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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: As I understand it, the purchase of WGL Holdings will be paid for with the US$4.95 billion bridge loan provided by the banks with the balance being assumed debt. The intention is to replace the bridge loan with the proceeds from the subscription receipts, the private placement to OMERS and additional debt, preferred shares and hybrid securities. One of the major concerns investors seem to have about ALA is a fear that it might run into the same issues as Kinder Morgan and its purchase of NGPL. In that case the stock price plummeted from $45 to $15 when it had to cut the dividend in the face of Moody's threat to cut their rating. In your assessment is ALA in a similar precarious position or does it have it's financing in place? I have a full position in ALA and I am trying to reasonably assess the risks based on what we know (speculative risks are what they are).
Appreciate your thoughts as always.
Mike
Read Answer Asked by michael on December 21, 2017
Q: I currently own full positions in both these stocks in an unregistered account. In January I will be able to move about $35K of one or the other into my TFSA. I see both as having very good chances of a substantial gain in the next year or two. Which would you move, in considering the impact of a large capital gain for the one I keep in the unregistered account? I do not see either as a long-term keeper at this point, so I foresee the sale of both in 1 to 3 years, moving into something perhaps more conservative .
Thanks!
Paul
Read Answer Asked by Paul on December 18, 2017
Q: Hello Peter,
I hold a balanced total portfolio across my TFSA, RRSP and non-registered accounts. I keep my highest dividend payers in my non-registered and currently have them on DRIPs. Are there any of theese that you don't think should be on DRIP because they are too risky?

ALA, KWH.UN, FTS, BNS, SLF, GS, NWH.UN, ECI, EIF, BCE
Read Answer Asked by Pamela on December 07, 2017
Q: I presently hold ENF in an income portfolio. And before I make any change I would just like to verify my understanding of what I read yesterday. I take it that you would favour ALA over ENF for income. Here is the quote from yesterday's Q&A's comparing ENF to ALA:
"We would prefer ALA, for its dividend growth potential and expected growth from its acquisition strategy. We would not be too concerned on either dividend, but would consider ALA also a bit safer. It raised its dividend in October."
Read Answer Asked by David on November 30, 2017
Q: I'm considering to enter the battered pipeline sector with no position ( other than ZEO & ZJO purchased two months ago)
A) how should I synchronize any purchase of pipleine ( bond proxie) in a rising interetst rate environnement and should I wait until 10 years USA bonds get above 3% ?
B) the two stocks I'm considering are ENB ( continue to fall ) and ALA (seem to have stabilized at current level). Which one of the two stock would you prioritize first
Thank you
Read Answer Asked by Jean-Yves on November 08, 2017
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