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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: I hold ENB in my non-registered account (much larger than my RRSP in terms of total dollars). What is the precise difference between ENB & ENF in terms of operation and assets: both have said they are going to incr. dividends by up to 10% until 2020. You say that ENF is much risker than ENB - why? And, secondly does it make any sense to have ENF in my RRSP at it's current depressed price?
Read Answer Asked by James on December 17, 2015
Q: I was just about to hit the the "buy" button on this stock as the new doom and gloom oil price of $20 per barrel hit the headlines. I am looking for income and (some growth vs seeing a declining share price). Would this current turn of events deter you from buying ENF for a 3-5 year hold. I can accept the ups and downs over that period but a reduced dividend.

Thanks for your help.
Read Answer Asked by Donald on September 14, 2015
Q: With regards to your earlier response to a question on ENF closing the asset transfer deal, yesterday they announced shareholder approval and expect closing of the transaction to occur on in 10 days. At this point, is there really much risk of the deal not closing?

http://www.marketwatch.com/story/enbridge-income-fund-holdings-inc-shareholders-approve-acquisition-of-canadian-liquids-pipelines-business-and-renewable-energy-assets-from-enbridge-inc-2015-08-20-181732718
Read Answer Asked by Darcy on August 22, 2015
Q: ENF announced they received the formal proposal from Enbridge regarding the liquids business transfer on March 31. No details on the transfer were announced. Investors have been waiting for and expecting this, however, there seemed to be quite strong selling pressure and volumes today. Also, ENF has pulled back around 20% from its high in early February.
I'm just wondering if this pullback is:
- investor concerns regarding the required share issuance
- the stock overshot on its run-up to February
- unfavourable details on the 'proposal' from Enbridge have leaked out
- just the vagaries of the market

Your thoughts on the above and would you continue to hold for income? Thanks.
Read Answer Asked by Darcy on April 06, 2015
Q: Hi Team

Can I get your opinion on Enbridge Income Fund Holdings Inc ENF-T versus Brookfield BEP.UN-T for a non-registered account with both objectives of longterm growth and safe yield. (for long term hold.)

they seem to have similar yields yet different P/E ; P/book ratios and payout ratios ?

please tell me if

1. are they in similar sectors (? utility)

2. are they subject to similar or different economic pressures.

3. are yields more secure one or the other

4. is growth better on or the other.

5. is the yield on one more tax advantageous versus the other

6. subjective , but is one "bluer" chip than the other

thanks

Ernie
Read Answer Asked by Ernest on November 17, 2014
Q: What are your comments about purchasing shares for either Enbridge or Enbridge Holdings? We are looking for low volatity and good dividend yield as part of an income strategy. Are there any concerns with Enbridge holding all of the preferred shares of Enbridge Income Fund Holdings Inc. thereby having the capability of streaming income or higher dividends to the preferred share holders at the the expense of the common share holders?


Read Answer Asked by Allen on April 28, 2014
Q: Hi Peter & Team :
Enbridge Income Fund ENF had bounced from about $22.50 to $23.76 in the last 5 days. I intend to take a full position for income for the long term and wonder why it has popped up so much. I also own PPL TRP and BTE. Is there any company specific reason other than market buoyancy? Could I reasonably expect a pullback below $23 in the next few days or should I just go ahead and buy now?
Many thanks......... Paul
Read Answer Asked by Paul on December 27, 2013
Q: Good day!
I am looking at ENF (Enbridge Income Fund) and/or AQN (Algonquin Power and Utilities)for a position or a split position (both?) I prefer ENF for the higher div and seemingly similar growth paths (or maybe a bit better?), but I do own PPL (a full position) and see the overlap with Enbridge for pipelines. Would appreciate advice as to which I should choose for (primarily)income, and also some downside dividend protection against market correction and also - for the complete wish list - a chance for reasonable growth.
If you wish, I would appreciate any alternative choice(s) in a reasonable dividend-paying utility.
Thanks!
Read Answer Asked by Paul on November 06, 2013