Investment Q&A

Q: Can you please give me your top three Gold stocks and your top two Gold ETF's to invest in. Thanks in advance.

Q: Hi Team

In general it seems like commodity stocks underperform the markets. Let’s look at SU, ABX and TECK which are large cap stocks in the oil, gold and copper categories. It seems commodity stocks had a good run from about 2003 - 2008. Since 2008, each of these three commodity stocks have traded in a range and are currently close to the top of said range. It seems like the commodity stocks have underperformed the overall market for the past 15 years by quite a bit because the commodity stocks are about the same price as they were in 2008. There have been times when buying commodity stocks as a “trade” was great like in 2020 when SU was $15 or in 2015 when TECK was $5 and in 2015 when ABX was $10. But today these stocks are all at the top of the range. They never break out of this range and I don’t see any evidence that they will break out of the range. If they don’t break out of the range the only direction from here is down. For example, gold is a whopping $2000, and ABX is still only $25. Oil was over $100 recently and SU still never broke out of the range. When the markets tank the commodity stocks usually tank as well…. they don’t act as a hedge. There are exceptions like in March 2020 when the market tanked, and ABX did quite well for 4 months. But today, ABX is back to $25 where it was in Feb 2020. I understand diversification is important but why add commodity stocks to a (long term) portfolio if they never perform well. The commodity stocks are finally paying good dividends but so do many other stocks in different sectors.

Question #1 – please let me know if you agree or disagree to the above. If you disagree, what is the compelling argument to buy large cap (safe) commodity stocks unless they are trading at the bottom of the range.

Question #2 – is there an etf that tracks the Canadian stock market that does not include commodity stocks?

Thanks for your great input to your members questions.
Greg

Q: I have the stocks in RRIF and CIX in TFSA.Do you have any news concerning CIX ventures in US and the Canadian taking the debts. Is it a concern my breakeven is 15.50, Gold seem to be climbing well with bank turmoil in US.All this debt will have to be repaid to gov't entities eventually. Can US still avoid a recession with all these problems.Gold has moved quite a lot in last week.What does 5i globe see in the future for gold

Q: ABX is awful right now; why? Sell? If sell, do you stick with gold and in what please?

Q: Hi,

What the Gold miners that stand to benefit IF/WHEN the Bullion goes to 2000 and STAYS there? In other words, which companies are positively leveraged to Gold price., and amongst them which ones have the least debt?

Q: HI,
sorry for the long list. could you just rate these as a buy, sell, or hold right now. I am a long term investor.

Q: Hi 5i team.
about 5 weeks ago sold AEM and FNV for tax loss and bought ABX as a proxy.
Have a 2-3 % weighting in gold.
For a conservative retiree, would you suggest to sell ABX (small gain which is good) and go back to AEM and FNV for longer term holds?
Thank you.

Q: 3 questions

What is the annual return for ENB since it went public when you include dividends & largest drawdown?

Would a 20% position in ENB for a retired person looking for income make sense?

What are the 5 safest Canadian & US stocks that would provide the best protection against drawdowns?

Q: Barrick gold share price has been declining along with gold price . Would you be in favor to buy this gold miner company for portfolio diversification at this time and in this volatile investment environment? II have no gold or gold equivalent asset in my portfolio. I have refrain from a gold as a diversification asset in my portfolio so far. Given the perhaps opportunistic share price I am tempted to buy it for diversification. It does have a divided as well.
Thanks for your opinion in this matter.
Miroslav

Q: Could you tell me what is happening With SKE. the stock price has dropped a lot in the two months ???
Thanks
Jim.

Q: Hi 5i team,
Please rate these 3 from 1-3 as a new buy and a brief explanation .

Thanks,
George

Q: Hello 5i team,

What so you think about ABX earnings report and the other good news they announced.
Is it good value to buy at this price?

Thanks,
George

Q: Hi!

What is your take on gold (investment-wise) in general and ABX in particular?

I ask because I am getting some vibes that the sector is ready for a big move up.

I would like to go on more on vibes though.

Cheers,
David

Q: Hello team, from the list above could you please rank in order to:
1> Keep and or add for full position or
2> Sell now & move on, and
3> what would you replace the sale positions with?
Thanks
Carlo

Q: Greetings 5i,

I’ve watched both my gold holdings continue to fall. They seem incredibly cheap but then again if gold keeps dropping…this seem seriously overdone.

Thoughts?

Q: I currently own these stocks that are underperforming in my portfolio and would like to sell and invest elsewhere.

What stocks do you recommend I sell?

Q: Good morning,

ABX has paid off all its Debt, cash is building up, excellent CEO, its cheap, but the stock is down 36% the last year. What is your view of ABX today ?

Thanks,
George

Q: Assuming gold holds above $1750, do you think Barrick's dividend is safe? Because, if so, a 4% plus dividend yield is very attractive while waiting for price appreciation. Thank you.

Q: I have about 4% of my portfolio in MNT, ABX, and K, all bought a year ago and 20-25% under water. I am having trouble deciding if I should cut my losses, put them towards better gold stocks like AEM, or get rid of my gold exposure completely. If you're in my position, what would you do? What is your outlook for gold in the next few years? Are there any catalysts for gold as a sector you can foresee? I have a hard time envisioning them doing well when the economy is growing so nicely
Or is it good to keep as a hedge against the down days like today? The rest of my portfolio is diversified enough tending towards the growthy stocks, if that matters.

Thanks for your insight.

Q: hello 5i team, I am 68 years old. As I get older I like to simplify my portfolios. Above is my CDN holdings. I have a U.S. portfolio of about 15 blue chip companies.
from this list which ones would you keep and which ones to sell? and time frame to sell? now/ 6 months+?
I appreciate your guidance.
Carlo