Investment Q&A

Q: At 21.55%, I'm overweight financials. My problem is that I like all my stocks in this sector: BAM (2.9%), BN (4.9%), GSY (4.4%), X (5.2%), V (4.2%). In addition, all save V are in a non-registered account and would incur capital gains when sold.

In my view, all will do well when the market turns. Is there enough difference in terms of their drivers than I can continue to hold all 5? And if you would suggest I (reluctantly) trim, which stock(s) would you reduce? Thank you.

Q: I have both BAM and BN in a TFSA. I don't have enough cash to buy BAM to a 2 % weight, so would it be best to sell BAM and use the proceed from this sale to increase BN to a 4% weight.

Q: The dust has settled a bit on the BAM spin off. So much for newBAM being undervalued within oldBAM ( now BN). Before the split I had shares of one company worth 44k, now I hold 2 companies one worth 36k (BN) and the other 8k (BAM). I have no need to hold both BAM and BN, do you have a preference for balanced but moving to income investor. 5+ year hold. The book on BAM in my account is showing as " zero" so looks like selling BAM would be 100% cap gain...Selling BN would be about the same net cap gain as I have done well owning it. So there is no real tax advantage to going one direction or the other in my unregistered account..

So hold both and get annoyed looking at the smaller positions in both, sell BN and buy BAM, sell BAM and buy BN or Sell both and buy your current new favorite...

Q: My son has a small portfolio consisting of two ETF’s and seven stocks (CN, AAXN, NVDA, CRWD, DDOG, DIS, TTWO). We have picked stocks that have good potential, but that are also fun for him to follow. He is using the ETF’s to give his portfolio some diversification with 20% in ZSP and 15% in XIT. He is investing for the long term. He now has some extra cash to buy another stock or two. Would you have some suggestions? We are also thinking of selling XIT and splitting the proceeds between CSU and maybe one other stock. Any suggestions or recommendations would be appreciated. Thanks.

Q: What would be your top 10 Canadian and US value equities for 2023? Appreciate the work you do. Thanks. Rick

Q: I am looking to add to one or both of BN and BAM. Do you have a preference on one or the other. I know that one is growth oriented and one is income oriented but are their present valuations similar - is one priced better than the other. Thanks.

Q: Hi, will the new BAM and BN only pay out dividend income and not any other type of income like ROC or interest etc as the other Brookfield entities have over the years. I will buy them in a cash account and don’t want the record keeping hassle the other entities are known for. Also, any idea what the yield on BAM might be? Lastly, do you think this is the final BN spinoff? Many thanks for the incredible service you provide.

Q: Hi Peter, Ryan and 5i team,
It’s that time of year to contribute to our grandson’s RESP (age 9). After rebalancing and adding new money we can add two stocks to the portfolio. To broaden the sectors , we are looking at utilities, healthcare, and real estate. Could you please suggest a name in each sector .
Thank you for your opinion.

Q: I asked this question yesterday but I don't see it in the 'My Questions' section, so I ask again. I want to add a dividend growth company or ETF to my kids RESP with a 5-10 year time horizon. I already have T, BMO, and ABBV in other accounts. What do you recommend from the 5i Research stock and ETF universe as a good buy now with plans to add over time? Thank you.

Q: I apologize for another question about these entities, I did search the question archives and did not see this clarified, how was the market value of each respective entity post split determined? Does it make economic sense? Thank you.

Q: Would you recommend using investment money to help pay off a line of credit? That money would be coming from a tfsa. If so, from the list provided, please list the top 5 stocks in order that you would sell?

APPLE and MSFT would be sold at a loss.

Thanks for everything

Q: If I understand correctly, BNRE shares are exchangeable 1:1 for BN shares. Is there an advantage to do so? Now or at future date and under what circumstances?
As always, thank you for the valuable information you provide.

Q: I have both BAM and BN in a RESP. Money not needed for 13 years so should I sell BAM and buy more BN with the sell of BAM or just keep both.

Thanks

Q: Questrade made a mess with the BAM split in our accounts.
Just to confirm:
(1) 100 shares of BAM.A.US bought at $32USD, after the split, I should end up with 25 shares of BAM:US at $29.50 and 100 shares of BN:US at $32
(2) 100 shares of BAM.A.CA bought $51CAD, after the split, I should end up with 25 BAM:CA at $39.65 and 100 BN shares at $51CAD.
Is the BAM:US initial valuation of $29.50USD and BAM:CA at $39.65CAD correct?
Thanks!

Q: 1. What are your thoughts on Carlyle Secured Lending - CGBD ?
- I found this company by accident and was intrigued...
- I have a small position in an RRSP account
- Should I increase position or move on

2. Alimentation Couche Tarde - ATD
- I have a good position and have a gain of 40%+
- Going into this year of uncertainty, would you suggest Trim, Hold or Buy ?

3. Brookfield
- I am currently holding Brookfield via BN and BAM(spinoff)
- Should I increase my position in One or Both ?
- OR Sell One to buy more of the other ?

Wishing good health, happiness and prosperity to all for 2023!
Thanks,
M

Q: Is it expected that dividends for these two companies will be paid in US dollars as BAM.A previously did?

Q: What are your top 4-5 stock picks for 2023 growth and/or inflation protection ?

Q: Could you suggest a diversified mini portfolio of Cdn stocks from your BE portfolio? The portfolio is too small to accommodate the full BE set of stocks. Thank you and happy new year.

Q: Can you explain the difference between the above three and which one you prefer.
Thank you.

Q: Can you please tell me what the difference is between BN and BAM? What one is better/why did they split it out?