Investment Q&A

Q: I have all 5 big banks and the 2 telecoms in my Margin Account for income purposes. I sold FRU and IPL because the dividend was reduced significantly. So I have some cash available to top up.
Given the Banks have Yields and Pay Out Ratios as follows (BMO 6.34% - 46.83%; BNS 5.90% - 44.47%; CM 7.49% - 36.67%; RY 5.25% - 44.84%; TD 5.82% - 44.76%) I am considering CM as the best yield and lowest Pay Out. Would you concur?
Thanks

Q: Although you do not specifically follow US companies, could I ask your opinion on this company, including fundamentals and volatility?

Q: Im intrigued by Kinaxis and have been looking at it as a way to increase my Canadian tech exposure. How were you able to get confortable with Kinaxis' very high valuation? How would you recommend initiating a position given the recent run in its share price?

Q: I'm thinking of selling my ALA for a tax loss and moving on + set aside some cash, but I'm trying to determine the right opportunity (it was ex-dividend today, so that's one thing!).

What sort of potential impact with the pandemic have on ALA that could make waiting dangerous? They, of course, report on April 30.

Thanks.

Q: I have no gold in my Tfsa and am looking to add a small position. Would this be advisable and if so can you recommend the best Canadian etf and give insight for the choice? Thank you.

Q: With the Papua Govt, taking over the mine there, what happens to Barrick? Thanks!

Q: Can you tell me your 2 favourite Industrial Reits in Canada and one in the US.

Thanks Valter

Q: Your comments on MSI:CA latest results would be appreciated. Thanks.
Dave

Q: Another reason why it maybe down this morning (question by Eli). It seems PNG decided to nationalize one of Barricks mines.

https://www.mining.com/papua-new-guinea-snatches-barrick-golds-porgera-mine/

Q: This one looks interesting if one wants to hold a basket of energy stocks in the US. It even pays a dividend, but the amount paid is not consistent.

Q: I am wondering how to assess SHOP going forward based on its recent runup. If the increase is due, in large part due to perceived success during COVID, the next quarterly earnings report will only partly reflect their success/failure for this period. Are you then looking for the guidance they give, the quarterly results they post or will you be continuing to value the company based more on what you know about them from having followed them for some time? I guess my question is valid for all companies during the next 6 months but this one has run up so much, I am wondering if I am being unduly cautious as to how much I continue to hold.

Appreciate your insight.

Paul F.

Q: Hi 5i Team,
Given the current low interest rates, low crude prices and the covid-19 situation and all these factors have a negative impacts on insurance companies and big banks. What are your thoughts on taking a position in FIE?
Cheers and your great works are appreciated.

Q: Further to Mark's question regarding the spin-off of Dow and Corteva, there is definitely a way to set this aside for this taxation year, and ultimately have it as a capital loss/gain. The CRA calls it Election 86.1, and I've included the link here to CRA's website, where they show that they have approved an 86.1 election for both companies mentioned.
https://www.canada.ca/en/revenue-agency/services/tax/businesses/topics/eligible-spin-offs.html
if you do your own taxes, google "86.1 procedures" or something similar to that, and you'll find all the necessary instructions. i've done it myself for the HP spin-off, and essentially, you include a letter with your taxes (or re-file if you've already submitted your taxes) and state that you are exercising this election, and thus will not be including that specific T5 with your tax return this year. And then keep that letter, in case when you eventually sell, if you ever have an issue.

But to this point, when a US stock gets close to a spin-off (in a non-registered account) I always sell, to avoid this hassle. And it is a hassle.

Hope this helps...

Q: I have held BIP in a RRSP for a number of years, and now also have a small holding of BIPC, which I am considering rolling back into BIP for simplicity sake to reduce total holdings. Is the distribution per share going to be exactly the same for BIP and BIPC? Are there any issues (withholding, etc) that would affect the distribution received from one stock and not the other, keeping in mind this is all in a registered account?
Some days the price differential is such that I could sell BIPC and buy BIP and the differential would more than cover the commissions (yeah, I would actually still lose). I would appreciate any comments about the pros and cons of this move.
Thank-you

Q: Over my investment time frame I have seen a lot of corporate wrongs, from outright fraud, frequent misrepresentation and accounting tricks. These are seldom given proper attention in the investment world. My question is: " Do you know of any reporting service or website that focuses on corporate wrongdoings?
I appreciated Peter's honest answer to the question on analyst. Thank you.Cheers

Q: Clayton's question and Peter's honest answer prompts me to ask this question: Do you know of anyone or reporting service that focuses on the bad behaviour of corporate management or directors?
As a long time investor I have seen a lot of outright fraud, fraudulent and negligent misrepresentation on the part of corporate management. There is not a lot of legal action against these crimes or civil wrongs and class action law suits take a long time to wind up and usually with insignificant payout to a small investor. Analysts seem silent and most of the guests on market call do not usually highlight it. Vermillion comes to mind. Repeatedly we were told the dividend would not be cut and shortly after this representation, the dividend was cut. Surely management at that time would have known that the dividend would be cut. Full marks to Eric Nuttal on this when he pointed out the huge salary increase taken by a member of management just before the dividend cut. Tricks with the financial reports are also not rare. Thanks for any suggestion you may have. Hans

Q: Hello, I would like to know your opinion on AECON GROUP INC (ARE). Please comment on their latest financial results published yesterday (Q1). The backlog of orders seems to be well filled. Governments are expected to announce some impressive infrastructure projects in the near future to provide much-needed stimulus to the economy. You can also recommend other construction and engineering firms. Thank you.

Q: Before I buy and sell I usually review 5i’s opinion and review StockCharts candlesticks and P&F chart for technical guidance . Investors are presented with presets such as moving averages , MACD, RSI etc . You can add options : OBV, Full stochastics , Channels, Bollinger Bands , Channels, Pivot Points etc etc etc . ( actually too many choices ) . Which options do you find most useful in technical decision making ? Thank you for all of your help .

Q: What are your top 5 Fixed Income ETFs (Cdn or US / International exposure) to hold long term in a RRIF or RSP in the current environment?
Thank you in advance.

Q: Good Day Team,
Looking for a good solid opportunity to invest in and thought about HBF and possibly HGR. Would you advise me to go this route or are the better routes to take.
I am retired and 70 years of age.
Thank you,
John G.