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: Thank you for your quick reply and opinion today. The question concerned ZRE but the answer refers to XRE so I am wondering if you would consider XRE ( Market cap 1.24B) a 'better' purchase than ZRE at this time? Perhaps XRE is a typo in the answer?

If the ETf was closed out what would happen re: payment to share holders?

Zre only has a market cap of 364.5M - If XRE was a typo then I expect that you consider the size of ZRE is not a concern?

As a relatively new investor I appreciate the education you provide.

Again, thank you so much


July 31, 2015 (asked by Len)

Question: I have been adding to my holdings in the Income Portfolio and with the cost/share down I was considering ZRE at this time. In looking at the BMO site (http://www.etfs.bmo.com/bmo-etfs/distribution?fundId=80001 ) I note the following statement under 'distributions' -

" The distributions will either be paid in cash or reinvested in the BMO ETF at the discretion of the manager."

I am wondering your thoughts on how likely it might be that one would not get a cash distribution? If owning individual REITs could this be the case as well? Do you recommend buying ZRE at this time? We are looking for income.

Thank you ever so much for your insights.

5i Research Answer:
Each REIT would be different, but generally for non-ETFs shareholder approval would be required to get paid in units. ETFs do not require a unitholder vote on many items (including closing a fund). We would not consider it very likely that XRE would pay distributions in more units, and has not to date. Dividends coming in are fairly secure and the fund is large enough to avoid most cash liquidity issues. For diversied REIT exposure and income we would still consider it a decent buy.
Read Answer Asked by Len on July 31, 2015
Q: I just took a position in BEI.UN, based on a BNN report showing a return of almost 6%, distributed monthly. When it showed up in my BMO account the actual amount of the dividend is $2.04 annually, or 3.55%. I sold an 8% reit to buy this so, is there any 'bonus' that would raise it to 6%, or should I dump it now?
Read Answer Asked by Edward on July 31, 2015
Q: I have been adding to my holdings in the Income Portfolio and with the cost/share down I was considering ZRE at this time. In looking at the BMO site (http://www.etfs.bmo.com/bmo-etfs/distribution?fundId=80001 ) I note the following statement under 'distributions' -

" The distributions will either be paid in cash or reinvested in the BMO ETF at the discretion of the manager."

I am wondering your thoughts on how likely it might be that one would not get a cash distribution? If owning individual REITs could this be the case as well? Do you recommend buying ZRE at this time? We are looking for income.

Thank you ever so much for your insights.





Read Answer Asked by Len on July 31, 2015
Q: Hello Peter,
It's been over a year now for Slate, and a while since your last comments on it. Could I please have your current take on this company?
Read Answer Asked by Rod on July 30, 2015
Q: I currently hold FC and MTG in my RRSP.Over the last year FC is down 2% and MTG is down by 16%.Both seem to be similar companies.Is there an explanation for this discrepancy? Joe
Read Answer Asked by Joseph on July 30, 2015
Q: PETER AND COMP.
I AM LOOKING AT COMPLIMENT MY PORTFOLIO WITH SOME REALTY STOCKS AND THAT HAVE GOOD DIV. WHAT IS YOUR OPINION ON SRU, CHW AND RUF. OR DO YOU HAVE ANY BETTER SUGGESTIONS.
THANKS
MARGITA
Read Answer Asked by Margita Elisabet on July 29, 2015
Q: Can I have your comments on the recent decline. Is it an over-reaction to HCG? If HCG is dumping brokers, couldn't SCB be picking these brokers up? Overall thoughts on the company as well.

Thanks,
Read Answer Asked by Rob on July 29, 2015
Q: Would you please clarify your view that First National's (FN) payout ratio is 100%? In today's quarterly report, FN states that "on an after tax, pre-FMV basis", the payout ratio was 62% and was down from 67% in the same quarter of 2014. Also, what is FMV?
Read Answer Asked by richard on July 28, 2015
Q: With all the bad publicity and now an important director resignation would you think it wise to place a stop loss on the stock and around what price would you place it?
Thank you
Read Answer Asked by Linda on July 28, 2015
Q: What's your assessment of this new auto REIT and the safety of the 8% yield? Do you know when they will pay the first dividend?
Read Answer Asked by Gordon on July 28, 2015
Q: You may have read the Barrons article of a few days ago. I would think it may have contributed to the further weakness of the SP. It sounds like a bit of a hatchet job but do you consider it has much merit? I currently own 600 shares at an average cost of $41, and although I still like the stock, think it might be prudent to sell half in case of further weakness or a prolonged sideways slide. What would you do? It is still just 5% of my portfolio. I continue to berate myself for falling in love with companies. Thanks.
Read Answer Asked by Jim on July 27, 2015
Q: After a massive price decline over the past year, the projected earnings for this stock are now stable. Despite its high debt and the downturn in oil prices, it seems that several analysts rate the stock a buy. How do you rate TPH ? What would be a buy signal ?
Read Answer Asked by Don on July 24, 2015
Q: You claim that there was insider selling, in reality according to INK RESEARCH there was zero selling and $648,087.00 insider buying.
Read Answer Asked by John on July 22, 2015
Q: Why is this reit trading at such a low multiple? Lowest in the retail sector along with a 9% yield and a good payout ratio.
Read Answer Asked by John on July 22, 2015
Looking for more? Sign up for a FREE 14 day trial! No credit card required

We invite you to sign up for a 14 day free trial of 5i Research!
Experience all the benefits and tools we have to offer; stock research, model portfolios, Q&A with our experts, and so much more. Join a community of like-minded investors today!