Investment Q&A

Q: If you had to choose one of them for long term income, which one would you prefer and why?

Q: To a recent question I asked, 5i responded: "Some REITs, if they distribute a large portion of income as return of capital, can still be attractive outside of registered plans. But this also relates to our preference for growth inside a TFSA (REITs are typically slower growth)." I checked my TFSA portfolio, and some of my REITs' distributions are comprised almost entirely of ROC (Allied [AP.UN], Chartwell [CSH.UN], Dream [D.UN]), whereas others' (Choice [CHP.UN], H&R [HR.UN], Riocan [REI.UN]) are almost all otherwise taxable income. So I gather from your previous answer that the former type of REITs (Allied, Chartwell, Dream) shouldn't, generally speaking, be held within a TFSA, is that your view/advice? Also, more generally, so I better understand this issue-- what is the main business/accounting reason(s) why some companies' distributions are primarily ROC? Generally speaking, is one versus the other type of REIT (with respect to proportion of ROC within the distribution) a "better" investment, all other factors being equal (i.e., is there any general investment "rule" here)?
Ted

Q: Hi Peter and Ryan,
Can you offer some insights on why BPY.UN is down much more than its peers such as CAR.UN and CHP.UN? Is it wise to replace BPY. UN with either CAR.UN or CHP.UN at this moment? Thanks,
Martin

Q: What do you guys think about buying and holding Choice Properties REIT forever? This REIT is supported by mainly grocery stores that will never go out of business.

I just don’t see how there could be much downside to a stock like this. I was planning on buying about 200 shares a year for the next 10 years.

Thank-you

Q: What do you make of Choice Properties REIT? It has been trading sideways for 3 years now.

Thanks in advance.

Dave

Q: I am looking at your : "Stocks that Pay Monthly Dividends" spreadsheet have a few questions. First, looking at CHP.un just as an example, debt to equity is 205.5%. Seems high to me but do you feel this is OK? What other metric would you consider if it is OK to you?
Second, their payout ratio is -52.9%. I understand that a payout ratio of more than 100% means part of your monthly dividend cheque is a return of equity (to be avoided as, theoretically, your equity position is diminished with each cheque) but what does it mean when the ratio is in a negative position?
Third, some listings, BPF.un for example list no payout ratio. Why is that?

Thank you, by the way, for this list. Fascinating.

Q: Good Morning,
Can you please rank in order of preference.
Currently own CSH & BEP.

Thank you

Q: I'm overweight retail and own both SRU.UN and CHP.UN. Both have decent dividends. Which would you reduce?

Q: I've never bought a REIT but Im looking for a 2-5 year hold. CAR looks good but I'm worried that apartment REITs are overvalued?
Can you give me two recommendations for the Canadian market and one for the US market?

Q: Hi 5i Team,

I hold about 5% in each of these companies, with the rest in indices (XAW, VCN) and cash. Do you have any recommendations for other companies I should be looking at to diversify? Thanks for the help!

Q: What's opinion on Choices properties for 3-5 year span? thank you, Bests of the season. Fooklin

Q: What two REITS would you think would be a good replacement for CHP.UN. I hold HR.un as my other REIT exposure and only have a 5% weighting to this sector with the potential to raise it to 10% in the future.

Q: I currently hold CAR.UN, AP.UN, AX.UN, KMP.UN, and NWH.UN and would like to purchase CHP.UN. I'm always happy to reduce the number of holding I have so which one or two or three would you sell to make room for CHP.UN? Income is my main focus.
Thanks for your continued guidance.
Lyle

Q: Any thoughts on chp.un-t

Q: Stock seems to be hanging around. What are your thoughts on this company.

Thanks

Gigi

Q: Can I get your opinion / recommendation on buying Choice REIT (CHP) including comments on current management team (from CREIT) and their ability to grow it, and current metrics like debt level, price, payout ratio? Thanks - John C

Q: Hi Guys,

Which of CHP.un or CRT.un do you prefer for a 5 to 10 year hold looking for safety, income and staying ahead of inflation?
Thanks for the help.
John

Q: Loblaws recently spin out Choice Property to GWL. What do you think of GWL and the spin out? Where would I find out additional info on GWL?

Q: What do you think of the mix of REITS I am planning to buy to represent the real estate portion of my portfolio which would be 5% total? Any suggested changes?

Q: What do you think of CHP.UN?