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: In an answer to a question about CDRs, you noted that CIBC has to buy shares of the listed CDR stock to facilitate trading in that stock on the NEO stock exchange. Should one be concerned about CM's ongoing ability to support this activity given that its overall financial state puts it at the low end of Canadian Bank rankings and things look not so great for improvement in the future. Also the FANG and other NEO listed stocks are hitting new lows every day. How will this reduced investor interest effect CM's commitment to support the CDR market.
Read Answer Asked by Sue on December 29, 2022
Q: Larry Berman being interviewed by Bloomberg indicated that we are in for another year similar to 2002. He had numerous charts to support his opinion. They reference the massive amount of debt that the US has taken on to deal with COVID and the wars it supports financially (Ukraine). The interest which is higher than usual is going to make things even more difficult to pay back. Sounds pretty scary to me. Thank you again
Read Answer Asked by Dennis on December 29, 2022
Q: Re: Rodney's question of Dec 22, in-kind transfers. I am a BMO Investorline customer and have made in-kind transfers from my BMO RIF to my BMO TFSA both this year and last year. I did this by phone, The BMO staff member was helpful and advised me that while I would still pay tax, by making an in-kind, rather than cash RIF withdrawl there would be no witholding tax.

Mike
Read Answer Asked by Michael on December 29, 2022
Q: Hi 5i,

I’m an income investor who is looking for capital preservation. I sold Bank of Nova Scotia (BNS.TO) earlier in the year to preserve capital and am now looking at it again because of the 6%+ dividend. It’s not one of my favorite banks, but what a great dividend.

Would a switch from North West Company (NWC.TO) to BNS at today’s prices make sense to 5i? Safety of capital and long-term dividend growth are most important. Any comments on either would be appreciated.

All the Best for the New Year!

Read Answer Asked by John on December 29, 2022
Q: I will be making a rif draw in 2023. I am looking at three options ----transfer cash --- transfer a stock in kind with say 50% gain ---- transfer stock in kind with a 50% loss. Ignoring trading costs does any option have a better tax efficiency? I am very worried that you will say no.
Read Answer Asked by joe on December 29, 2022
Q: Happy Holidays 5i,
I am considering purchasing some corporate class ETF's because of their tax efficiencies. The only Canadian company that I am aware of that offers them is Horizon's. Are you aware of any CRA issues with the Horizon implementation? Are there any other Canadian companies that offer tax efficient ETF's for NonReg accounts?

thanks
Read Answer Asked by Ian on December 29, 2022
Q: Can you give me your 5 best microcaps in either the US or Canada that are cash rich, undervalued, that could possibly do very well when the market recovers?
Thx
Read Answer Asked by Adam on December 29, 2022
Q: Hello 5i,

In your recent update, you are increasing XHY to 6% of the income portfolio. We own quite a bit of ZAG in a non-registered account (about 10% of the total portfolio) that we received this year as part of an inheritance. Given your update, does it make sense to sell some ZAG and replace with XHY? The remainder of investments are in mostly diverse growth stocks and other ETFs on your advice and I'm looking to retire in about 10 years.

Thank you and happy holidays,
John
Read Answer Asked by John on December 28, 2022
Q: my public service announcement

NEVER, EVER, EVER BUY ANY BROOKFILED COMPANY IN ANY TAXABLE/NON REGISTERED ACCOUNT

EVER

i own several of them and have generally been happy with the mgmt and results

but, between delayed tax reporting, offshore, foreign income t5013 reporting; t1135 reporting AND basically obtuse overall reporting, i recco you put them in a registered account where all that nonsense 'disappears' into the ether of non reporting............

thank me later

merry christmas
Read Answer Asked by Robert on December 28, 2022
Q: Does the US have a similar situation re last trading day to claim 2022 losses as Cda??
Read Answer Asked by Mike on December 28, 2022
Q: I just reviewed the FP Investor I received in my email this past week.
In their review they reviewed the 5 worst performing stocks on the TSX during 2022

4 of the 5 were as follows:

SHOP Down 72%

LSPD Down 65%

DND Down 55%

NVEI Down 62%

You guys are running the 3 5i portfolios and are recommending buys and sells.

William O'Neill whom I'm sure Peter has read has one of the prime principles of his CANSLIM model is LIMIT YOUR LOSSES. He recommends as soon as a stock falls 7% it should be sold. To limit your loss. This will prevent catastrophic losses from affecting the portfolio in a major way.

Now I'm not saying that 5i should have this principle exactly but as responsible portfolio managers I do feel that 5i should have a loss containment strategy for those who follow the portfolio and might not be that experienced.

I know in past posts you suggest readers utilize mental stop losses rather than real time stop losses. I feel that 5i as portfolio managers should do the same. Going forward there should be no holding in the portfolios that are down as dramatically as those listed above.

Hope you adopt this as a New Years Resolution Investing Principle to add to your Investment Strategy Guidelines

All the best


Sheldon
Read Answer Asked by Sheldon on December 28, 2022
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!