Investment Q&A

Q: I notice that at this point you have no insurers in your model portfolio, is this likely to change when you feel that interest rates will continue their uptrend?

Q: What do you think of Freehold Royalties (FRU)? it has a very good div and has been a pretty steady performer but I don't understand the risks esp. since the div is so high. Can you help me?
Thankyou.

Q: Peter I was watching BNN and one of the guests was talking about Gold Corp . {G} He was saying their was some type of a problem with the government in the in the Dominican Republic that is affecting their mining operation .
Do you have any information about this .
I do own some [G] should I hold or sell .
Jim.

Q: I recently opened up an Self Directed RRSP with CIBC Investors edge and would like to invest for retirement income. I have six figures in the account and am looking for suggestions. I also have investments with other firms. I do hold WTE and MIC in this account.
thanks.....Carl

Q: I'm happily up about 12% in 3 months on BRK.B. Do you think this would be a good time to sell and switch to IWO?
Thanks

Q: Peter; would love to know if you have any thoughts on FAM REIT, and if you could explain its relationship with Huntingdon Capital. Many thanks - Brad

Q: Hello, as with all gold stocks, MND has been on a downward slide. Do you think this company will recover when the sector turns around?

I'm considering selling and cutting my losses. I bought in @ 1.14?

Should I sell or keep losing my hair and stick it out?? :)

Thanks as always.

Q: I'm down 8% on ZUT during this latest sell-off. Do you feel this latest sell-off in utilities and interest sensitive stocks was overdone or is there more pain coming?

What sectors would benefit from higher interest rates and inflation?

Q: Any changes in opinion around RVX? Is it still as big, bigger or less a risk than it was in 2012, when you were last asked about it?

Q: Hi Peter and team,
I have been following Premium Brands for a while now. I like the juicy dividend yield on this one, yet the payout ratio is still quite reasonable. I already have plenty of financials, telcos, etc. in my dividend portfolio. Would Premium Brands be a good addition as a means to diversify my holdings? Many thanks.

Q: I have been put in the situation of looking after the financial affairs of an elderly couple both are 79 and their health is not the best at most they have 5 years left. Should he pass first her income will be $35,000, presently it is about $70,000 (these amounts include CPP, OAS, RIF, and other pensions). They will have $350K cash after the sale of their condo, plus another $200K with cash and RIF's. I feel if I were to follow your model portfolio if would meet their needs and would strike a good balance. If you have any suggestions I am always willing to listen.

Thank you

Q: Can you point me to some decent Canadian commodity stocks. I had TCK and POT awhile back but dumped them when they started to tumble.

Q: Hello 5i, Could you comment on Longview oil LNV as to the company and dividend.
Thanks

Q: Painted Pony has seen a bit of a correction recently. Is it worth stepping into this name. I already hold Vermillion and Whitecap and am looking to add one more name but with no dividend the grwoth has to be worth not getting paid to hold it.

Q: I purchased BMO equal weight utility index etf zut about 18 months ago. It has dropped steadily. It is about a 15 % allocation of my dividend portfolio and the only utility holding. What should I expect from this over the next few years? Is it worth keeping?

Q: There are a bewildering number of ways debt can be maesured in a company. Debt to equity, total debt to total capital etc. Some value investors like to see net current assets greater than long term debt and others look for total liabilities to be no more than five times earnings before taxes. I noticed in previous answers 5i like to compare total liabilities to cash flow as a metric, with debt no more than twice operating cash flow. Could you comment please on your choice of debt metric.

With regards to Rogers RCI.B it seems to be carrying large debts in comparison to cash flow and also its peers. I am considering selling and consolidating into Vodafone as I prefer to have only one holding in the telco space. Do you think Rogers has too much debt? Would you agree that Vodafone is a better bet?

Q: About fixed income. Should I sell my corporate bond CBO, HAB and XCB etf ? They gave me 5-6% for the last 3 years but now are in a serious downtrend in 2013. At this point would GIC, or individual bonds be better ? Also, same question about CPD ?

Q: People keep saying that since the market has been going up so fast, it was time for a breather. However, the CDN market has not gone up much at all and yet it is getting hammered right along with the US market as if we also had been "frothy". Are there better values in parts of the Canadian market now, as compared to the US?

Q: The Venture is down to levels equal to what it was a decade ago... is there a buying opportunity in the small cap space over the course of the next few weeks? What ETF might you suggest as a proxy?

Q: what are your thoughts on lumber and osb producers? i own shares of ainsworth and west frasier.... while lumber and osb have outperformed the other resource shares in this latest correction, do you think it will continue? would you add to positions?