Q: If you don't choose to tender, will the stocks automatically be sold? if you aren't choosing to tender, should you wait or sell now? Sorry. I've no idea how this thing works: i was just stunned to see how much my ECI had gone up!
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: Hi 5i,
Just a comment in relation to BIP.UN’s buy-out of ECI. I have held both of the securities for a number of years. ECI shareholders who have not previously held BIP.UN should take a careful look at it to determine if it is appropriate for their needs. ECI pays a fully eligible Canadian dividend on a monthly basis at a higher yield, relative to the recent past price range of ECI. It may be that the takeover premium makes BIP’s yield higher but only by dramatically lowering ECI’s. In contrast, BIP pays a quarterly distribution that is not an eligible dividend, is broken into three categories for tax purposes, and is paid in $US. Depending on one’s brokerage account set-up, some people may find that they are paying a currency transaction fee on each BIP distribution. It is important to be sure that BIP is really the kind of vehicle one wants to own. I hold BIP in an RSP account and it works well for me in that context but I would probably not want to have it in another kind of account. In regard to tendering to the cash and shares offer, people may want to consider how many BIP shares they would expect to end up with. If one’s ECI holding is relatively modest in the first place and one is likely to receive only 25% or less of the value in shares, a person could end up with a BIP holding that 5i would advise selling as “too small to have a meaningful impact on the portfolio.” If that is the case, it may be better to go for all cash (or sell it all at once in the meantime) and avoid paying a transaction fee later on an unnecessary tag end.
Cheers!
Just a comment in relation to BIP.UN’s buy-out of ECI. I have held both of the securities for a number of years. ECI shareholders who have not previously held BIP.UN should take a careful look at it to determine if it is appropriate for their needs. ECI pays a fully eligible Canadian dividend on a monthly basis at a higher yield, relative to the recent past price range of ECI. It may be that the takeover premium makes BIP’s yield higher but only by dramatically lowering ECI’s. In contrast, BIP pays a quarterly distribution that is not an eligible dividend, is broken into three categories for tax purposes, and is paid in $US. Depending on one’s brokerage account set-up, some people may find that they are paying a currency transaction fee on each BIP distribution. It is important to be sure that BIP is really the kind of vehicle one wants to own. I hold BIP in an RSP account and it works well for me in that context but I would probably not want to have it in another kind of account. In regard to tendering to the cash and shares offer, people may want to consider how many BIP shares they would expect to end up with. If one’s ECI holding is relatively modest in the first place and one is likely to receive only 25% or less of the value in shares, a person could end up with a BIP holding that 5i would advise selling as “too small to have a meaningful impact on the portfolio.” If that is the case, it may be better to go for all cash (or sell it all at once in the meantime) and avoid paying a transaction fee later on an unnecessary tag end.
Cheers!
Q: you have had multiple questions on this stock, i own 10,000 shares, for me a small position and the stock keeps getting creamed, divvy near15% monthly, all my 30 years of investing experience tells me something is wrong, but 5i says nothings wrong, even has it in its portfolio, the company says nothings wrong, but the markets saying everythings wrong. please comment. dave
Q: Can you explain the terms of the buyout offer please.
Would you sell now or wait?
Thanks
Would you sell now or wait?
Thanks
Q: Thanks for this one, I managed to hold in to it for a nice reward today. What would you replace this with now? Thanks for your great service!
Nancy
Nancy
Q: Would you sell enercare now or take the shares of bip. I have a 1000 shares of eci at an average cost of 2.62. I am an income investor and like monthly dividend paying stocks but could make an exception for bip. Do you feel this deal will go through.
Q: What is your opinion on holding onto ECI shares and exchanging them for BIP.UN?
Q: Big shout out to 5i on this one...thank you very much...fan forever!
Q: Hi Peter,
Currently own CHE.UN - have been following your comments/answers & appreciate your answer to my previous question re: 4.6% drop on Aug 8
Your comments "stock not cheap" (P/E is 15 = not bad?), dividend not increased in 10 yrs (but currently 8% = pretty good & sustainable), downgraded by Desjardins from $19 > $17 (but currently trading at $14.7 = undervalued?) with 3 yr price range between $15-$20
That said, what is your outlook for CHE.UN and would you consider a BUY (more for income vs. growth perhaps?) - if not, why?
BTW - have made money on most of your insights - THANK YOU
Currently own CHE.UN - have been following your comments/answers & appreciate your answer to my previous question re: 4.6% drop on Aug 8
Your comments "stock not cheap" (P/E is 15 = not bad?), dividend not increased in 10 yrs (but currently 8% = pretty good & sustainable), downgraded by Desjardins from $19 > $17 (but currently trading at $14.7 = undervalued?) with 3 yr price range between $15-$20
That said, what is your outlook for CHE.UN and would you consider a BUY (more for income vs. growth perhaps?) - if not, why?
BTW - have made money on most of your insights - THANK YOU
Q: Hello can you comment on earnings for Fortis and Capital Power?
Do you have growth projection estimates for these companies?
Thank you very much
Stephane
Do you have growth projection estimates for these companies?
Thank you very much
Stephane
Q: Guy on Marketcall last night said Enercare was paying out more in dividends than it was earning, and that it's cash was going down and down as a result. What do you think?
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Brookfield Renewable Partners L.P. (BEP.UN)
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Northland Power Inc. (NPI)
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Innergex Renewable Energy Inc. (INE)
Q: I am a fan of renewable energy and have positions in the following - NPI - 4%, BEP.UN - 3% and INE - 3%. I would like to add to either BEP or INE to bring one of them up to 4%.
What would your preference be for a long term holding considering dividend safety and dividend growth as well as capital appreciation over the long term - 5 years +?
When I look at BEP on Morningstar I see a long term debt / equity ratio of 2.3. INE shows the same ratio at 7. Revenue growth at INE seems better. Is INE's debt level a concern?
Thank you
What would your preference be for a long term holding considering dividend safety and dividend growth as well as capital appreciation over the long term - 5 years +?
When I look at BEP on Morningstar I see a long term debt / equity ratio of 2.3. INE shows the same ratio at 7. Revenue growth at INE seems better. Is INE's debt level a concern?
Thank you
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Sylogist Ltd. (SYZ)
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TELUS Corporation (T)
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Vermilion Energy Inc. (VET)
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Fiera Capital Corporation Class A Subordinate Voting Shares (FSZ)
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Sienna Senior Living Inc. (SIA)
Q: I would like to purchase some dividend paying stocks for a non-registered account. What would be your top five recommendations for dividend paying stocks (minimum 3.5 % payout) that are also likely to have some capital appreciation over the next 3 years. Please do not include pipeline or financial stocks as I all ready have these two areas well covered. Also, are your recommendations good buys at this time.
Thanks
Thanks
Q: FOR CASH PART OF PORTOFOLIO YOU SUGGEST BONDS AND SOME MMF OR GIC
IN MY PORTOFOLIO I HAVE :
CDP-5 YEARS RETURN - 13.19% ( MINUS )
VAB 5 YEARS RETURN +1.35 % (PLUS )
TD MMF (165 ) 5 YEAR RETURN 3.54% (PLUS )
THESE ARE FIGURES FRON GLOBE AND MAIL 5 YEAR RETURN.
IT SEEMS MONEY MARKET FUND HAS BETER RETURN AN NO LOSS (EXCEPT INFLATION ) AND LESS WORRY.
I APPRECIATE YOUR COMMENT.EBRAHIM
IN MY PORTOFOLIO I HAVE :
CDP-5 YEARS RETURN - 13.19% ( MINUS )
VAB 5 YEARS RETURN +1.35 % (PLUS )
TD MMF (165 ) 5 YEAR RETURN 3.54% (PLUS )
THESE ARE FIGURES FRON GLOBE AND MAIL 5 YEAR RETURN.
IT SEEMS MONEY MARKET FUND HAS BETER RETURN AN NO LOSS (EXCEPT INFLATION ) AND LESS WORRY.
I APPRECIATE YOUR COMMENT.EBRAHIM
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BMO Discount Bond Index ETF (ZDB)
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Global X Canadian Select Universe Bond Index Corporate Class ETF (HBB)
Q: What would your choice be between HBB and ZDB as a core bond holding in a non registered account? What are the differences in the risk profiles?
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Gilead Sciences Inc. (GILD)
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Garmin Ltd. (Switzerland) (GRMN)
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QUALCOMM Incorporated (QCOM)
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JPMorgan Chase & Co. (JPM)
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McDonald's Corporation (MCD)
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Pfizer Inc. (PFE)
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Verizon Communications Inc. (VZ)
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Cencora Inc. (COR)
Q: Good Afternoon,
I don't follow the US market that closely, I'm looking for a handful of safer blue chip dividend payers ? Such as AT&T , perhaps you can list a few other names in various sectors you feel are well managed companies with good yield.
Thank-you
I don't follow the US market that closely, I'm looking for a handful of safer blue chip dividend payers ? Such as AT&T , perhaps you can list a few other names in various sectors you feel are well managed companies with good yield.
Thank-you
Q: FYI ...
I see questions posted about where to park money for short term periods and get a decent rate of interest. GIC's are mentioned but they have minimal rates and fixed terms. Virtual banks like EQ Bank currently offer daily interest at 2.3% with no minimum timeframe and are covered by CDIC (up to $100,000). They also offer GIC's.
https://www.eqbank.ca/personal-banking/features-rates
I see questions posted about where to park money for short term periods and get a decent rate of interest. GIC's are mentioned but they have minimal rates and fixed terms. Virtual banks like EQ Bank currently offer daily interest at 2.3% with no minimum timeframe and are covered by CDIC (up to $100,000). They also offer GIC's.
https://www.eqbank.ca/personal-banking/features-rates
Q: What do you think of using PSA to hold cash?
Q: Pretty beaten up. What do you think the trend is for the next year, Thanks
Q: Hi,
I apologize if this has been answered before. Occasionally I have temporary cash balances in my Canadian registered and unregistered investment accounts. However, my broker does not pay any interest on those balances. Do you have any recommendations for short-duration money-market or bond-style or alternative etf's that earn interest and either pay out or increase in value? My only objective, besides earning a return, is that the etf units should maintain their value and not be subject to declines due to credit, interest rate or other risks (understanding that there is no such thing as entirely risk-free).
Thanks,
Derek
I apologize if this has been answered before. Occasionally I have temporary cash balances in my Canadian registered and unregistered investment accounts. However, my broker does not pay any interest on those balances. Do you have any recommendations for short-duration money-market or bond-style or alternative etf's that earn interest and either pay out or increase in value? My only objective, besides earning a return, is that the etf units should maintain their value and not be subject to declines due to credit, interest rate or other risks (understanding that there is no such thing as entirely risk-free).
Thanks,
Derek