Q: Further to Dave's question regarding the Raytheon spin-outs, once the CRA has granted them eligible under 86.1, they are not taxable until one ultimately sells them. But to elect to use the 86.1, you must file a letter with the CRA (done typically with your taxes, after you have received documentation from the company showing that this dividend (spin-out) was received, and that you are exercising this right under 86.1, to defer the tax due, until sold. Just google how to claim 86.1 cra eligibility, or taxtips.ca also has information on how to claim this eligibility. But most definitely, I believe that if you've received a T3 or T5 or similar, showing the spin-out dividend companies, you cannot ignore it, you must inform the CRA of your intention to defer.

Q: I had a limit order in to buy some RTN but because of the United Technologies merger today it was cancelled overnight. RTN now trades under RTX. Would you recommend buying either UTX or RTX (or neither?)at this time and if so at what price ?
Many thanks as always

Q: Hello,
I am currently waiting out this deep downturn in the market. At some point the market will start recovering. I have followed your recommendations in the Portfolio Tracking and Analysis tool.

If you had $500,000 sitting in cash which you want to deploy once the market turns around, which sectors would you look towards investing in for the eventual upward trend? Would you be able to provide your favourite stocks /ETFS which you would use to cover the sectors you think will be first to recover?

Thanks for all your help.