Investment Q&A

Q: I am a little overweight in utilities and am thinking of selling some TRP. I am thinking of buying AFN, NBD, MX or VET. Do you prefer one over the other? BAD is clearly an excellent company but I get the sense the stock has gotten ahead of itself.

8.3% of our portfolio is in energy - mostly gas (ARX, PEY & BNE) - not sure if I would be getting overweight in energy with the addition of VET.

Your thoughts would be appreciated.

Thanks

Q: This is a repeat of a question that I believe did not get through because of a time out.

It's almost a year since I purchased a 5i membership and will happily renew in Oct. I find the the Q&As most interesting and the more I read I find I seem to be picking up on subtleties. I do have a problem understanding what seems to be a subtlety with the grading system. It seems that 5i considers B- and certainly C+ companies more risky but suitable for income. I would think that someone requiring income would be looking for less risk and security of income.

To give you context I have recently taken control of my investments at a discount brokerage to reduce cost. I'm working toward building a portfolio that will provide 4% annually as a living allowance within a year plus a little extra to cover inflation and the odd treat. I hope I'm not being too optimistic or aggressive.

I now hold B- and C+ with AFN, CS, MCB, NAL and EH and wonder if I should consider replacing. I also hold 12 A to B stocks, a couple of blue chip Canadian large caps as well as ETFs that give me Canadian, US, Global less US and fixed income to round out the holdings.

I would appreciate comments on B- and C+ companies and my use of these as well any other thoughts you may have.

Many thanks,
Brian

Q: Hello 5i staff, John Degoey recently picked FSL on BNN Marketcall. Could I please have your opinion on this ETF? Would you expect money market returns or better? Do you see much risk here? Thanks again for the excellent service

Q: Enghouse (ESL) just released quarterly results which look to me to be very good. I would appreciate your assessment. Thank you, Peter

Q: Peter what is your outlook for gvc?its almost at an all time low.
Why so low?
could they be a take-over candidate?

Q: Could I get an update on AuRico (AUQ). I can't understand why it is doing so poorly.
Should I get rid of it or add to it?
Thanks

Q: What is your outlook for IBM? I have made some money on it and am wondering if it is time to take my profits. Thanks.

Q: 5I... Your work and your site is awesome!! Fantastic value!! (but don't change the pricing.. LOL) The structure is really great for small investors like myself... now onto the question... any suggestions for some good companies in the small cap space? Or mid-cap space? Thanks for your absolutely wonderful site!! Keep up the great work!! Too good to be true??

Q: Dear Peter and Staff,

Bank of America is being taken off the Dow; would you please give me your opinion of what might happen to the stock price. Should I hang on or take my gain and move along?
Many thanks, a day doesn't go by without my reading your questions/answers etc. Your service has been a tremendous help.
Many thanks, Catharine

Q: If I was to add a tech stock for a five year hold would you go with DHX, AVO, RKN or HGN for capital gains?
thanks a lot, Mike

Q: Peter,

I have an RRSP question. If you have Canadian ETF's with international exposure, is there a limit on how much of those ETF's should be as a percentage of your total RRSP portfolio. Lets say my Canadian ETF's with foreign exposure are 50% of my total RRSP portfolio, would this be allowed. Thanks

Q: Now that Premium Brand Holdings has fallen from its highs, what do you think are it's longer prospects. It's debt concerns me but the dividend is great. Would you say buy this dip is buy more, hold or sell?

Q: with the possible positive seasonal trade for nat gas coming, are there a few CDN non-large cap companies you would recommend?

thanks for your service, Mike

Q: Hi Peter,

I see that Potash (POT) price has been on the positive side for the last few days. Would you say the time is now right to invest in POT for the long term?

Regards,

Gervais

Q: I am considering adding the following to my portfolio eci, hnl, and cdi and would appreciate your comments on their potential.
Thanks for great service.
Stan

Q: Peter & Co.,

I'm curious to hear your opinion on today's G&M article entitled "Time to book profits in Magna, other auto parts makers: analyst"

http://www.theglobeandmail.com/globe-investor/inside-the-market/hjkh/article14213639/#dashboard/follows/

Basically, Martin Roberge of Canaccord Genuity argues that the rise in oil prices and interest rates has reduced the affordability of autos, and at 12X forward earnings these companies will have a hard time maintaining momentum. He also referances the technical breakdown in US homebuilders as cause for concern in the sector.

I own both Magna and Martinrea as part of a relatively balanced portfolio... should one listen to Martin and "book profits and cut positions"?

Thanks!

Q: PRW. After a couple of good quarters, PRW stumbled in the most recent quarter. However, given the prospect of a pick up in spending in the oil and gas sector and the positive effects from their Highway building contract, do you think this company will be able to get back into a growth phase? Debt still seems high even though they have been able to refinance at lower rates. Your thoughts would be appreciated..

Q: Hi Peter and Team,

REITs have come under pressure in recent months due to interest rate concerns but one name has never really gotten off its feet since their IPO late last year is Regal Lifestyle Communities Inc (RLC). With all of their properties in Sask, Ont and Nfld and with the demographics playing in favor of assisted living/independent services living would this be worth considering alongside the likes of Chartwell, Extendicare and Amica?

Thank you,

Q: IPL has announced a dividend increase, "the single largest". Do you know if the dividends going forward will now be eligible? I note the ticker has changed, so assume the conversion has been finalized. Thanks, J.

Q: Bank Of America, JP Morgan moving forward

thanks

t