Investment Q&A

Q: re: BLX Boralex

I hold a 1.5% position in Boralex. I realized when I took this position there was some debt on the books for BLX but didn't realize it was as high as it is. I have tried my best (but for the couple of small high risk positions) to ensure debt ratios were low for the majority of my positions.

How concerned should I be with the BLX debt level?

Thanks for all you do

Gord

Q: Peter
I think we need a Canadian version of Mad Money and you are it! If Jim Cramer can do it, so can you.
I sure hope you and your team will decide to review portfolios of your clients in a separate section for a fee.
I think I am way too diversified and would prefer a much more concentrated portfolio. I need help and you guys are the people I trust. As the cliche goes: : a broker is someone who invests your money until you are broke. But in 7 months subscribing to your newsletter I have made more money than I have ever made in 5 years, This belongs in the testimonial section but being a techno-peasant not sure how to put in there,hence why I am posting in the question and answer section. Thanks and keep safe on your bike trip.

Q: MSL / PLI - earlier comment suggested PLI one of your "favorite" higher-risk biotechs - please evaluate comparables now and why - thanks for your best-in-class info.

Q: Hello 5i,
I have 2 stocks that are near 52 week highs, but have concerns about.

1) Chr.b Chorus Aviation, I am concerned that they rely on Air Canada for business and should AC decide to go with another carrier or fly these routes themselves it would ruin Chorus.

2) Win.US, Windstream Holdings, there is always concern that they will not be able to maintain the current dividend ($ 1.00 per year)because they have too much debt and declining revenues.

Are my concerns warranted? Would you hold or sell these stocks?

Thanks.

Q: Hi Peter and team. I trust you are getting better and better Peter. I own XTC, LNR and MG all around 2.6% to 3+% of a very well diversified PF thanks to you. Taxes are not a problem as I am in a low bracket for 2014. My XTC and LNR are down for me a bit. MG is up. I want to sell one of them and then buy more of AYA which I bought at $6.48 thanks to you - or SYZ which I own as well. Or I may buy new - QST, or CXR or PLI. I am doing this as an aggressive move for the next year or 2. Which should I sell? and then buy? I hope you are all having a very good summer and thanks for all you do!

Q: Valeant continues to struggle and its on going battle with Allergen doesn't seem to be going anywhere. You have mentioned previously that even if the Allergen deal goes through, the new company will be risky given the debt load. As I already down on this stock, would now be a good time to sell and purchase Concordia or Knight since the risk profiles may not end up being that different?

Thanks for the superb service.

Paul F.

Q: Hi Team, I am interested in diversifying out of Canada and was looking at ZWH BMO covered call ETF to take a small position (1000 shares in my RRSP). I noticed in your February comments you were concerned about its small size of only 5 million, the latest numbers from BMO website sets the value of the funds at 65 million. Does this size difference make the fund more worth attention as it seems to have grown considerably over the last few months or is there another fund you would consider instead? Would there be a withholding tax on proceeds from this fund? Thanks for your time.

Q: Hi Team, could I please have your thoughts on RBI as it is down drastically this past few days. any news would be appreciated. I would also like your thoughts on Largo, LGO is it a buy at the moment. thank you for the great service. Bob.

Q: Hi Peter and Team,

What are your thoughts on Nicholas Financial, NICK.US

Q: I have doubled my investment in autocanada and wonder if I should keep all or sell half and possibly buy prometic or questor

Thank you so much

Q: Could you please comment on the recent drop in PPY share value? I bought a small stake about 2 weeks ago and have seen the share price drop nearly 20% since then. Do you believe this is a result of profit taking, or is something else going on? Thanks.

Q: Do you have any information on FSI Energy Group?

Q: Hi. PPY chart looks like a set of stairs going to the basement. Oil is up over the last few days.
I just received an answer about Points PTS from 5i which not long ago was $28 plus. You said you were comfortable at $23 to
$24. It got down into the $22 plus today 7/21. Do you think it will be under $20 shortly? If these two mentioned stocks are a sell I would rather take a loss than a bigger one later. I also have CHW Chesswood which seems to be marking time. I am going to try and recoup some of my money by getting into some stocks which are doing quite well lately. TV, CEE and PUR. What is your opinion of them? Thanks
Dennis

Q: Good morning Peter and Team, As you've indicated, ECI is a "hold" and I'm certainly following your advice. However, what is your take on Octavian's claim of "poor corporate governance"?

Q: RE: ORV

Peter, Please see Orvana's Minerals' July 17th news release regarding it's accelerated debt repayment:

Orvana's debt, net of cash, cash equivalents and restricted cash, is now down to $13.7-million (U.S.) from $40.0-million (U.S.) at March 31, 2014.

I would note that this debt repayment was accomplished without an equity issue but was accomplished through cash flow, the sale of a non producing non core asset and the monetizing of its hedge book. In fact the company has not issued equity in over a decade.

I think ORV is one of the cheapest gold producers on almost every metric.

Cheers, Jim

Q: AVO.Please advise when it will release financial results,& expected revenue & eps(please compare to previous quarter).Thanks a lot.

Q: Enercare (ECI)?
I have a 25% gain would you sell or hold now and why?
thanks

Q: Hi 5. A pipes question:There is chirping about rotating out of pipelines when interest rates start to return to more normal levels. Pipes have been fantastic for anyone who's held them for the past 5 years. My take is that higher rates will raise cap costs no doubt but that higher interest expense is an expense like any other, and the pipes will pass the higher borrowing costs on to their clients, just as they do with any other expense, in order to maintain profitability. It wouldn't surprise me if interest fluctuations are covered long term contract pricing. So my question is what is your take on pipes in a raising rate environment? Thanks 5.

Q: Hi team, I was reading your opinions on CHB and XHY, some of which are dated back to February of this year. I am looking at buying a fairly large position (25K) in one or both of these as part of my fixed income section of my portfolio, would you still recommend either of these funds? Or should I split my purchase or take a single position, or are there better options? Thanks for your time.

Q: I read your comments on tax treatment of US ETNs with interest. I hold ETNs in both my taxable corporate investment account and in my RRSP. Am I subject to both Canadian and US taxes on the profits or do I just pay tax in Canada on the taxable account. I assume there are no taxes on gains from any stock sale in an RRSP. Thanks.