Investment Q&A

Q: I am putting together a portfolio called "Big Dogs"
I broke out the 10 largest stocks by market cap in each of the 10 sectors
I will invest in 3 of those stocks in each sector for a total of 30 stocks.Determining which 3 has been a challenge,looking at the usual--
dividends--eps--p/e-- market cap etc.Also have a bias toward your favourites.
Since I am only looking at the top 10 do you think I will be overlooking some better opportunities?I think perhaps, but I would go
crazy trying to look at the whole sector or even the top 20.I feel my odds of success are better sticking with the "Big Dogs"
Over all I will put 10k in each stock but not until I see a market
pull back which I feel is imminent.Perhaps I could have your thoughts on that as well.
This is not something new---What do you think of my idea and approach?

Q: Hi,

I know you like the following: PPL.PR.M and ALA.PR., TransCanada (series 13), Canadian Utilities (series FF) and Brookfield Asset (series 5). With these type of minimum reset preferreds, where would you expect the prices to be in 3 or 4 years under the following scenarios:
1. Current govt of Canada rates 0.5 point lower than today
2. Current govt of Canada rate same as today
3. Current govt of Canda rate 3 or 4 points higher than today

Regards,

Robert

Q: I have a $300,000 lump sum to invest for a little more than 10 years before there will be a need to start to taking income. What would you suggest is a reasonable time frame over which to make the purchases? I was considering equal purchases over a 3 month time frame (as opposed to a doing it all right away) but with the US presidential elections, all the talk of interest rate increases and tax loss selling I am wondering if three months is too quick.

Appreciate your insight.

Paul F.

Q: Hi 5i
If the US moves interest rates higher. Will that have any immediate influence on Canadian GIC rates. If not what will make them move higher?
Thank You Dave

Q: HIU-T This was recommended on BNN as a way to off-set downside. Could you please explain in detail how this would work and would you recommend this method rather than holding cash in todays market with a bearish outlook? If you had $100,000 cash would you put it all into the HIU? What would be the down side?

Q: volatility is low right now,but I am expecting this to increase.
Is there a way to play this in the market with some kind of etf?
and what is your opinion of this

Q: Good Afternoon,
I am adding several positions to my portfolio. I have narrowed it down by using your reports/comments etc. . Some of the reports are dated, would like to know if you still consider these names a buy at today's level, or any other more favoured names in these sectors. Also wondering if you would recommend staggering purchases or waiting for a market pullback, realizing that some of these names are high.
All would be additions to a diversified portfolio and considered to be long term holds. Thanks for the assistance. Lavern

Q: I am currently watching XEG for an entry on a long term hold. I'm also looking for a Canadian ETF that is similar to OIH that trades in the US. Is there anything available on Canadian exchanges?

Q: Would you mind explaining how the one year share price of XHY has gone from: Aug 19/15 at $19.81 to Feb 2/16 at $17.31 and then back up Aug18/16 to $20.01. Is share price only affected by interest rate changes or other things in the ETF that I'm missing? And is there a best time to buy the ETF.
Thank you.
G

Q: Could you share what you feel would be the best tool to invest for an increase in Volatility?

Thanks

Q: Hello 5i team,

Not sure why my question does not reach you as I've tried twice in the past 2 weeks.......hope it gets through to you in this 3rd attempt.

I am 61 years old and about 16% of my overall portfolio is in bonds. The rest is in income stocks and growth stocks similar to 5i portfolio. The yield return of fixed income instruments is so low currently and I am rather comfortable owning income stocks. Now, I have $60,000 in cash in RRSP and I have the following options. Please comment on each option and your preference and recommendations.
1. To buy several corporate bonds with maturity of 3 to 5 years and to hold till maturity.
2. To buy more income stocks like AW.UN or EIF.un
3. To buy ETF of inflation bonds
4. To buy ETF of high yield bonds
5. To buy ETF of US corporate bonds

Please advise preferred ETF for option 3, 4 and 5.
Many thanks.

Q: Just wondering what your thoughts were on what sectors look beaten up and/or unloved and provide a decent entry point for a longer term hold? Materials, healthcare, US Banks come to mind. Any others?

Q: I stumbled across this ETF (PYF) by accident. What are the drawbacks with this one. It has a 52 week low/hi of 19.42/20.52 with a yield of 7.1%. It looks like a nice place to park some cash for a season but what is the downside (there is always a downside and usually a big one)? Thanks for doing a great job.

Q: Hi Peter and team,
If US and Canadian stock market goes down say ~10%, how it may impact preferred etf such as ZPR, CPD, PGX (US) or split preferred (e.g. FFN.PR.A)?
Thanks

Q: ave 5% in each corp and have losses of 25% and 35% respectively. I have been patient but wonder if I should sell one half of each and buy more ZZZ and KXS, in their place.
Thanks for your assistance..
Alex

Q: If there is a housing bubble in Canada is there any stocks that would benefit? Thanks.

Q: Hi Guys,

Is ZRE a good buy? 3 to 5 year hold.

thanks,

Jim

Q: Is ZPR primarily constructed of rate reset preferred shares and if yes would this ETF be a good investment right now for income and capital preservation?

Ken

Q: I'm thinking about taking a position in physical gold before the US election thru either MNT or PHY.U. could you compare and tell me the differences between these 2 vehicles. Which is better? I'm thinking about taking a 10% position and increasing cash to 40% leading up to the election. Thoughts on this strategy?

Q: Good morning...In the world of a Trump President and his dislike of the NAFTA and potential dismantling of that agreement..What names /sectors would suffer the most...Would you see a major readjustment to your portfolio in preparation of any action? If so, how far in advance would you adjust?

Thanks