Investment Q&A

Q: My Cash account. My plan is to top up existing positions in the following equities:
LIFE, AD.UN, BNS, WSP.

My thoughts were to buy in this order = LIFE (up overall, small capital loss on paper), AD (up lots, ETF-like stock), BNS (small paper loss), WSP (sensitive to economy-related projects?).

Could you please provide the sequence that you would buy these and why. The funds are available now, but I plan to spread out my purchases over time.

Thanks for your help....Steve

Q: UTWO:US and UTEN:US are ETFs of US Treasury bills: UTEN of US ten-year treasury bills, UTWO of the two-year. Both ScotiaiTRADE and RBC-DI make it difficult to buy US T-bills hence my interest in bond ETFs. Would you recommend — at THIS time— an ETF that holds’ 2 year and 10-year T-bills? ETF.com describes these as single-bond passively managed ETFs. RBC-DI shows UTEN:us has a yield of approximately 4.8 % pa and about 2.1 % on UTWO TODAY. For comparison, 2.5% is the approximate yield on US Money Market funds.

Is it worth buying either one or both of the above-noted bond ETFs? I am sure you have better ideas than the above ETFs, so would appreciate your suggestions of instruments that are better than the ones I have noted above.

Q: Afternoon, do you know if any of the brokerages that took the share offering of Aug 15 have sold any of those shares?Is there any significance in that the share price is below the offering price of those shares?
Thanks a million

Q: Topicus has a PE of 13.7 according to info on your website. Is that correct?

Thx

Q: About three months ago you were asked about your preference between these two companies. Both have cratered a bit in this market uncertainty. Do you still prefer MPW over NWH at current prices?

Q: Hello,
Which of the Brookfield companies quality for the dividend tax credit?
Also, which Canadian dividend ETF’s also quality for the dividend tax credit you would recommend?
Thanks for your great service.

Q: Hello 5i,
Please tell me where, on the 5i site, can I find the "Market and Report Updates!" that I am sent.
Thank you
Stanley

Q: Good Day,

I have a bit of money to invest today, and I was hoping you could tell me that if it was your money, which one of the following companies would YOU invest in today (what looks most attractive and why)?

ECN.TO
GSY.TO
WELL.TO
CSU.TO

Thank you so much!
Tony

Q: I was interested in your response to Gerry’s question dated Oct. 15th re: Morgan Stanley. Can you suggest some smaller U.S. banks that you like right now and perhaps a brief reason why?

Thanks,

Q: Can you rate these stocks in terms of their expected growth rates(rates forsales and also earnings or cash flow) in 2023? safety is not an issue. Please give specific rates of growth for each.Muxh appreciated:

Q: i have listed 3 lithium companies,it does not have to be one of these, but which is your favorite lithium company to buy today for a period of 6-12 months. dave

Q: A follow up question regarding selecting investments for my grandson's RESP. You recommended that we use VFV solely until the value of the holding reaches $15,000,
This ETF tracks the S&P 500 to the exclusion of any Canadian based investments. Would there be any advantage to including an ETF representing the Canadian market? If not, why not. And so, why and which ETF would you suggest?

Q: Per below capital gains consider an income. Does the below dividend criteria is consider in Toronto, Ontario


It is my understanding that in a non-registered account I can receive up to +/- $50,000 (BC/Fed combined tax rate) in Canadian dividends without being taxed. Is that correct?
If so, I was hoping that you could provide a list of 20 Canadian dividend stocks that you have confidence in that have:
1) a 4% yield or higher
2) are not in or associated with the Oil/Gas sector
3) hopefully enough growth to keep up with inflation

Thanks!

Asked by Brian on October 11, 2022
5I RESEARCH ANSWER:
This is true, with variability based on province. The dividends also must be the ONLY source of income, otherwise some tax will apply. RY, TD, BNS, MFC, T, ABX, SLF, QSR, FTS, AEM, POW, KEY, ENB, BCE, AQN, GWO, FN, EIF, IGM, ET, CIX

Q: I am looking to start a RESP for my one-year-old grandson. Can you please suggest a suitable investment portfolio for an initial $5000 investment. Could you also recommend a strategy for investing future deposits to the plan.

Thanks.

Q: Could you explain the 17 Oct G+M article 'Diesel market darkens global economic outlook': how this situation might affect oil and gas prices and stock holdings? Advice?

Many thanks.

Q: Hello,
Could you please briefly list what you like and don’t like about these for income and preservation of capital? What’s your favourite utility? Thanks

Q: Hello 5i,
I have posted a question on the Forums under the Tax and F/X Strategies and I would appreciate any thoughts or feedback.
Thanks,
Cheers,
Mike

Q: I hold Japan and South Korea ETFs for diversification. EWY’s holdings include Samsung and other large well-run large industrials in South Korea but EWY has nothing for several years (continues instead to go glug-glug). Likewise, my various Japan ETFs hold good businesses yet seem to have only downward trajectories. Do you think these ETFs have sunk so much now that one may as well ride it out? OR:

Is it better to sell any ? Which to sell and which to keep? (In theory I could sell now and revisit later, but I have never done that well. My several questions today show my various psych biases. Yes, one can be self-aware AND continue to make the same behavioral mistakes).

Q: I bought EWG and VGK in tax-deferred accounts for diversification. Both are currency-unhedged. There has been significant uncertainty in the businesses held in these ETFs and both are down significantly. I had decided to ride things out and did not sell these and other such ETFs (the usual loss-aversion ).

Most of us have become increasingly concerned about Europe area companies (humanitarian crises, ongoing war, energy costs). Is one better to sell now, take the loss and come back later? OR do you think these ETFs have dropped so much now that there is a better than even chance of recovery in their price?

Q: I have only US$ available and tend to invest only in inter-listed companies (e.g. a Cdn bank, Canadian Oilco, and other large caps). I asked both iTRADE and RBC-DI *NOT* to convert the dividends such companies pay in C$, and instead let me accumulate C$. My understanding is that an investor has the legal right to demand the bank NOT to convert dvidends.

However both brokers I name here claim that to avoid unwanted Forex conversion, I need to ask them to journal the holdings over to the “side” I want.
In your experience, is this normal? Or can one insist the broker leave the holdings in the currency of original purchase? Do the brokers have a legal right to make the above-noted demand?

This issue affects many 5i members:
I had wanted both brokers not to convert because they were applying the worst possible exchange rates. Many of your members will have holdings bought on TSX where the company pays dividend in US$. AQN (inter-listed) is one of several Canadian companies that pays dividends in US$ . I believe you likely have many members who object to the very disadvantageous exchange rates applied by brokers — and certainly many would object to “automatic” conversion, surely.

If brokers are within their rights, are there not laws, rules & regs that require brokers to apply FAIR exchange rates?