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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: Please comment which type of account (non-registered, RRSP or TFSA) would be best suited to hold Brookfield Business Partners). From the prospectus the distribution will be approximately $0.25 per annum (1 %). I currently hold the other Brookfield LP entities (BEP, BIP and BPY) so I am familiar with the issues associated with T-5013 on my tax return.

Please comment whether it's better to hold the TSE listed units (BBU-UN) in Canadian dollars or the NYSE listed units in US dollars.

Thank you for the excellent service.
Read Answer Asked by Stephen on June 22, 2016
Q: Like others, I hold a number of REITs, mainly for income. I'm increasingly concerned how the value of these would be effected when Canadian real estate corrects.

I'd like to know how much would you expect the price of REITs (in general, ofcourse) to change if there is a hard landing for real estate in Canada (say a correction of 30%). Perhaps an estimate with respect to Industrial, Commercial and Apartment style REITs.
Read Answer Asked by Cameron on June 21, 2016
Q: With the difficulty getting a new softwood agreement with the U.S. would it be more prudent, at least in the near term, owning a company like WY instead of Canadian lumber stocks at this time? or perhaps owning some WY and either IFP or WEF as well?
Read Answer Asked by Rudy on June 21, 2016
Q: Hello,
I have approx 25% of my portfolio in my US$ account and those funds will remain in US$ for the long term. When the CAD$ strengthens vs the US$, my overall portfolio balance drops as a result of this.
Are you aware of an ETF or other product that would protect my overall portfolio balance and act as a hedge from a strong resurgence in the CAD$ to more or less prevent losses simply as a result of the CAD$ going up in value? Also, if there is such a product, how much would I need to buy to cover 25% US$ balance?
Conversely, is there a pairs trade that you could suggest that would keep my accounts balanced at the current levels regardless of which way the Cad$/US$ goes? Again, is there a percent amount of my overall portfolio balance that I would need for each of these to more or less keep me revenue neutral and not have to worry about currency fluctuations?
Thank you.
Read Answer Asked by Alan on June 21, 2016