Investment Q&A

Q: If you were starting from zero which of the Brookfield companies would u buy at this time..rate your favorite to least favorite please

Q: I would like to buy either BEPC or BEP.UN for my son's TFSA. Which of these is preferable, given the price difference?

Q: In response to a recent question from Alan regarding what you felt the BEPC over BEP.UN price premium should be you said "We think 10% to 12%"

What about the premium for BIPC over BIP.UN? Do you think it should also be 10 to 12%? BIPC is currently trading approx $11 or 32% over BIP.UN.

Q: To further clarify your answer on swapping BEPC and BEP.UN, assuming there are no tax implications, what premium do you think is reasonable?

Q: Given your answer today about BEPC having too much of a premium, do you advice selling it and buying BEP.UN instead?

Q: Happy New Year
TD has BEPC as a SELL. Why would this be? I rarely see a SELL on the Brookfields.
Thank you and stay safe

Q: Your delightful Jan 8 article,5 themes for 2021, mentions Bepc,a star performer,& Sedg. On Jan 4 ,u mentioned XBC,BEPC & NPI as the 3 growth names in Ren.Energy growth. Is it ok to buy XBC & Bepc after they & the sector has appreciated so much.Thanks for u usual great services & views. All the Best for 2021 & continued great views & services

Q: I have listed the companies & etfs in my tfsa plus the %age of each in my portfolio & would like your opinion on whether the group is too passive or aggressive . Should some areas be reduced & would you add some stocks or etfs to give it more diversification? I have pensions, am retired & don't rely on the proceeds for living expenses.
Since I joined 5I ,& more particularly this past year, your advice has been invaluable. For example I just sold DND for a $6600. profit. Your site gave me the idea to buy DND .
Thanks
Dave

xbc 5%,pho 2.5% sis3% aqn5% bam.a4.5% bep.un10%,BEPC:CA,2.4% kxs6% nwh.un2.5% ry10.5% bns7% td7.5% xsu 4% zem2.4% zch2.3% zwe2%

Q: The above holdings now represent 10% of my equity portfolio. Should I bring this back to 6-7% or should I let these run? If so,
to what extent? Thanks, Martin

Q: I have listed the securities I hold in my portfolio showing % of portfolio and gain/ loss for purposes of helping answer my question.
AGN-2.46% +16.35%: ATD.B - 3.74% +0.03%
BNS-1.96% +27.14: BYD-3.63% +15.3%:
BAM.A -3.57% +11.57%: BEPC-3.52% +90.21%: CAE-5.02% +68.26%: CAR.UN-3.57% +5%: CRWD -3.44 -1.48 (new holding):
EIF-4.06% +32.05%:GSY-4.7% +11.35:
KXS-4.63% +7.2%:LSPD-10.26% +198.54%
MG-3.21% +38.14% : NFI -1.34% +40(sold part): PBH-3.38 % +4.25%:SHOP-4.92% +9.76%: SLF-2.39% +4.32%:T- 3.59% -0.91%
TFII-4.68% +105.59%: VGG-4.96% +40.2%:
VEEV-1.97% -0.55: WELL-4.24 +13.8%
By geography I own approximately 17% in US.
My Alpha-Balanced suggests 25%.
lSPD,SHOP and T , although not US , have a dual listing.
I was thinking of transferring cash from sale of NFI to my US account to increase US holdings.
Note C$ is increasing against U$.
Would you agree with this move or stay my current investment strategy. If so would you suggest adding to current U$ position or another suggested stock?

Q: The geography of the following according to my Alpha-Balanced portfolio are US.
BEPC-3.55%: CRWD-3.42%: VFV-3.59%:VEEV-1.99%: VGG 3.95% for a total of approximately 17%. I would like to increase this to approximately 25%.
In addition to the above I own the following dual listed stocks.
LSPD-10.28%: SHOP-5%: T-3.61%
Moving cash from unregistered C$ to unregistered U$ account. Would you consider adding to any of the above or do you have an alternate suggestion,
In the portfolio I’m overweight tech & industrials.

Underweight materials and energy. Not a fan of oil or gold .

Roy
In addition I own the following that have dual listing.

Q: With a view to exsistant capacity and future growth of capacity what are your top three suggestions in the renewable energy growth space?

Q: Hello 5i
Both BEPC and BEP.UN have grown a lot in non-registered account. Is it Okay to keep them both in this account ? Since they have grown so much I plan to trim some and I wonder which one you would recommend to trim. BEPC is majority due to splits.

Thanks for all the hard work.
I wish your team a happy holiday season.

Q: Okay, what's going on with Brookfield Renewable this week? This is a utility company, not a tech darling. Why is it up almost 25% in the last week?

Q: I own all these in my utilites allocation (AQN 3.5%, BEPC 2.4%, FTS 2.5%, NPI 1.6%). I'm looking to pull some capital out of these to redirect towards industrials and consumer cyclicals for the upcoming year. Could you perhaps rank them on valuation, and/or suggest which way you might go, i.e. shave a little off each, equal weight them, drop one or more, etc. Thank-you as always.

Q: I wanted to respond to Roy's concern that the answer I received from TD Waterhouse was a "load of crap " as I believe it could cause a lot of concern among your members that they are being cheated by their online brokers. The best way to do this is with math - Lets say that in total  TD WaterHouse  held 101 shares, split with 19 clients holding 5 shares and 1 client holding 6 shares.  Their total of 101 would be rounded up to 152 shares in the 3 for 2 split and that would be what TD Waterhouse would receive from BEP.  If you look at the clients accounts separately the 19 people would be entitled to 7.5 shares - 7 physical shares and cash for the .5  and the one client with 6 shares would receive 9 shares post split  for a total of 19 X 7.5 + 9 = 151.5 share equivalent in compensation..... So if the total number of shares that the broker holds in trust is an odd number they are making at most .5 of a share - not .5 of a share on each client as Roy implied. As well its the only fair way to treat us. I would be upset if I was the guy holding 6 shares as I am getting 9 shares or 1.5X the number of shares post split whereas if the guy holding 5 shares was rounded up from 7.5 to 8 shares he is getting 1.6 X the number of original shares. Nothing looks deceptive or dishonest to me.

Q: Qtrade stated in an email to me that they did not receive enough shares to round everyone up so they sold the half shares & gave us cash , $32.32, in lieu of the rounding up as is standard in these cases.
Dave

Q: The answer given to your client who has an account with TD sounds like a load of crap. They make it sound like they were paid in cash. They were given the total number of shares allotted to them to be distributed to each client account.
The way they put it , if the total number of shares they held in trust was odd, they would have received just one extra share. So where did the cash come from that was paid out for each half share? Need a lawyer to figure this out. Above my pay grade.
Roy

Q: There have been a number of questions/comments concerning the recent 3 for 2 stock split of BEPC and BEP.UN and how fractional shares are handled. I reached out to TD Waterhouse and their response may be of interest to your members:

"When we received payment from a Split we as a Broker receive payment on our one bulk position. We do not get paid for each client individually. If the client had a physical certificate or held shares directly with the Transfer Agent in their name only than yes they would have rounded up but the company says for "Registered Holders". The shares in the clients account are registered "TD Waterhouse ITF the client" so when we get paid we get one payment for all our clients because all of our clients shares are registered the same way TD Waterhouse ITF. But the client will get some cash for the fractional shares. The CIL usually comes in about 10 bus days after the Re-Org was processed. "

I would assume the same would be true for all online brokers.

Hope this is helpful
Cheers
Scott

Q: Getting cash in lieu of a full share of BEPC seems a bit cheeky to me. We were supposed to get a full share for any fraction.
I received $31.81 for half share. A full share is would have been worth $63.62. At the close on Friday that share was worth $66.98.
I didn’t see any mention of cash in lieu of fractional shares. So as of Fridays close I’m out $35.09.
Does anyone else think the same way I do?

Roy