Investment Q&A

Q: In the US, there is different tax treatment for "long term" capital gains versus "short term" ones. Does such a differentiation exist in Canada?

Q: What are your thoughts on PHM's Q2 results released today?

Q: I would like to respond to Paul F`s question regarding the best time of the day to make a trade and as well look for some sort of logic as to what happened to Currency Exchange`s SP price since yesterday. I have been following your recommendation on this stock for several weeks now, but was leery on it as it does not offer a dividend. I finally could not resist buying into the growth expectations of CXI and decided to buy. CXI closed at $32.98 on Friday and opened yesterday around $33.00 with upward momentum. As per the strategy that you have communicated, I held off until 11:00 AM before placing an order. The quoted price at that point on BMO Investorline was roughly $33.40. Due to the live time delay of ½ hour, I unknowingly had the distinction of being probably one of a few people who bought at the record high of roughly $34.70. The SP then immediately took a tailspin and finished the day at $31.70. At the time of this writing the SP is now $29.47. I have owned the stock for less than 24hours and am down over 15%. My big mistake was not setting a price limit and as a result availing myself to the mercy of the bid-ask process. This negative however pales in comparison to the precipitous fall of the SP in such a short timeframe. I am looking for any amount of salve to heal my wounds but am more interested in sharing this with other newer investors who may learn from my mistake. In my own defence, I have to say that I did not expect this kind of volatility from a stock such as this. Caveat Emptor, I guess. Thank you.

Q: Hi Peter; whats up with cxi? I can't find any negative news that would cause such a dramatic drop. thanx Rick

Q: Could I get your take on Questor earnings and outlook for the future. Thank you.

Q: I bought some XSR for income, but also because earnings are forecast to rise in the coming years. As telecoms are focussing more on content, do you see any potential takeover interest in this stock ?

Q: Due to past circumstances and bad advice the majority of our investment portfolio is in Registered Accounts leaving our TFSA's with plenty of room. Would it be wise to gradually over the next 10 years of retirement move (I am not sure if I can move stocks directly in kind) some of the registered $$ which consist of 5i Balanced and Income portfolio stocks to max out the TFSA allowing the stocks I own to grow tax free. I would of course have to pay the tax on RSP withdrawals along the way. I do realize that I would have to manage income accordingly in order not to jump into the next tax bracket. The stocks I would move would be higher growth stocks in order to take advantage of the flexibility of the TFSA. Any advice is appreciated. Many thanks!

Q: Hi Peter and Team!!! I know that you do not normally follow US stocks, but I was wondering if you have heard of Align Technologies and what you think of it as a growth stock. Cheers, Tamara

Q: Over the past 6 months this stock has traded in a range from $4.40 to $4.75 or so. Do you see the stock going back up to the 4.75 level ? Do you expect Rogers to see increased international sales due to the low Canadian dollar ?

Q: Hello Peter & team, What are your expectations for OTC earnings being released after market close? What impact would a strong $US have? Would it be better to start a position before the earnings release?

Thank you!!

Q: I am not one to be too worried about the exact price at which I purchase a stock, as I take to heart your advice that for a true investment that could last years, a percentage or two difference in price isn't going to be a deal breaker.

Having said that, you once commented on the best time of day to buy a stock but I can't locate your answer now. If I remember correctly, you suggested that one should wait until an hour or so after the opening bell for some reason.

If that is correct, I was wondering if any time after 10:30 a.m. (EST) is good or is it better to wait until just before the closing bell, during lunch etc or does it really not matter?

Appreciate the insight.

Paul F.

Q: i bought CVE last year at $20/share, mainly because the yield had risen to above 5% due to the declining share price. At the time it looked like they could cover the dividend and the plan was to hold for the long term and collect the dividend. But given that they raised equity earlier this year and are looking at asset sales would you consider the dividend at risk based on current cash flows? I'm concerned that if they cut the dividend the share price will plummet. Thanks

Q: Hello, what are you thoughts on xerox as long term hold? It has recently lowered its earning forecats and revenue has declined past few years. What similar company in us would you recommend replacing with if you considder it a sell?

Q: Please comment on earnings. Looks like a large miss from here?

Q: A member had asked on the tax treatment for options trading. It is not as straight forward as your answer indicated. It is detailed on http://www.taxtips.ca/personaltax/investing/taxtreatment/options.htm

Q: Do you still expect modest growth from PFE into 2016? What might the impact of the strong US$ be on earnings and results? I have held it for several years for the dividend mainly. I would like to buy WSP instead and know this is apples to almonds, still....your opinion please and thank you.

Q: I hold 6500 shares of Surge Including dividends I am down a little less than $ 9,000 Would you hang on for a recovery or buy Torc or Whitecap It is still less than 5 percent of my portfolio
Thanks
Paul

Q: Can you please give me advice on how to purchase us stocks in the most cost efficient manner.

I do not have very much in consumer staples and would look toward the US side to diversify.

I would consider purchasing proctor and gamble for example and 1000 shares would be > 80 000 $ US.

I have the funds in canadian dollars. I presently self manage my portfolio through BMO investor line.

how would you recommend proceeding with such a purchase in the most cost / fee efficient manner.

would you recommend an ETF in the consumer staples sector instead ?

thank you

Ernie

Q: Thanks for your comments on alternative investments. I would like to know which of PMM or PHE (hedged or not hedged) you would recommend or would I just stay the course with conventional holdings? I would be investing 20K between our two TFSA accounts. The contents are currently heavenly weighted towards income.
Thanks to all

Q: Could you please give an update on theScore? I feel like I missed the boat and would love to take an initial position. As of today it's trading near its 50 dma and is now over sold on the 2 hour chart. Would this be a good entry point at 0.70 cents?

Thank you, Dwight