Investment Q&A

Q: Just a Thank You for a great year, thanks to all of you at Fabulous 5i. I made good money, but more importantly I did NOT lose much, by just following your insights.

Merry Christmas & Happy New Year
Austin

Q: Peter and His Wonder Team
How are annual portfolio returns calculated? I thought I knew but now am not sure. I thought Dec 31 was the date that everyone did there mathematics...measuring the difference that occurred during that year. Are there other ways? For example can you just use any day during the year that your portfolio hit its high and use that number? In other words is there accounting consistency between the financial institutions and retail investors or is there a little manipulation for marketing purposes? Thanks for the clarification.
Dr.Ernest Rivait

Q: Hi,
I have many of my stocks enlisted in DRIP. I am a long term investor and don't need to draw on any of the dividends right now and have a well diversified portfolio. What types of stocks would be ideal or better to enlist as DRIP? Growth stocks don't really pay dividends so we can probably ignore those. Comparing stocks such as AQN, GSY, SIS, ECI, SGY, etc..how would you rank them for DRIP or would they all be fine?? I have many stocks that pay decent dividends but I'm trying not to continue to drip in losing stocks where I can invest those dividends elsewhere.

Thanks, Merry Christmas and Happy Holidays!!

Q: Season G's...How would you compare a convertible bond etf vs short term bond etf in a rising interest rate environment. Specifically regarding capital erosion and income, can they really be compared as similar investments all the best gary

Q: Hi 5i,

I'm a younger guy (mid 30s) who's fortunate enough to have saved hard and basically paid off my primary residence. I'm now looking to redeploy that equity through a credit line, which comes at a cost of prime + 0.5%. Our TFSAs are maxed (aligned with model BE/growth portfolios) and RRSP contributions are healthy, so I'm comfortable with our total equity exposure, but I would like a low-risk income-oriented holding in a new non-registered account that yields enough after tax to offset the cost of capital on the credit segment. Is there anything that comes to mind? Maybe a series of Prefs (neutralizes rate risk assiciated with this strategy) with a few high-yielding equities to bump up the overall yield?

Thanks for your help!

Q: If we are to believe that history is our best teacher, what in your opinion, were the major factors that contributed to the Dow Jones Sell off in Aug 2015 and Jan 2016? Was it mainly global financial events re Greece and China? What are the best tools to monitor the events that could lead to a similar correction? Thanks for your wisdom. Use as many credits as required, as I have 143 left. :)

Q: After watching the recent appearance by Peter on Market Call and from watching Ryan over time as well it has become very obvious that the knowledge level of the 5-I team is second to none. We as subscribers are very fortunate to have this service available to us.

Paul

Q: I have TFSA, RRSP and margin accounts. My TFSA is maxed, but RRSP has plenty of room. I'd like to add another $50K, and was wondering whether I should add to my RRSP or margin account. My hesitation with putting the cash into RRSP is that I may need this in the next 6 months, as we are currently shopping for a house. What would you suggest?

Q: I know your stock suggestions tend to be for medium and long term holding, but do you ever look at seasonal strength when you make investment decisions ie. US Small Cap tends to be strong now to April or May

Q: Hi 5i team!
I want you to know how much I appreciate the excellent service you provided for us. As a small and first time investor ( I joined you service a year ago and it took me some months to deploy both my wife and mine- very very hard earned TFSA savings -). With the help of you guys via the wonderful client base who are quick to hit button to ask questions and they didn’t give me a chance to as ask one (mark me down for one question for reading this), I’m investing with confidence. Our consolidated portfolio is performing very well with a lots of ++ and less --) including a good move with PUR.TO with 120% gain since I bought it. Merry Christmas and happy holidays,
Sincerely,
hb. Ottawa

Q: For new money being invested in 2018 and assuming the US passes tax cuts/reform what percentage of one's portfolio would you allot to 1)Canada, 2)US and 3)Global/International?
Also considering roughly 10 sectors what 3-4 sectors would you focus on and could you give a large, mid-small cap stock for each.
Thanks kindly - Merry Christmas 5i and the best in 2018!

Q: What would you view as the maximum allocation to small cap stocks in a recent retiree's income portfolio?

Thanks

Q: My question is about your answer to Maurice about Biotricity yesterday. What is a decent board? How do you judge the board?
Thanks
Will

Q: Hi team, I know that you don't cover US stocks but am hoping that you may have some advice about how to deploy some of the USD I have in my cash account. What are some non-tech mid- large cap names that you would recommend for growth over the next 1-2 years?

Thanks

Q: Milan's question and comments about Warren Buffet's advice to his wife for investing after he passes away makes me wonder: Since DAY 1 (or there abouts) can you tell if he has beaten the market and if he has by how much?

Thank you for your answer; and thank you for a very good year $$$; and best wishes for a merry Christmas and a wonderful New Year ... in every way.

Q: Some Canadian stocks have been and will be oversold by or before 27th which stocks do you think will be the good buy for short or long term?.

Q: Good morning Peter and company,

In his will, for his wife's benefits, Warren Buffett has instructed the trustee to put 10% of the money in short-term government bonds and 90% in a very low-cost S&P 500 index fund such as Vanguard’s.

Would that be a good practice for all retired individuals living off their stock portfolios by withdrawing 4% annually, if they are prepared to live with the market's fluctuations?

Bond values have nowhere to go but down as central banks raise interest rates. Would 10% cash be better than 10% bonds today?

Thank you for your considerate answers to my questions.

Milan

Q: Google Finance is closing down its portfolio feature and I'm wondering if there is another site that has this feature. It charts your portfolio as a whole and provides a chart totalling your market gain daily on the portfolio also with a comparison feature.
Thanks for all your great information.

Q: Hello,
Considering the significant run up that has taken place, would you recommend getting into the American market at this point?

Q: Peter & Team,

I note that you frequently talk about anticipated future revenue growth for certain companies (eg, 2018 projections). I also find that future expectations re sales/eps growth are often an available screening criteria in many online stock screening programs (eg, Finviz). Can you tell me the source of these projections as well as your professional opinion as to how much rigor there is behind behind these estimates? Are they purely based upon company projections and, if so, do analysts ever weigh in as to the integrity of these numbers or lack thereof? Thank you.