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: Hi, could I have your opinion on the statements below as they pertain to MFC. Should I be worried?
Thanks

Market Chatter: Side Accounts Could Bring Two of Canada's Life Insurance Giants To Their Knees; IAG and Manulife Cited
23 Feb 2018 10:12 ET

10:12 AM EST, 02/23/2018 (MT Newswires) -- In an era of higher interest rates in the late 1990s, two predecessor companies of Industrial Alliance Insurance and Financial Services Inc. (IAG.TO) and Manulife Financial Corp. (MFC.TO) issued life insurance policies that allowed holders to invest in side accounts that guaranteed rates of up to 5% and 4%, respectively, George Lewis has written in a Special Report published on the Financial Post's website.

According to Lewis, "these side accounts did not contain an explicit limit on the size of investment, which means in today's low-rate environment they are potentially lucrative for their holders and a significant liability for the companies that wrote them."

He added: "At least three limited partnerships purchased such policies several years ago in Saskatchewan, one of only four Canadian provinces that permit the purchase of insurance policies from their original holders. These investors are in court in Saskatoon to force the insurers to accept their money."



Read Answer Asked by Valdis on February 27, 2018
Q: Recently this stock peaked @$53.24 and has graudually dropped to the present level $45.30. This stock seemed to be the poster child, and needless to say I added to my position in the high fifties, and now I am underwater.
Is there anything I should be concerned about this stock, or just hold. Earning have always beat forecasts, so I have a difficult time understand the performance.
Your advice is appreciated. Thanks in advance
Read Answer Asked by Rick on February 27, 2018
Q: I purchased a 1/2 position in this company when first recommended. Since, the bottom has fallen out. My question is at what point do I purchase the second half of my position? I believe you people know what you are doing and that you recommendation came on solid facts. Would this not now be a very very cheap, high quality company worthy of being in an RRSP portfolio for the long haul?
Read Answer Asked by Donald on February 27, 2018
Q: Hello Team,
I am thinking about adding Canadian Utilities and Maxar Technologies to my RRSP portfolio. Canadian Utilities is approaching a 5% dividend yield and I do not see any danger for a dividend cut so a 5% yield is not bad to wait for a rebound.

For MAXR it seems that the risk of an additional dive in the share price is limited after the two days of selloff so for me it is more an idea to do "bottom fish" a "niche" company that seems cheap now.

I know it is no easy but I would like to know what would be your bottom "pick up price" for these two stocks considering that both stocks a very bad momentum lately.

Thank you!
Michel

Read Answer Asked by Michel on February 27, 2018
Q: I have 1583 shares of CBO @ $19.48 now at $18.43 (3% of portfolio). for a loss of $1664. Dividends are now $552 / yr. I also have 3881 shares of CLF @ $18.57, now $17.84 (6% of portfolio) for a loss of $2838. Dividends here are $1560 / yr. It seems that I am just reading water and I am getting worried of drowning as the ETF's keep dropping down a bottomless pit. I am 71 with 50/50 equity / fixed, the fixed including a GIC ladder and otherETF's. Should I stick with CLF and CBO or is there a more advantageous alternative.
thank you
Stanley
Read Answer Asked by STANLEY on February 27, 2018
Q: As a bit of a follow-up to Theresa's question regarding where to find information on earnings beats and misses, I would point out that the quarterly earnings history (consensus vs actual) for many companies is available online for free at marketbeat.com.
Read Answer Asked by Greg on February 27, 2018
Q: This question has to do with tax loss selling on Enbridge. Currently I have a loss of 7 per cent or three thousand dollars. I am considering selling Enbridge to recuperate this loss and buy an equivalent. I was thinking,though, that Enbridge is so beaten up that no equivalent would rise as much as it if and when the tide turns. So, the question is whether it is worth it to make the switch? And if yes, what would be a good alternative?
thanks once again for great service
Read Answer Asked by joseph on February 27, 2018
Q: Hi,
I have a large amount of cash to park for 6 weeks. Do you have any exchange traded products for this time frame with decent yield? I am an RBC client and their savings offerings are obviously not great.

Thanks
Read Answer Asked by S F on February 27, 2018
Q: I realize you do not cover US stocks but to the best of your knowledge, how similar would you consider Unilselect to be to Genuine Parts? I'd prefer to buy Canadian in this case.

I think Amazon could be a bit of a threat to these companies, but I would also think there would be enough loyalty from auto service shops (mainly because of immediate parts delivery) to maintain most of their ground. Would you agree?

Thanks .

Jim
Read Answer Asked by James on February 27, 2018
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!