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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: I already own ADW.A but with the recent decrease in the price of the B shares I am considering adding a purchase of the B shares. I would appreciate your opinion.
Read Answer Asked by Dennis on December 02, 2014
Q: I am learning a great deal from your question and answer pages but for the life of me I cannot understand why a company like Loyalist keeps loosing share price. Over the past week or so there have been several positives including record earnings, new acquisitions, insider buying and the share price goes down or stayS even. This is DRIVING ME CRAZY! (All caps means I REALLY mean it!) Can you tell me why the price isn't going up?

THANKS!!
Read Answer Asked by Bryan on December 02, 2014
Q: I have some new money to invest. Still working at 56 but plan to retire in the next 5 years. Plan is to live primarily off dividends when I retire. I have no company pension. I am fortunate in that in a worst case scenario I could still work part time if this does not work out. Would you advise investing in the complete model income portfolio or the complete model portfolio. Both have done well. My gut tells me to stick to higher dividend stocks at this stage in life. Thanks
Read Answer Asked by MANFRED on December 02, 2014
Q: hi folks:
looking at the chart of fts and to a lesser extent ema I wonder if we are in effect 'going parabolic' (as far as staid utilities can go)
these are fine companies with fine earnings etc, yet at what point does one think that perhaps much of the huge move in the last 2 months is not based on 'fundamental' future improvements yet simply by old people (me) and my parents buying what is perceived as a 'safe' dividend producing asset?

18x pe is surely not cheap for any utility

the charts each look like $34 would be a good price to buy or re-buy

comments

thank you in advance
Read Answer Asked by Robert on December 02, 2014
Q: I hold CFL in a registered account mainly for its dividend (currently 11%). Bought it at $3.00 and was doing well for a while, but is now down 27% from my cost. Recognize it's a small cap with some revenue coming from the oil & gas sector, so not without its risks. The recent quarterly report didn't seem too bad, though recognize that's looking backward. The stock has recovered a bit today, up 4% as I write.

At today's price, it represents about 1% of my total equity portfolio. Do you see the stock price recovering eventually? Does the dividend appear sustainable? If yes on both questions, would it be worthwhile (or foolhardy) to top my CERF holding up to 1.5%?

Thanks as always for your sound advice and terrific service.
Read Answer Asked by Thomas on December 02, 2014
Q: Any insight into the correction here? Thanks.
Read Answer Asked by Gregory on December 02, 2014
Q: Morning ...first of all I want to thank you and Ryan for answering all our concerns regarding the oil sector. These are trying times for us amateur investors (especially me) ...we are living the results of proper diversification and weightings, I think these are valuable lessons for all of us. My question is this ...you mention the hedging aspect of companies selling oil at a certain price ,can you tell me how far into 2015 does Surges hedging go? Would I be correct in presuming the dividend is safe till new prices (lower) then hedged in? Thanks as always.
Read Answer Asked by Alan on December 02, 2014
Q: Has been in a downward spiral .Is it the quality of holdings,high payout or other factors that seem to be causing the down.?
Read Answer Asked by terrance on December 02, 2014
Q: Good morning Peter and Team,

In the current sell-off in the energy sector, is IPL worth holding? I was thinking to sell it to lock in a rather substantial gain of over 40%. The portfolio is well balanced, but it's always nice to take a profit, or is it? I was also thinking that the commodity sector is perhaps not the place to "buy and hold". Your timely advice and service is greatly valued.
Read Answer Asked by Jerry on December 02, 2014
Q: Do you know when Sylogist will be issuing year end results?
Thanks
John
Read Answer Asked by John on December 02, 2014
Q: Hi Peter and team,

In the past you have mentioned how when a company reaches a certain market cap threshold (e.g. one billion dollars) it starts to attract more interest from investors.

When the reverse happens (i.e. when a company's market cap falls below these thresholds), do these investors start unloading, helping to increase the negative stock momentum?

The case in point is Surge (SGY). As of close on Monday it's market cap is now 970 million (below the magic billion dollar threshold). A week ago Monday its market cap was over 1.3 billion dollars.

In addition to OPEC, US production increases, tax-loss selling, and year-end portfolio positioning, can this also be a contributing factor for the accelerating downturn in some stocks like SGY.

Paul J
Read Answer Asked by Paul on December 02, 2014
Q: Hi,

Would your opinion on SOX change after their recent purchase. How much of their business will be impacted by Oil & Gas sector.
Read Answer Asked by Imtiaz on December 02, 2014
Q: H2O went from 33 cents to 1.65, I bought at 33. Sell? Hold? Any idea why the sudden jump in price? Also, I bought more SGY today at $4.41, I believe it's good timing - as long as they don't go out of business. Any comment on that possibility?

Many thanks, like many other customers of yours, you've made investing more interesting and profitable and I greatly appreciate and feel very fortunate to have you out there.

Dave
Read Answer Asked by David on December 02, 2014
Q: Hi, I noticed in your last email update you mentioned you had a new mobile app available for Android phones and others but you did not mention the iPhones. Is this app not available for all of us iphone users? If not any plans for us in the near future? Thanks.
Read Answer Asked by Mario on December 02, 2014
Q: Hi Peter and 5iResearch Group,
As you have noted that interest rates will likely remain low for sometime, would you recommend using ETFs for medium and/or long-term bond portfolio positions vs. purchasing individual bonds. Also, should both US and Cdn. bonds in each/either category be purchased? Thank you. Linda
Read Answer Asked by Linda on December 02, 2014
Q: re: Linda's question on DBC and the Dalio formula. Linda may want to look at USCI; in my estimation its a superior ETF/ETN.
Paul
Read Answer Asked by Paul on December 02, 2014