Investment Q&A

Q: I have recently taken over my parent’s investment account management because of health reasons. I found that my parent’s financial advisor had their money tied up and mutual funds with heavy fees, as well as GICs that were locked in for a long period of time. The money is now available for investing. They are retired and in their 80s. I will be keeping most of the money in HISA, GIC, and some short term bonds if the yields ever go above GICs. I would like to include a couple of stocks that are quite secure and pay decent dividends. And suggestions? I was thinking of RY, CM, BNS, PWF, BCE, CU, TRP, and ENB. Do these sound good, and do you have other suggestions?

Q: Company and dividend as of close
KWH.UN 11.3%, BCE 5.6%, ENB 6.3%, ALA 8.3%, EIF 6.8%, HR.UN 6.8%, RUS 5.5%, BEP.UN 6.2%, GS 6.1%, AQN 5.1%, EMA 5.2%, FTS 4%, H 4.59%
Hi
Could you please choose from the above list (or any additions of your choice) the stocks that you feel would be best suited to be held in an income/dividend non registered account for a long period of time. It would be great if you could also guide me as to whether I should do equal weight or if it is better to invest by a percentage of one company over another. I am interested in trying to have the highest return of dividends but I do not want to reach too far for it (ie 50% KWH.UN). If I could get a blended 6% annually over 10+ years that would be super. Not all the companies need to be included. I know there are some that overlap sectors.
Thank you for all that you do. You are great guides.
Jeremy

Q: Just the read the article on your website about dividend vs growth investing. What are your suggestions for solid, blue-chip dividend stocks that should be held long term in a portfolio?

Q: Have NFI, DOL, and CIX.

Not too impressed with DOL, looking to sell.

Want to add a good growth stock. Loblaws and BCE look appealing. BCE appears on multiple picklists, and seems sector-leading . And Loblaws shows strong fundamentals and consistently growing profits.

Your views on these or other better options please.

Q: Hi peter I rode the bns pony for the last five years .
I am not comfortable with there latest addition and how it was financed .i can afford the tax gain this year so it is time to move on .
Question what blue chip would you suggest for a long term hold with modest growth and dividend .
Kind regards
Stan

Q: Hi Peter, Ryan, and Team,
What is your opinion of a recent suggestion by Larry Berman that "If you want to replace it (BCE), he would look at ZWU-T because it gives you all the Telco's. It gives you a couple in the US as well as pipelines and utilities. He is not looking for a lot more downside. It pays north of 6%".
We own BCE in my RRIF (up slightly) and my wife's RRSP (down quite a bit) and am wondering about Berman's strategy. As always, your advice is valued immensely.

Q: Most analysts seem to have a generally positive view of BCE, saying it is fine for income, but they don't expect much growth. Despite the yield, in 2018 the stock has declined from about $60 to about $55 - the same price as at the beginning of 2016 - which is negative 8% YTD. The decline more than eliminates the yield. Everyone seems to think that "interest sensitive" stocks like this one decline when interest rates rise (which might make some sense if the interest rate rise were more than the tiny amounts we are seeing). But my question is whether there is more at play here. Without exception, the BCE consumers I know absolutely hate the company and are planning to switch service providers as soon as possible. Is this the sign of trouble on the horizon for this "widows and orphans" stock ??

Q: I want to make a short term investment to get the next dividend payment. I have $33K to invest for the longterm. However, while I make up my mind about which stocks, I want to put my cash to work. What high yield, safe stock can I buy to get the next dividend payment. (Meaning; whose ex-dividend date is coming up in the next several days or a week.) I realize I would pay 2 trading commissions to buy and sell.

Q: Are there any Canadian stocks that are safe from Trump?

Q: My 21 year old son received a generous inheritance from his grandfather and uncle. His investments are long term, with the majority being "forever stocks". His telecom weighting is 10%, split equally between BCE and T. Do you think that allocation is too conservative? And if so, which telecom would you keep in the portfolio? Thanks!

Q: I notice that David Rosenberg will be on Bnn this Friday with Andrew McCreath.
On May 19 He published an article in The Globe & Mail stating that Trumponomics will cause the next recession within the next 12 months.
If he is correct, am I right in assuming that interest rates will then to begin to decline , eventually leading to better prices down the road for the bond proxies?
Could you recomend from your portfolios the best recession proof companies with a history of regularly increasing their dividends?

Q: Good day...my question is concerning 5 G being the new evolution in wireless...which companies in your 3 portfolios would be part of this expansion and if you could rate them highest possibility to lowest possibility...also, thanks for the great education that I am receiving from being a member...Eugene

Q: What are your thoughts on utilities and Canadian telcos closer to the end of the interest rate cycle? Thinking of letting the insurance stocks I hold appreciate further in value and selling some to buy Canadian utilities and BCE and Telus since i own no shares in those three now and they will probably fall further. ???????

Q: Hi team.
what is the growth outlook for BCE? is it a buy? Bombardier seems to be going up steadily. Is that justified and sustainable? Is it an opportune time to buy Kinder Morgan, given the Government purchase scenario?
Regards, Norman

Q: Greetings 5i,

I currently hold a full position in BCE, and consider it one of my "core" holdings. Moreover, I very much like the prospects of the telecom sector as a whole, given its (at least in theory) ability to hold up well under adverse economic conditions. Thus, I have been considering adding a position in either AT&T or VZ to diversify my geographical exposure to the sector. I have a fairly long time horizon (I am 36), and am in no great rush, but would, nonetheless, greatly appreciate your insight into each as a long-term "core" addition to a generally conservative portfolio.

Thank you.

Q: Hi, I am trying to raise some cash and reallocate for buying a new position ( TCL.a).
Most of my holdings have done well ( many same as Balanced and a few from Growth 5i Portfolios) with moderate to sizable gains since inception with the exception of above names ( Negative YTD Only). I like the prospects of some of them with portfolio weights TOY (3.5%), SIS (3.5%)and SJ (2%).
BCE and ENB are fairly old holdings with 3.5% weight each and have not been acting well for a while. Over past few months, I have sold all KWH.un and most of ECI
( reduced to 0.75% weight), due to rising rates and other company specific concerns. DOL (1.25% weight).
Will it be reasonable to eliminate ECI and DOL (small positions) and/or reduce BCE/ENB ( BCE more due to muted growth prospects and ENB due to its high debt and pipeline sector concerns).

Thank you for your valued advice.

Q: from your income portfolio, what are your top three picks to buy this week?

Q: I'm looking for some good dividend stocks. Any suggestions?
Thanks
Bill

Q: Hi, I have been thinking for quite awhile to sell Bell,as it is not looking great, and buy Telus, for income first and growth second.
I would like to do this for a 4-5 year hold. Would you agree that I would be better off with Telus in the long run with a little more growth, as i’am fine with 4.5% dividend?
Thanks Brad

Q: I am retired living off dividend income. I am tempted to add 1/4 position to an already full position of BCE as the price is now looking very attractive at 53.2/share yielding 5.7%.
53 has been the support base since April 2016 and 60 has been the resistance.
Has anything fundamentally changed with BCE to explain the drop in price? Or is it simply because interest rates are rising so the market is rotating from higher yielding stocks?
Would you add at the current price, or wait until BCE forms a base as it is still in a downtrend looking at the 8, 20, 50 day moving averages?