Investment Q&A

Q: Hi 5i Team- Although I am familiar with the following metrics/terms I am having difficulty differentiating them one from the other and having a clear understanding of what each one means. Could you explain the difference between earnings, net earnings and profit. Also what is the difference between cash flow and free cash flow. In addition does free cash flow automatically mean profitability. Thanks.

Q: Canadian banks:

How high a weighting in Canadian banks would you be comfortable holding?

Q: Follow up to my last question - thanks for the answer. Any comments on the sell sequence and timing for ENB, LIF, NTR and TCL.A. I have done pretty well with all of these except TCL.A which is a bit in the red.
Some of these are cyclical, and your guess on when to sell will be better than mine.

Thanks,

Jim



Question:
I have an unregistered account with about 12 CDN blue chip stocks. The purpose of the account is to generate dividend income for the next several decades, while providing slow and steady capital growth. I have taken the decision to exit ENB, LIF, NTR and TCL.A and to increase holdings in AQN, NPI, PMO205, XTR. I know timing will never be perfect, but just looking for some timing guidance due to current market conditions and cyclicality of some of these stocks. Trying to avoid horrible hindsight commentry: that was OBVIOUSLY a poor time to make that change....

Answer:
An easy solution of course is to add one of the four once a month and we would be fine with such a strategy. All four buy proposals will have some sensitivity to rates, and Canada has already indicated rate hikes will pause. The bond market expects rate CUTS in Canada later this year, so finishing purchases in June could end up well.

Q: Having recently watched on BNN an expert on technical analysis, could you provide me with your opinion on how important moving averages are and which ones are the best to look at - the 50 day moving average, 200 moving day average or other. Also where would be the best site to go to track these moving averages. I have never paid much attention to technical investing but am starting to think that it does have its place in assessing the success of a stock. Thanks.

Q: Just looking for updated views on both.

Q: From a dividend growth and overall return perspective, could you please rank the above etfs ? I do not need the income so my preference would go to HXT. Am I getting exposed to a lot more volatility in your opinion ?

Q: What are your thoughts on these two companies for a speculative higher risk investment? Thanks for your valued advice

Q: Over the last couple months I have increased the fixed income portion of my RSP, and would like to finish with a smallish position in a a high-yield bond ETF. Been looking at PDI and ZHY/XHY (they seem about the same). Some questions:

1) is the current PDI premium normal for this fund on a historical basis
2) the PDI dividend seems consistent, but how do they manage to maintain that level
3) PDI is more international than the others - do you see this as a positive or negative for high-yield corporate holdings
4) do you think it is too early to get into high-yield if interest rates keep going up or if we get into a "significant" recession
5) who do you consider to be the best manager of these 3 ETFs, and if you would buy , which is your pick and why
Thank-you Grant

Q: Can you give me your current opinion of Dollarama.

I'm beginning to feel it's over-valued. Can you also comment on its debt level.

I'm thinking that trimming or even selling might be the best move at this point.

Q: Hello 5i,
Just a follow up on feb 6 question on bipc. Was it attractive below $40 usd or cad?
What is the actual p/e on it?
Which would you consider better today: bepc or bipc for total returns over next two years?
Tia

Q: I think Canada is heading for a 'soft landing' where growth remains intact, employment is decent and interest rates remain at this level for at least a year. What Canadian sectors or industries will benefit from this environment the most?

Q: Any analyst covering Topicus? If so what is expected tomorrow?


Thx

Q: Good morning,

Looking for your current take on the dispute in Panama with this mornings update on the suspension of loading of concentrates-would you add to the position on this weakness ?

Thank you.

Q: Can you comment on strengths/weaknesses of each. If choosing only one to add to, which and why? Looking for growth primarily over 1-2 years.

Q: I am asked for a minimum of $50 when buying and $50 when selling a bond or 1.5%.
Is 1.5% commission acceptable to buy a bond from a discount broker?

Q: Hi

I hold both MasterCard and Visa and was thinking of selling one in a registered account to pick up some BRK.B.

Which one would you sell?

Thanks,

Q: Looks like you can get everything in this 1 stock. Utilities, Railways, toll roads, pipelines, data centres, ports, communication towers and so on.
How would you value this for a long time purchase, i definitely want to avoid another AQN.
I have their debt to cashflow at around 4.6 x ( net debt 4.16 B ) ( Cash from OP 0.893B)
In your deep dive do you see any alarm bells ? and at what price would you see it as attractive?
Thanks Gord

Q: Can I get your thoughts on MEQ as a long term hold,please.
Keith

Q: Hello 5i,
Could you do a brief comparison of the these companies pros and cons and which you would chose?
Thank you
Dave

Q: Could you please share some of your favourite corporate class ETFs for a retiree that needs to 'park' some money for say 1-5 years ? This would be in a taxable account.