Investment Q&A

Q: Good morning!
I’m wondering if there are any relatively solid income stocks that would be correlated to the Canadian housing market. Ideally such a stock would have a reasonable dividend, the higher the better, perhaps in the 4% range as a minimum to at least match mortgage payments. If housing prices went up, it would rise accordingly. In theory, this would be a hedge for someone deciding to rent instead of owning a house, and the renter would then not lose ground against a higher housing market.

Q: Hi Peter & Team
Do you consider the oil sector too volatile to be in a RRIF portfolio? I have done well with SU & COS (12% of my RRIF portfolio) and wonder if this is good time to bail out oil and replace them with a few from your income portfolio. Thanks

Q: I was mere minuted away from purchasing Chemtrade Logistics below $20, but the stock has been up about 6% over the last 2 sessions. Still ok for a long-term hold? I'm interested in the yield as well as some capital appreciation over time.

Thanks,
Jason

Q: I have yet to put this years TFSA contribution to work. Can you provide a high growth non speculative name to invest, considering I have 20+ yrs before I need to access this money.

Q: Good Morning Peter,Ryan and staff

I hold most of the stocks in your Model Portfolio and have had a tremendous 2 years following you advice, thank you. My question is regarding three half positions I have in Input Capital IFA, Aurora Spine ASG and Ifabric IFA. I realize they are risky investments and feel only Input is now starting to gain some traction.I remain under water on the other two. I have watched both Home Capital and Boyd for some time and regret not getting in sooner. Would you endorse a switch or should I remain patient?

Q: Hi Peter and staff. May I please have your take on XSR. It has been steadily sliding from 10+ down to 7. Valuation seems crazy stretched and I don't understand borrowing to pay a special dividend, if I have that right. I'm still in the black but thinking of moving on.

Thanks

Q: 5i
I've been hearing good things about Westport Innovations in terms of expected rapid growth in sales and earnings . What can you tell me about this one ? Worth the risk ?
Thanks
Bill

Q: I have positions in AVO, BYD, BAD, CGX, CNR, ESL, SGY, SLF, STN, T, XGD and ZLB. I am 50% in cash and want to either add two or three positions or just increase the current positions. Would you please suggest a course of action,including any changes to my current positions. I am 67 and mildly risk tolerant. Thank you for the wonderful service.

Q: Hi: In the Tech sector I currently have CSU and MDA at 3% each, and ESL,GIB,OTC and DH at 1.5% each or 12% of my total portfolio in Tech stocks. I am thinking of selling one to reduce the number of stocks, while buying more of some of the remaining stocks. Perhaps to increase my overall tech exposure as well.
Your thoughts would be appreciated.
Also, do you consider AYA to be a Tech stock or a Consumer stock assuming the acquisition goes through.

Q: I know this is very speculative, but do you see any stocks you think are strong takeover targets? I'm ideally looking for those with strong fundamentals as well.

Q: Would you please recommend an alternative to ATS Automation
(ATA) as the short position and heavy insider selling
has me concerned. Regards Gord.

Q: I am thinking of selling MDI and buying TOU and PET. MDI has done nothing since I bought it in Nov 2012 and I am looking for a more exciting and hopefully profitable stock(s). What do you think of the move in a balanced portfolio?

Thanks for the great service; best money I have ever spent!!

Q: Peter & Team,
SNC WSP STN ARE which one do you prefer better and the rationale. Thanks in advance.

Q: My no-so-smart advisor (whom I'm leaving) got me to buy $115K worth of US stocks for my Can. open/non-registered account. (At the time, I didn't know any better.)The $115K is 30% of my open account. In addition, he sold me about $30K of US stocks for my RSP; the balance being Can. stocks. This is the opposite of what should be. Can. stocks belong in the open account, to be able to take advantage of the dividend tax credit. Some of the US stocks are "keepers"; good companies I'd like to continue to own, such as AT&T, Pepsico, GE, etc. The question is what to do now? Just sell and buy Can. stocks for the open account, and US stocks for the RSP?

Q: Hi guys, I'm a new member and a rookie investor and so far, love the question feature and the overall site!

I'm building a buy & hold dividends US/Canadian portfolio in my RRSP and I am looking for suggestion for 1 or 2 Canadian dividends company for a long term perspective (5 years and more) to complete the portfolio, here are my holdings so far:

US: KO, JNJ, MDT, PG, GSK and V.

Ca: BNS, FN, RY, TD, TGL and TBE

I plan to add 1k every month into the smallest holding in the portefolio regardless of market. Would however switch and buy into a stock if there is a pullback.

Feel free to comment on the US perspective as well and the overall portfolio.

Thanks and have a great weekend,

Richard

Q: Hi Peter and team,

Great job keeping us all informed on the Amaya deal!

In addition to your recommended growth and income portfolios, i like to keep a portion of my TFSA dedicated to a basket of 4 or 5 value plays that have the potential to recover in the 12-18 month time frame. Are there any names out there that you would recommend. I am currently looking at NCR but would appreciate any others outside of the resources area.

Thanks

Q: Hi Peter and team,

I am doing a mid-year review of my 25 stocks. I have 9 that don't excite me too much anymore. Of these 9 can you tell me which 3 you like the least at this time, and why (goal is dividend with medium growth, 2 to 5 year horizon).

AX.UN, D.UN, XRE
HLP.UN
ATD.B
DR
TBE
THI
XSR

I know that you are not aware of the weightings and what else is in my portfolio, but ignore that for now.


Paul

Q: Would you please suggest 5 growth names with good current valuations. My intention is to have these positions supply some kiddy up to my core holding of the BMO low volatility etf, ZLB. Thank you.

Q: Hi,

Happily , for the moment I have positions in AYA, ACQ, & CSU
spread over 4 accts(cash, RLIF, RRSP, TFSA). They currently
represent abut 17.5 % of the total of the 4 investment accounts
of my overall portfolio. ACQ 8.4 % AYA 6.3% CSU 2.25%

My main concern is that all 3 investments are similar in nature as they are all "rollups" .

Do I have to worry about having a significant portion of my portfolio in this type of investment ?

I know that I need to worry about individual positions exceeding
10 %

MY second question is about a trimming strategy I try to use.
I have been selling 25% of an investment the first time it doubles and 25% each time it increase by 100% of the original investment. Is this a reasonable thing to do ?

I am considering taking only 25% of my profit instead on subsequent increases of 100%. and taking as much as necessary
to stay under 10 %.

I would appreciate your comments on this situation.

Thank you, Thank you, Thank you.

Leonard

Q: First of all, I want to thank the entire team for their services. I think you are all doing a great job and I appreciate the advice 5i provides.
My question is related to when to sell an investment. I've watched the YouTube video that indicates investors should sell an investment when there is:
1) Negative changes to company of industry
2) Over-promising & under-delivering by management
3) Declining revenues
4) Changes in competition
5) High debt

I know people shouldn't sell when a stock has gone up, but how do we know when a stock is overextended / expensive? Is there a metric you use to determine a good exit point, or do you just stick with your 5 reasons? Thanks!