Investment Q&A

Q: Would appreciate your advise on sector allocation by criticing what I have now with your opinion looking forward. What I have today is as follows:
Energy 4%
Cons disc 16%
Cons stap 18%
Fins 16%
Health Care 5%
Industs 10%
Mats 7%
Utilities 10%
Info Tech 15%
Telecom 0%
My Health C is GUD & EXE only
I am not looking at long term, 0 - 5yrs or so.

Q: Hi Peter, have some money to invest but have difficulty to pick the one best/safest for the next 2-years. Will appreciate your ranking. Perhaps a another one you can suggest.
Regards, J.A.P. Burlington

Q: Is there anything wrong with buying 1000 ABC shares @ $10 today that pays a 10% Div, with Ex date of 2/23. Selling them all on 10/27, and then repeating with another stock with an approaching ex Date? Seems too simple to be making a G every week?

Thanks!

Q: How often do you recommend rebalancing a portfolio and what does that process look like?

I started with a 5% position in CXI in January and am up 38% and want to know at what point I should sell some shares, how many and what to do with the proceeds of the sale.

Thanks!

Q: Exco closed at $14.69 today,Feb. 18, after its announcement of taking over a US company for 83M several days ago.Is it a buy or would I be chasing it at its current price? Thanks as always for saving me from myself on many occasions.

Q: I'd appreciate your thoughts on CBL, please. Thanks

Q: In your reply to Tim, you stated that CSU is actually cheaper on a valuation basis than it has been for some time. I missed it when it was down to $438.00 but today it is about $520.00 a jump of about $82.00 in 10 days. At $520.00 is it still good value?

Q: Hi Peter. Is this a good time to add to my position in Enghouse (ESL). It was soaring a few months ago but has since fallen. Is there a reason for this. All news seems to be good.
Thanks.
Cam

Q: Peter and His Wonder Team
I am looking for an under valued junior gold. I have been researching NMI. I know you have liked Mandalay. Would you please compare these two companies. Which one has the best future potential. On the other hand...do you have a third consideration?
Thanks for your always reliable service...
Respectfully...
Dr.Ernest Rivait

Q: Any thoughts about Garmin, given their recent results? I'm looking for a reliable dividend with some potential for growth, does this fit the bill?

Q: SCB rose 17 percent in the last 90 min. of trading. I cant find any news, and the volume was only average. Have you heard anything?

Q: Hello Peter and the 5I team

I have been having a debate with a friend as to how interest rate hikes affect stocks (especially REIT's, pipelines and utilities shares) in the North American stock markets (FED and the BOC). His take is that it only increases the cost of borrowing. My take is that it 1.increases the cost of borrowing, this would put pressure on all businesses not just pipe, REIT's and utilities. It would actually put pressure on all asset classes. 2. Make bonds a more attractive asset class to own compared to stocks. The risk/reward balancing act would slightly tilt in the favour of the bond over say REIT's, utility or pipeline stocks which are generally known for their safe dividend yields. So people would flee the equity market and go toward the bond market causing the stock prices to fall. Would you say that I am more right then my friend??? Is there more to it then my rather simple explanation???

I was curious about BEI.UN, what is the pay out ratio? What is the P/B ratio and would you consider this a ok place to put money?

Thanks

Q: I am looking at purchasing more BIN for what I see as diversification in a long term (10 years or more) portfolio. With the recent purchase by a large US company it appears even more attractive to me. However you action in removing it from a model portfolio has caused me to pause in my decision. I would appreciate it if you would provide your rationale for removing BIN. Thank you.

Q: New member here.

As an individual seeking to replicate the allocation of one of your model portfolios in the longer term (over a year or two, as I shift out of current investments), what is the appropriate way to evaluate if your current portfolio elements continue to be a buy vs a hold?

My concern is buying in to a position that you are about to drop because it has reached its investment limit, either too high, too low, or just flat. CSU is an example that comes to mind: this security increased 329% since you included it in the portfolio, but I would be concerned whether this is near its limit for growth.

My initial thought is to simply match your newly initiated positions as they come and ignore the previous complete portfolio.

For the future, what is the appropriate method to rebalance your positions?

Q: Which do you prefer, ENB or ENF? Thanks Kindly!

Q: AIG has dropped from about $64 to$ 52 since Nov 2015. What do you think the stock will do in the future?

Q: I would like to increase my oil and gas exposure. I currently own Peyto and up a bit on it. Could you recommend one or two others to add that should do well assuming price of oil goes up.

Q: Hello 5i team,
For the person who wanted to know annual TSX total returns; data below includes 2.8 to 3.0% dividend yield
2005 +21.9%
2006 +14.5%
2007 +7.2%
2008 -35.8%
2009 +36.0%
2010 +14.4%
2011 -8.4%
2012 +6.6%
2013 +12.4%
2014 +10.2%
2015 -8.3%
Regards,
Antoine

Q: Looking to fill a new TFSA for a grandson & thought these 2 might fit the bill. Good dividends & reasonable growth prospects. Your advise - please. Thank you.

Q: I am making an initial RRSP purchase and would like to start with a small number of ETFs. Could you recommend a starter portfolio of three to five ETFs (20-year timeframe)?