Investment Q&A

Q: What are your current sector waitings for moderate to aggressive investors? Thank you

Q: Hello Peter....Now with a diversified portfolio, I'm looking to sort the existing holdings and new additions between 3 accounts - new TSFA, adding to non-registered account and managing an existing LIRA account that is can be drawn down beginning in 2107. I'm doing this because of the different income tax rates related to gains, dividends and interest as outline in recent 5iR Q&As. It would be helpful to me to know the holdings in the model portfolio and the income portfolio that you consider to be foremost growth oriented. For those, I would allocate to the TFSA. And I take it for ones like Surge that is growth oriented but with a high yield of about 8%, you would consider assigning it to the non-registered account. And ideally, fixed income and trusts would be held within the LIRA account. Thanks for the guidance......Tom M

Q: An alternative look at the UN Climate change announcement. Europe seems to be tearing up all those juicy contracts that business' signed in recent years. Cameron vows to eradicate all the land based turbines! it's hard to keep up! FinPost's Lawrence Solomon in todays edition:

http://business.financialpost.com/2014/04/04/lawrence-solomon-reversing-renewables/

Q: A friend recently brought up an investment opportunity for puddle pond resources, a junior mining company located in newfoundland. How can you properly research these companies that are not listed yet? The news articles on their website sound promising, but I also know they are trying to raise cash. I have never invested in unlisted companies and would appreciate any info you can provide.

Q: I am underinvested in US stocks - my USD account is only 1/30 of my portfolio.
1. I have missed some great opportunities and I can't buy anything without incurring 11.3% exchange ... HOWEVER People are talking about 15% exchange in coming months.
2. I don't wish to be too late in play if the CAD returns to Par.
3. What is the smart money doing ?

I guess it is best to inch into these things ...
You talk about having 1/5 in US equities and I'm not even close !...

Q: Hi 5i: What would you think of using JNK instead of XHY for income? I would hold it in my RIF account.

Q: Hi Team
Crescent Point Energy has some detractors due,they say, to the dilution of share value and the high payout ratio. It is essentially the same price I paid for it several years ago and it keeps me awake at night although I like the almost 7% payout. Would you recommend a swap into Tourmaline?

Q: Hello 5i team
With the changes in your model portfolio and the new income portfolio I have some questions regarding making changes to my portfolio.
I have owned TransCanada Pipe Line for a while, bought at $36 so I have a nice capital gain. I see you prefer Enbridge which I have avoided because of its expensive valuation. I own TRP for income and growth, I have 1000 shares, should I swap for Enbridge? TRP is in my RRIF account.
I recently bought Precision drilling but this is not in your portfolio, I was diversifying into the oil and gas services sector. Would you recommend a swap with Black Diamond Group or do you have an alternate?
Thank you David.

Q: I have a large portfolio consisting of Canadian stocks - large cap only. I think my portfolio should be more diversified and I was wondering what percent you would suggest for your model portfolio as well as US stocks. And would you put the US stocks in an RRSP to avoid withholding taxes? Thanks for the advice!

Q: Hi 5i Team,

I cannot find a consistent definition of small-cap, mid-cap, large cap, and even micro-cap (anything else?). Everyone seems to have their own definitions. Since you use these terms frequently can you define in terms of market capitalization what they mean to you (5i research) for Canadian and US stocks.

Also what are the market capitalization values that seem to trigger more investor interest in a company? For Canadian stocks it seems that once market cap reaches one billion dollars, it gets more investor interest (I think I read that here).

Thanks,
Paul

Q: Over the past few years I have made significant profits in the markets.How do I safeguard thse profits as I FEAR A SIGNIFICANT correction is looming?I have vivid memories of 2008.Is a 10% stop loss a good way? Or what can you suggest> Thank-you

Q: I have a full position in CUS Canexus and AD Alaris Royalties. I've essentially given up on CUS and am doubting AD. I'm thinking to sell both and invest the the proceeds into CCL.B CCL Industries and BDI Black Diamond group.

I generally don't do much trading and like to be patient but these two especially CUS have really messed up lately. What is your opinion on this.

Q: 5i Research team
Could I have your opinion on (spb) superior plus. Is its dividend safe? it looks like it may be breaking out.
Cal

Q: Dear Peter/team,
It is very nice for you to answer all members questions and as membership increases - I think it will - you may not have time to answer all their questions, and some members are demanding a lot.
I wish you would put some more time on the real research than answer some of the repeated questions.
Thanks Again.

Q: Thank You to 5i team for the assistance you provide,i resetting my rsp. portfolio based on your income list.For many years i kept PPL running on ours RSP and TSFA and added some TOG about 6 months ago,can ENB and SGY be replace by PPL and TOG in the same size proportion about 5% in each account i'm over 70 (yes)
Dan

Q: Hi 5i: I recently (5th, maybe the 4th) asked a question that hasn't had a response yet. Maybe I'm just being impatient, but I thought I'd repeat it just in case. I was wondering if JNK might replace XHY in the income portfolio given that I will be holding it in a RIF account. It seems to me that the JNK numbers are a little better than those for XHY. Thanks.

Q: Good day, 5i.
Can you explain the drop in Telus shares recently and confirm whether this is a good time to add to a position?

Thank you kindly,

Q: I am considering taking a position in CTC-A, but note that it is not in your portfolio. I also own Loblaws - L - which is not covered. What is your opinion on these two stocks?

Q: My first day as a member and I already I feel good about your website......your thoughts on enf as well as agf.b I love the big dividend payers that have a good peg ratio,do you think these two are exactly that? I look forward to your insight.

Q: Hello

I hold Surge energy in my self-directed RSP account and who is taking over as a merger of Longview oil that I hold in my
non-registered direct trading cash account.
I will be left with after the takeover/merger of Longview oil, only shares of Surge Energy in my RSP registered account.
How will this affect my RSP contribution amount and the tax implications in both accounts.

Thanks
Michael