Investment Q&A

Q: Hi Peter/Ryan, in my RRSP account I have 100 shares of BN and received 25 shares of BAM . BAM as you know has the better dividend. Would it be wise to sell the 100 shares of BN and by the same amount of BAM, just wondering. Thanks, Nick

Q: Last week we sold BN and BIPC (U.S. $) for tax loss. Since almost everything will be in decline over the next few weeks, do you suggest we leave the money in cash or buy another stock or stock which we could sell at a (probable) further loss to rebuy the original two? Could you suggest a couple of U.S. candidates please?
Thank you

Q: Is the complexity of the Brookfield group of companies (if you see their organizational chart from and SEC prospectus) troublesome? or is this typical for companies nowadays. My concern is I remember the complexity and inter-twining of the previous Hees-Edper companies which spawned Brookfield. Are there any red flags?

Q: Good afternoon! There are two parts to this question:
1) You mentioned that BN would recover FASTER than Canadian banks, and given its having dropped more than any of the banks' 5 year highs, would you also say it has MORE upside, regardless of speed of recovery?
2) You mentioned that you see recovery for the Canadian banks, and that buying them is a good idea in the long term. I absolutely agree and have "doubled down" on that basis. However, you stated that you would not hold them at the 30% level of a portfolio. What do you think would be the MOST percentage-wise you would be comfortable with in a 100% stock dividend-payer retiree's portfolio?
Thanks! ... Paul K

Q: hi all:

i know you folks don't look at charts (much) yet the fact is BN has been in a downtrend (lower highs, lower lows) for 18 months

$40 looks like long term support

if $40 does not hold, this is likely going to $32-34

with apparent good results, i have no idea why the company's price is performing so poorly, yet maybe its opaque accounting is finally catching up with them?

thanks for all your valuable insights over the years

Q: Both BN and SYZ reported. Comments with emphasis on what are impacts going forward. Good, bad or indifferent? Would you buy either of them now?

Q: Reviewing my portfolio and these are my losers. Any point hanging on to any of them? Surprised at BN as it always seems to have positive reviews and CYBR which I though would ride the technology wave.

Q: I've been looking for an addition to the US side of my tfsa, sort of looking at the following (bn tri qlcm blk bac) but would appreciate any other suggestions, looking for growth with dividends, if possible, buy and hold investor and can take volatility.

Q: Hi Peter/Ryan, In a TFSA if you could hold only one of theses BAM or BN which one would it be and why. Thanks

Q: HELLO 5I
I have some cash in my USD RIF and want to add at one the above for a long term hold. Which one would you add to?

Thanks

Q: It seems that the BAM stock had a split on Dec 12 2022.

4 old BAM shares gave rise 1 BN share & 4 new BAM shares.

On Dec 9 ( a Friday), the Value of old BAM was us$43.15

On Dec 12 (the next Monday), BN was valued at US$33.64 and new BAM was valued at US$32.40.

So the 4 shares valued at us$172.60 before the split were worth US$163.24 after the split.

FYI, I am using avg prices as reported on Google Finance. It seems like a 5% drop on Day 1.

Questions:

1. Is my calculation correct?
2. are the prices of BAM and BN on Dec 12 2022 dependent on the Dec price on Dec 9 2022 or determined well in advance?

Thanks

Q: December 2022 sold BBU and BBUC for tax loss using BN as a proxy. Now after 30 days considering whether best move is to buy back BBU or add to BAM or BIPC or standstill for awhile. BN is 4.5%, BEP is 3.55%, BIP is 2.52% and BAM is .97% of my portfolio where the investment objective is to hold a growth-leaning dividend-paying balanced portfolio. What would be your choice?

Q: Hi Peter, I'm limited in cash at the moment and would like to start a position with either BN or BAM. If only one could be picked, which one of these would you favor for a TFSA and why? Thanks, Nick

Q: Hi,

Now that the dust has settled and the BN/BAM spinoff is complete, I have the BN shares in my accounts but wanted to confirm the split and avg. costs showing before and after in my brokerage account and if its correct. Sometimes when they manually update avg. prices for these kind of things, they enter it wrong.

Before spinoff and after spinoff shares and avg. cost:

Account 1: BAM 393 shares @39.09 ------- BN 393 shares @33.11, BAM 98 shares @29.50

Account 2: BAM 601 shares @51.60 ------- BN 601 shares @33.11, BAM 150 shares @29.50

Account 3: BAM.TO 151 shares @44.97 ---- BN.TO 151 shares @45.22, BAM 37 shares @40

Account 4: BAM.TO 150 shares @65.64 -----BN.TO 150 shares@45.22, BAM 37 shares @40


1. For account 3 and 4, if I had 151 shares and 150 shares and divide by 4 to get new BN shares, I get 37.75 and 37.50 shares after. Do brokerages usually round down? I thought I would have gotten 38 shares of BN after the spinoff.

2. When I compare my cost basis before and after, it should be the same correct? Looks like they assigned these prices of $33.11, $29.50, $45.22 and $40 to each of my BN and BAM shares after. Where did they get these from and if incorrect, what should they be after for BN and BAM?

3. When I look at account 2:
Before: BAM 601 x $51.60 = $31,011.
After: BN 601 x 33.11 = $19,899, BAM 150x$29.50= $4,425 (Total = $24,324)
Why did my cost basis go down from $31k to $24k? Something is not correct here.

I would like to contact my brokerage and have them update my avg. cost for BN and BAM but wanted to clarify these few things before I do.

Thank you for your help!

Q: Down 25% plus on these two subsidiaries so considering a tax loss sale. Would BN be a suitable proxy and stay onside with CRA rules? Other ideas?

Q: Selling BN:US for Tax Loss. Please suggest a proxy - I plan to buy it back after 30 business days.

Q: I have been following the Questions and have been a keen reader of the opaque notices and statements from Brookfield . I own units in all the subsidiaries mentioned above too. So I am trying to keep position size of each in mind when I look at the BN holding corp and allocate it to the various sectors, Months ago, before the split you had answered a question confirming that the BAM.A sectoral breakout was 39% financial, 35% RE, 16% industrial, 10% energy?? Does this breakout still apply to BN and/or BAM or is there a new breakout given the spinout of the new corporation.