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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: In response to Gordon's request on the impact of Hurricane Harvey.

American Hotel Income Properties REIT LP (HOT.UN-T) says it has completed inspections of three Oak Tree Inn hotels located in Hearne, Texas and Livonia, Louisiana and "all are operating as usual and serving existing customers as well as relief agencies as they are able to accommodate them."

It also said the nearby Embassy Suites Dallas DFW Airport South in Texas has "not yet been affected by the influx of evacuees but One Lodging Management is working closely with national and local relief agencies to provide hotel rooms as needed."

Read Answer Asked by karl on September 05, 2017
Q: Hi Team,
I am ready to take a position in CARA operations. I followed the company since it bought St-Hubert but I tought it was too expensive at that moment. Now, at the current price it seems a good entry point for a long term position. I would like your advice since I am not sure if I should take a full position (or a half position) considering the lack of momentum in the stock.

What is your opinion?

Thx in advance
Read Answer Asked by Michel on September 01, 2017
Q: Hello,

Do you consider boardwalk as a good long term hold. It would be a new position for me. I do already have real estate exposure (7 - 8 %). This would be new money. I was also looking at H&R but I prefer the usual stability of apartments vs commercial. Thank you for your thoughts. Maybe a mix 50/50 would be a good idea.
Read Answer Asked by Pierre on September 01, 2017
Q: Hi Peter and Associates,

I hear some talk of tax selling as early as August? Some professionals speak of setting up their portfolios to avoid and/or to take advantage of year end tax selling pressures? Some sectors and/or specific stocks have seen modest to significant declines this year and risk seeing above average volumes of yearend tax loss selling?

Many experts do not suggest trying to time the market but also talk of good entry points to initiate a position if not starting with partial ones to begin. Then there are those who factor in seasonality or other technical indicators. Without wanting to sound pessimistic, more than a few guests on business programs express caution, have increased cash weighting to have dry powder in reserve.Markets are not seen as cheap but opinions vary as what to do?

Bottom line, market corrections are part of reality and one has not occurred in some time? What percentage cash might be viewed as a reasonable cushion for a middle of the road risk investor with a 65/35 (Equity/ Fixed Income) objective who would prefer to reduce equity exposure by building up some cash reserves at this time? What suggestions might you have in response to the above and specifically, what reduction in equity exposure might be reasonable and/or sufficient to have substance? Assume a 5% weight in gold forms part of the overall strategy and a sufficiently large portfolio to provide diversification and no over weightings within it.

Fundamentally, are there any specific strategies an investor might use or at least consider in the last months of any year and more specifically this year?

Thank you.

Mike
Read Answer Asked by Michael on September 01, 2017
Q: Hi Team

I'm interested in adding to the fixed income component of my portfolio. I prefer active management for my fixed income, what would be three solid funds where the managers have flexibility to hold a broad range of fixed income (corporate, government, prefs, etc.)? PMO005 looks solid for a portion of the fixed income component, are there any other funds you would suggest? Thanks for your great service!
Read Answer Asked by Alexander on September 01, 2017
Q: Good Morning Team,

Would you switch NXPI for GIlD?

NXPI isn't really going anywhere after the cash offer by Qualcomm (is it still on?) and has no dividend.
After the initial hesitation, the recent deal by GILD seems to be welcomed by the market.

So, I guess my question is: which one has the most upside potential at this point?

As always,thanks for your wise input.
Read Answer Asked by Saeed on September 01, 2017
Q: AD seems to be on a continual downhill slide. I am contemplating selling it in my RRSP and replacing it with 50:50 EIF and KWH.UN for income and more optimistic growth potential. Your opinion is appreciated. Joe
Read Answer Asked by Joseph on September 01, 2017
Q: Both FEZ and XEU follow similar European stock indexes. Over the last year, they basically tracked each other. However, since May, FEZ has been relatively flat at $40 US, while XEU has dropped by about $2 from $25 to $23 Can. The divergence is difficult to understand, but I assume it is mostly due to three currencies being involved - the Euro, $C and $US. My question is which is the better investment for a Canadian investor given that XEU seems to be going in the wrong direction?
Read Answer Asked by Ken on September 01, 2017