Q: Hi, I would be interested in your views on $US denominated investments with high dividend/interest and moderate growth possibilities. Thank you.
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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 Peter and Associates,
I hear some talk of tax selling as early as August? Some professionals speak of setting up their portfolios to avoid and/or to take advantage of year end tax selling pressures? Some sectors and/or specific stocks have seen modest to significant declines this year and risk seeing above average volumes of yearend tax loss selling?
Many experts do not suggest trying to time the market but also talk of good entry points to initiate a position if not starting with partial ones to begin. Then there are those who factor in seasonality or other technical indicators. Without wanting to sound pessimistic, more than a few guests on business programs express caution, have increased cash weighting to have dry powder in reserve.Markets are not seen as cheap but opinions vary as what to do?
Bottom line, market corrections are part of reality and one has not occurred in some time? What percentage cash might be viewed as a reasonable cushion for a middle of the road risk investor with a 65/35 (Equity/ Fixed Income) objective who would prefer to reduce equity exposure by building up some cash reserves at this time? What suggestions might you have in response to the above and specifically, what reduction in equity exposure might be reasonable and/or sufficient to have substance? Assume a 5% weight in gold forms part of the overall strategy and a sufficiently large portfolio to provide diversification and no over weightings within it.
Fundamentally, are there any specific strategies an investor might use or at least consider in the last months of any year and more specifically this year?
Thank you.
Mike
I hear some talk of tax selling as early as August? Some professionals speak of setting up their portfolios to avoid and/or to take advantage of year end tax selling pressures? Some sectors and/or specific stocks have seen modest to significant declines this year and risk seeing above average volumes of yearend tax loss selling?
Many experts do not suggest trying to time the market but also talk of good entry points to initiate a position if not starting with partial ones to begin. Then there are those who factor in seasonality or other technical indicators. Without wanting to sound pessimistic, more than a few guests on business programs express caution, have increased cash weighting to have dry powder in reserve.Markets are not seen as cheap but opinions vary as what to do?
Bottom line, market corrections are part of reality and one has not occurred in some time? What percentage cash might be viewed as a reasonable cushion for a middle of the road risk investor with a 65/35 (Equity/ Fixed Income) objective who would prefer to reduce equity exposure by building up some cash reserves at this time? What suggestions might you have in response to the above and specifically, what reduction in equity exposure might be reasonable and/or sufficient to have substance? Assume a 5% weight in gold forms part of the overall strategy and a sufficiently large portfolio to provide diversification and no over weightings within it.
Fundamentally, are there any specific strategies an investor might use or at least consider in the last months of any year and more specifically this year?
Thank you.
Mike
Q: Hi Team
I'm interested in adding to the fixed income component of my portfolio. I prefer active management for my fixed income, what would be three solid funds where the managers have flexibility to hold a broad range of fixed income (corporate, government, prefs, etc.)? PMO005 looks solid for a portion of the fixed income component, are there any other funds you would suggest? Thanks for your great service!
I'm interested in adding to the fixed income component of my portfolio. I prefer active management for my fixed income, what would be three solid funds where the managers have flexibility to hold a broad range of fixed income (corporate, government, prefs, etc.)? PMO005 looks solid for a portion of the fixed income component, are there any other funds you would suggest? Thanks for your great service!
Q: I recently sold a stock in my RRIF with a small loss. May I buy it in my non-registered account before the delay of 30 days ? If not, what happens if I proceed to the purchase.
Many, many thanks,
Jacques
Many, many thanks,
Jacques
Q: I am looking for a short term bond fund, denominated in u.s. Currency. Probably something similar to xsb , only in the u.s. And not hedged. This will be part of my fixed income allocation. Any suggestions greatfully received. I did a search but couldn't find the precise instrment
Thanks
Thanks
Q: Hi - I have a 8yr old child who has $40k to invest for their education - Expect to need it in 10 years - I know you don't give investment advise but What would you recommend to protect the capital (to some degree) but achieve some 6-8% growth target. What 4 or 5 ETF's would you consider - or would mutual funds be better?
Q: Good Morning: In my non-registered account I hold a number of equities on the Cdn. side of the portfolio that pay their dividends in USD. I am thinking about moving some or all of these over to the US side as a means of capturing some USD income. I am not particularly concerned about currency impact believing that over the long term the ups and downs will average out given the current vs historic USD/CAD relationship. My question here is simply whether or not there is some aspect of this move that I have not considered -- e.g. tax implications, buy/sell issues, etc. As always, thanks for your opinion.
Q: We hear so much about artificial intelligence as being the next thing. What companies in Canada or the US (aside from nvdia) have great traction in this space that are investable.
Q: Hi, what is the business sentiment in Canada among CEOs and business owners vs a couple years ago?
It seems everywhere in the news lately that Canada is just not as an effective and attractive place to do business with its increasing bureaucracy and threats of increasing taxes. From Ontario, where the high utilities are impacting manufacturing, to Alberta and BC where the anti-oil brigade seems to be determined to kill any new O&G, LNG and pipeline investment.
Is the news painting an accurate picture? Are CEOs and business owners more/less positive with trying to perform and grow their business in Canada in the current environment?
It seems everywhere in the news lately that Canada is just not as an effective and attractive place to do business with its increasing bureaucracy and threats of increasing taxes. From Ontario, where the high utilities are impacting manufacturing, to Alberta and BC where the anti-oil brigade seems to be determined to kill any new O&G, LNG and pipeline investment.
Is the news painting an accurate picture? Are CEOs and business owners more/less positive with trying to perform and grow their business in Canada in the current environment?
Q: Oil operations in the American southwest have been hampered by Hurricane Harvey, yet the price of oil has gone down today - is this because (hard to believe!) the disaster is not as bad as the market feared? Alternatively, if we should expect a disaster-induced price increase in the near-future, does this recommend any particular domestic oil producers?
Q: I believe AI will be amazingly disruptive in the immediate future. Are there any Canadian companies using AI and any public companies working on AI which could be bought for investment purposes?
Q: Debt: What is a reasonable and safe amount of debt for a company to have? Does it depend on the type of company? I'm looking for a guideline. I realize telecoms carry higher debt. Also, I noted that you pointed out with Encana (ECA) "debt is still more than 4X cash flow".
Q: What are your thoughts on the Indian economy for the next 3-5 years. Could you recommend a couple of etfs - one growth oriented and one for dividend growth?
Thanks for all your help.
Dennis
Thanks for all your help.
Dennis
Q: Just a comment on the changes to the ex-dividend date due to T+2 settlement in Canada and USA from September 5, 2017. Your members may find it useful.
Starting September 5, the ex-dividend date will move one day ahead (only one day before record date). So for instance in the month of August - record date is Aug 31 - ex dividend date is Aug 29.
In September for record date Sept 29 (Since 30 is a Saturday), the ex-dividend date will be Sept 28.
From the CCMA website:
(Added February 22, 2017) Will there be any T+2 impact on record and payable dates?
In Canada, the ex date on declared events such as dividends or other distributions will become one business day prior to record date instead of two business days prior. The exchange on which a security is listed provides the exdate to CDS, and CDS populates the date into its system. In the U.S., there will likewise be a one-day change.
If you want to read up more there is documentation and Qs at the following websites:
US T+2: http://www.ust2.com/questions/
Canada T+2: http://ccma-acmc.ca/en/faq/
Starting September 5, the ex-dividend date will move one day ahead (only one day before record date). So for instance in the month of August - record date is Aug 31 - ex dividend date is Aug 29.
In September for record date Sept 29 (Since 30 is a Saturday), the ex-dividend date will be Sept 28.
From the CCMA website:
(Added February 22, 2017) Will there be any T+2 impact on record and payable dates?
In Canada, the ex date on declared events such as dividends or other distributions will become one business day prior to record date instead of two business days prior. The exchange on which a security is listed provides the exdate to CDS, and CDS populates the date into its system. In the U.S., there will likewise be a one-day change.
If you want to read up more there is documentation and Qs at the following websites:
US T+2: http://www.ust2.com/questions/
Canada T+2: http://ccma-acmc.ca/en/faq/
Q: When you buy an action with a dividende at a given rate, does the dividend payment you receive stay the same indepently from the variations in the price of the action ?
And, when you buy the same action again, but at a different price and at a different dividend rate, how do you calculate the actual dividend you are to receive ? For exemple,if I bought bip.un at 44. with a dividend rate of 4.40% and I buy it again at 54. with a dividend rate of 4.%, what is the effective combined dividend rate after the second purchase ?
Thank you for your kind attention,
Jacques
And, when you buy the same action again, but at a different price and at a different dividend rate, how do you calculate the actual dividend you are to receive ? For exemple,if I bought bip.un at 44. with a dividend rate of 4.40% and I buy it again at 54. with a dividend rate of 4.%, what is the effective combined dividend rate after the second purchase ?
Thank you for your kind attention,
Jacques
Q: I know this is off topic a bit but do you know any educational videos on trading bitcoin and recommend eBrokers in Canada that allow Canadians to trade bitcoin. I know the risks but feel the more knowledge one knows about a subject the better. Thanks Dave T.
Q: Aug 28, 2017 ? Asked by Ken:
TSX block trading transactions are available
here:
http://www.financialpost.com/markets/data/market-block_trades.html
###
TSX block trading transactions are available
here:
http://www.financialpost.com/markets/data/market-block_trades.html
###
Q: John Mauldin wrote a piece this weekend on how to avoid large draw downs in equity investments. He advises to buy and stay invested when a security is above its 200 simple MDA and sell when the security falls below its 200 MDA. I may get whip sawed sometimes, but I will avoid the large draw downs. I am 70 and I don't like losing capital. 50% of my RRIF is a dividend portfolio set up to cover my required minimum withdrawals for the first 5 years. If you agree with the opening strategy would you also agree it could possibly not apply to the RRIF. I am very interested in what you think about this strategy.
Q: Dear 5i
I look at the chart of the TSX and see that its been trending downward over the last 6 months or so while the S&P and DOW have been trending upwards over the same time period . My thought is that it might be a good time to invest in the TSX now as that downward trend is most likely to start to reverse upward and not invest in the DOW or S&P as that trend is likely to reverse downward . On the other hand 5i generally advocates investing into strength meaning investing the opposite to what i`m suggesting . The other thought of course is to invest equally amongst them all so diversified across the board . I know predicting the market is impossible but i still like to invest to some degree on probabilities .
Appreciate your thoughts .
Thanks
Bill C.
I look at the chart of the TSX and see that its been trending downward over the last 6 months or so while the S&P and DOW have been trending upwards over the same time period . My thought is that it might be a good time to invest in the TSX now as that downward trend is most likely to start to reverse upward and not invest in the DOW or S&P as that trend is likely to reverse downward . On the other hand 5i generally advocates investing into strength meaning investing the opposite to what i`m suggesting . The other thought of course is to invest equally amongst them all so diversified across the board . I know predicting the market is impossible but i still like to invest to some degree on probabilities .
Appreciate your thoughts .
Thanks
Bill C.
Q: I've recently read that FAANG stocks should be avoided because they make up a large portion of the Dow Jones Industrial Index and the S&P 500 Index, meaning every ETF owns them. What you usually end up
with is a reversion to the mean. The more shares that must be bought with each investor purchase of an index fund, the more the performance tends to follow an “average” return. I would appreciate your thoughts on this statement, thank you.
with is a reversion to the mean. The more shares that must be bought with each investor purchase of an index fund, the more the performance tends to follow an “average” return. I would appreciate your thoughts on this statement, thank you.