skip to content
  1. Home
  2. >
  3. Investment Q&A
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: Just as the financial crisis has resulted in identification of banks which are "too big to fail", what, in your opinion would be the consequences if a computer trading program were to be identified as one that is either "market moving or trend prolongation". Would the average retail investor not be on a more equal trading position if those computer were made to make public those events which trigger their buy and sell? If we all decided to jump on the exact same trade, there would be no winners and losers . If AI computer trading accounts for more and more of the trades then, short of the individual investor pulling completely out of the stock market, how does one have any confidence in their own investment thesis?
Read Answer Asked by Phil on February 08, 2018
Q: I have been wondering for some time about market valuations and your recent comment about inflation being bad for markets has raised it again for me. If a market is doing reasonably well and inflation sets in could there be a reset of stock valuations. If so what sectors could get re-evaluated and is it across the board in a given sector or specific to certain size market caps?
Thank you
Clarence
Read Answer Asked by Clarence on February 07, 2018
Q: Hi 5-i:
I read somewhere that the volumes in the stock markets are generally highest at the open and near the close , because etf's are investing any
overages. Any truth in this? Could I assume that this is a good time or
bad time to trade. When in your opinion is the ideal time of day, if any?
Thanks,
BEN.
Read Answer Asked by BEN on February 02, 2018
Q: Hi Gang,

How accurate would this be, its a clip taken from BNN.

We’ve been keeping a keen eye on the yield curve as it’s the best predictor of an impending recession. While the curve is flattening (short end rising while long end not rising as much) we are but two to three rate rises away from inversion. An inverted yield curve generally leads an actual recession by ~12 months. Based on our calculations we are at least ~18 months away from the next recession.

Thanks
Anthony

Read Answer Asked by Anthony on January 23, 2018
Q: Dear Team:
I have been retired for 5 years now and have been self investing with a return of 13.58% on average. I have reached 60 years and feel that I should have more fixed income as of right now; I have about 12% of fixed income. My portfolio size is over $1M. I have 2 questions for you:
1) Do you think I need more fixed income?
2) If I was to increase my fixed income, I am thinking of an ETF for either Re-set Preferred Shares or Short Term Corp Bonds or Real Return Bonds. Which do you like?
Thanks for your time
Jim
Read Answer Asked by James on January 19, 2018
Q: Hello,

I have been holding TDB902 Mutual Fund which tracks the S&P500 over the last few years. The approx return for TDB902 from Jan 2014 to Jan 2018 is 77%, XSP has been 52% and VFV 78%. However, the one year return for TDB902 has been 16.21%, VFV 16.42%, but XSP has been 22%. XSP is CAD hedged, and I'm looking for the best investment to track the S&P 500. Is it better to have XSP/CAD Hedged ETF? My understanding is that on average CAD to USD has been approx .80 (outside of the few years when CAD was on par with the USD), I think there may be some fluctuation between .75-.81, but will stay around .80 (or decline). Which ETF would have the best returns and track the S&P500 accurately, and should I consider a CAD hedged ETF?
Read Answer Asked by Neeraj on January 16, 2018
Q: You have mentioned on occasion that the Tech sector tends to be the hot sector during the last quarter of the year.
The market is behaving quite well at the moment with a reasonable amount of optimism. Do you expect there to be a shift from investing in the tech sector to other sectors given the current investment climate?
Which sector(s) would you think will most benefit from any possible shift of funds in Canada and the US? Or has it already happened?
Read Answer Asked by John on January 09, 2018
Q: I feel like I'm consulting an oracle here but I am wondering what your thoughts are on an impending correction. My concern is with respect to the amount of people chasing up tech and marijuana stocks especially. Everything has risen so much in the last 6-12 months that I can't help but think we are over due for a pullback. Would it be wise to sit on the sidelines and wait? I hate to miss out on the party but I'd rather lose a bit of upside here and be able to take advantage of a possible major pullback than be the last one out the door after the party is over. Thanks in advance.
Read Answer Asked by Jason on January 09, 2018