Investment Q&A

Q: I am trying to determine how material the withholding tax difference is if I hold vgg in my rrsp vs vig.

At first glance, the yield on vgg is 1.229% and on vig is 1.764%, according to the 5i website. However, according to the Vanguard website the vgg "MER" is 0.30% and the vig "Expense Ratio" is 0.06% (quite a difference in fees if indeed this is an apple to apples comparison). So if I compare before expense yields I get that the cdn vgg yields 0.295% less (1.764 + .06 - 1.229 - .30) or , as a proportion the cdn before expense yield is 84% of the us before expense yield (1.529/1.824). So the w/h tax costs me 16% of the yield -- does this analysis seem correct? Thanks. Also, why would there be such a large difference in fees between vgg and vig?

Q: Hi 5i Team:

Happy New Year!

I am thinking to put my hi interest saving money to either ENB and or ALA. I know the principal may go up/down, but if it goes down at least I can use my cap loss to offset gains. Which of these two you would recommend for a long term hold just to earn the dividend? I already own these two stocks and my holdings are well diversify. Or, what would you recommend besides ENB and ALA.

Thank you.

L

Q: I currently own ZDI. I would appreciate your views on this ETF as a long-term hold. I am considering replacing ZDI because it has a higher MER, and it is overweight both financials and energy.

What ETFs do you recommend which hold international equities and focus on a dividend growth strategy? Preference is for Canadian currency ETFs, but would appreciate recommendations on US currency ETFs if you feel there is sufficient additional value-added to warrant the currency conversion fee.

Thanks again for this excellent service.

Q: Do you think AQN lost an investor or gained an investor based on yesterday’s trading

Thanks

Q: Good Day Team
I have held these two stocks for a few years and have never seen them go past the level that I purchased them for.
So have been on the sinking end. I want to grow my portfolio and these seem to be losers.
Should I hold on to them or is it time to sell.
Thank you,
John G.

Q: Looking for couple of stocks or ETFs with a 4%+ yield to add to an existing RESP. My time frame to hold would be about 4 years and the weighting would be about 5% of my portfolio. I am fairly well diversified so do not have any sector preferences, just want something lower risk that I can hold for a few years that will pay a decent dividend.
What would be your recommendations?
Many Thanks.

Q: Since reaching it’s December 2019 52 week high Verizon has fallen approximately 5%. I can find no news as to why this decrease has occurred. Would you know why? Thanks … Cal

Q: I have small positions in these companies and they are down by about 50%.
Are the dividends secure in your opinion? I am just deciding to add or sell. Do you think there might be a turn around in this sector over the next year?

Q: Hi 5i,

I have about a 40% gain on Emera in an unregistered account.

Assuming an otherwise adequetely balanced portfolio, would you suggest a trim? And if so, could you tell me which SECTOR (Cdn) you would invest new money in at this moment if you could only pick one - again, assuming an already balanced portfolio.

Thanks!

Q: Could you please explain to me why Bam. has such a small dividend at1.1%, compared to Bip. at 4.08 and Bep at 4.46. Also, which of the three might fare better in a downturn. Thanks, Ken

Q: I've been holding CWL for a few years. The dividend has been nice but the share price has remained pretty much static. Do you see any particular reason to continue to hold this company or is it time to move on to something with more upside potential?

Q: Hi Peter, Ryan, and Team,

I manage my son's TFSA, and it's quite well diversified, except for zero exposure in energy. For this year's contribution, I'm considering one of ENB, IPL, TRP, or PKI. I realize that PKI is in a different sub-sector, but am leaning towards it, and would appreciate your insight. We favour dividend payers, even if it's a small dividend. Thanks as always.

Q: There is a lot of negative news out on Boeing and some companies ,GE for one hurting because of the falling investors are showing. Exchange (EIF) is also in the aeronautics business and do you think it could follow suit with a lets say sympathy drop??

Q: I was thinking of buying some AT&T for my RRSP and Telus for my TFSA. Your thoughts?

Q: Looking to top up Fortis or Telus in the RRSP of a comfortably balanced overall portfolio for a 5-10 year hold. Which do you prefer?

Q: Good day your thoughts on AES:US

Q: Thoughts on starting a position in this name for 3-5 year hold. One of few stocks that is trading closer to 52 week low than 52 week high - over time do you Think this will perform well.

Q: Hi ,

I am looking at adding VET for Dividend and Growth. How is their balance sheet ? Do you expect any pull back or good entry point ?

Do you think the dividend is safe here ?

I do have SU.to, WCP.to stocks.

Thanks,

Q: What is the mix of oil vs. gas revenues for Vermilion? Are there substantial revenues generated outside of oil & gas? Thanks.

Q: Hello,
Your thoughts on CP rail, I am copying your balance portfolio and wonder if CP would be a fit for my portfolio.
thanks,
Jim