Investment Q&A

Q: I really appreciate your spreadsheets would it be possible to add a column for payout ratios as many of your stocks are divided payers. This would be a great service as this often difficult to find quickly. Thank you again for your great service.
Mike

Q: Hi What would happen if the us dollar droped substantially and created hyperinflation? What would the effect be to the canadian dollar and market? Would gold and silver go up and would it be better to hold the equities or the physical commodities?

Q: Hi Peter and 5iResearch Team,
Is there any tax issue or other negative factor which should be considered with holding US dividend paying stocks in a TFSA. Thank you. Linda

Q: From research on Sedar.com it seems former CEO Michaluk and CFO MacKenzie of Poseidon are laying low in the business world due to a Class Action lawsuit commenced by investors in NY in Feb 2013, and if I were ever a shareholder I would join it for the cost of a postage stamp. Often you'll get a small cheque out of the blue and long after.

My final question on PSN: Beyond the obvious such as don't get overweight on small caps and sometimes you will have things blow up in your portfolio, what, if anything, can a small investor learn from this debacle? Thanks, J.

Q: Have just renewed. Thank you for such sound advice. I have been financially " guiding" my employed 38 year old daughter for some time. She has $20,000 to place in a non registered account and about$15,000 cash in her TFSA . I have been keeping notes from your Q & A, your portfolio and other research. In her non registered, she has XDV;XIU and a dividend mutual fund. Feel free to suggest weightings , long term horizon, which of the following would you suggest for non registered and TFSA (Or as you like, make any substitutions):
BCE; CGX; BNS; SLF;PWF;T; CBO; BEP.UN; IWO.
Thanks for your input.
Paul

Q: Hello 5i, for tax loss selling if you own common shares of the same company in your cash account and in your self directed RSP account can you sell only the cash account shares and claim the loss in the cash account and not sell the shares in the self directed RSP account as you cannot claim tax loss selling from the Self directed RSP account.
Thanks
Michael

Q: On the 5i-Research-Summary-Dec-13-Excel document:
It shows around 80 stocks listed.
Is that roughly the total number of stocks tracked at any one time ?
When stocks are deleted are they marked or shown anyplace ?
Thanks

Q: I have seen a trend in Agnico Eagle. It appears to hit a high of $30. then retreat to $27. Do you think the next time it is close to the top, I should sel out and re-enter at $27. ?

Q: Is there advantage to buying td before it spilt thank you

Q: Hi Peter and Crew,

I am a totally pleased member and have just early-extended my member ship for another 2 years. I am also a low-volume question submitter and gleen my information from the questions of others and the model portfolio and reports.

My question is a general one. 5I has made excellent recommendations (companies, funds) and strategies (inaugural and then increasing dividends) and provided great supporting information ... in a Bull market. I think I can express the feelings of many of us that the results have been very good and that we might be feeling a bit bullet-proof.

This bull will end - they all do. Might be gradual, might be abrupt.

Can you offer any insight, at this time, as to how you might change recommendations, approaches and/or the model portfolio as we enter and pass through a bear market.

Thanks again for your great service.

Q: I am baffled at your response to a question on TFSA investments where you suggested some higher risk stocks from your model portfolio . My approach has been to minimize risk in my TFSA and RSP because I can't claim the loss . Please discuss your strategy .

Q: Hello 5i Team,

My children's RESP contain the following:
ALPS Alerian MLP ETF NYSE: AMLP, First Trust Dow Jones Global Select Dividend Index Fund NYSE:FGD
and a Canadian bank RBC, for a total value of $17,000. Its about five years till the kids will use the money. My question is, what should I invest in to make this better, I’m thinking some growth stocks.

As always your opinion is valued.

Q: Thanks so much for your great service and all the best for 2014 as you gain momentum which is the theme of my question. I have noticed that you often mention your appreciation for 'momentum' and I wonder how one identifies this quality in a timely way. For example, I missed out on BAD since I was waiting for a pullback that never came, and I have some Y and Y.WT arising from a bad investment in a preferred of the old Yellow Pages, and these have had tremendous momentum recently (8.66 on May1 to 21 now). Again, I didn't add to my meagre holdings, but it would have been wise to do so, in retrospect. In short, I wonder if there are ideas on how to assess this fairly common phenomenon of watching a stock continue to rise, knowing, of course, that it will end sometime. Perhaps the short answer is that i should ask you as soon as I notice such movement! But I wonder if you have particular guidelines that you follow is assessing whether it is 'a bit late' to join the party, or not too late. Thanks.

Bob.

Q: Hi 5i - thanks for everything in 2013, success to you and all members in 2014.
Sorry if this is repetitive - maybe need more links for these categories - What are ur best 5 stock picks for growth and 5 best for dividend in 2014.
Tks.

Q: My daughter is 20 years old and is just starting to invest over the next 45 years .I have convinced her to open up a TFSA She is starting with $ 4,000 .I would love some advice on getting her started

She is still a university student and has very limited income

Thank you for this great service

Paul

Q: Team

In a recent response, you mentioned that you felt Tech, Industrials and Energy will be the sectors that lead the way in 2014. A couple of months ago you responded to my question relating to ideal sector weights (using 5i sectors) as:

Capital Goods / Industrials 15%
Consumer Cyclical 10%
Consumer Staples 5%
Energy 5%
Financials 10%
Health Care (CDN) 3%
Health Care (US) 5%
Information Technology 10%
Internet / Software 10%
Materials (Gold) 5%
Materials 3%
Real Estate 3%
Retail 4%
Telecommunication Services 5%
Transportation 5%
Utilities 2%
TOTAL 100%

Is this still your ideal breakdown for investors (profile = young + risk on), if not, what would your ideal current weights be given a blank slate today (ie. higher in energy weight)? I know there is fluidity in all of this, but I am about to deploy more capital and am trying to determine what sector to put it in so I can be as close to the 5i recommended weights as possible, thank you.

Q: Hi! If you were looking at your 5i Model Portfolio for the first time, which 4 stocks would pick to take a position in today? Thank you!!!

Q: Cam asked, on a post yesterday, about a symbol "PSN". I can find no "PSN" listed anywhere - there are two Poseidons listed in the US but none with "PSN". Out of curiosity, I wanted to see if there was any technical indication of a big one day drop. Can you tell me where to find it?

Q: I am 68 years old and retired. I would like to start building positions in your model portfolio. Considering which sectors you believe will do the best in 2014, would you name those sectors and suggest 2 of the stocks in your model portfolio that you would buy now in each chosen sector.

As always, thanks for your guidance.

Q: Peter and 5iResearch Team,
Can you please provide advice regarding the # of stocks to hold in a portfolio, assuming one would have a cash, RRSP and TFSA and that we are referring to the equity allocation of the portfolio. I have understood that 20-25 names would provide good diversification, yet one of your members recently confirmed he added 15 names to a $35K TFSA portfolio and you suggested he might want to add one more name? You have 20 names in your model portfolio of $135K. Can you clarify??