Investment Q&A

Q: Lots of stuff on this in questions but not crystal clear. In simple form, what happens to bam.a shares? New symbols? What do you suggest doing, if anything?

Q: I'm trying to understand the new Brookfield Asset Management Ltd spinout. I have two questions:
(i) It seems to act like a royalty on the asset management business. Am I correct that it does not have to add any additional capital to the business as time goes on?
(ii) On its web-site it claims a 90% payout ratio. However, from the recent Investor Day presentation (page 62), it states that there is 4.9B of distributable earnings for the original company for 2022, which would mean about 1.2B for the new spinout. As I calculate it there are around 450M shares, which means a projected dividend of over $2/annum. However, in the announcement of Dec 6, it stated that the starting dividend is about .28/quarter, or 1.12/annum. What am I missing?

Q: AQN's dividend is now 10%. There is a lot of talk that AQN will cut its dividend to be in-line with its peers. That would be around a 50% dividend cut. [In the past you have said many times that the first dividend cut is never the last.]

I have seen it mentioned here and elsewhere that during the financial crisis Manulife Financial cut its dividend, and it appears investors from that time have never forgotten that, or forgiven them for it. By the way what was the dividend cut they made? Was it only 1 cut, or was it several cuts?

Do you think that if AQN cuts its dividend, the stock will languish for a very long time as investors (like me) will not forget, and will never forgive?

Has AQN ever cut its dividend before? If yes, what were the cuts and when?

Are there other high profile examples of dividend cuts (excluding energy stocks in 2020) where the company has been penalized for doing that for a very long time?

Q: Hi Peter and 5i,
Sorry if this has been asked before. I also can't find anything in the previous questions either.
Would you be able to provide us how the Adjusted Cost Base of the previous BAM.A shares should be divided up between BN and BAM?
Thanks so much.

Q: With the split of BAM.A into BAM and BN now complete, I am considering whether to sell the BAM spinoff shares and redeploy the cash into BN, or sell BN and buy more BAM, or use some cash and add to both. What do you think of the long term outlook for each company? Is BAM going to be mainly a dividend payor, or there some growth there too? I know you like BN for long term growth.

Q: Hi, After market close, BMO announced a secondary offering of 11.8 mln shares to public and 14.8 mln shares to CPP, Caisse, OMER etc, by private placement, concurrently, at a price of $118.60. Does it seem like a good deal to buy/add these shares, at this price, despite dilution ? Thanks

Q: With the new BAM configuration will the new yield rise significantly, or stay the same for an equal amount of investment?

Q: hi,
are you able to provide the expected price split for BN and BAM based on the closing price of 58.88$ on Friday ? I am trying to figure out where the prices of the 2 entities are now compared to prior split. thanks, chris

Q: Good morning all, Is BN a buy today ? Why the big discount or is this a new issue thing due to the exchange ?

Q: Brookfield is being pounded today.Any idea why ?The combined companies post split are down 10%?

Q: What's up with BAMR today ... dropping like a stone. Think this is a buying opportunity ??

Q: Does any one able to explain the current prices of these new shares. The value of BN shares make sense but the NEW BAM shares . Maybe my math is wrong but can you explain?

Q: I own TSU and up 40%, this stock has moved 5 fold from late 2019 and current price level is closer to ATH seen last August. Looking at it technically might breakout above $50 and move up. on fundamental basis is this stock still has legs to run considering gloomy 2023 prediction for the market?. Or should I move into names which would provide upside and added risk

Q: For Equity Bank, what Risk Weighting would you assign to this stock.....like 10 being low risk and 1 being high risk???......Thanks for your take as I considering adding EQB to my Income Portfolio as it seems to be showing good value......Tom

Q: Hi Folks,
I've held BNS in my RRSP account for a couple of years now. I also hold TD. I am breaking even with BNS, would this be a good time to switch to RY. I realize there is a difference in the dividend but I am looking 5-10 years down the road.
Thanks

Q: Hi Group is it true that Blackrock has put restrictions on withdrawal of funds (cash) from investments. For a company of this size and magnitude to restrict withdrawals is extremely worrisome. Can you please comment assuming this info is correct (I heard it on BNN last week) Hopefully if true we will not start to see a run on banks and other financial intuitions. When people start withdrawing cash and putting under their pillows causing panic i would be more that a little concerned? Your thought are much appreciated

Q: your opinion on GSY please. Is it buyable now? Thank you. Fooklin

Q: What is your view on BAMR. It has not well since I bought it. Any decent prospects?

Q: I have shares of bam.a. I'd like to buy a few more of one after the split. Which would you choose to invest in?
Thanks.

Q: What is your "impression" ..Canadian banks used to be a very "safe heaven" for dividend investors ,nevertheless more loans will be at significant risk with increased interest rates, and with upcoming renewals of mortgages in 2023.Will the big Canadian banks (and insurance Cies) see even more drops of their share prices ,and most important: could they become at risk of dividend cuts ? In other words,as a dividend investor should I keep financial stocks and ETF or sell according to the present tendency? Thanks J-Y