Investment Q&A

Q: Good Day,
I'm wondering if this Mawer fund (MAW104) is a good one ticket solution to an older conservative investor looking for stability? I see the fund currently has about 1/3 of the fund in fixed income, some cash and the balance in equity diversified geographically around the world. Seems like a pretty good solution, would you agree with this?
Thank-you.

Q: Hi 5i Research team,
Please comments on AF Q4 results released on Thursday. Also, I would like to have your comments on those specific topics :
1. Higher management turnover over the past two years.
2. Do you know the president : Graham Badun?
3. Is the litigation with the founder settled? Are those legal fees and settlements related?
4. The realignment of the growth strategy more on Canada, and to neglect some USA markets? Probably means negative growth in the USA? Seems like bad timing when looking at the economic environment on both sides of the borders. What can we expect in terms of subscriber net growth?
5. Was the 2015 $3.7 million non-recurring expenses (numerous items) some house cleaning by the new president at his arrival?
6. Is this reassessment of the collectability of such an amount of accounts receivable changes your perception of the quality of the organization (obtaining new subscribers or managing accounts)?
7. “2016 promises to be a productive year as we prepare the company for accelerated growth.": Does it mean an increase in expenses?
8. Based on your expectation (former Q&A) of AF being subject to an acquisition in a reasonable time frame (what time frame can be expected?): is it worth owning while receiving the dividends (+ a future premium on the stock price), or sell and buy something else that went down recently (MAD, KXS, DH, CSU, LGT.B, PLI, OTC, XTC, SJ, ESL)? If your answer is positive, which ones would you prioritize in terms of expected return potential? Please disregard sector allocation for this question.
Thank you, Eric

Q: Hi Team
I am watching BIN increasing in value even though the market is going down. Is this a good buy at this time.
Is it right time to buy ATD and SYZ or too late. What is your idea of growth this year?
I am also looking at Canadian Tire. Is this a good time to buy and what do you think of growth this year.
As always, thank you for your support.
Margita

Q: Hi, could you please comment on today's release of People Corp's financials and advise if there was any guidance given.
Thank you

Q: WHich of these three etf ZUD, PUD or ZDY is better US diversification?

Thanks

Paul

Q: Re Dennis question on CXR
Scotia itrade actually has CXR as a sector outperform with a target of $75 (see company Edge report). Dennis may be looking at something called Research Team report which is a separate service that Scotia includes on their site. They do have it as a sell but it is only 4 analysts, and their accuracy was poor in 2015 as note on the very bottom of the report. It is not the Scotiabank opinion.
I bought some CXR based on the 5 i - Ryan M blog at under forty and sold at $50 ( thanks Ryan!) Will try it again if the price dips below $40 again.
food for thought, Dennis

Q: Amaya's recent press release about 2015 full-year financial guidance finally presented some good news for investors for its upcoming results however my concern is regarding future guidance.

The press release announced the guidance for 2015 was based on an FX rate of CAD1.26 = USD1.00. With FX hovering around 1.40 now, would you expect 2016 future guidance to be lowered as a result, and where do you see the future valuation? We all know what happened when AYA announced Q3 earnings (and future guidance) with FX being a drag.

Q: Hi guys,

I just read news today that a security I own (JST) entered a merger agreement with FNOF E&M Investment Limited and that they will acquire JST for US$6.00 per common share. On the news JST is up 25% today and still trading. My questions are:
1. What is the best thing to do in theses situations?
2. Do I sell the security or wait?
3. Why is the security still trading at $5.27 if the agreement is for $6.00? Why wouldn't someone just buy JST today at $5.27, if the shares will be bought at $6.00?

Thanks so much.

Q: What are your best suggestions for three stocks with high sustainable yield?
Thank you
Margita

Q: Hi Guys, and Thanks for the awesome service.
Why are p/e on companies of this nature so high- Kinaxis 74x,dsg80x's
Thanks

Q: Good Afternoon,
Do you guys have some very defensive portfolio suggestions in case once this bounce runs its course we agressively fall once again? Would you build a portfolio with some bonds, gold, and defensive stocks like Telecom, utilities, health care etc.. or just hold lots of cash? What defensive stocks do you like currently?
Thanks

Q: Could you tell me what the expected earnings are for csh.un please? Thank you! Don.

Q: I am putting together an ETF portfolio for US and Int'l exposure. I am looking for ETFs with low mgmt fee and diverse holdings so the returns will not be influenced by a few holdings. I also prefer ETF that's hedged to C$, if available.
Please provide recommendations for the following categories. Many thanks.
- US broad market
- US dividend appreciation
- US sector etfs that are likely to outperform in 2016-17
- broad market European Developed countries
- Dividend appreciation for European developed countries
- Broad market Emerging Market countries
- Dividend appreciation for emerging market

Q: I've been holding this stock and I'm now down 60%. Time to move on?

Q: Can you please explain what a hedge fund is? And what value it adds to ones portfolio. How does it correlate to stock performance? I was looking at adding the ETF HHF to my portfolio as a 5% holding. This would be to add a little more safety with something other than bonds. Would this make sense?

Q: I was wondering what your thoughts are on entering BDI for a ~5 year term. How is it's dept and valuation? Also you published a report in 15jan2015, Will you be publishing an updated report soon?

Q: I am looking at CAT in US which is down but always seems to come back strong. I have bought and sold it a few times for decent profit. Do you think the wait will be extra long this time or have other concerns? An alternative could be CBI which took a beating lately but seems very strong with a pipeline of orders. Do you think the worst is over and it has much upside?

Q: Hello 5i team,
There is a lot of talk about deep discounts inflating auto sales in North America, thus suggesting a peak in activity.
What is your take on this ? I hold a little LNR and a little MG (3% of portfolio) and was thinking of adding a little XTC (another 1%)
Thanks,
Antoine

Q: I own a few rate reset preferreds that I should have sold a long time ago but didn't because I thought all the downside was already priced in and they are paying high yields. Hah! Was I wrong about the downside. Anyhow, I own BRF.PR.A , ENB.PR.N , and PPL.PR.E. These are now priced at 14.25, 13.91, and 16.85 and yield 6.3%, 7.5%, and 6.4% at the current prices. Their face values rose quite a bit in the market upswing on Friday so they seem to be affected by the overall market sentiment. What would be your advice on what to do with these now? Also, I own some CPD which is yielding 6.4% at 11.60. These were all supposed to be part of the fixed income part of my portfolio but have done worse that most of my equities.
Thanks!

Q: Hi Peter and team ! I hold a little bit of capstone mining company, and even though the commodities have fallen on hard times, I was wondering if Capstone's balance sheets warrant me holding on to it until things perk up. Thank you for all you do! Cheers, Tamara