Investment Q&A

Q: There were a lot of people calling into Jim Kramer (Mad Money) about this market drop - as it is difficult to understand him, he was saying don't average done (basically) wait until the market stabilizes, etc. and when the market does, good stocks (i.e. Fang stocks) would be one of the first to lead the market out of this. There was a rate hike and Trump seemed to be going after a trade war with the Chinese which Kramer seemed to be saying was the cause. Two weeks ago Larry Berman predicted there would be a 20% drop within the next 12 months. How do you see this and what are your recommendations? What is a good ETF for Fang stocks? Thank you Dennis

Q: Hello 5I,

My Question.
I would like to buy ZWH for income.
Do you think todays price at $19.75 is reasonable?
Or do you expect more down days for ZWH?

Thanks

Q: Hello
My Self Direct RRSP account holds approximately 50% in the older couch potato version XIU,XBB,XSP,and XIN. The balance is primarily Canadian dividend funds found within your income and balanced portfolios.
Now that I have retired should I sell the original 4 couch potato funds and replace it with the new Vanguard fund (VBAL) plus keep a few of the better dividend stocks.
Just looking to keep it simple and not stress over re-balancing and diversification.
Thanks
Gary

Q: I currently don't have any REIT exposure and think I should focus on a broad ETF for more safety and diversification as opposed to some of the smaller cap REIT's I have previously held although they do have much higher yields I am concerned about the risk exposure. Would this be a good time to start a position in ZRE and/or do you have another suggestion?
Thanks,
Craig

Q: Hi, Can you give me a couple of suggestions for an Asian mutual fund or ETF, ex Japan, available in Canadian dollars? I'm definitely not adverse to a mutual fund.

Q: 5i,

Could I have your thoughts on this trust? SIN.UN
Is SIN.UN an ok buy for a income fund or would you recommend something else?

Thanks

Q: I currently hold 3% on VBAL should I increase to 5% or would you suggest to add another ETF VRGO. Currently ETF portfolio I hold VE, VEE, XSP, VBAL - 3% each
Do you recommend I add another VGRO ETF or just add 2% each on above ETF?

Thanks
Hector

Q: Am considering an investment in commodities and wanted your opinion on this soybean ETF.

Q: I use the SSO ETF for trading in my US investment account. The ProShares Ultra S&P 500 ETF provides 2x leveraged exposure to a market-cap-weighted index of 500 large- and mid-cap US companies selected by S&P. As a levered product, SSO is not a buy-and-hold ETF; it’s a short-term tactical instrument. The 500 underlying companies are some of the most well-known firms in the world. As a short-term instrument, the total cost of owning SSO is more dependent on liquidity than management costs. Fortunately, the fund is extremely liquid with hefty daily volume and very tight spreads. Ultimately, SSO’s liquidity makes it one of the best ETFs for leveraged exposure to the S&P 500.
What are some similar leveraged Canadian ETF's mirroring large and mid-cap CDN companies.
Thanks

Q: I need to add some ETF's for yield, what would be a coupe you recommend at the moment?

Q: Hi 5i, In a previous Q/A you said "covered call ETFs can underperform in a bull market" can you please elaborate on this?.
Would you please rate: ZWU XUT ZWC (best first)
I own ZWU, but down 10%.
Thanks

Q: Gentlemen,
In the case of a recession or bear market, how covered call or buy-write ETFs will act on capital & income ?
Thanks
Best regards.

Q: Hi 5i team,
What are the equivalents to VEE in the Canadian ETF landscape?

Are there others that pay a better dividend?

Thanks,
Andrew

Q: Would now be a good time to take a long term position in ZWU for the covered call yield and some safety? Or does the sector rotation, rising interest rate potential and this news on MLP pipelines I don't fully understand mean perhaps wait a week or two as it might soften more?

Q: Could you suggest a way to short FAANG stocks with a 1 to 2 year time frame?
Thank you.

John

Q: Gentlemen,
Can you please explain the swap fee on HXS (no more than 0.30%), in which situation this fee will be added.
Thanks
Best regards

Q: Hi 5i thanks for the great service. I am thinking about a long term play on water and would like you opinion on some ways to play it? Some company suggestions would be nice and what do you think of this iShares etf?

Thanks for the great service

Q: I read in a previous post that you favored HPR and ZPR over CPD (Sept 18, 2017) because of the rate reset. I am currently adding to my fixed income and would it be a good strategy to add 50 / 50 ZPR and CPD for the preferred portion ?
(I also own a larger position in CBO).

Also, do you recommend adding a convertible bond etf (CVD or other) for diversification purposes ? Thank you for your comments.

Q: I'm looking for a place to park cash and have iniated a small position in the Horizon ETF. I like the idea of floating rate bonds because interest rates seem to be on the rise. Just wondering if there might be similar products that I could investigate. I know about FLOT but would prefer the investment be in Canadian dollars. Thanks in advance for your guidance.

Q: In my portfolio I selected CLF for a significant amount of the fixed income portion of my accounts (in both RRSP and non reg accounts). A the time (almost 2 years ago) I thought it would be the safest since it is a government bond index. However, am down by almost 6% since purchasing. My priority for fixed income is to not lose capital. Do you have another suggestion? Perhaps GICs make more sense? Are there worries in the market regarding Canadian government debt (i.e considering escalating debt levels at the federal level as well as some provinces - like Ontario and Alberta).