Investment Q&A

Q: Within the next two years I must convert my RRSP to a RRIF. Over the years, I have never paid a lot of attention to the right mix for my RRSP…I just invested in a company I liked and if I had the cash, the stock was either purchased within the RRSP or cash account. My major holdings are CNQ, SU, and a Mawer fund (MAW105). These constitute approximately 70% of the RRSP account. With Husky at 9% and cash at 7% there are only very small holdings making up the remainder, of which Home Capital Group and WSP Global total about 6%. I don’t expect to have immediate needs for the money from cashing in, before age 71. I just wished to have some advice of what I should exchange, if any, within the RRSP. It seems that, at present, I am heavily weighted in cyclicals, especially oil. Since we probably are at the bottom for oil or close to it, I don’t see any advantage to trading for something different before I reach 71 unless there is some advantage that I don’t understand. Perhaps I should do nothing and ride out the oil depression then rebalance once oil prices improve? Can you provide some thoughts as to what, if anything, I should do between now and age 71? Thank you, I value your opinion very much.

Q: Yesterday you provided a percentage sector allocation for a growth portfolio for 5-10 year holding. Would the answer be different for an income portfolio? Thanks.

Q: Thank you for the 'heads up' on your blog post on CUS/SPB/AYA. While I have already made these calculations and acted on them, I had realized it was a difficult subject to broach with 5i. This trade is a speculation and something you shouldn't encourage what with you PF approach. Very glad you found an outlet for these types of ideas in "blog" postings and I encourage you to continue sending us a "heads up" when you do. Thanks again.

Q: Donald Trump is likely becoming a GPO nominee for the coming US Presidential election. How should an investor prepare for the coming market uncertainty ? Presently I hold 20% of my portfolio in cash and am contemplating to increase my cash holding to 50%. Please advise. Thank you. Bill

Q: I like this site that another member suggested for info on short positions. https://ca.finance.yahoo.com/q/ks?s=DH.TO The link takes you to Key Stats for DH but just enter the symbol in the box for any stock and moving averages is in the right hand box. Tons of info on this site. I use it regularly and find new stuff all the time.
Thanks

Q: In response to Brian's question on Feb 26 about a stock's technicals and analysis. He might find this site useful StockTA.com http://www.stockta.com/ For Canadian stocks you need to add a .c to the ticker symbol

Q: I asked this question in the blog but probably should be here.

My broker told me that BEP.UN was a bad investment because the $2.25 payout far exceeded the $1.11 earnings? When I go online to check this out I get conflicting numbers, so not sure who to believe. Can you clarify as to the integrity of BEP.UN
Thankyou....Jim

Q: Could you tell me where I can find Company's moving averages such as 200 day, 50 day etc. Thank you.

Q: What do you think of this etf ?

Q: I am looking to purchase both these corporate bond etfs for income.Would you rank these products as fixed income or equity? More importantly, what causes the volatility in these etfs, for example, both of these items are down today?

Thank you.

Q: Hi, I'm looking for low-fee ETFs similar to CBO in makeup and yield but priced in USD. Any suggestions? Specifically, I'm looking for somewhere to keep bi-monthly USD cash contributions to a USD TFSA before making equity purchase decisions (I don't like seeing cash sit in an account without getting any yield). My account has relatively low commission fees (none to purchase ETFs) so transaction costs aren't a huge concern. Maybe I'm thinking about this incorrectly, however, and any other suggestions on how to best hold monthly contributions would be appreciated. Much appreciated!

Q: Is there any website that an individual retail investor can go to find out the number of shares shorted on any particular stock. thanks

Q: My simple calculation for SGY NAV is $4.01 whereas the corporate report states $4.88. I'm not an accountant - please explain.
Thank you.

Q: Is there anything wrong with buying 1000 ABC shares @ $10 today that pays a 10% Div, with Ex date of 2/23. Selling them all on 10/27, and then repeating with another stock with an approaching ex Date? Seems too simple to be making a G every week?

Thanks!

Q: How often do you recommend rebalancing a portfolio and what does that process look like?

I started with a 5% position in CXI in January and am up 38% and want to know at what point I should sell some shares, how many and what to do with the proceeds of the sale.

Thanks!

Q: Hello Peter and the 5I team

I have been having a debate with a friend as to how interest rate hikes affect stocks (especially REIT's, pipelines and utilities shares) in the North American stock markets (FED and the BOC). His take is that it only increases the cost of borrowing. My take is that it 1.increases the cost of borrowing, this would put pressure on all businesses not just pipe, REIT's and utilities. It would actually put pressure on all asset classes. 2. Make bonds a more attractive asset class to own compared to stocks. The risk/reward balancing act would slightly tilt in the favour of the bond over say REIT's, utility or pipeline stocks which are generally known for their safe dividend yields. So people would flee the equity market and go toward the bond market causing the stock prices to fall. Would you say that I am more right then my friend??? Is there more to it then my rather simple explanation???

I was curious about BEI.UN, what is the pay out ratio? What is the P/B ratio and would you consider this a ok place to put money?

Thanks

Q: You have probably answered this several times b4 but I couldn't find anything related so sorry for a likely repeat. I'd like some information on the MER that is quoted for a mutual fund or index fund. Some quote a MER of say 2.13% and others (like Vanguard) at 0.10%. Are these really the same thing and does this mean if I put $10,000.00 in each of these I am charged $213 in the first and $10 in the second (Vanguard)? Also is that charge very year or just a one time charge when I put money in assuming both are no load? Thanks. Much appreciated.

Q: Besides a subscription to 5iresearch could you please recommend any introductory books or courses that teach basic investment information on topics like diversification, ETF, bonds, equity, MER, risk, dividend, capital gain, brokerages, IPO, volatility. I'm sure this has been asked before but I just can't find it on the site. Thank you for all your help.

Q: Could you tell me what the index total return (including dividends) was in 2015? Where can this information be found? Thank you

Q: Hi 5i, I would like to add a new position to my granddaughters' trust accts ( 2).

They currently hold:

REIT ( KMP and AX.un)
Bank ( BNS and RY )
Insurer ( SLF and MFC)
Pipeline ( PPL and IPL )
Oil ( ARX and VET)
Utility ( BEP.un and NPI)

Could I get your top 2 suggestions in the following sectors:
tech
telecom
consumer staples
consumer discretionary .

Timeline would be 5 to 7 years.

Thanks for a such great service! You really help to remove the DREAD from investing