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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: I have been following the stock market, daily, for a half dozen years. And I never fail to be impressed at how brutal the market can be when a company fails to meet expectations. Today's 'victim du jour' is ZCL. Although it's not included in your current portfolio choices, my impression is that it's a decent company. After 2017 Q3 it was hammered with a 20% drop in stock price. Then gradually gained ground through to yesterday's 2018 Q1 report. An approximate 10% drop, as a result. What I've learned, and appreciate, from following 5i, is the importance of not catastrophizing after a bad quarter -- but to take a much longer view -- and to remain with what has been a reliable dividend payor throughout.
Read Answer Asked by RANDALL on May 07, 2018
Q: Hello 5i,
Not a question, but a response to the question around Estate Planning. I am not a financial planner or tax expert so my suggestions need to be read in that context.
Firstly, for the grandchildren: would RESP's, TFSA's, RRSP's etc, be a viable option to help provide for them on an on-going basis starting now? This would also allow you to craft their portfolios as you wish.
Secondly, as they get older you could provide them with a small non-registered account and work with them on it - some grandchildren (or their parents) might show some interest, some not.
Another consideration would be to name each of your children/grandchildren and other beneficiaries as direct beneficiaries on each of your accounts so that the holdings (or funds) would transfer directly to them upon your passing. Percentages could, I think, be arranged so as to look after a spouse or other loved one on a priority basis. This part I am not clear on. Again, I am not any kind of specialist and know very little (ask my wife & kids, they'll back me up on this).
The direct division of an estate via the beneficiary route will help reduce Probate fees - and in B.C., this is a huge tax as compared to other jurisdictions.
My guess is that this kind of question will become more pressing as we 'Boomers' reach our "Best Before" dates and start to seriously consider Estate Planning and wonder how to best provide for our families, loved ones, favourite charities, etc. while trying to minimize the inevitable tax hit.
Sorry for the length of this post but it is just a collection of random thoughts as I thought about the question.
All the best,
Cheers,
Mike
Read Answer Asked by Mike on May 07, 2018
Q: Hi 5i,

I am interested in the asset tracking space. I have read comments/replies on above mentioned companies in this space and wondered what your current opinions might be of each of these.
Is there a 'best of breed' company or 'industry leader' in this space or is the space just to fragmented for someone to be dominant?
Your last comment on TKX was a company to watch. They have done a number of deals the past 18 mos and the most recent involves some collaboration with Impinj. How do you feel about this company today (TKX)?
Impinj has fallen quite a lot the last 18 mos (I don't own it), has it gotten to a point of being buyable or too much downward momentum still exists? They seem to have a lot of RFID tags out there (25 billion)...that has to count for something. :)

I do own GPS (2%) and am patiently waiting for them to get back on track....pun intended :)

Thanks as always for your valued guidance!!

Cheers,
Steve
Read Answer Asked by Stephen on May 07, 2018
Q: Your monthly portfolio updates seem to have disappeared from your website. I saw the balanced and income updates last week but the growth portfolio never did show up. And,now, all three appear to be MIA. Is this your website issue or my computer issue?
Thank you,

Geoff
Read Answer Asked by Geoffrey on May 07, 2018
Q: I own the WARRANTS here, ACB.WT and NOT the Stock/ACB. I got a Marging Change Notice from Questrade yesterday, so wondering what I should read into it? Thanks! Could it have to do with possible Accelerated Expiry?

Effective May 7, 2018, the margin requirement on long positions of symbol ACB.WT.TO will increase from 50.00% to 60.00% and the margin requirement on short positions will increase from 100.00% to 100.00%.
Read Answer Asked by Austin on May 04, 2018