Q: I have been watching both AW and PZA drop substantially in recent weeks. Do you think the sell-off is warranted and/or soon to stop? How sustainable are the dividends and how significant are the debt positions? AW appears to have a much higher P/BV, but I know you seem to like it better. Do you think one of these would be suitable at this time for a retired , dividend-oriented investor (probably a 2-2.5% position), and if so which would be your choice.
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
Q: I have held both the above for some years. Charts do not look good and I need growth as well as income. Would you suggest replacing them with something with better potential - perhaps AQN or something similar?? Thanks Jim
Q: I have a question about A&W Revenue Royalties. The early warning report dated Jan 05 seems to boil down to A&W food services increasing (or wanting to increase) its ownership stake in A&W Revenue Royalties Income Fund from 21.1% to something in the vicinity of 24.7%. I cannot see this as anything but good news as it is essentially insiders buying significantly into the fund. My question is, is this just that and would you consider the December buy levels (slightly above the current price) a sign of confidence toward the stock price? Or, is there something else potentially going on here? Thank-you.
Q: What would your two favorite restaurant companies be and why. Pizza pizza , Boston pizza etc
Thanks
Thanks
- Enbridge Inc. (ENB)
- Loblaw Companies Limited (L)
- Parkland Corporation (PKI)
- A&W Revenue Royalties Income Fund (AW.UN)
Q: These stocks are held in my RRSP . Have had them for several years. Last year they were down and wondering if it's time to move on. I'm a buy and hold investor. Thanks for great service.
Q: I am going over our investments and am looking to put in a bit more zip by rearranging a few holdings in a well balanced portfolio of only stocks. In our RIFF I am considering removing 3% AW.UN and replacing with HLF. The dividends are similar and short term it looks like HLF is attracting some buying after tax loss selling and longer term corporate policy shift to efficiencies and developing more healthy products suggests a bit more potential capital gain for HLF. Please Comment on longer term risk for this change.
- A&W Revenue Royalties Income Fund (AW.UN)
- Boston Pizza Royalties Income Fund (BPF.UN)
- Pizza Pizza Royalty Corp. (PZA)
- Keg Royalties Income Fund (The) (KEG.UN)
Q: Good Afternoon - The resto royalties seem to have lagged this year. What are your thoughts in general and could you please rank the four listed here. Thanks.
Q: Hello 5i,
I would just like to clarify: are both ZDI and AW.UN suitable for a TFSA or - in general - would one or the other be best suited to another type of account? The expectation is that both would be held as part of an income strategy, not necessarily a trading strategy.
Thanks for you help - as always, much appreciated!
Cheers,
Mike
I would just like to clarify: are both ZDI and AW.UN suitable for a TFSA or - in general - would one or the other be best suited to another type of account? The expectation is that both would be held as part of an income strategy, not necessarily a trading strategy.
Thanks for you help - as always, much appreciated!
Cheers,
Mike
Q: I have a lot of cash in both of my RRSP's My overall portfolio is VERY diversified and I am only looking for ideas that make sense to put in my RRSP for tax reasons.
What 6 companies would you reccommend as making sense to put into an RRSP at this point in time.
I will be RRIFing in a couple of years, if that makes any difference.
Thanks
Sheldon
What 6 companies would you reccommend as making sense to put into an RRSP at this point in time.
I will be RRIFing in a couple of years, if that makes any difference.
Thanks
Sheldon
Q: If you hold AW.UN in a TFA,RRSP or RIFF there is no tax on dividends. Correct?
Q: In response to your answer to the Qs below about the dividend type for A&W:
The dividends paid out are treated as non-eligible dividends (not interest) which means that the gross up and dividend tax credit is lesser than eligible dividends. But you do get the credit and do not pay the same tax as interest income. So I think your answer that the dividends are taxed as income is incorrect.
It is interesting that Boston Pizza's distribution is either eligible dividend or return of capital (all of A&W distribution is non eligible due to the distributions coming from holding company to A&W royalties).
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October 19, 2017 - Asked by Paul
Q: How are distributions from AW.UN taxed? I am a Canadian resident.
5i Research Answer:
Distributions are treated as 'non eligible dividends' and thus are taxed as income.
The dividends paid out are treated as non-eligible dividends (not interest) which means that the gross up and dividend tax credit is lesser than eligible dividends. But you do get the credit and do not pay the same tax as interest income. So I think your answer that the dividends are taxed as income is incorrect.
It is interesting that Boston Pizza's distribution is either eligible dividend or return of capital (all of A&W distribution is non eligible due to the distributions coming from holding company to A&W royalties).
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October 19, 2017 - Asked by Paul
Q: How are distributions from AW.UN taxed? I am a Canadian resident.
5i Research Answer:
Distributions are treated as 'non eligible dividends' and thus are taxed as income.
Q: How are distributions from AW.UN taxed? I am a Canadian resident.
Q: Can you please comment on the recent earnings for A&W, Thanks Valter
Q: What is your opinion of AW.UN? I find their new marketing strategy designed to appeal to the millennials with antibiotic free natural foods, etc., appealing and I am considering investing in this company.
- H&R Real Estate Investment Trust (HR.UN)
- A&W Revenue Royalties Income Fund (AW.UN)
- Boston Pizza Royalties Income Fund (BPF.UN)
Q: I have a half position in both A&W and BPF. Have had long term holding on both. Thinking of selling BPF and taking full position in A&W. Or replacing the BPF with HR.UN. Your thoughts
- Park Lawn Corporation (PLC)
- Enbridge Inc. (ENB)
- Constellation Software Inc. (CSU)
- Brookfield Renewable Partners L.P. (BEP.UN)
- CCL Industries Inc. Unlimited Class B Non-Voting Shares (CCL.B)
- Andrew Peller Limited/Andrew Peller Limitee Class A Non-voting Shares (ADW.A)
- Knight Therapeutics Inc. (GUD)
- A&W Revenue Royalties Income Fund (AW.UN)
Q: Hi, can you rank these companies for long term holds considering currrent valuation. Thanks
Q: Please comment on earnings??
Thx
Thx
Q: I had AW.UN in the kids RESP, sold when it bottomed, now looks like it may be on the way back. Is there a time restriction before I can repurchase?
Q: Hi 5i - I have a half position in BPF.UN (that has done well) and thinking about adding a half position in AW.UN (need some more consumer exposure). You have mentioned its preferable to buy into strength rather than negative momentum - what would you recommend here? Or should I just buy PBH? Thanks, Neil
Q: AW seems to be taking an unusual hit just before announcing it's earnings. Is it possible the minimum wage hike could have it guiding lower royal income? I wouldn't have thought a hike in min wage would effect them?