Investment Q&A

Q: Hi. I have an RESP for three grandkids, ages 5, 7 and 9. Current holdings that I'm underwater on are: AEM, BCE, BN, NTR and TVE along with these: ARX, BAM, CSU, ENB, RY, TD and TOU. I'd appreciate your overall comments on account re sector allocation and any obvious sells. As well, I'd like suggestions on how to deploy $7000 cash. Thx.

Q: Does their DRIP have a discount?

Thanks


Sheldon

Q: The US commercial property crisis has become hot topic again and the share price of New York Community Bancorp decline a lot . Please comment on the impact on these banks. Thanks a lot.

Q: Of the 5 major banks, which one (or 2) do you think has the best potential for growth over a 10 year time frame? And if possible, a few comments why. Thanks

Q: What are your five current favorite stocks for short-term (1 year) gains? They can be either US or Canadian stocks. Thanks,

Q: Expanding on my recent question about my desire to reduce exposure in the Financial Services sector, today's article in the Globe & Mail is of concern:

"Non-prime lenders warn thousands of borrowers they could be cut off because of new maximum interest rates"

Should this cause me to rethink my strategy to reduce TD to raise the cash? As you pointed out in your answer, GSY is significantly riskier than the our other holdings in this sector.

We are seniors (75 & 80) and the stocks referred to are in a RRIF.

Your thoughts? Thanks!

Q: Portfolio Analytics indicates that across our accounts, we are overweight in the Financial Services sector. In order to free up some cash for under=represented sectors, my thinking is to reduce TD enough to achieve the target amount. I'm a bit uneasy with some of the recent negative issues with TD, but still would like to keep some due to its wide moat and 5i's opinion that perhaps its "problems" have been overplayed. Would you concur with my strategy? Thanks.

Q: TD appears to be in some trouble with both its business activity and its share price. Several questions about TD have been recently asked and the answers have been a bit bland. Can you assess the stock and all that is happening and give your view for the future. I have owned TD for many years but concerned with what is going on. It's not what I expect from a top bank. Just to recap some recent events at TD at a high level - earnings were a bit disappointing, a former employee was charged with drug money laundering and bank employees knew about a probe 6 months before disclosing it. The share price has recently dropped much more than its peers. A recent response from 5i that TD went ex dividend I don't think accounted for anywhere near the drop in price that day. Do you still consider it a top bank pick?

Q: I am overweight in financials with BNS, TD, SLF, POW, Visa and underweight in Utilities. I was thinking of letting POW go. Thoughts on this?

For Utilities, I looked at TA with its very low P/E but it is still stuck in non-renewables at the moment. Thoughts on this? What utility (ies) would you suggest?

I am just asking for thoughts/suggestions.
Your advice is greatly appreciated.

Q: Hi 5i Research team,
Not a question:
the larger drop in price of TD yesterday was possibly due to the fact that “TD Bank executives knew about US probe six months before disclosing it” revealed by a report from The Capitol Forum yesterday. See G&M article for more details.
Thank you for your good work,
Eric

Q: My son is getting married this year and he and his fiance are planning to purchase a home in the next 2-3 years. He has opened an FHSA acct and invested these funds in a GIC. He also has cash in his RRSP and TFSA accounts that are held at TD Waterhouse Webroker which he wants to use for a down payment on the home as well when the time comes. Could you please give me your top 3 income/savings vehicles and your top 3 dividend stocks (understanding these are riskier) you would recommend he purchase through his TD Waterhouse account in this scenerio.
Many Thanks
Scott

Q: Good morning,

In light of this morning's news in the G&M re-TD, have your views changed at all following your answer to yesterday's question regarding the outsized drop in the share price beyond purely the 9th being its ex-dividend date?

Q: Follow up to my earlier question about TD. Your response was that all banks are being hit today. As of now (3:45pm), TD is down over 3% while others are down less than 1%. Can you offer anything to explain why TD is leading the pack by such a wide margin?

Q: TD is being hammered today (at noon). I don't see any news. Do you see anything that would explain it.

Q: I'm a retired somewhat conservative investor content with slow steady growth and a dividend helps as well. I have been happy with my diversified portfolio but constantly struggle with should I or should I not make these changes;
1. Sell T (non-registered account, tax loss) buy BCE?
2. Sell AAPL (in an RRSP) and buy NVDA?
3. Sell TD (non-registered account, tax loss) and buy BNS?
4. Sell ATZ and or DOO (both in a TFSA) and buy what?
Thank you

Q: Have the following in a basket. Closely weighted. Looking to add a new similar weighting equity, want to buy and leave for 10 years. Can you provide top 3 suggestions please. As always, thank you.

Q: In your opinion, is it worth holding on to AQN for the potential benefits of it's renewable business sale/split (and whatever other news follows), or sell now and invest in to companies with more proven management and stability e.g. I'd be putting the proceeds mainly in to BNS and TD.

Q: I have held BNS shares for approx . 3years but am considering switching them for TD. I think TD has a better runway for growth in the is USA versus BNS growth in SA and the islands . your thoughts please

Q: Hi Team,
Once again the hopeful small cap Jan bounce has done the opposite so far with essentially all growth being sold off. It’s amazing how a new year is here and it’s like a light switch where the narrative turns to everyone selling to lock in profits. This confuses me some as I thought year end Dec would be the time to lock in gains? What’s your take on the selloff and when’s your best estimate of when would be a good time to buy the dip? Is there a history of how long a Jan selloff typically lasts? Also; is there any standout buys in the market you see today now as a result of the recent selloff ? Thanks ,

Shane

Q: Last year I chose my bank investment by choosing the worst performer from the prior year. I di that wih CM and had a retun of almost 16%.

For 2024 it seems like a nose to nose rate for the worst performing Canadian bank between BNS and TD.

Can you confirm that as of December 29th which was the worst performer?

With Thanks and Happy New Year.


Sheldon