Investment Q&A

Q: HI…as investors should we be overly concern with, “Deflation” in the market place.??

Q: merry christmas to all. i have read somewhere,do not remember where, a statement that buying more expensive stocks $200.00 a share and upwards is a better investment due to stability and strength. is there any merit to this statement.

Q: Given the fact that "defensive" stocks seem to be out of favour at the moment and that "growth" stocks are the flavour of the month would it be possible for you to look at each sector and list your top five stocks or more in each of the sectors.
I realize that your primary focus is on the Canadian markets but you if could include some US stocks that would be a bonus.
Thank you so much for this wonderful service.

Q: I read a comment that your team may be setting up a "portfolio analysis" for your members. I would gladly pay a fee for the team at 5i research to look at my portfolio and make suggestions and improvements on my retirement goals. People are looking for a trusted resource such as this. It is difficult to find a qualified AND trusted group to monitor and help in stock selection. Sign me up!!!!

Q: RE DHX: I'm considering re-entering DHX after this gap pullback finds a bottom. Is there anything of concern at DHX fundamentally - is it still a Strong Buy? Is there anything else you would like more for capital appreciation in the new year? The fiscal cliff chatter will evidently be looming again quite soon - lol - Your thoughts going into 2014 are greatly appreciated. Thanks.

Q: Could you please elaborate on an Enterprise Value as a benchmark in establishing a value of a company?
I am usually looking at the Book Value but maybe the Ent.Val is more accurate?
For example : Is it correct to assume that if the Market Cap value is lower than the Enterprise Value
the market is trading at a discount to the true value of the company and it might be
potentially a good buy (considering that other ratios like P/E, Revenue growth etc. are also favourable) ?

Huge thank you for your great market insight.

Aga

Q: I currently have a 12% position in consumer discetionary stocks that includes a 6% position in cineplex, and 3% positions in dollarama and tim horton's. I was thinking of adding between a 2% and 3% position in Alimentation Couche Tard (ATD.B).

Do you see anything I am missing in this weghting and basket of consumer discretionary stocks? How much of a weighting would be considered too much for a consumer discretionary sector?

Thanks again. I probably wont be writing in again till after the new year so to all the staff at 5i, and its subscribers, have a terrific and safe Christmas and holiday season.

Q: Good Morning,
I find it a little bit harder to find a good stock right now. From your model portfolio, if you would sell one stock, which stock would you replace it with?

Thanks.

Q: I would like to find out any information that is provided on warrants. Thanks for all or any info . Regards Don

Q: I came across a newsletter stating that Gildan recently hosted an “investor tour” for Analysts at their facilities in Honduras. My question is a general one not pertaining to Gildan in particular. When these types of tours are held for Analysts in far off locations, are they typically all expense paid affairs or is the Analyst travelling on his/her investment firm’s nickel? Are they glitzy affairs? (just trying to gauge the conflict this might create)

Q: Peter Could you please tell me the diff between a ETF and a mutual fund in my opinion some else is controlling your future for a fee .
Kind Regards
Stan

Q: are there any good nanotechnology companies worth investing in, and are they potentially a good investment long term. thank u

Q: Goodday peter and team, heres my 2 cents on the new portfolio (growth vs. income) idea. before I subscribed to 5I I was pretty much fully invested in the Canadian resource sector,thinking that the world would always need resources. well they do and don't,ive turned a 180,000 portfolio into a little over 60,000 today . ive had to grind my teeth, grrrr as ive sold losers to invest into 5I reccomendations to see somewhat of a turnaround (thankyou). income or growth? for me its growth growth growth. tkx pat

Q: Hi Peter & Team:
Appreciate your help. I Submitted this question on Dec 4 and was
informed "your question has been submitted.", so I don't know what transpired. Anyhow, on Dec 2 Edward submitted a question about year end distributions. Is it true or not that in many cases with stocks, mutual funds & etfs the drop is not as large as the payout and so is advantageous? Also, many years hence I
owned some seg funds,and my advisor, who passed away a long time ago had me sell them, because he said he had made an error.
The funds were not popular, volume was low, and he anticipated that it would be wound down. He feared that the last holders would be stuck with large distributions. I asked if those who
sold during the year wouldn't get a t3. He replied," they are gone." Did he understand the workings of funds?
Thanks in advance Peter.
BEN

Q: While asset allocation is more personal to ones situation whats your opinion on these ETF's for a portfolio revamp or are there better options that one should consider.
Bonds - XBB, U.S. - XSP, International - XIN, emerging markets - VWO, there is also a Canadian allocation and cash but I am not sure about these 4 ETF selections.

Q: Safe Fixed Income Instrument

I am a retiree, and need a safe place to keep money in fixed income instrument. I consider this money as last line of defense. I have a stock portfolio with which I am satisfied.

I kept this money in GIC which pays almost nothing. Also tapering is expected in 2014. Please suggest a financial instrument. If I go back to GIC please suggest how long to tie up the money. I do not need it now. Thanks.

Q: Hello Peter et al.

There have been questions where the subscriber listed all or most of his/her portfolio. I suspect that reflects a need (and an opportunity) for an expanded service from your company to address and give advice on an investor’s total portfolio.

Such service would be in addition to the regular subscription and would necessitate the investor providing his Investment Policy Statement and financial and personal details. Naturally the service would be in addition to the regular subscription service, and at whatever the going fee is for such service. An investor may desire a review every three or four years.

My wife and I have a total of five accounts which I handle as one large portfolio. No doubt some dogs have slipped into the portfolio over the years (my first investment was in 1961 at the age of 26) and I would gladly pay (no idea of the going rate, perhaps a thousand dollars) for a portfolio review and recommendations (about 32 stocks plus 4 ETFs and a couple of Pfds and Cnv. Debs. There are other organizations that provide that service, but I know of none that carry your credibility.

In my view the service would be a separate niche within your company, with the service only open to subscribers of the regular service.

Your choice on whether or not to publish all or part of the above.

Bob

Q: What is your near term market strategy with regards to the Fed set to begin tapering in one of the next four months? Thanks as always.

Q: I have $15,000 in TFSA and I am wondering how to structure it.
Main goal would be income (dividents) and hopefully 7-9% capital appreciation per year. Nothing aggressive, but steady income and some growth.
The problem is the size of the capital on hand, only $15,000.

Q: Is Peter and team going to start another model portfolio for 2014.