skip to content
  1. Home
  2. >
  3. Investment Q&A
You can view 3 more answers this month. Sign up for a free trial for unlimited access.

Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: My mother, presently retired (almost 80) has a little bit of extra savings that I would like to invest in very safe businesses (she has no equity investments at the moment). I am not anticipating much upside, as safety is more important; however, with recent market turmoil there has been no place to hide. As a result a lot of companies, both big and small, both profitable or not, both stable or not have all seen their evaluations erode.
Can you please provide the names of 5-6 Canadian companies preferably in more than on sector (along with a few words explaining why you like these companies) that pay dividends (the higher the better but should not be the only determining factor), that you feel are good companies (and have demonstrated this quality for many years, possibly decades), that have eroded in price for little/no reason and have a good chance of recovering their lost market value.
As an aside, I sometimes feel (without having done any historical analysis) that these are the winners in the long run. They tend to be stable, are of low risk, consistently have some growth, regularly return money (dividends) to their owners, may buy back shares,... And if bought at the right price become pretty good investments with limited risk.
Thank You and Happy Holidays :) !
Read Answer Asked by Walter on December 28, 2018
Q: Earlier this Fall, ahead of the recent correction, I moved 12% of my portfolio to cash (I was fully invested in equities). My thought is to hold the cash until we hit the top of the ongoing interest rate increases the deploy the cash into corporate bonds, BBB or higher, spread over 2-6 years maturity. Recent reports have maybe another 2 rate increases in 2019. Given this has been signalled to the market do you think bond yields are already accounting for this?
Read Answer Asked by Brian on December 28, 2018
Q: Hello Peter, Ryan, and Team,

I sold some holdings in my margin account to take advantage of tax loss selling. My Industrial allocation needs to be increased, and I'm considering purchasing CNR, as a large-cap holding that's recently been beaten down. Our other Industrial holdings across all accounts are BAD, CAE, NFI, SIS, STN, and TFII. Would CNR complement our other industrials? Or do you have other suggestions?

Thanks as always, and Season's Greetings to everyone at 5i.
Read Answer Asked by Jerry on December 27, 2018
Q: My wife and I are retired with no company pensions. We focus in our Non-Reg'd. Investment a/c on solid dividends with dividend growth (banks, SLF, BCE, major pipelines, BEP.UN, SU, etc). I would like to add another quality name in our Inv. a/c that would be resilient in an economic slowdown (and ideally has been beaten down). Considering TRI but it "feels" expensive. Is there something better? We would appreciate your recommending a few names. Thank you for your comments. Edward
Read Answer Asked by Edward on December 27, 2018
Q: I was reading an article in today's Globe and Mail where they were commenting on Investors fleeing the US trillion dollar debt market (leveraged loans)- and they felt they were becoming riskier in the current environment where interest rates were not expected to go up as much as predicted - MFT holds leveraged loans I believe - how safe do you view this ETF in this environment? - I looked at the price and it has a good current yield of 5.057% and although down a bit from its year high of $21.64 (currently trading at $20.72)- it has hung in there pretty well. I know it is hard in this environment to try and figure out which space to be in with the current unpredictable and uninformed US President - but I am just interested in your feeling about the floating rate space right now - hold, or sell. Right now I am interested in preserving principal and willing to take some risk. Was thinking of selling and maybe looking at it again once everything settles down to a more normal investing environment where rates might start going up again. Appreciate your insight - Karen
Read Answer Asked by Karen on December 27, 2018
Q: I'm seeing A LOT of red (-30%). I am 25% cash. My portfolio is heavily weighted in 5i growth favourites that come up in questions. Should I go shopping and for what?

Also, what should I have done in anticipation of a rising rate environment? I almost shifted entirely to money market in June but didn't want to pay the transaction fees on a whim of trying to time the market.
Read Answer Asked by Patrick on December 27, 2018
Q: With Bank of Canada suggesting this week that interest rates will likely not rise, but with the US Fed just suggesting likely two more rate increases, what do you think of buying Canadian Dividend Paying stocks right now? I think they are generally seen as positive when interest rates stabilize, but will Canadian dividend company stocks tend to decline in sympathy with US dividend stocks? For Canadian dividend stocks (3%+) what do you see as attractive next year - i.e. ones less affected by trade wars, lack of oil supply options, possible real estate bubbles, inter-provincial disputes, possible NAFTA turbulence!!!!!
Read Answer Asked by Kel on December 27, 2018
Q: Would you rather add to brookfield renewable or start a position in superior plus ?

Also, would you prefer Corby or Andrew Peller ? or neither at the moment and quickly explain why ?

Looking at 10 yr. holding period. Thank you !

Thank you !

Read Answer Asked by Pierre on December 27, 2018
Q: season’s greetings and thanks for your good work which I’ve been following for the last year. My wife and I are retired, income investors and recently sold out of ALA ( tax loss selling). We want to return the proceeds to the energy sector and am wondering which company or companies you would recommend for best dividend, company security perspectives. We have a little SU at the moment and it looks steady but the dividends are a bit low for our liking. thanks very much.
Read Answer Asked by alex on December 27, 2018
Q: Options - Do you recommend use of puts and calls? If so, do you have a book or article(s) that could recommend?
Read Answer Asked by David on December 27, 2018
Looking for more? Sign up for a FREE 14 day trial! No credit card required

We invite you to sign up for a 14 day free trial of 5i Research!
Experience all the benefits and tools we have to offer; stock research, model portfolios, Q&A with our experts, and so much more. Join a community of like-minded investors today!