Investment Q&A

Q: Trump has put Huawei on the restricted list. What stock(s) in the portfolios will be negatively impacted?(Pho?) Txs for u usual great services & views

Q: I bought qcom just after the settlement. @80.
How badly affected will it be with the huawai
Affair. Would u buy on this dip or perhaps consider selling. I am not sure how badly the revenue and earnings will be affected. Do u think this will disappear if trump & China come to an agreement or is 5G and the players going to be ongoing even with tariff wars stop..thank u for your insight.

Q: What is the reason for the big drop in Keysight Monday. US and China dispute or something else?

Q: Hi there,

Many things seem to be working against Micron. Would you advise selling now until Trump and his games play out or do you think most of that uncertainty is accounted for. Down about 10%

Q: With the advent of electricity storage, what equities or sectors do you see impacted? What might be good bets? (And not so good?)
https://www.politico.com/magazine/story/2019/04/29/trump-wrong-about-wind-power-electricity-battery-storage-226755

Q: Can you please tell me if employee options are currently, accurately reflected in US and Canadian financial statements? If not, how significant would this be to the balance sheets of companies, in particular tech stocks? After some research, I'm losing confidence in the auditing results of companies by the established accounting firms. Trump's appointment of Jay Clayton to the SEC concerns me even more as I'm thinking the system is already rigged against the small investor and we will see many more Sunbeam's , Enron's, Concordia's, etc. in the stock markets future. Please use as many credits as you feel necessary to give an in depth answer. Thank you



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Q: I hold UNH in my US RRSP and RESP portfolios. With the recent decline and being in battleground with the democrates Medicare bill is it worth holding in these portfolios or is there a better US health care option out there? Considering there will be a lot of election noise later in the year.

Q: In a previous question about ALC you noted that while ALC was not poorly managed there were better companies out there without liquidity issues. I presume you would include CAE as one of those better companies. I bought ALC, post split, (about 5 years ago) and it hasn't done much - I am essentially flat. I have certainly considered selling it but never "pulled the trigger". Unlike yourself I am not really a stock analyst but it seems to me they have been caught up in Trumpian tariff headwinds, weak iron ore prices (a few years ago) and replacing high operating cost (outdated) ships. To some extent the share price also seems to mirror the historical weakness of the Canadian Market versus the strength in the US Market. So far in 2019 the TSX seems to be performing better and the CAD appears to be gaining slightly on the USD. ALC appear to be having trouble replacing their ships as on at least 2 occasions the shipyards have defaulted on the boats. ALC got their money back but the replacement schedule must have been impacted. So, as usual, I am sitting on the fence. My questions...
1) Do you consider CAE to be a much better company that ALC?
2) While both companies are classified Industrial, ALC is more of a classic cyclical Industrial than CAE. In other words do you think ALC should do better if commodities show some strength or the USD shows some weakness?
3) We own 3,900 shares of ALC or about one days average trading volume. Would you have any recommendations about how to sell the shares keeping haircuts to a minimum? Does offering 500 shares at "the bid" at 10 AM make any sense to you? We wouldn't offer the next 500 shares until the first 500 shares were sold. The spread is about 20 cents per share.
Please deduct as may credits as you see fit.
Thanks,
Jim

Q: Pres. Trump says after Tariffs Lifted with China , China will buy more Soya Beans, Corn and Wheat. This would be good for American farmers and good for fertilizer producers. What companies would benefit the most. Would Nutrien NTR be one ? Who else ? Thanks 5 i. RAK

Q: I'm curious how you would adjust your strategy, if at all, in terms of opportunities, signals, cautions or things to watch for, as we head into a 6 month period leading up to the federal election.

Q: IPL pays an juicy dividend yield of over 8 per cent at the current share price. The dividend is covered and they have growth potential with their proposed in service date of 2021 for their propane to plastic processing plant. It looks like a safe stock with some good upside in a couple of years. But it makes me a little nervous that it is a little like the old Canexus in that IPL is getting a little bit out of their wheelhouse of expertise (shipping stuff around in pipelines or storing those products) and they are entering into more of a manufacturing business line. Is that diversification or worsefication? Is it a stretch for a pipeline company to think they can build and operator a propane-to-plastic "factory"? Canexus was a chemical company that thought they could build a oil-by-rail loading facility and in their case diversification was definitely worsefication!! I am still interested in IPL but I would appreciate you thoughts about IPL growth plans.

Q: I remember looking at a blog post you guys did a while back on tsx listed companies with large % of revenue from the US. Can you paste the link? Please and thank you

Q: Is this a good time to buy wef ?

Q: I really can't understand DOO.
I have been investing for 15 years and have never seen this. DOO has beating earnings 9 out of the last 9 times and the stock, after reaching
$51 on Monday is now below $41.
I know there is no news to account for this drop.
Can there be something we do not know about that is the reason?
Can that sale of stock in September still have an effect on this stock?
Maybe Trump has plans to only tax Ski-Doos?

Q: The US President ‘may’ have broken laws and the Mueller Report will or could shed light on how big my perceived concerns could be.

If the President did break laws what will be the effect on the stock market. Or what effect will occur on the stock market if the President did not break any laws.
Clayton

Q: Recently President Xi gave a speech indicating the intention to open up the Chinese economy, including " lowering tariffs for autos and other products and enforcing the legal intellectual property of foreign firms".These are things the Trump administration is seeking. Also in a recent dinner talk David MacNaughton indicated pressure from American farmers to reach a resolution.

Have you any thoughts on the possibility of the trade dispute being resolved and which of the 5i stocks would respond most positively?
Mike

Q: The period November to March is usually a strong market. Should I start putting money into stocks starting in November. Outlook is still good for 2019. If Trumps tariffs come off against China this would help outlook
What is your outlook for 2019 ? Increased profits for US Companies ? A strong stock market in 2019 ? RAK

Q: Hi, taking a licking on energy with wcp down 40% and vet down 25%, is it best to hold until after tax loss selling and hope for a turnaround?
It is hard to figure with Trump trying to keep oil low, more renewable energy, Saudi’s turning on more supply, no pipelines, feds not really helping, carbon tax, and of course a big discount we give away to the USA losing billions.
It looks really bad, maybe I should add as this may be the low? Your thoughts, buy ,hold, or sell

Q: JPMorgan is predicting a 50% chance of a US recession in the next 2 years. One would likely impact Canadian markets like 2008-9. I started investing in the markets this past April and was up over 6% in a short time until Trump started his tariff tirade and eventual war (plus other contributing factors) and now am down over 8%. It would seem this volatility in the markets will only get worse until it gets better. That said, if I recall correctly, BMO recently came out and predicted a TSX rebound that could hit 17,000 before EOY. I am just trying to figure out should I ride out the storm or jump ship at the next port. Based on your market update, specifically, "Investors should keep in mind this is just one quarter in a journey measured in years.", should one still consider riding out the storm?

Q: Good Morning
Technicals on XBM would indicate that we are entering a growth period for base metals, however, "Bank of Nova Scotia (BNS.TO) on Monday said concerns over Donald Trump's trade war with China is likely to dominate the outlook for commodities in the fourth quarter, predicting the issue could be a drag on markets until the 2020 U.S. election. The bank said that while a new North American trade agreement may decrease uncertainty, the U.S. trade war with China is likely to cut commodity prices for most metals."
What is your stance on base metals for the upcoming period?

Carl