Investment Q&A

Q: Whenever there are these swings in the market from growth/tech to value/consumer it makes me think about diversification. I have also noticed that companies that bring tech to another field are thriving. Examples being SHOP bringing technology to consumers, REAL bringing it to consumers and real estate, VEEV bringing it to health care, etc.... Also the US markets just recategorized to decrease the amount of technology companies. I am presently 27% technology but only if I place REAL and AMZN in consumer, GOOG in communications , etc.

I own all the above listed companies except ROP. I am currently considering selling LSPD (technology or should just categorize it as consumer) to buy ROP (industrial or is it technology). This would bring technology to under 25% and increase Industrials and US exposure which I am underweight in. The problem is that I can’t help but think that I am making a trade just to make the diversification boxes all line up. One could easily consider ROP as technology.

In the medical profession we have a term for this. “Euboxic”. Which means making all the lab values line up to hope for the best but often with no real value added.

Q: How do valuations of AVLR look like in comparison to your other high-growth favorites (e.g., VEEV, DOCU, AYX, TEAM, CRWD, FSLY, TTD)? It is clear that AVLR is expensive, but I wanted to get a feel of where it stands w.r.t to peers. Would you a start a position for a minimum 5-year hold at current prices? Is there a much better company to invest in from the group I mentioned?

Q: Hi, I see that you are recommending to invest in both of the companies. My concern is that they have already increased quite a bit and their share price is high. Where do you see the stock price heading? Thanks

Q: are they or any two inan etf? if not which would you recommend first

Q: Would it be benefiitial to replace MU for VEEV in a RIF account witch contain GOOGL, ,AYX, DOCU, TEAM, NVDA, ROKU AND IGM as ETF.
Thank you for your exceptional services.
Yves

Q: Hi there,

Can you please provide your top 12 US growth stocks, assuming that sector diversification is not a concern?

Thanks!

Q: What would be your preference right now between VEEV & TEAM at this moment?
Thanks

Q: Hello 5i,
If one wants a high concentration of very strong growth stocks and understands the risks involved with applying this type of investing strategy, can you please name 10 stocks that 5i would be very comfortable in owning for this purpose (a mix of USD and CAD)?

Q: How much more runway do these stocks have, or have I already missed the party? How would you rank these in terms of your confidence in their stock performance?

Q: What would be your top 10 growth picks over the next 5-10 years in Health Care and Tech? Canada or US and any size is fine....

Q: Hello - I have some capital that i am looking to deploy and wondering if now is a good time or should i hold on to it.... in anticipation of another reset with news of a second wave, etc.

Also what are your top 10 -15 names right now regardless of portfolio balancing needs - open to American or CAD names - preferably limited small caps.

Lastly, i am kicking myself for not buying SHOP on the pullback.. is it still a buy right now in your opinion? or wait...

thanks so much.

Q: If work at home flourishes post pandemic what are your top 5 picks as stocks that have the best chance of benefitting in that environment?

Q: Hello Peter and team.
I do re-balance the portfolio every 6 months, (June/Dec), These are the 10 names in my bag and they treat me well:
ZNQ 55%,
TSLA 9%;
FB 6%
MSFT 6%
SOXX 5%;
GOOG 5%;
AMZN 4%
AAPL 3% ;
CSU.TO 4%
Cash 3%
1. Would you suggest to trim ZNQ to the level, say to 50% ? to free up the cash then add any other names, or top up some of those existing individual names? or vice versa? stick with current no change need to be made for now?
2. in a long run, what might be the biggest risk in my bag could lose the alpha (Index)
Thanks for everything !

Q: Would you know a particular ETF that might contain many of the above tech companies?
Thanks, Murray

Q: Good morning,
I own a small house in Ottawa that is free and clear with a current market value of approximately $350,000.
A recent discussion with my trusted mortgage broker confirmed that a 5 year term (Closed & Fixed) term mortgage can be obtained at a rate of 2.29%. This mortgage is said to be:
a. insured through CMHC,
b. portable, and
c. transferable.
At that rate of 2.29% and given that the interest paid would be tax deductible if I use the funds for investment purposes, I'm seriously considering borrowing around $200,000 and investing this amount for an initial 5 year period with an expected net rate of return on investment of 4.5% .
Q1. With $200,000, what are your thoughts of splitting this amount in 5 different chunks of $40K in the following instruments:
a. Mawer Tax Effective Balanced Fund,
b. Mawer Global Balanced ETF Fund,
c. Vanguard Balanced ETF Portfolio,
d. IShares Core Balanced ETF Portfolio, and
e. BMO Balanced ETF

Q2. As an alternative to the above and given the 5 year time frame, would your preference be to invest the $200,000 in a selection of best in class individual stocks split between different sectors and if so, would you be so kind as to provide me with ya listing of your best ideas at this time.

I thank you and look forward to hearing your thoughts on both of these investment strategies.
Francesco

Q: I would appreciate 10 US and/or Canadian small cap growth stocks to invest in for the next two to five years.
Clayton

Q: Good Morning
Do you see an apparent rotation away from tech stocks as a concern? There has been current weakness in some of your favourites such DOCU, VEEV, TEAM and AYX despite recently posting good numbers. Would you lighten up on any particular names or do you see the basic growth thesis intact.
Thank you

Q: I am going to trim my position in BEP to 6%. With the proceeds I plan to purchase either TEAM or DSGX. I would appreciate your thoughts.
Thanks ram

Q: Hi
Any company specific reason why TEAM traded lower today? Thanks very much!
LIL

Q: I recently asked a question regarding switching strategy from etf to individual stocks and i appreciate your answer very much. My question was generated by the response that you gave to James regarding investing in a diversified portfolio. At that time you gave him the follwoing names: TEAM, MSFT, GOOG, ROP, PG, BIIB, VZ, SBUX, COST, JPM.

Just a followup clarification on that suggestion. I wonder, because of the tax advantage for Canadian dividends and the predominance in the TSX of Banks and Telecoms, whether one might be better to replace VZ and JPM by Canadian names? I know that the question asked, I think, specifically for US names. But, just wondering if one held both Canadian and US, whether this might be better? Also, do you think that say, ten like this, is enough diversification on the US side?
thanks