Q: I have always heard that the best time to buy a stock is when it hits a second new high. Do you agree?
You can view 3 more answers this month. Sign up for a free trial for unlimited access.
Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: Hi guys,
Just wanted to know your thoughts about EMH and active investing. We all know that fees are a huge drag on performance; but interestingly, an old Globe article by George Athanassakos argues institutional factors like hugging the index are the main factor for underperformance.
http://www.theglobeandmail.com/globe-investor/investor-education/real-active-management-is-worth-the-price/article26874608/
Would there be an advantage in returns (not including fees or commissions) with following a disciplined 100k model portfolio versus investing 100k in a traditional 300mil fund with the same holdings? I suppose inflows and outflows would be a major factor as well.
Thanks for your opinion.
Just wanted to know your thoughts about EMH and active investing. We all know that fees are a huge drag on performance; but interestingly, an old Globe article by George Athanassakos argues institutional factors like hugging the index are the main factor for underperformance.
http://www.theglobeandmail.com/globe-investor/investor-education/real-active-management-is-worth-the-price/article26874608/
Would there be an advantage in returns (not including fees or commissions) with following a disciplined 100k model portfolio versus investing 100k in a traditional 300mil fund with the same holdings? I suppose inflows and outflows would be a major factor as well.
Thanks for your opinion.
Q: Just a comment to Mike re: TDWaterhouse and the Altagas dividend. TDW rounds off to even cents on its quick quote screen, so ALA's actual dividend rounds up to $0.18 and is reported as such (the dividend received by the investor is accurate). I have also found that sometimes they include a special one-time dividend/distribution in the rolling figure, which can significantly reduce the accuracy of the reported figure. If you find a stock of interest, best to check the company website to confirm the actual dividend payment.
Q: Hi is it possible to explain how this occurs or if it does
A company does a financing at say $1.35 with a 1/2 warrant (each full warrant entitles holder to acquire a share at $2 fr 24 months) and the share price is $1.52 (using #s from EMH.v's recent financing as example)
So the share price drops as share holders sell to get in on the deal . My QUESTION is do they also short and use the $1.35 as insurance ?
Hope that makes sense ,
David
A company does a financing at say $1.35 with a 1/2 warrant (each full warrant entitles holder to acquire a share at $2 fr 24 months) and the share price is $1.52 (using #s from EMH.v's recent financing as example)
So the share price drops as share holders sell to get in on the deal . My QUESTION is do they also short and use the $1.35 as insurance ?
Hope that makes sense ,
David
Q: On valuation ,using P/E ratio co. looks expensive ,using AFFO method the stock looks cheap compared to peers.For this sector which is more appropriate?
Q: In response to Robert's question about the loss showing in his Investorline account for DIS, Investorline uses the exchange rate on the day you bought the shares for the cost basis, so it does sometimes seem misleading if you try and track your US purchases in US currency.
Here is BMO's explanation from the Investorline platform:
The Unrealized Gain/Loss is the difference between the current market value of the security and its original cost. Where applicable, the original cost will reflect the exchange rate in effect at the time of the purchase while the market value reflects the current exchange rate. This exchange rate is updated periodically throughout the day and this may cause some slight fluctuations in the market value and unrealized gain/loss.
Here is BMO's explanation from the Investorline platform:
The Unrealized Gain/Loss is the difference between the current market value of the security and its original cost. Where applicable, the original cost will reflect the exchange rate in effect at the time of the purchase while the market value reflects the current exchange rate. This exchange rate is updated periodically throughout the day and this may cause some slight fluctuations in the market value and unrealized gain/loss.
Q: Hi 5i. I have 18% of my entire well balanced PFS in US stocks. I'm thinking this may be a good time to use 2 or 3% of my Canadian cash which is 8.5% of my PFS to buy US dollars to eventually buy another US stock. Do you concur? I am thinking our dollar is going to fall in the next 6 to 12 months but I await your ideas.
Thanks guys. I'm up 30 % since I joined in April 2014...
Thanks guys. I'm up 30 % since I joined in April 2014...
Q: Hello 5i,
Just a further note to Steven's question about ex-dividend and dividend payout: Be careful if you sell a position that is in a DRIP since it is possible, if one is not careful, to end up with a small number of shares (1, 2, ??) resulting from the DRIP even though you completely sold out of a position. I know this is possible because I let it happen to me - once.
I hope this might help even just one person not make the same mistake!
Just a further note to Steven's question about ex-dividend and dividend payout: Be careful if you sell a position that is in a DRIP since it is possible, if one is not careful, to end up with a small number of shares (1, 2, ??) resulting from the DRIP even though you completely sold out of a position. I know this is possible because I let it happen to me - once.
I hope this might help even just one person not make the same mistake!
Q: I understand that to be eligible for a dividend payment you have to own a stock on the ex dividend date. For example National Bank ex dividend was Dec. 22nd, 2016. My question is do you still have to be holding the stock on the payout date, which for National Bank was Feb. 1st, 2017. Thanks.
Q: On January 27th, I receive a notice from TD Direct Investing dated from January 16th. In that notice, I was proposed to choose between two options: option 1 to transfer my Intertain stocks to Intertain Exchange (ITX) or option 2 (default) to transfer my IT stocks to JackPotJoy (JPJ) on the London Stock Exchange (LSE).
I called TD on the day I received the notice. After arguing with the clerk and his coordinator, they said that the delay was expired to choose any other option than the default and that TD was not responsible for the 10 days' delay. It was either Canada Post's or the transfer agent's fault. At some point, the clerk said that I was not the first client to complain.
The alternative given is to trade the JPJ stocks after they will appear on my account and TD would wave the commission.
Please give me your opinion on this situation, what are the possible consequences and what can be done.
I think that
- Canada Post is the usual suspect in any delay but 10 days is too much and TD and the transfer agent should take some blame in the matter.
- The default option to transfer Canadian securities to a foreign exchange is borderline incompetent decision.
- What if there is an impact of the FX from GBP to CAD with the sale of JPJ stocks on the LSE.
- Is there anything that can be done or compensation that I can claim in that situation?
I started a blog on 5iR on this subject, because there could be a class action case, in my opinion.
Thank you for your support in that matter.
I called TD on the day I received the notice. After arguing with the clerk and his coordinator, they said that the delay was expired to choose any other option than the default and that TD was not responsible for the 10 days' delay. It was either Canada Post's or the transfer agent's fault. At some point, the clerk said that I was not the first client to complain.
The alternative given is to trade the JPJ stocks after they will appear on my account and TD would wave the commission.
Please give me your opinion on this situation, what are the possible consequences and what can be done.
I think that
- Canada Post is the usual suspect in any delay but 10 days is too much and TD and the transfer agent should take some blame in the matter.
- The default option to transfer Canadian securities to a foreign exchange is borderline incompetent decision.
- What if there is an impact of the FX from GBP to CAD with the sale of JPJ stocks on the LSE.
- Is there anything that can be done or compensation that I can claim in that situation?
I started a blog on 5iR on this subject, because there could be a class action case, in my opinion.
Thank you for your support in that matter.
Q: Jan 30/17 ? asked by pascal re US research:
Many of the Valueline services are available
online from the Toronto Public library and other libraries. A library card is required.
Many of the Valueline services are available
online from the Toronto Public library and other libraries. A library card is required.
Q: For covered calls, can you see a reasonable risk adjusted return profile if you can only write 1 or 2 contracts? Or do you think the friction will be a setup for failure (based on typical CDN bank commission structure of 9.99 + 1.25/contract). I've been wanting to dip my toes (maybe with something like Loblaws) but the healthy chunk coming from my payout has me wary. Also, do you happen to know of a good beginner resource for understanding if the contract price is at least reasonable for the option writer (I know it is fairly speculative but don't want to get completely fleeced). Thanks for everything.http://www.5iresearch.ca/questions/category/miscellaneous-misc
Q: I am connected to a 41 year old who is about to start investing and putting some money away for retirement
He has very little investment knowledge
He has about $ 200,000 to invest We are going to start with his TSFA and make the maximum contribution and then we will set one up for his wife
Where is a good place to start Would you recommend a basket of ETF's or buying individual stocks His investment horizon is 20 to 25 years
Which are your preferred ETF'S or your 6 equities
Thank you very mucb
Paul
He has very little investment knowledge
He has about $ 200,000 to invest We are going to start with his TSFA and make the maximum contribution and then we will set one up for his wife
Where is a good place to start Would you recommend a basket of ETF's or buying individual stocks His investment horizon is 20 to 25 years
Which are your preferred ETF'S or your 6 equities
Thank you very mucb
Paul
Q: Hi 5i team, I have a general question on companies being removed or added to the different s&p tsx indexes. On Jan 23 a number of companies were added and many deleted (gte and exe among them), so my question is with these being very large indexes with many eft's and mutual funds holding them, is there actually a lot more buying or selling of these particular stocks by these funds or funds copying them. and if so do they have much lead time before the actual replacement date (jan 23) and would you see more adjustments continuing after the date possibly affecting normal trading of such companies.
thanks Tom
thanks Tom
Q: Dividend policy
Is there a compilation of various companies' stated dividend policies, if any? If not, where is the best place to look within a particular company's published documents?
Is there a compilation of various companies' stated dividend policies, if any? If not, where is the best place to look within a particular company's published documents?
Q: Could you recommand a conflict - free investment research
company on line (with the same "approach" as 5i Research) for US stocks ?
Thank you .
P.
company on line (with the same "approach" as 5i Research) for US stocks ?
Thank you .
P.
Q: Hello 5i team. My question is in regards to taxation. I have an investment account at a CDN discount brokerage in US dollars. If I was to buy a cdn company say TD bank that trades on the US market and buy it in US dollars how would the dividends be treated? Would the dividends be paid in US dollars or paid in CDN dollars then converted back to US dollars? If they are paid in US dollars then are they subject to the 10-15% US withholding tax? I am trying to find investments that I can buy with US dollars but not be subject to the US withholding tax. Thanks
Q: When doing my research, I have a defined method that includes 5I views but also Morningstar (for Quantitative view) Thomson Reuters for fundamental views and forward looking views and if buying USA stocks Bloomberg. Recently my brokerage made S&P research available and I am finding contradictions in how seemingly same facts are both viewed and presented. There are several quantitative S&P views on stocks that give "sell" ratings while the others give positive ratings. I was wondering if you use any of these sites for information an if you have a bias towards one being more accurate then another. Thanks Jim
Q: Hi, I would like to know if you could direct me to a site (s) that tell us where the money flows are please ?
thanks Rick
thanks Rick
Q: Good morning. Just a quick funny (not so funny?) thought in reply to Dave's question regarding the freshi IPO and your answer. It strikes me that it is a lot like trying to get concert tickets prior to the resellers getting them all and reselling them at an inflated price! I guess it's the world we mere mortals live in.