Investment Q&A

Q: BAM represents 6% of my (mostly well-diversified) portfolio at this time. Is this too much? My aim is always growth, with growing dividend, and given that BAM seems to be going sideways in the short term, I was thinking of trimming back to 4% and using the extra 2%, along with some cash sitting in the account, to buy into something with more potential and/or more momentum. If you think this is a good idea, could you provide a favourite name or two in the Energy Sector. My only holding in this sector is TOG at this time, which represents 4.25% of the portfolio. Thanks for your help.

Q: Am considering buying either Loblaws or Alimentaion Couche Tarde and would like your opinion on your preference. Thank you. Anne

Q: Could you name some other companies like New Flyer that sell a lot to the USA proceeds and are Canadian stocks

Q: Peter, Aecon seems to be behaving better as of late, and has won a new contract. I'm about 20% under water on this position, but as I'm looking for a 5 plus year hold I'm considering adding to my current half position. Your thoughts appreciated. Also, might this be a stock you might commence coverage on?

Q: I submitted a similar question last night but it seems to have been missed.

I am looking at managing the portfolios for a couple of family members and I have some questions as to the basic construction of these portfolios. Each of the portfolios is valued in the mid 6 figure range.

First, I am considering using a Canadian broad market ETF for perhaps 15% of the funds and then spreading the remaining money among 25 fully diversified stocks. I am thinking of the ETF as a way of providing a foundation but am I really only diluting the effects of the growth of the other investments?

Secondly, I would put 25% of the money into US dollar investments. When doing this, is it best to treat that as a "separate" portfolio, meaning that it should be fully diversified in its own right or are the Canada and US markets similar enough that I can ignore the border when diversifying?

Finally, do you treat spouse's investments as two separate portfolios or as one, meaning theoretically should two spouses have identical holdings?

Thanks for the insight.

Paul F.

Q: Hi Peter and Team, My wife's TFSA is doing very nicely, thanks in large part to 5i's suggestions. (Allied Properties REIT is the only stock she owned prior to joining 5i). At present, the holdings are:
AP.UN 25.4%
CXI 15%
DH 13.2%
XHC 3.2% (a place to put distributions with no fee)
KBL 43.2%

She just deposited $4500 to get to the $10K allotment for this year's contribution. Where would you suggest putting the $4500, either in something new to improve diversification? We also expect that some re-balancing may be necessary. Thanks as always for your great service and advice.

Q: How would you rank these stocks in terms of Growth and Safety combined and which one would you buy at this time.

DRT, CMH, XTC, CRH, QHR, PEO, ET, SYZ.

Thanks

Q: Hello team,

Would you swop FB for LULU (lululemon) for a bit of more momentum? I know they have nothing to do with each other but which one will you think would do better in the next couple of years? I appreciate how you change my mind by shedding light on what is hidden to my untrained eye. Have a wonderful day@

Q: Inflation/Deflation

Inflation/Defaltion
After listening/reading to some of 'smart' market people that I respect, I am coming to the side that deflation is now an old worry and inflation is the new worry. To that end I have been buying some stocks out your growth portfolio but I haven't sold any of my others. Most of this has been done on LOC and now I want to pay that back. Given the above scenario what kind of stocks should I sell?

Q: If you were about to enter the market with a portfolio at this time, would you wait until after the Greece situation is clearer at the end of the month? 5 year timeframe.

Q: Much discussion lately on BNN re divergence of the Transports
and the Dow. It is believed to foretell a correction.
However, one guest said that Dow Theory is outdated.

Your opinion please.

Q: Hi Guys

I have been interested in Brookfield (parent company) and Onex. They have returned 20% and 16% respectively annualized over 20 years (from what I read recently elsewhere)

What are thiughts going forward and would 5I consider issuing reports on these companies?

Thank you

Q: In a recent Globe article dealing with ''when'' to consider selling a stock,''when the stock rises above it's intrinsic value''was mentionned. How does one determine when a stock has risen above it's intrinsic value?

Thanks for your help on this one.

Jean

Q: Pair trade question asked by Steven on June 10, 2015:

Shorting difficulties could be offset by subsituting Puts
on the short side.
Publish at your discretion.

Q: DRT closed at $7.70 yesterday, but the bid/ask is 7.07 this morning. I haven't found any news (but that doesn't mean there isn't any!). What's happening?

Q: Hi team. Any thoughts on pair trades? For example, any recommendation of a weak stock (that you'd rate as a C or lower) that should suffer as rates rise and a high quality stock that may benefit as yields increase? Thanks and best regards.

Q: Based on current announcement of various financings, how does this affect their future profit and future stock price outlook.
Would this be a good stock and time to enter into. Any comments or concerns would be appreciated.
Thanks for your valued input.

Q: I hold a position in CREW which is down quite a bit - should I hold or sell - also HBM

Your advice is much appreciated- Hanna

Q: Do you think that the auto component suppliers are reaching the end of their run or could there be more upside? Thanks.

Q: Recently purchased in $2 range. Can this stock get to $3 level next spring? Decent dividend while we wait.