Investment Q&A

Q: Hi: I've recently signed up for 5i and I must say I am quite impressed thus far.
I'm quite interested in starting a position in PKI however I've noticed that shareholders in 2013, and so far in 2014 have seen significant growth in the share price. Have I missed the boat on this one?
I like the yield and the 5% discount on the share price via the DRIP...

Q: Hi Peter! How do you explain Sphere 3D(ANY) today plunging - 8.8%, with the Pinetree rather positive announcement:
"Pinetree Capital Ltd. (TSX:PNP), announces that through a series of transactions that ending on April 25, 2014, it acquired ownership of 175,500 common shares ("Common Shares") of Sphere 3D Corporation ("Sphere") representing approximately 0.08% of the total issued and outstanding common shares of Sphere as of April 25, 2014. As a result of this transaction, Pinetree and its joint actors collectively held, as at April 25, 2014, an aggregate of 2,551,000 common shares of Sphere, including the Common Shares, and rights to acquire an additional 300,000 common shares of Sphere upon exercise of certain convertible securities (the "Convertible Securities"). Of these totals, Pinetree owns 1,581,000 common shares, including the Common Shares, and 250,000 of the Convertible Securities directly (the "Pinetree Convertible Securities"). In the event that the Convertible Securities are fully exercised, the holdings of Pinetree and its joint actors represents a total of 2,851,100 common shares of Sphere, or approximately 12.1% of all issued and outstanding common shares as at April 25, 2014, calculated on a partially diluted basis assuming the exercise of the Convertible Securities only."

Thank you.

Q: Hello 5i
Can you tell me where I can find the current P/E Ratio of TSX?
Would it be reasonable to compare current stock holding P/E to TSX current P/E Ratio.

Thank you as alway
Craig

Q: Have today's events changed your resolve on Bank of America ? Thankyou.

Q: Some of your members write about having a full or half position in a stock.
What is a full position?
Thanks
Carlo

Q: PLUG on Nasdaq. Plug Power has been decimated over the past couple of weeks!! Is it time to "pull the plug" or hang on with fingernails to this ride? Many Thanks. Lorarine

Q: i am looking for an oppinion on Kelso Tech on venture exchange.It has patent on rail car loading systems.Is there more upside or is there better ways to cash in on the railways moving crude as pipelines are delayed.

Q: Myl
Hi Peter
Can you revisit Mylan for me . Do you still consider it a hold?

Q: What stocks would you recommend for long-term growth in the Healthcare sector? Would you recommend US stocks over Canadian?

Q: There has been a lot of chatter lately about the move to value over growth in stock selection. I am afraid that I don't feel this urge but as I've known myself to be regularly late to the best parties I could use some help ion reasoning this out. Where do stand on the idea and if in the growth camp could you outline the value camp reasoning?

TIA

Q: looking for some sites on line that would rate and also list etf's(canada and US)other than of course the monthly update in the Moneysaver magazine.

Q: Hi 5i team, I am looking at SSS.T for my tfsa account. I know it's high risk and that's why only a half position. Your thoughts on the sector and the company. thanks Jim

Q: I read that SRV.Un and KEG.Un are royalty trusts with eligible dividends. I'm not interested in growth, just safety of income and capital. Would you recommend them for a 2.5% weighting (each) my income portfolio. Thanks.

Q: I would appreciate your comments on Saputo (SAP)

Q: On my watch list 3 stocks that I come to think of KLS, SVC and GWR just keep moving up. Are they a buy anytime and does it look like the momentum will continue for quite some time?
You briefly mentioned Gear Energy and Prism and a short time after they took off. Do you have any more like that .. you wish to briefly mention?
FB (Facebook) has been the talk of Seeking Alpha this year. Anything under 63 was considered a screaming buy as it was going to 82. When it beat earnings Apr. 22nd, numerous articles came out advising to get in real quick. I thought I was getting a deal on a half order at $62.00 on Mar 24 the day after the earnings report - only to find out the following day I could have had it for $57.00. Are many Seeking Alpha analysts that wrong? I thought Seeking Alpha was pretty accurate or were they pumping the price up? Dennis

Q: I have been contemplating buying a rental property in the US for 4 years. For various reasons it has not happened. Mostly because I feel I need to understand the tax consequences, filing a US tax return, income from the US (withholding tax), structuring it properly from a trust perspective, inheritance taxes etc. I could pay someone to do all that for me, but I have always felt I need to understand every investment I own (including what happens when I sell it) since nobody cares more about my money than me. I find it confusing and not worth the effort if I am just buying one or two properties in the US. It is much simpler to own rental property in Canada and I have done that for 25 years so I know how it works as I have done it myself for that length of time.

I could refinance a paid off rental property, take $100K out of it and buy a property in the US. For the past couple of years it was very difficult for Canadians to get a mortgage in the US, so you basically paid cash for the US real estate. Or I could buy stocks that are exposed to US real estate.

I own a small position (2.5% of my stock portfolio) in Tricon Capital Group (TCN).

Would you view owning one rental property in the US valued at a $100K like owning one stock with a value of $100K? Putting $100K into one stock would represent over 30% of my stock portfolio, which I know is well beyond a balanced portfolio.

When you look at a complete investment portfolio (excluding principal residence), what % would you say should be represented by rental property? How do you factor in that one property alone can be worth hundreds of thousands of dollars which will overweight the sector in most portfolios?

I will consider buying more stocks that are exposed to US real estate, but I don’t want to put it all into TCN. I can buy more TCN, but are there any other stocks you can suggest that would meet my objective? I know rental real estate is a long term investment (been there done that, had the headaches), so I can wait it out for 10+ years.

p.s. I want deductions to compensate for my non-registered investment returns, so I am looking to borrow money to invest in either rental property, or dividend paying stocks, and deduct the interest on the borrowed money.

Q: Hi Team - can you comment on the news of a "strategic review" by IRG. Do you think a sale is likely outcome and any advice if you were a shareholder? Its up strongly today . Thanks

Q: Peter, while the US biotech sector has continued to correct, CELG seems to have stabilised and some analysts are a fan. I am thinking of adding it to my $US account with a 2 year time frame. I do not currently hold any other biotech stocks. Any thoughts? Any alternative stocks I should consider?

Q: Hello 5i Team,
What should I do with my AstraZeneca shares? I’m tempted to take profits and let things settle out.
Thanks

Q: I am a longtime 5i member and have held Wi Lan (WIN) since you initially recommended it. Fortunately it is only a very small part of my portfolio. I have been patiently waiting for the outcome of their strategic review before taking any decision concerning this holding. The review seems to be taking much longer than I (and most others I believe) expected, which I read as a bad sign. I am starting to be concerned given the length of time it has taken that they might not find a buyer with agreeable terms, and right now there may be more downside risk than upside potential. What are your thoughts on the time the review seems to be taking, and if per say they were to announce today that no one has stepped up with an acceptable offer to what degree do you think the stock price would be impacted.

Thanks,
Steven