Investment Q&A

Q: Good morning Peter and Team,

Is there a "rule of thumb" regarding re-balancing a portfolio? With the great performance of stocks like STN and BAD, as an example, are their weightings perhaps getting too high? OTOH, as another example, I'm reluctant at this time to add to Goldcorp,which is down substantially. Your advice, as always, is greatly valued.

Q: Peter; Can the news that today's US oil inventories drop of 5.59 mbbls , 11 times the forecasts, be somehow tied back to high depletion rates in the fracking areas? Thanks. Rod

Q: We have full positions in TRP,IPL,PPL,and a 2/3 pos'n in ENB. We also have full positions in HSE,CPG,BTE and WCP. I'm considering selling our 400 ENB and looking at splitting the result between 2 of ERF,ESN,TOG,WJX. Your thoughts? Suggestions?

Q: Hello Peter
I am looking for a long term heavy oil/oilsands buy for the dividend because they have immense reserves and will operate indefinitely. Canadian Oil Sands COS is a plodding behemoth with little price change for 3 years but the best combination of high dividend 6.98% and Lowest P/E 11.26. I know you said on Nov 28th that it very cheap but a slow grower. The only other high dividend stock that I can find is Baytex BTE div 6.31%, but P/E 31.18. Is the higher Baytex P/E justified and on what basis, and might it be a better buy and is BTE's dividend secure longer term, and which one would you choose?
Thank you. Paul

Q: Magna has had a great run the past year and I was wondering is this a goodtime to take some profit, or should I continue to hold with expectations of continued good growth? Thanks again and keep up the great work.

Q: Your team has been very positive on WEF. It has gone up 40% + or - in a short period of time. Do you see much more upside?
Thanks Guys

Q: Could I have your view of TN.UN (True North)

Q: Hi Team- have you had a chance to look at todays financing from E? Any insight on the acquisition of Hart? Will it be dilutive as it seems like a big bite for them. How will it be priced? Overnight in the market?

Q: Can you comment on the DSG results today, did they pre announce them last week because the abrupt retirement of their CEO?
Peter

Q: I would appreciate your views on impact silver(IPT). Aside from the fact that silver has declined dramatically from its one time high, what is the outlook for this company in your opinion?
Thanks

Q: Hello, I currently have zero exposure to the energy and/or material sectors. I was considering the wisdom tree etf GNAT. Your comments would be appreciated. Thanks

Q: Potentially weird question - Do institutional investors participate in tax loss selling differently than individuals approach it? Maybe the same question could be posed for realizing profits too. I mean in the last few weeks I have observed some pretty big swings and odd volumes on stocks that have been typically stable throughout the year. Do institutional portfolio managers use now as a major time to rearrange their funds in anticipation of their big 2 month sell period to future investors (RRSP season)? Just trying to understand if there is an opportunity as an individual investor I should be looking to potentially capitalize on. - Cheers.

Q: Hello 5i

First thank you for your great recommendation for ACQ, it has been doing great for me and I will probably hold it for years to come.

I own a full position in BEP.UN and I am looking at switching that for the SPDR Homebuilders ETF XHB to take advantage of the home builder surge in the U.S. What do you think of this?
Cheers

Greg

Q: A trading question: G/ Goldcorp as an example and in the context of your model portfolio, would you buy more, sell or hold, and why?

A suggestion: I am having a difficult time properly identifying the correct sector for many stocks in my portfolio in order to be properly diversified. Is there room on the form you use for individual stock reports to indicate the sector you would assign to each stock? Or have I missed this somewhere else?

Feedback: I recently renewed and added Moneysense as well - and would happily subscribe for an additional 2 years now. 5i has done an amazing and superb job of satisfying a large and obviously diverse market. Thank you.
Hopefully you are not being overwhelmed with suggestions for changes, and dont tinker too much - "if it aint broke don't fix it".

A grateful and very happy 5i member ! :)

Q: I found your answer to Andrew's question yesterday re selling to be most interesting. As I took quite a bath in '08 and '09, I have educated myself on technical analysis but my results in market timing have been somewhat less than satisfactory. But I am afraid of another loss like that of '08 and '09.

My question is, do you ever foresee the day when you might consider going to 100% cash in your model portfolio?

Q: Hi Peter,
Thanks for the excellent service provided to the small investor.
I read your positive report on Tricon. I own Morguard North American MRG.UN which is in the same business lower PE and higher dividend (I am down 6%). Should I switch to Tricon?
Thanks.

Q: Hi 5i. Do you know why TCM had a big drop in price today? What do you think of TCM in general? Thanks.

Q: Regarding your price increase notice in the Dec 2nd issue
I joined in April 5, 2013. I think I read in your notice that I do not have to do anything about renewal at the old price until April 2014.
Is that correct ???

Keep up the good work

Q: Hi Peter & 5i: Just a comment regarding Andrew’s question (12/3/13) about switching between VUS and VUN and the possibility of not triggering a capital gain. I agree with you that his contemplated switch would crystallize a taxable gain, if executed, but I think he may have had something else in mind when mentioning what he had heard about. I think in some cases mutual fund companies are able to allow investor’s holdings to be switched between their various funds “in house,” without creating a taxable transaction for the investor. That may have been the idea. As you point out though, it doesn’t work with ETFs, even if the ETFs are both products of the same investment company.

Q: Hi Peter,

Can you comment on the Jim Chanos short and the related report he wrote on CGI?
Is there any merit to his points?

At what level would you say there is strong value?

Thanks in advance,