GICs, but need additional dividend income to round out our retirement needs. We presently have a portfolio of about 18 stocks, mostly dividend payers and reasonably diversified (e.g. AFN, EIF, WFT, BTE, PPL, PZA). However, we've been sitting on a fair bit of cash, patiently waiting for a suitable pullback and entry point on some expensive 'blue chip' dividend stocks in the banking, utilities, telecom and pipeline sectors.

While I know that no one can time the market, what information should a retail investor look for before buying into these sectors ... especially given the current sector rotation?

Thanks
Tom

Q: iip.un has taken it on the chin more than other REITs. Is this purely because of its size? Is this a buying opportunity?

Q: Hello Peter,
I am a little confused on the recent price drops on the REIT sector. You say the selling is due to people believing interest rates will be going up soon. Some REITS are offering over 8.0% yields.
At what dividend yield do you believe REITS will stop dropping?
Regards, Max

Q: At what point do you think there will be enough "blood in the streets" to consider the REITS a table pounding buy?

Q: Hi Folks
I've been away and seem to have missed something. What is meant by the dividedn/REIT rotation. Are you saying investors are or will be moving out of dividend paying stocks?
GUY

Q: In your model portfolio, I see that there is only one "real estate" holding (FSV). In this sector, I own two REITs in my RRSP and realize that my weighting is way out of whack: (14% in REF.UN and 12% in REI.UN.) I am gradually attempting to diversify my holdings, using stocks that you have chosen in the model portfolio, and would like to know which of my two REITs to keep (or if neither or if both) and what percentage REITs should be in a portfolio. I have done very well with both of these REITs, especially REF.UN, but it's a bit painful to see these two stocks dropping daily. Thanks for the great service you provide.

Q: Hi 5i Team,
Are all these reits still worth holding?
DI.UN, D.UN, MRG.UN, AX.UN, BTB.UN & CRR.UN.
Your opinion is much appreciated.
Henry

Q: Csh.un. A recent adivsor on BNN doesn't like Chartwell. "As they never adjusted their balance sheet, as all the other Cdn REITs have done, for the IFRS accounting changes".
Might this be an issue?
Thanks

Q: With the recent bloodbath in the REIT sector, I've sold a handful of REIT holdings in our various portfolios. But have held on to the following despite the steep price declines: BTB, CSH, CUF, RMM and HLP. Do you see further declines with any of these? Are they likely to be fine in the long run? Our portfolios are reasonably diversified. Thanks.

Q: I would appreciate your thoughts on Dundee (D.UN) versus Cominar (CUF). They appear to have similar basics. Or do you have another recommendation in this area? Thanks in advance.

Q: I have a question about H&R REIT. It is at its 52 week low - whats up???

Q: hi guys, could you please give me your opinion on DI.Un-T. Thanks DArryl

Q: KMP/MRC
Please enlighten me as to the differences between REITS and R/E Corps other than paying dividends vs distributions. Since the Corps have fallen with the sell-off in the REIT sector, are they likely to be negatively affected in the same way as REITS if interest rates rise and should they be bought, sold or held through this time? Thanks.

Q: Ref. to ARR-N I mean Armour Residential Reit USA 1.8 BILLION MARKET CAP.Ibought at 6.98 now 4.88 What to do ?

Q: Peter, I have owned the ETF XRE (RRSP) for over 4 years and incl. reinvested dividends I have a gain of approx. 130%. REITS have been hit recently due to concerns about our real estate market (negative press as always) and > interest rates, I guess? Would you sell or keep-Reits should do well in a little higher int. rates as this would indicate a bit of inflation which should be good for fixed asset valuations-I would think?

Q: Can you pls give me a comparison of Cominar Reit versus Dundee (D.UN)? They appear to be similar in P/E and Div. Or is there one you would prefer to these? Thanks.
Gary

Q: Hello Peter and the 5i team: Any further thoughts on CSH.UN? It appears to be dropping at a more rapid rate than other REITs.