Investment Q&A

Q: Appreciated your answer about the liberty checks. Now on to part two. Why were the liberty checks directed and sent to individuals rather that directed to the health care system and the education system in the United States? The whole thing looks like a casino to me.
Thanks,
Capreol

Q: I am just starting to research bonds as I don't own any and think it's probably a good way to diversify, especially when the recession hits. Is it a good time to start purchasing bonds? Which bonds would you recommend? Please recommend some reading materials to get up to speed on the subject.

Q: hello Peter, can you please advise which stocks pay dividends in USD (from our model portfolios or otherwise solid names). Also, do most brokerages will keep in USD or convert to cdn. I noticed in my DISNAT RRSP account, dividend from BAM were in cdn dollars. \not sure if they converted to cdn, if so then, may move account to BMO INVESTORLINE or INT BROKERS.

Q: Want to give the ETF and Mutual Fund Newletter prepared by 5iR is well worth the read. I'm a long time subscriber but never seriously read it as I'm focused on stocks. Of late, I am burrowing into this Newsletter as
I discovered that there are good points that carry over to equities. Just want to share this with you. And feel free to post it on the Q&A 5iR web site or elsewhere.....Tom

Q: Hello 5i, In response to Keith' question on Feb. 14 about setting up his RRIF. Two books he might find useful would be: Your Retirement Income Blueprint by Daryl Diamond, also Retirement Income for Life by Frederick Vettese.

Q: Very interesting!!
WHY DOLLAR COST AVERAGING BEATS BUYING THE DIP!
A Josh Brown YouTube.
https://www.youtube.com/watch?v=4dswzb-8nHk&t=311s

Q: I am not an accountant or financial guru but I have learnt a few things. One thing I thought I learnt was to value resource companies, particularly oil companies, on a cash flow per share basis instead of an income per share (P & E). I assumed that is due to the fact the product that is being produce is non-renewable. I am I right on this point? If so, then why do people who are supposedly financial gurus who appear on BNN continue to evaluate a resource company on a P/E basis. This happened last night with Ross Healy. Healy has been in the business for decades so he should know that P/E are not a good way to evaluate resource companies, yet that was the metric he used. He is not the only guest on BNN that has done this. On the other side are the Eric Nuttall types who appear on BNN and spew out cash flow numbers that sound amazing but when you dig a little deeper his numbers don't take into account sustaining capital that is required to offset declining production. Who cares if a oil company has $300 million of cash flow when they need to spend $300 million to offset declines. I use the word free cash flow meaning any cash that is left over after enough money is spent to keep production steady. Is this the right term? I know that guests' opinions on BNN should be taken with a large grain of salt but do you think these guests are trying to sway the viewers opinion to move a share price. Apparently foreigners ae not interested in Canadian resource stocks and most of the big Canadian money managers don't seem too keen on them either. So who is left to buy Canadian resource stocks? Us little retail investors. Can a comment on BNN's market call actually move the needle on smaller companies by influencing us little retail investors, in your opinion?(I guess there are three questions here.)

Q: I think I send you a question last Friday and still haven't heard back from you. Just in case you never received it I will ask again.
Question: Is their a website that you could refer us to in order to determine the various financial reporting dates for all various companies on the TSX.Thanks.

Q: Hi 5i team,
I know you have answered this question before, but I cannot find the questions/answers. Which investing books would you recommend for an investor who already has some basic investment knowledge?
Thank you for your collaboration,
Eric

Q: On February 7th, you answered a question from Adam about what to look for in /stock filters. A very important consideration. I'm wondering, though, how specific industries would influence a search. For example, it seems to me a bank might have very different metrics from a railroad or a lumber company.

Q: Recently I have been hearing about...on the internet, a lot about liberty checks.
What are liberty checks and why are they happening at this time. It is starting to
look like to me a free government handout. I find it all very confusing.
thanks,
capreol

Q: GE & the DOJ recently reached a $1.5 B settlement related to GE's past accounting practices. My question is should not GE's auditors be punished as well? Further, the investors who bought the stocks at high price by relying on the misleading financial statements are the b biggest victims. Should not they be compensated by the DOJ?

Q: Is their a website that you recommend that would give all of the various companies financial reporting dates? Thanks

Q: This is comment in reference to a Question by Bryan:
It would be more beneficial for Bryan to have the other spouse as the successor to the RRSP (only spouse can be successor and basically the TFSA money transfers into TFSA of the spouse - no contribution limit affected). They can then have the beneficiaries if the successor has predeceased the account holder. I thought this might be something that Bryan and/or other members in similar situation can consider. Thanks.
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Q: My wife and I are 66 years old. We each have a TFSA which we are trying to maximize. These would be the last two accounts we would ever take money out of. Our children are the beneficiaries so these are long term accounts - hopefully! We each have RRSPs and share a non-registered account we use for income. We don't have any fixed income but do have enough cash to last us 3 years. No pensions, but are quite diversified in a number of blue chip stocks.

Between the two of us we have PHO, SIS, TOY, BNS, TSGI. None of which has been very good lately but we are patient. We have enough money for two more positions, and think it would be prudent to add two, more stable, names. OTEX, BOYD, GC ? Suggestions?
THANK YOU !

Asked by Bryan on February 07, 2019

Q: I have recently retired and am pondering investment options. Your answer to the question from Brian on Feb. 6 piqued my interest:
"you may find it advantageous to have more Canadian dividends, if you can utilize the dividend tax credit to its full advantage (you can earn about $48,000 tax free if your ONLY income is Canadian dividends".
Could you expand/explain more thoroughly about tax free dividend income? Thanks, Larry

Q: I would like to buy shares on the Japan and Australian exchanges but my accounts with TD and Royal don't do it. Is there a preferably discount broker that I can use for this.
Thanks

Q: Is Peter Hodson still active in managing the 5i portfolios?
The 2018 research and the recommendations, leading to severely underperforming all the markets for 2018 leads me to believe the experience isn't managing 5i as before. Please clarify.

Q: I hold a small position in Crius. If the sale to VST goes through at $7.57/share, do I have to take any specific action to get my money, or will the sale proceeds automatically be deposited to my cash account?

Q: I have a 4% position in Dream Global in my portfolio. I am trying to find out what the insider holdings are but when I look under the 5i 'Companies' tab it states ' No data exists ' for the insider holdings. Would you have another source that can provide this info? Thanks!

Q: Due to health I have been forced into early retirement (51) with no pension. I need a 5% return to live off of my savings. I am presently well diversified 75% CAD dividend companies and fixed income in my non registered account and 25% of my total savings are in registered accounts which follow your balanced portfolio along with GOOG, TEAM, SQ, BOX for US exposure (prob not enough eh?). My gut is telling me I should get rid of the growthy stocks and stick to safe dividend companies but my experience says I should leave it alone as over the long term the balanced portfolio has done quite well.
I would appreciate any and all input you can offer (don't be afraid to hurt my feelings;).

Brian