Investment Q&A

Q: Looking at investing in these Canadian companies paying US $ dividends for a non registered account to help with my snowbird expenses.
Would be 15% of total stock/bond portfolio of mainly banks, utilities, reits, pipelines. Age 69.
Appreciate your opinion on these. Any others?
Would you equal weight or what individual % would you allocate? Any other thoughts?
Thanks. Derek

Q: I have the above securities, as well as RBC Cdn Equity Inc, Sentry Cdn Inc, Sentry Global REIT, and fixed income via Fisgard Capital, Annuities, a company pension, CPP and soon-to-be OAS.

I really focus on asset allocation and am a little light on Consumer stocks, holding CGX, PBH and TCL (although some consider TCL to be in the Industrial sector). I am normally a buy-and-hold investor who trims-adds around core positions.

Question 1 = I am looking to add 1 more consumer stock and am looking for a dividend ideally > 3%. Based on my stock-ETF-MF mix, are there a few stocks you could suggest that would fit in my above set of securities.

Q2 = if I was to consider ideas from the Income Portfolio, is there an issue with having multiple food stocks....like PBH and A&W and NWC. Why have more than one food stock?

Q# = because A&W is a ".UN" company, how are their dividends treated for tax purposes? Are they eligible for the dividend tax credit?

Deduct as many credits as you deem appropriate....got loads and will never use them all up.

Thanks as always...Steve

Q: Has a dividend investor I hold shares of the above in in my registered and non registered accounts.
I have cash over and above my fixed income position. This extra cash is earmarked for a new position in a dividend stock paying a 4 to 7% div with growth prospects and at fare value and tax efficient. Might be a tall order , appreciate your help.

Q: Irregardless of risk or anything else, which stock has more potential for growth over the next five years, Car.un. or Aqn, thanks?

Q: Can I get your take on CU? How would you compare it to EMA, AQN and FTS?

Thank you

Q: i'm thinking of selling AQN after its good run here and buying H....H has a higher yield 4.51 vs 3.65 and i believe both are "stable" in a long term view...what are the pros and cons of this switch? txs as always..

Q: Could you please select the two or three stocks from the following list that you think will have the greatest total return over the next ten years:

WCN
BAM.A
AQN
SMU.UN
BIP.UN

If you have any other suggestions that would be also be appreciated.

Q: Reading through 5i answers to questions regarding Cdn. coys that pay dividends in USD made me wonder if there is a way to increase my cash holdings in my USD account without incurring FX charges and being eligible for the foreign tax credit.

I currently have AQN and HOT.UN in my TFSA that pay dividends in USD that are converted to CDN$ with the extra wrinkle of HOT deducting withholding taxes that are not eligible for the foreign tax credit because it is held in TFSA. Also hold BAM.A and BEP.UN and BIP.UN in Cdn. cash trading account that also pay dividends and interest in USD$ and are converted to CDN$ when paid.

Can I as owner 1) TRANSFER my AQN (up about 150%) and HOT.UN (down 25%) shares this year from my TFSA to my USD cash trading account to get dividends/interest in USD and 2) do the same with BAM, BEP and BIP from Cdn. cash trading account to USD cash account to capture and keep the USD payments and avoid FX conversion fees and build my USD cash reserves in USD cash account without incurring any fees and charges from my online broker? Or do brokers and CRA have rules against clients benefiting from structuring dividend/interest transactions in a manner like this?

Obviously this would open up SOME space for extra contributions to my TFSA in early 2020 above and beyond the TFS $6000 contribution limit to provide for increased flexibility for sector rebalancing and re-allocation opportunities. Also this would make the USA withholding tax payment on the HOT.UN dividends eligible for the foreign tax credit when filing my tax return to CRA?

Comments?

Q: Would AQN be a long term hold.

Q: Hi Team,

I love the work you do. I was just wondering what you would recommend purchasing when KWH.UN gets bought out? I am looking to replace it with another utilily. I owned Enercare, but when that got taken over I didn't replace it with another utility (but a bank stock). I am really looking for a good utility company. My investment style is that I try to be balanced. I like a combination of growth and dividends and hold my stocks for a long time. If you currently like a few, could you rank them in order and tell why you like them?

Thank you for all your hard work,
Terri

Q: Hello
I want to add a energy renewal company with a nice dividend and some growth. Do you like one of my choices or do you have some other company that you would recommend
Al - Thank You

Q: I have $25,000 in my TFSA invested in the above companies, eaqch with a weighing of between 8% - 10%. Looking to add another $10,000. I'm 63. Preference is dividends and some growth. Looking for stability if another December 2018 were to repeat itself.
May I please have your suggestions, in order of preference. Please deduct appropriate credits.

Thank you.

Q: It looks like AQN was hit extra hard in the 08 recession falling from around $8 to $2.30ish when they cut the dividend substantially. Do you know why they had to cut their dividend and could you see this happening again whenever the next recession hits? From the chart it doesn't look like this was a very 'defensive stock' back in '08.

Thanks,
Dennis

Q: Hello,
I hold TRP 5%, FTS 4%, ENB 3%, EMA 1.2%, PPL 1.2%, & AQN 1.2% in my accounts. I plan to increase the smaller holdings to about 2% each. I like these stocks for their dividends and their international diversification. Are these 6 utilities reasonable choices as long term holdings or should I look elsewhere?
Would you please rank them.
I am way past my retirement age but do not relay on the dividend income from these stocks.

Thank you,

Werner

Q: AQN stock price has been declining , Is it serious? or the fundamentals gone weak. Will you recommend to buy it, if so at what price. Will you recommend other utility for dividend which is safe. Thanks

Q: Might there be a preference of one of these two companies for long term growth?

Q: hi,
thanks as always for your advice, it's been a tremendous help. I need to add another full position in my non-registered "buy and hold long term DRIP holdings". I am debating between AQN, EIF,H, & SPB. Not considering sector holdings, what order would you put these in to purchase first to last.
thanks
michele

Q: In my portfolio I have following Canadian equities: AQN (4.9%), BCE (4.78%), BNS (4.64%), WXM (4.5%), SIS (3.8%), BEP (2.68%), MG (2.29%), KXS (2.03%), PBH (1.94%), MX (1.92%), COV (1.87%), TSGI (1.76%).

I have a full positions worth of cash I would like to add to my Canadian content and was wondering on your thoughts as to adding to one new stock (ATD.B, WSP, CCL.B, other suggestion), 2 half positions, or adding to my existing positions.

I have a 20 year time frame and comfortable with some risk.
Thank you.

Q: Peter could you suggest 5 can or us stocks that have a div us I have $15000 to invest for each one
I am a conservative investor looking for div income
Thanks for your opinion
Pat

Q: Good morning. I’m looking to invest in either BPE or AQN, both of which companies you are positive about. I’m looking at the respective yields ( 6.6 vs 4.2) and am wondering about that disparity. If risks is correlated to reward, does that mean BPE is more risky and if so, why is that? I notice that BPE is showing negative EPS and that makes me wonder how they can sustain such an attractive dividend yield. Thanks