Investment Q&A

Q: Big move on DC.PR.B and C. Keep or sell? At $25.25 it maybe as good as it gets?

Q: Good morning,

What is your favourite preferred share ETF please?

Thanks as always.

Trevor

Q: Hello,
I am wondering if you can please provide some info on this preferred share. Bought many years ago as a "safe" investment only to see value decrease. Finally, it has hit 25 dollars. What is reasoning to hold preferred shares like these and why has this one risen? What makes this desirable now? Are they safer than common shares? I remember being told from an advisor that this is considered fixed income which I don't have a lot of. I have hated preferred shares for so long and am wondering if it makes sense to sell and reallocate funds to a bank or insurance stock. Thank you!

Q: Hello,
I have follow up questions on your June 19 response to Scott. I am not a shareholder and not planning on becoming one - Just curious about the next steps following the defaults.

You mentioned the convertible holders may issue stock causing massive dilution. It is essentially a takeover to take control of the asset disposition process and negotiation with the 1st mortgagees.

Are debentures always convertibles?

I presume the 1st mortgagee for each property owned will also send their notice of default and ask for repayment / start the foreclosure process. Is that correct and do the convertible owners have any remedy to try protecting the remaining equity?
Just looking for your general comments to understand next steps. Thank you for your great service.

Q: I own this preferred and am wondering how it will be treated with regards to the upcoming split of TRP into 2 units...where will the preferred reside after split is done....does this have the effect of reducing credit worthiness of this said preferred..many thanks

Q: I have owned BPO.PR.I for while,it pays a 12% dividend and I just purchased the othe a few days ago,pays a 10% dividend.My reason for buying them is of course for the yield,but they also will probaby out perform the company shares if rates drop.What's your opinion??

Q: This and another preferred are going to be redeemed by CIBC. While I lose a nice dividend (and it was about to reset at a higher rate), I profited from the redemption. My holdings are about half they once were due to redemptions. So I am wondering if I should return to the preferred market (which has been nothing but erratic), or reinvest the funds back into Bonds and Stocks.

Q: Hi there,

I’m looking for a preferred for a small portion of my portfolio. These BEP preferreds are floating rate variety. Can you tell me how they will behave with the current interest rate forecast and which one to buy?

Thank you.

Q: Your thoughts on this one? Both in terms of capital protection and the sustainability of the dividend (10%) over the next 2-3 years

Q: The price of BN.PR.C has dropped significantly since the first week of May. The steepest drop was at the time of the prime interest rate decrease by the B of C. Should one expect similar price drops as interest rates decrease? This preferred share now yields 11.46%. If looking for income, would you have any concerns regarding buying a part position now?
Thank you.

Q: Looking at the balance sheet is this a bankruptcy ? The conv debt is trading at 30 cents on the dollar. What is the outlook and is there a play on a turnaround?

Q: Looking back, I have had this in my RRSP for many years and it always seems to be in negative territory. I don't really understand what it is/does. Should I be rid of it. Thank you.

Q: Do you know of any reason why the shares of Fortuna dropped so much this morning. The only news I can find relates to some Notes that are being issued and some other Notes being retired.Thanks

Q: Could I have your thoughts on the new CON DEB issue- assume it ranks above the common dividend - but at 7.5 % still high risk ? Ok for a limited investment

Q: The share price has steadily increased recently. Was it because the five year anniversary is approaching? If I don’t sell by the anniversary date, what will happen?

Thanks,

Q: What are details about RSI.DB.E? Would you recommend holding for income? Will it mature on 31/12/2024?

Q: Is there I sight that provides information about convertible debenture market in Canada?

Q: hello 5i:
please comment on the following headline:

NexGen Announces Strategic Purchase of 2.7 Million Pounds of Uranium with Issuance of US$250 Million Convertible Debenture

Obviously the market didn't like it. Did they pay too much for the product? How could this help them going forward? Will the debentures be available for retail buyers and at what price? How does 5i feel about the debentures on a risk/reward basis?
Add as much colour as you feel is relevant.
thanks
Paul L

Q: What is the due date of this pref? Also, I don't fully understand this split share, can you provide a high level overview?

Q: hello 5i:
last question on this preferred over a year ago. Can you give me an update and do you consider it buyable? Safety rating would be beneficial.
thanks
Paul L