Investment Q&A

Q: Peter,
As not much seems to matter anymore (LARRY SUMMERS THINKS THAT BUBBLES ARE "THE"PANACEA FOR BOOSTING ECONOMiES... Well.. we knew that all along, but neither Greenspan nor Bernake dared to say it openly before him but he obviously had the excuse of being rejected from the job lately and we understand his frustration..) I would be happy to share a little trivia on the market:

What was the lowest in 2002, 2009 for the S/P?
2002: 777
2009: 666

What was the Dow closing price on the first day it passed 16000
11/21/ 2013: 16009.99

The nagging question that remains is: will the Nasdaq close its highest at 5222, 5333 5444 5555 or 5888(5666 and 5777 have already been taken)?
who dared say blondes had more fun when we have Wall Street??

Cheers, and publish at your own discretion, of course!

Q: Hi Peter,
Just a quick question in response to one of your responses to another fellow - you mentioned you pay a lot of money for the "bloomberg terminal" at your office. I have always been curious as to what exactly the fee is for one of those terminals? I've heard in the neighbourhood of 1k/month?
Also, what do you find to me the most useful benefits/characteristics of such terminals? Is it the research they provide or charting or what?
Many thanks for your response - sincerely love your service!

Q: Would you consider providing a model portfolio consisting solely of ETFs? Your current stock model portfolio is helpful but I think that an ETF portfolio would be valuable to your members.

Thank you.

Q: SES.t
I note with thanks, your general comments from Nov. 5/13 on this apparently outperforming it's sector company. It appears that Nov.20 they announced a bought deal financing of 6.2 million shares (approx. 15% of the current float) at $15.35 (today trading up to 16.20ish). So, I was a bit confounded that the stock price went up today, normally wouldn't one expect a dilution at a lower price to bring the price down? If the price continues to hold in the face of the BDF, does this speak positive for the company? I'm not not sure on the "ins and outs" of these deals so would much appreciate any education you could provide.
Thanks as always.
One of the Neil's

Q: From I5 ''The TFSA is not yet recognized as a pension account, and there would be tax implications there.''
I am very surprise by this.
I had dividends and interests in my TFSA, and I never received any tax document from my broker. Do I have to contact my broker to correct ?

Q: I have a question about Brookfield Renewable Energy LP. I find the tax implications of brookfileld's energy and infrastructure funds confusing. Should they be held inside or outside of registerd accounts? Thanks.

Q: Hello Peter, quite enjoyed your webinar. Found it very informative. Are you planning to give any more on a regular basis?

Thx.

Vineet

Q: What is your plans for the model portfolio in 2014, are you going to come out with a new one or are you simply going to go the status quo?

Q: TRADING TIPS Peter, I have access to real time trading on Globeinvestor. Often when seeing a price for a stock under consideration, after a closer look, there are often big gaps between bid and ask and far fewer trades on offer either way. Could you give us general tips as to when to pull the trigger.
Bob

Q: re Ivan's Nov19 question re broker firms : Rob Carrick at Globe & Mail just published their latest ratings of online brokers.

Q: To Ivan's question on brokerages (19-Nov). I personally have been using BMO Investorline, with no issues and great investor information at $9.95 a trade with $50K minimum account. They allow you to group accounts to get to the $50K which was nice when I was short with my TFSA. - Cheers.

Q: With regard to the person who asked about TD Waterhouse; I have BMO Invest and could not be happier. $9.95 per trade, a wealth of information available on stocks, recommendations, etc. Now I wonder how I ever got along without it. - Edward

Q: Hi Peter,
I am a relatively new member ob your site. I just wondered with regards to your model portfolio do you recommend buying these stocks at the current prices and how often do you reassess the recommendations. Thanks Clare

Q: On Ivan's question on brokerages, the Nov.19 Report on Business in the Globe and Mail has its 15th Annual Online Brokerage Survey featuring ranks from A thru D. Personally I use 3 of them, an A, a B and a C, and I find each has its own strengths and weaknesses as it relates to my needs. J.

Q: 5i recently responded to a question on sector classification / weighting by stating that your ideal sector setup would have 'around 15 sectors' opposed to the TSX's 11. I'm curious to know what your ideal sector classification setup would be, and what your ideal sector weighting would be today given a blank slate for a risk on investor? IThis will allow me to vet my existing portfolio with your sectors to see how it stacks up and if its too overweight / underweight anywhere. Thank you.

Q: ENW had recent announcement with a large vegetable producer which I thought would have moved the stock upward. Shortly after this announcement it signs an undertaking with Raymond James for funding to build the processing equipment. Any reason the stock would drop, rather than rise on what appears to be good news?

Q: Hi Peter and Team, any comments on which company to trade stocks, I have heard so many negatives on TD Waterhouse. Any of your other members have any opinions that could be helpful, would be appreciated. Keep up the great work and Thanks

Q: Hello, I would like to know why the size of an etf seems to be a factor when 5I answers questions relating to etfs. My understanding is that regardless of its current size when a buy is initiated the fund provider just has to add the appropriate amount of units to satisfy the purchaser via buying the underlying stocks in the market. Does this create liquidity problems/a wider bid ask spread? Your comments, as always, would be appreciated. Thank you.

Q: I assume there was nothing in google search data before the last crash that could be used to predict the next one? Perhaps something less obvious than increasing paranoia or volatility?

Q: I have a reasonably well balanced stock portfolio, consisting mainly of large TSX dividend paying stocks. As the DOW continues to reach new highs, I am growing increasingly concerned about the propects of another bubble, and want to have a strategy ready to protect the gains in my portfolio if necessary. Other than cashing out, would your view be to invoke stop losses on my more interest sensitive stocks? If so, what level of stop loss would be appropriate (ie. is there a typical percentage or dollar level that is used, or would it vary by the type of stock?
Thanks for your input 5i.

Brian