Q: I recently wanted to purchase additional TD bank shares but found that I was holding cash in my US trading account. Do you have any advise regarding the holding of such investments ( Canadian large cap stocks ) in a U S account. Is there a downside in different trading activity or divident treatment ?
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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.
- iShares 1-5 Year Laddered Corporate Bond Index ETF (CBO)
- Vanguard Canadian Aggregate Bond Index ETF (VAB)
Q: Hi Team,
I was hoping you could help explain something. I own a five-year corporate bond ladder. This year to date the value of my bonds have fallen 0.91% (which on its own is fine as I hold the bonds to maturity). I am unclear why my bonds would underperform VAB (up 3.56%) and CBO (down 0.16%) in the same timeframe.
I realize VAB has a longer duration on average than my ladder or CBO. Credit quality may be better in both funds, and mine are typically in the BBB range. But is there any other reason why bond funds should outperform specific bonds in a ladder? Is there a scenario where a bond ladder will outperform the bond funds?
Finally, is there any advantage to owning bonds in a ladder at all?
Thank you. Michael
I was hoping you could help explain something. I own a five-year corporate bond ladder. This year to date the value of my bonds have fallen 0.91% (which on its own is fine as I hold the bonds to maturity). I am unclear why my bonds would underperform VAB (up 3.56%) and CBO (down 0.16%) in the same timeframe.
I realize VAB has a longer duration on average than my ladder or CBO. Credit quality may be better in both funds, and mine are typically in the BBB range. But is there any other reason why bond funds should outperform specific bonds in a ladder? Is there a scenario where a bond ladder will outperform the bond funds?
Finally, is there any advantage to owning bonds in a ladder at all?
Thank you. Michael
- iShares 1-5 Year Laddered Corporate Bond Index ETF (CBO)
- iShares Core Canadian Universe Bond Index ETF (XBB)
- iShares U.S. High Yield Bond Index ETF (CAD-Hedged) (XHY)
- iShares TIPS Bond ETF (TIP)
Q: I have been wanted to diversify my portfolio and I was wondering if this is a good list or a bit of overkill. I have recently bought some XBB. I want these for fairly long positions, my concern is that I might be over paying for these as everyone is fearful and flocking to bonds as a safety net. Would it be wise to let things settle or buy partial positions in these etfs. Also would it worthwhile also owning some us long term treasuries. I am looking to try to cover all possibilities so I am not chasing in the future when market conditions change. I would like diverse group to cover inflation, rising market, recession. I know that I cant take all risk off but I would like have some safety net and not hold all equities.
Q: Hi, PBH announced their plans to build new sandwich facility in Phoenix USA at an appx cost of USD 29 mln. It is expected to be operational in 2017. What are the implications of this development with respect to company's revenue and earnings ? Stock seems to have reacted favorably to news. Thnaks
Q: GPR announced a financing @ 1.60 /share which seems to be about a 30 percent discount to what it was trading at. As well, those able to sell before the market opened for the rest of us had done so. I think we have just seen a massive transfer of cash from the retail to institutional investor.
Your comments please.
Your comments please.
Q: Your comments please on the above co. Jim
Q: Hi Peter
I have been doing well with TNC over the past few months and it is up to 5% of my portfolio with a 50% gain. You still rank it as a B- but since your last report it has doubled its Market Cap and finalized its most recent acquisition. Would you still consider it a B- because of risk? Do you think I should take profits or let it ride a while longer. It is rather illiquid at times.
Also KUDOS on your chapter in the Market Masters book by Robin Speziale. I am on my second reading. It is the best book on investing I have read. Extremely diverse ideas. From common sense to algorithms. I highly recommend it!
I have been doing well with TNC over the past few months and it is up to 5% of my portfolio with a 50% gain. You still rank it as a B- but since your last report it has doubled its Market Cap and finalized its most recent acquisition. Would you still consider it a B- because of risk? Do you think I should take profits or let it ride a while longer. It is rather illiquid at times.
Also KUDOS on your chapter in the Market Masters book by Robin Speziale. I am on my second reading. It is the best book on investing I have read. Extremely diverse ideas. From common sense to algorithms. I highly recommend it!
Q: Would you consider this to be "blood in the streets?" - especially as it relates to good quality banks or insurance companies in UK /EU?
Q: I am considering selling XRB. Is this a good time to hold or get rid of a real return bond index?
Q: Peter and team , I am down 19% with this stock is worth holding on to .
What is your opinion of the future of this company.
Jim.
What is your opinion of the future of this company.
Jim.
Q: I have a few shares in Lloyds Bank and would like your analysis of this company (sell/hold/buy) and if Brexit will have any impact on its future earnings potential.
Q: Can you comment on MFC? It seems falling a lot and fast. Should I be concerned holding to it? Thank you!
Q: I've decided to sell DH as other than the dividend I don't think it now has the management or leading edge technology to compete in the US anymore. They had a good business for many years but have not kept pace. Looking for a replacement in a RIF which includes MIC, IPL, EIF, KXS, ESL, KEY & WSP. Your recommendations. Thank you.
Q: Hi Team
would appreciate your opinion on Sandstorm SSL.
Thanks
Gaston
would appreciate your opinion on Sandstorm SSL.
Thanks
Gaston
Q: I have shares of AQN and I am in the profit zone, But because of the higher dividend I am looking to switch to BEP.UN
Your Thaughts, thanks
Your Thaughts, thanks
- Suncor Energy Inc. (SU)
- Cenovus Energy Inc. (CVE)
- Ovintiv Inc. (OVV)
- Total Energy Services Inc. (TOT)
- BP p.l.c. (BP)
Q: In Jan 2015 I had 7.55% of my portfolio invested in Energy companies. BP (ADR), SU, CVE, Encana, and Total SA (ADR).
I watched these companies fall to all time lows earlier this year and now recently they are going back up again along with price of oil.
I plan on selling one or two positions in Energy and reallocate the funds into other sectors.
How would you rate the companies I have listed above and which would recommend selling.
Regards
I watched these companies fall to all time lows earlier this year and now recently they are going back up again along with price of oil.
I plan on selling one or two positions in Energy and reallocate the funds into other sectors.
How would you rate the companies I have listed above and which would recommend selling.
Regards
Q: I've own WSP since 2014, though still sitting on a 10% gain, I'm frustrated by the poor results of the last year or so. If I choose to reduce this holding, I would like to pick up something in the renewable energy sector. The two candidates I have in mind are BLX and INE. Which one of these two, in your view, has the higher growth upside and the potential for sustainable increase in dividends? Or staying with WSP would be a better option than switching to either of these two?
Thanks.
Thanks.
Q: Please comment on the 2nd q results issued today.
Q: RE below your answer still does NOT appear (even in your reprint and attempt to remedy this:
July 07, 2016 - Asked by M S
Q: Your answer to Oliver ( July 6) seems not to have printed. He was asking about his allocation to the 12? sectors.
5i Research Answer:
This is strange, so our IT team is checking what happened here. Here is the question and answer:
July 06, 2016 - Asked by olivier
Q: Hi,
I have a diversified portfolio consisting with the majority of my money being in etfs: XIU, XEI, VTI and VXUS
I use a spreadsheet to calculate my sector allocation.
At this present moment in the macroeconomic cycle, should I be equally weighted across the 12 sectors ?
If not, in which sectors should I be under and over weighted respectively ?
July 07, 2016 - Asked by M S
Q: Your answer to Oliver ( July 6) seems not to have printed. He was asking about his allocation to the 12? sectors.
5i Research Answer:
This is strange, so our IT team is checking what happened here. Here is the question and answer:
July 06, 2016 - Asked by olivier
Q: Hi,
I have a diversified portfolio consisting with the majority of my money being in etfs: XIU, XEI, VTI and VXUS
I use a spreadsheet to calculate my sector allocation.
At this present moment in the macroeconomic cycle, should I be equally weighted across the 12 sectors ?
If not, in which sectors should I be under and over weighted respectively ?
Q: I realize these two companies are very different, but both have had a nice share price reduction recently (well, nice if you're a potential buyer!). Straight-up question: Which would you choose for a better TOTAL return over a 5 - 10 year time frame?
And do you see a material difference in net risk between the two over such a time frame? Thanks!
And do you see a material difference in net risk between the two over such a time frame? Thanks!