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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: Hi 5i: With respect to the question asked by Dennis about AVO buybacks: I recall reading quite recently a statement by AVO to the effect that the AVO board figured that their shares were undervalued, and that they therefore planned to support their shareholders by doing a series of buybacks. In other words, they have been up-front about their motivations.
Read Answer Asked by Roland on June 16, 2015
Q: In reference to another member's question from earlier today, isn't it likely that there will be no Grexit and that the EU will simply force a Cyprus-style bail-in of the Greek banks and country? If so, I'd expect to see very little contagion but I would be highly concerned if a citizen of Greece or any other financially "borderline" EU state.

Post at your own discretion, of course.
Read Answer Asked by Marc on June 16, 2015
Q: You guys are amazing. Best investment service out there! Keep up the great work.
Read Answer Asked by Scott on June 16, 2015
Q: Your opinion on NRI? They seem to have some plans for their p2 product and wf10 trial.
Read Answer Asked by Ron on June 16, 2015
Q: Which stocks that you guys cover, including the growth portfolio, have a decent chance of becoming ten baggers, I fully understand the risks associated with this, thanks?
Read Answer Asked by Pat on June 16, 2015
Q: Hi Peter and the 5i Team,

I presently hold 1000 shares of CVD in my RRIF and it's down about 5% (excluding the dividends, so it's down only marginally). I saw an ad in today's Globe describing Fiera's "Canadian Preferred Share Trust", where you can exchange shares in CVD for this new fund. Do you see any advantage in doing this? The Fiera offering is actively managed, but since it's essentially a closed-end mutual fund (am I correct?) wouldn't the fees be higher than CVD's? I know you like Fiera as an investment, but would this translate to liking this product? (Don't buy mutual funds; buy shares in mutual fund companies?) As always, I appreciate your advice and recommendations.
Read Answer Asked by Jerry on June 16, 2015
Q: Both Dream and Cominar's dividends are about 9%. Would you consider then a buy, sell or hold at this time in light of the prediction of higher interest rates in the future.
Read Answer Asked by Dan on June 16, 2015
Q: What would be your advice to your members with respect to a possible GREXIT before the end of this month if the Greeks do not pay monies owed to the IMF??
Do you see a catastrophic collapse of the Canadian stock markets as was the case in 2008 with the bancruptcy of Lehman Brothers?
Would you advise your members to sell ??
Read Answer Asked by Terry on June 16, 2015
Q: Hello Peter, I am starting anew portfolio for my wife TFSA with 25 k and non reg with 25 k each as initial amount and then regular monthly contributions . Wish to use model portfolio. Question -
1. How would you advise to allocate initial capital. Any top 10 from amongst model portfolios for each account
2. For monthly contributions going forward, what would you suggest. Buying more of beaten down stock among above or a etf. Commission not a issue.
This would be for a medium to high risk tolerance and 2-3 yr hold.
Thanks and keep up good work. R

Read Answer Asked by RUPINDER on June 16, 2015
Q: I wanted to get your opinion on the news release that Loyalist just put out today with respect to shoring up their liquidity. Please advise.
Read Answer Asked by Brent on June 16, 2015
Q: As a new member may I ask if you comment on funds such as PHW. I am about to make a purchase. The strategy looks good to me. What do you think? Thanks.
Read Answer Asked by John L on June 16, 2015
Q: Txs for your great advice on SJ.It has dropped fr. a recent high of $47.37.Is this an opportunity to buy more in this market? & is $40.00 a good entry point?.Appreciate your normal great services & advices.
Read Answer Asked by Peter on June 16, 2015
Q: Hi, I have unsuccessfully been looking to invest in Canadian healthcare via an ETF or Mutual Fund. My time line for investment is long and am looking primarily for growth. Can you name 5 quality companies in this category. Thanks in advance.
Read Answer Asked by dale on June 16, 2015
Q: Could you please specify what you consider the market cap to be for large cap, mid cap, small cap and micro cap. Also, what percentage in each of these categories, would you consider reasonable for a balanced equity portfolio.

Thank you
Read Answer Asked by Rose on June 16, 2015
Q: Hi Peter, Please clarify: In your response to Phil question today about Mawer funds, you say MAW 150 fees are 1.5%. The fund shows MER @ 1.82% and 1.5% Management fees, which is included in the MER, right? So the investor gets charged 1.82%, right?

With MAW 120, MER is 1.41%, and management fee is 1.15%. Investor gets charged 1.41%, right?

Thank you!

Silvia
Read Answer Asked by Silvia on June 16, 2015
Q: Peter, do you know this company and whether the recent developments justify holding through the transaction? I'm currently up 25%.

Thank you, Stephen
Read Answer Asked by stephen on June 16, 2015
Q: Good Morning Peter, Ryan, and Team,
I noticed this morning that, according to AVO's most recent Ink Insider Report, 563,400 shares have been repurchased at an average price of about $17.50 so far since May 14, 2015. Avigilon raised $100 million back in April, 2014 at $29 per share. Aside from alienating those people who purchased shares at $29 do you think it makes sense for a company in hyper-growth mode to use their cash to buy back stock when the company is not generating any free cash flow on an operating basis ??? (using data from TD Direct Investing) Your opinion would be greatly appreciated. Thanks, DL
Read Answer Asked by Dennis on June 16, 2015
Q: Can I have your thoughts on Gold Corp's offering of their Tahoe shares @ $17.20. If I remember correctly they have increased their credit from 2 billion to 3 billion just two days ago.
Read Answer Asked by Catherine on June 16, 2015