Investment Q&A

Q: Hello Team
The $USD has been basically parabolic since July. I would like to hear your opinion regarding (1) The sustainability of such a move. Can the USD go it alone? (2) The effect on the U.S trade deficit. Was it not a strong dollar that contributed to large trade deficits in the past which , in turn, contributed to financial issues in the U.S. (3) The effect on U.S. companies selling abroad. Is it not a drag on their earnings. Is there any evidence of such a drag in the U.S. earnings yet. What do you guys think going forward?

Thank You for your valued opinion

Clarence

Q: A guest on BNN recently said he was shorting MCR and thinks it goes to zero. This has got me concerned as I'm down 70% and had planned to wait out the oil recovery. My question is do you also think it goes to zero or do you think it will survive at this point? Could it be an aquisition target? I seem to have a problem knowing when to sell. Any advice or articles on when to sell a stock would be appreciated. Thank you for your service.

Q: Your view as to whether this is a good buy, especially in comparison to the other companies in similar business at current prices of your favourites?
thanks for all you do
john

Q: Hi guys, what would your current opinion be for Teck resources based the reliability of the dividend for the forseable future and the potential upside related to the possibility of coal tariffs being lifted by the Chinese.

Thanks

Q: This company may have the potential as a turnaround stock (to borrower from Peter Lynch). Any thoughts?

Q: What do you make of their latest financial report? Would you buy this stock now? Thank you.

Q: Hello Peter & Co,
Are there any Canadian equivalents to Goldman Sach's BDC that lends to companies banks used to lend to?
Thanks,
Antoine

Q: Hi There - I'm up 46% on CMH in the past couple of months. Has it got ahead of itself at a PE of over 100? Should I take the profits?

Thx very much.

Q: A member asked about transferring a stock held at a loss to his/her TFSA. As you point out, one could sell the stock and wait 30 days before re-acquiring it (that is, inside the TFSA.) Aternatively, one could purchase it inside the TFSA, then wait 30 days before selling the losing position. Of course, this ties up more funds - but under the right circumstances (including sector allocations) might be preferable to giving-up exposure altogether. After all, if the stock continues to decline, then the claimable loss is greater. Perhaps the more pertinent question is whether one believes in the stock strongly enough to hold on to it, in spite of the possibility of unclaimable losses (that is, on the position held inside the TFSA.)

Q: I am in the process of figuring out exactly the amount of each sector holding that I have and wondered how should I record preferred shares, should these recorded a financial sector?

Thanks

Q: in your summary report you list Enbridge as belonging to the Energy sector but you often refer Enbridge as a good Utilities stock so should Enbridge really be under the Utilities sector?

Q: On March 5, 2015 theScore, closed a bought deal for 39,560,000 shares at a price of $0.67 per plus the over allotment option of another 5,160,000 shares.
Do you believe they are about to make an acquisition or just strengthening their balance sheet. Are they diluting themselves too much?

Q: There is an IPO on Monday for a recycling company called Grey's paper. It is supposed to come out at .25 cents a share. The city of Edmonton is already invested in them. Do you know anything about the company and the IPO. If not do any other members know anything about the company. Thanks.

Q: My apologies, as I tried to send an email from my phone earlier today, and had problems with service, and phone.
I thought I had completed my dudiligence on syz, and seemed like a great buy coupled with insider buying. Technicals indicate oversold, as well as RSI is low.
Markets were not good today, however what is wrong here, and should I be selling to average my loss.
Thanks for the great service

Q: Hi 5i: Thanks for pointing out the BoC interest rate hike as the cause of the increase in CBO price. I had actually just realized that as I read the ROB magazine over lunch. But it is interesting that a significant increase in the CBO price seems to have started in late December/early January. Poloz is quoted in ROB saying "... the possibility of a rate cut had begun to enter markets in the last couple of weeks." I didn't think that was supposed to happen.

Q: Hi 5.
For the next 12 months would you go with GUD or CXR if you could buy only 1? Thanks.

Q: hi;i bought these preferred shares 2 weeks ago and they went down 5.4% I,am not selling but why the drop. was it currency?thanks brian

Q: Dear 5i; I was reading through the TFSA questions and the one asked by M S on July 17, 2014 got me thinking about transfers-in-kind and taxation. So firstly, I wouldn't necessarily want to transfer a "gainer" because of the capital gains tax payable. On the other hand, it seems to me that transferring a stock that is currently under-water could be advantageous. This would of course be a stock that I intend to keep because I expect it to recover, so therefore the inability to claim a capital loss is a moot issue. The advantage would be that for a given amount of contribution room, I would be able to transfer a larger number of shares into my TFSA than if the stock were at or above my ACB.

Do you think this is a sound strategy, or are there other considerations that I am missing?

Q: I am debating whether to invest part of my portfolio in ENB or ENF? ENF has had a better return of late and has a higher dividend. Which would you go for? I am looking for a good long term return as well as a good distribution. Tnx.

Q: Hi Guys,

This is a follow up to Alayne question on BRF.pr.A.

Don’t forget, the 3.32% dividend is on the original $25. If you calculate it on the current price of $20.35 you get a return of 4.1% ($25x3.32%/$20.35). If it is held outside of an RRSP in will have an equivalent interest rate of approximately 5.3%. This is much better than current yields.

If you reset using the short term provision and if the T-Bill rate went up 1% next year your yield would probably jump to something over 5.25% (6.8% bond equivalent) at that time and you could eventually have a capital gain from the $20.35 to $25.

Not all that bad.

I’m in the same boat with GMP Capital, GM.PR.B. Any comments on this company?

Thanks
John