Investment Q&A

Q: I found your answer to yesterday's question from Wes of interest. You indicated that "This strategy also assumes there will be no change in the capital gains inclusion rate in the next Canadian budget."

Do you recommend that investors take action now to avoid possible capital gains tax changes in the next budget? If yes, what actions would you recommend?

I have read in the news that "rich" people use family trusts and offshore accounts to avoid taxes. Are these appropriate for individual investors? At what asset levels?

Are there any other mechanisms which you can recommend aside from RRSPs and TFSAs to help reduce taxes for individual investors, and to avoid any possible future capital gains tax increases?

Your advice is greatly appreciated. Thank you for this excellent service.

Q: Hello 5I
My holdings include, with total portfolio weights::
ATD.B (4.65%); BYD.UN (5.65%); CP (3.65); CSU (3.50%); GSY (4.6%); WSP (4.20%); ZEM (4.5%)

I have concern about a possible recession and economic slow down, and I would like to structure the equities in my portfolio with a bit more of a conservative and defensive tilt.

I otherwise would want to keep these positions but do you see any of these 7 being less conservative and defensive? With my objective in mind, should any be reduced or eliminated?

thanks for your excellent service.

Q: What is your opinion of this gold stock. McEwen past Gold Corp founder recently made a large investment. Does the recent pull back represent a good buying opportunity. Thanks for your advice.

Q: I think I need to increase my Industrial exposure by adding one more company. I have 4% in each of CAE, CNR, WSP. Perhaps one more at 2 or 3%. Any suggestions?

Q: Hello 5i,
I am currently holding CBO at 2.3% portfolio weight. I would like to exchange it for XCB with higher yield and apparently not dropping like a rock as CBO has done. Would this be w worthwhile exercise, can you suggest a better alternative, or should I just leave things alone. I would be taking a $1,500 loss on $30,000 a holding.
Thank you for the great service
Stanley

Q: What Canadian energy (oil and gas) companies (stocks) have the best cash flow, in other words 2 or 3 times or better cash flow of the best 10 stocks?

Q: What are your thoughts on this company?

Q: Is now a good time to invest in REITs? As a Canadian, is it good to invest in US REIT? Is there any tax drawback investing in US REIT? Do you have any recommendations for REITs? Thank you for your great service.

Q: You have no doubt answered this question a few times but am not sure how to search for it. Could you provide your top picks for tax loss selling. Market cap and sector are not a factor. Thanks.

Q: Two questions: One, would you consider ZMI as "fixed income" for that part of my portfolio? Or is there too much of an equity component? Second, so many ETFs have a return of capital; when the fund reports a yield, does this include the roc? If so, isn't that reported yield misleading? Is there a way to learn what the actual yield ( ie without my own capital) being included? Thanks for your excellent service.

Q: Over the next five years, which of AQN and PPL would you prefer for growth in terms of stock-price, and which for growth in terms of dividend?
Thank you.
Howard

Q: HI
I am thinking of easing into VII. Should I begin or wait a little longer?
thanks
Joe

Q: are there any current energy [ oil & gas] companies with little or no debt that are making money ?

Q: There has been a lot of discussion in the financial press, including articles you quoted, on how value will overtake momentum strategies. However, when I check the holdings of US momentum ETFs, such as IVE, most of these holdings are juggernauts, some of whom have done very well. What am I missing in this interpretation of value stocks?
APPLE INC 9.24%
JPMORGAN CHASE & CO 3.38%
AT&T INC 2.35%
BANK OF AMERICA CORP 2.26%
UNITEDHEALTH GROUP INC 1.98%
CHEVRON CORP 1.91%
BERKSHIRE HATHAWAY INC CLASS B 1.84%
WELLS FARGO 1.76%
WALMART INC 1.41%
CITIGROUP INC 1.37%

Q: Dear 5i,

XUU has a reported MER of 0.07% and consists of 4 underlying US ETF holdings.
Is an investor paying two layers of MER's when owning XUU?
Vanguard has a competitive ETF called VUN which has a surprising higher MER
of 0.16%. Which ETF would you recommend and why?

thanks

Q: United Airlines according to my calculations is up 13 fold over the last 10 years and has PE of 8 times which seems to good to be true. Is this a good buy at this time especially when the market is moving towards lower multiple value stocks or am I missing something. Please advise. Thanks

Q: I have the option to convert this to a floating rate? Do you think I should convert? Thanks.

Q: Hi,
Where do you see fair value for Xpel? Ive been holding since just under $5 so its been very good in only a few months. I took enough profits around $12 to remove my initial investment, so Im on house money now. I just dont want to watch it drop the way PHO, and NVDA did from their highs where I held on for too long.

Thanks

Q: Hi: After viewing Peter's interview at the Moneyshow 2019 by SmallCap Power, I then followed up with the interview with Fundscraper; (https://www.fundscraper.com/) . Do you have an opinion on this company and on this type of investment in a Cdn portfolio?

Q: What are your thoughts on a pure indexing strategy? Jim collins suggests investing exclusively in VTI to build wealth and become financially independent. Thoughts?