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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: The market doesn't seem to like the secondary offering to Milesouth today and the gradual liquidation of mile south's position. What do you think will be the longer term impact of this offering/liquidation? Is this offering dilutive or is it just increasing the float? Why is the share price reacting so negatively?
Read Answer Asked by arnold on March 23, 2016
Q: Just a general question,I have been an extremely satisfied member of 5i since inception,but I have one concern.Many of the stocks in your portfolios are thinly traded and as your membership grows would be hard to sell if you advised us to,BCI and TC come to mind.Another thing I wonder about is,even though membership to 5i is very reasonable,numerous people could be using one membership.Feel free to publish this question or answer privately,as you see fit.
Read Answer Asked by terry on March 23, 2016
Q: i think you guys have a lot of egg on your face concerning amaya,on feb. 29 you published a report, 2 stocks that the market might have wrong and amaya was one of them.
a bigger question is who in the right mind would finance bazov to buy the company while these charges are pending- the answer is no one.
the only hope is for him to step aside or a third party bids for the company.
another question, what about your cockroach theory which i believe in, there is never one cockroach, amaya is finished for now.
comments dave
Read Answer Asked by david on March 23, 2016
Q: Curious as to your thoughts on earnings announcement for Magellan (MAL) prior to me solidifying funds for a position. Thinking long term for this one and have been interested in it for a while, but wanted new federal government budget direction out of the way and a supportive earnings report - Cheers
Read Answer Asked by Philip on March 23, 2016
Q: Hi, if I had to choose between Starbucks and Premium Brand Holdings, which do you think will be better investment for the long term. Thanks.
Read Answer Asked by Shyam on March 23, 2016
Q: Hello 5i,
I am looking at the Dutch Auction and was wondering what affect, say a housing downturn, might have on a company like Home Capital. I imagine it would have a lot more riskier loans than the big banks and might be hit a lot harder. As usual, your opinion on this question is greatly appreciated.
Read Answer Asked by joseph on March 23, 2016
Q: Hi.. are there any other companies like WPK.to or CCL.. in Canada?
Thanks..
Read Answer Asked by Mike on March 23, 2016
Q: Finally thrown the towel in on aya and replaced it with Intertain,good or bad move?
Read Answer Asked by terry on March 23, 2016
Q: does a person average down or simply sell or hold based on the info today
Read Answer Asked by Gary on March 23, 2016
Q: Scanning the news and reading your blog post, I can't find any mention of the "foreshadowed" change to tax rates for capital gains and/or dividends. Did I miss something?
Read Answer Asked by Marilyn on March 23, 2016
Q: In reviewing my portfolios, I have a separate alert system based on daily volume percentages. I was alerted on GSY as recently certain daily volumes have been very low - like today, less than 5000 shares traded. This is not a good sign but, thought I would check with the Oracle before selling!!
Read Answer Asked by Robert on March 23, 2016
Q: Good morning. A few weeks ago, I took half positions in both AYA and ACQ following your recommendations. Would now be a good time to take either, or both, to full positions? Thank you for your time!

DON
Read Answer Asked by Donald on March 23, 2016
Q: Hello 5i team,
If it is in your mandate, I would appreciate some precision on the options strategy that you proposed. I Have been using it and doing quite well. Recently my option for Calm was assigned at $52.50. The price today is about $51.50, or so. I notice that the price swings of Calm can be quite large. So, my question is whether I should wait for one of these swings, letting it go to say, $49 or $48 before buying again and selling an option? or, would I be better to simply buy when the option is assigned and start all over again, not waiting for the fall in price?
thanks
Read Answer Asked by joseph on March 23, 2016
Q: RBC and a number of the other banks have recently issued preferred shares(series BM ?) where the dividend rate will reset every five years at a rate equal to 4.80 per cent over the 5-year Government of Canada bond yield. Do you think these are a good buy for income and safety? If yes are they available now and what is the symbol of the Royal Bank version ? Thanks Ken
Read Answer Asked by Ken on March 23, 2016