Investment Q&A

Q: In a situation where you wanted 5% gold exposure as a hedge against negative market volatility/downside risk, etc., would you prefer IAUF or some combination of ABX/BTO/ORA?
Thanks for this!
David

Q: There are some rumours ABX will step in with a bid to takeover FM. I understand ABX has experience taking over mining companies shut down by 3rd World Governments. Then smoothing things over with the government leading to a re-start. FM certainly seems to be a candidate with their big debt. Not sure if the rumour is going to come true so I would take a pass for now. “Buy on Rumour, Sell on News” seems in this instance to be bad advice. However governments need some money coming in and their people need income too.

Q: Hi, can you recommend 2 US and 2 CDN metal stocks for a long term hold to total a 8% total position in metals? I'm ok with medium risk. If you have other choices besides the ones I've mentioned (CMC, FCX,CCO, RS, STLD, AMR) please suggest them.

Q: As the FED has signaled up to 3 rate cuts in 2024 do you recommend having 5% exposure to gold stocks? If so, would companies KGC, GOLD, or OR be ones to add to a portfolio? Thanks!

Q: Good morning,

Do you think it may be prudent to swap out Franco Nevada shares now (considering the growing list of political/legal headwinds) for something else?

If so can you give a Canadian suggestion for gold exposure, along with two other picks (any sector) for a possible year-end through January bounce (CAD or US)? Thanks. Brad

Q: Is there any particular reason why the miners are doing so poorly against the price of gold? Is this a buying opportunity or is the market anticipating a downturn in gold prices? Would you prefer buying the metal (eg. GLD) or the miners (eg. AEM, ABX, BTO)?

Q: Gold wise, is Barrick Gold worth holding onto right now? Should I sell it and buy something else?

Thanks

Q: Peter what would be your best picks for two gold stocks thank you
Pat

Q: With the energy sector on pause, is precious metals a good replacement, or can you suggest another. I generally buy on momentum.

Q: Can you please give me your top three Gold stocks and your top two Gold ETF's to invest in. Thanks in advance.

Q: Hi Team

In general it seems like commodity stocks underperform the markets. Let’s look at SU, ABX and TECK which are large cap stocks in the oil, gold and copper categories. It seems commodity stocks had a good run from about 2003 - 2008. Since 2008, each of these three commodity stocks have traded in a range and are currently close to the top of said range. It seems like the commodity stocks have underperformed the overall market for the past 15 years by quite a bit because the commodity stocks are about the same price as they were in 2008. There have been times when buying commodity stocks as a “trade” was great like in 2020 when SU was $15 or in 2015 when TECK was $5 and in 2015 when ABX was $10. But today these stocks are all at the top of the range. They never break out of this range and I don’t see any evidence that they will break out of the range. If they don’t break out of the range the only direction from here is down. For example, gold is a whopping $2000, and ABX is still only $25. Oil was over $100 recently and SU still never broke out of the range. When the markets tank the commodity stocks usually tank as well…. they don’t act as a hedge. There are exceptions like in March 2020 when the market tanked, and ABX did quite well for 4 months. But today, ABX is back to $25 where it was in Feb 2020. I understand diversification is important but why add commodity stocks to a (long term) portfolio if they never perform well. The commodity stocks are finally paying good dividends but so do many other stocks in different sectors.

Question #1 – please let me know if you agree or disagree to the above. If you disagree, what is the compelling argument to buy large cap (safe) commodity stocks unless they are trading at the bottom of the range.

Question #2 – is there an etf that tracks the Canadian stock market that does not include commodity stocks?

Thanks for your great input to your members questions.
Greg

Q: I have the stocks in RRIF and CIX in TFSA.Do you have any news concerning CIX ventures in US and the Canadian taking the debts. Is it a concern my breakeven is 15.50, Gold seem to be climbing well with bank turmoil in US.All this debt will have to be repaid to gov't entities eventually. Can US still avoid a recession with all these problems.Gold has moved quite a lot in last week.What does 5i globe see in the future for gold

Q: ABX is awful right now; why? Sell? If sell, do you stick with gold and in what please?

Q: Hi,

What the Gold miners that stand to benefit IF/WHEN the Bullion goes to 2000 and STAYS there? In other words, which companies are positively leveraged to Gold price., and amongst them which ones have the least debt?

Q: HI,
sorry for the long list. could you just rate these as a buy, sell, or hold right now. I am a long term investor.

Q: Hi 5i team.
about 5 weeks ago sold AEM and FNV for tax loss and bought ABX as a proxy.
Have a 2-3 % weighting in gold.
For a conservative retiree, would you suggest to sell ABX (small gain which is good) and go back to AEM and FNV for longer term holds?
Thank you.

Q: 3 questions

What is the annual return for ENB since it went public when you include dividends & largest drawdown?

Would a 20% position in ENB for a retired person looking for income make sense?

What are the 5 safest Canadian & US stocks that would provide the best protection against drawdowns?

Q: Barrick gold share price has been declining along with gold price . Would you be in favor to buy this gold miner company for portfolio diversification at this time and in this volatile investment environment? II have no gold or gold equivalent asset in my portfolio. I have refrain from a gold as a diversification asset in my portfolio so far. Given the perhaps opportunistic share price I am tempted to buy it for diversification. It does have a divided as well.
Thanks for your opinion in this matter.
Miroslav

Q: Could you tell me what is happening With SKE. the stock price has dropped a lot in the two months ???
Thanks
Jim.

Q: Hi 5i team,
Please rate these 3 from 1-3 as a new buy and a brief explanation .

Thanks,
George