Investment Q&A

Q: I recently came across this website (nickldown.com) which tracks all BNN market call recommendations by analyst.

Congratulations Peter, you've received an A- with 19 of your 36 picks being winners.

Ryan, you've had more winners than Peter, but with less return, thus your score is a bit lower.

Hope others find this interesting, if not useful.

Q: Most Canadian dividend stocks seem to be floundering, of late, particularly REITS, Utilities, and Telcos (though pipelines aren't doing much either). Is there a particular reason given rates are low and unlikely to rise any time soon?

Q: I am considering an account with interactive brokers and i see they have a securities lending program where you loan the shares for shorting purposes and receive a collateral cash amount on which interest is paid. Is there a risk to this? You can sell the shares any time. Do you know if there is a CIPF protection for the shares loaned to interactive brokers?
I know you do not recommend brokerages, but I would appreciate if you can point out any disadvantage (advantage) as compared to self directed brokerage with a Canadian bank.
Regards

Q: If you purchase a stock on its ex-dividend date or after, you will not receive the next dividend payment. Instead, the seller gets the dividend. If you purchase before the ex-dividend date, you get the dividend. Am I correct here? In that case when is actual ownership transferred? Trade date or settlement date?

For example, if the ex-dividend date is 9/17, the trade date is 9/16 (so it's supposedly bought before the ex-dividend date) and settlement date is 9/18, will I get the dividend? Please clarify and thanks for your help.

Q: 1. The Globe just published a list of Canadian companies CEO salaries and bonuses. Sorry for the odd question but I am find it very hard to understand how the CEO of Barrick deserves a salary of $3.2M and a bonus of $12.6M. I am hoping that you could help me understand a bit.
2. How does the CEO of CSU make money with a Salary and bonus of zero? Stock?

Q: I want to get more defensive going fwd I suspect Utilities + consumer staples should be increased are ETFs or individual stocks the way to go?. What other sectors/ stocks should be favored thanks

Q: Will you be posting a 2020 watch list
Thanks for the excellent help

Q: Wondering what your picks for "popular" stocks that might get hammered the most by tax-loss selling this year , a few that I have in my portfolio for suggestions but hoping not of course .. NFI , ERF , VET ?

Thanks ,
Chris

Q: Hello team,

Is there a time of year where mergers and acquisitions are more likely to happen, or is based more on market conditions?

Q: Is tiny odd lot trades making it difficult to understand if money managers are buying or selling.
Clayton

Q: Hi guys,
Thanks for the great service.
It looks like Canadian Insider is no longer providing a free email service for insider reporting (as of Oct 31). Do you know of any other services (preferably free) where it is possible to receive email alerts on insider filings?
Thanks

Q: Reading the first question of the day, you mention Twitter as being cheap at 15X earnings. I am dating myself, but when I began investing 10X was average. What has prompted the change to the present 17X earnings.

Q: Can you suggest solid companies that may have their prices depressed by tax loss selling and might be good buys this year?

Q: Hi folks, what is typically the best week to pick up quality companies that have been subject to tax selling? I'm sure waiting until end of December is too long, but right now likely too early. Is there a typical week where these stocks are at their bottom?

Q: For my fixed income side of my portfolio I've just been keeping cash in a high interest savings account (Achieva Financial in Manitoba). It pays 2.3% interest. I just checked the yield to maturity of BND the US Vanguard bond ETF and it's 2.3%. The YTM for ZAG the Canadian BMO bond ETF is 2.2%. Hardly seems worth paying an MER and risking price fluctuations. What do you think, am I missing something here?

Q: I just read Ryan's article on Direct Indexing and ETF's and basically that 0$ trade commissions with brokerage houses impact on this. I have never used a brokerage house and am not a frequent trader. What brokerage house(s) do you recommend?
What are the risks, disadvantages ( if any) compared to using a bank. How do they make their money then?
Regards
Kathy

Q: Most companies report earnings after market. Some choose to report before market. Are these usually long term policy decisions or do firms choose on a Q by Q basis? And should we read anything into it when a firm chooses to report before market?

Thanks,
Mark O

Q: Every now and then I do a complete review of my portfolio to determine what changes if any I should make. With so much dependent on political conditions and monetary policy, as well as my age , I find it challenging. I would like a second opinion.
I’m 83 years of age alert and physically fit and in good health. My wife is 73. Objective is to earn income to supplement a guaranteed income of $51000 travel and leave enough for my wife live comfortably. Retired teacher, had a 13 year second career as a financial advisor. Retired from that career 15 yrs.
Portfolio is valued at $600,000 , annual yield approximately $25,000.
Two RRIFS valued @ $46000
Two TFSAS valued @ $ 132000
Non registered valued @ 365,000
Cash $60,000
Holdings inRRIFS , AD,VGG,CPX,ENB,EIF
Holdings in TFSAS AQN,CPX,PNG,QSR,VGG,VET,ENB,ARX
Non registered
ARE, ALA,AD,ARX,CSH.UN,ECN.PR.A,ENB,EIF,PNG,PKI,PPL,QSR, ROXG,VET,BPY,LSPD

Combined portfolio % in each security
ARE-3.2%-,AD-3.5%, ALA-7%,ARX-4.2%,BPY-2.6%,CsH.UN-4.4%, ECN.PR.A-9.3%, ENB-8%, EIF-4.7%, PNG10%, LSPD-4.2%, PKI,4.9%,PPl-3.9%, QSR-3.2%, ROXG-2%,VET-4.7%,CPX-4.3%,AQN3.5%,VGG-5%,WMT-5%

I have some concerns about VET down a fair bit but looks a little better on a total return basis. PNG up over 40% on realized and unrealized returns. Now showing some earnings now will probably sell at $1.00. One of my gambles.ROXG probably not one of my better choices. I like to gamble a little bit.
Any thoughts you would like to share with me and your clients.
I’m a DIY investor.
Any changes you would suggest would be greatly appreciated.
Roy

Q: Hi !
If I hold a canadian stock paying a US dividend in a non-registered account what is the tax treatment regarding US withholding tax and Cdn income tax benefit ?
For exemple, should I hold Algonquin Power (AQN-t) in my non-registered account or in my RRIF or TFSA ?
Thank you for helping in my confusion,
Jacques, IDS

Q: Hi, my question is about proper percentage allocation of stocks, ETF’s and investment funds. At this moment my wife and I have a holistic approach of the family investments. We have assets spread out between RRSP’s, TFSA’s, Investment accounts, Stock options from my employer and Defined contribution pension plan (Investment funds). We also have a revenue building with 3 apartments that represents 40% of total family assets. We don’t include this in our holistic approach because we live in one of the apartments. So, my question does not include the real estate asset.
The allocation in investments is:
1. 40% in investment funds, mostly in the Defined contribution pension plan,
2. 15% in the VGRO ETF
3. 45% in 20 stocks.
The way we are looking at it is for example; Constellation Software is at 5.07% of the total family investments. Obviously, the percentage would more than double that if we look at its waiting just with in the stocks we hold. At the low end we have CAE at 1.00% of the total family investments. So, is this a proper way of looking at it? Should we be analysing our allocation differently? Is the holistic approach the way to go ?