Investment Q&A

Q: Hello Peter,

I have a small interest in RDK, redhawk resources, what can you tell me about the future outlook for this company?

Monika

Q: My stock portfolio consists of 19% O&G stocks, all Canadian. Of these CNQ is 41%, Cenovus (CVE) is 19%, Suncor (SU) is 21%, and Husky (HSE) is 13%. Vermillion (VET), Paramount (POU), Legacy (LEG) and Twin Butte (TBE) make up the remaining 6%. None except Vermillion are in your O&G recommendations. I was thinking of buying some of your recommended stocks but with such a high percentage already in O&G should I sell some of my majors. Although I like to hold stocks forever, it seems that I might be holding some old dogs. Do you have any recommendations of which I should sell and which from your recommended list (also perhaps more Legacy???) you feel I should replace them with. I am looking to hold for at least 3 years and probably for up to 20 years. Your recommended list from Jan 24, 2014 was Tourmaline, Peyto, Surge, Bellatrix, Whitecap, Raging River, Vermillion, Baytex, and Torq. Thank you very much, I have a great deal of respect for your opinion.

Q: Re Crude by rail ... I am thinking that *IF* and WHEN Keystone gets approved, stocks that are heavily invested in crude by rail delivery may get hit. What are your thoughts on this? Do you see any risk in this regard and if so, could you share those stocks most at risk? Thanks in advance.

Q: This is to follow-up on the question posed by Linda on Jan 9/14 re. tax issues/negative factors to be considered with holding US (or other foreign)dividend paying stocks in a TFSA. Your response was that, yes, in a TFSA witholding tax will be applied on foreign dividends: in an RRSP it will not.
I'm not sure how much weight to give this info when structuring your TFSA. Should it just be -No- TFSA is not the optimal place to hold foreign equity - get your foreign exposure elsewhere. Or - Yes - this is something you should be aware of - it will act as a bit of a drag on returns - but should be subordinate to the over-all objective of your TFSA.
Specifically, I would like to re-structue my TFSA to replicate a mini stand-alone portfolio. And to do so I was considering the Mawer Balanced Fund as a simple one step solution - 40% FI; 20% Can. equity: 40% foreign equity - MER below 1% and consistently outperforms its benchmark.
Question: should the negative tax implications on the 40% foreign component be cause enough not to follow this approach?
Thank-you

Q: Hi Peter and 5i Gang,

Last year I reallocated some of my portfolio to Canadian REITs, unfortunately at the worst time! Before any indication of tapering and the resultant sector decline. So I am underwater between 5% and 20% on my REIT positions now. I notice that they haven't been bouncing back all that enthusiastically and am scratching my head as to why not and whether or not to reallocate out of REITs.

Any thoughts or comments on the sector? Are you able to give me your thoughts about the future prospects of NWH.UN, my worst performer (-19%)?

Many thanks, Derek

Q: INO.un attracted my attention with its high yield. If Europe is in recovery mode this one could move higher. DI.un also in Europe but concentration in Germany, a much bigger Reit with roughly the same yield. I would appreciate your opinion and which one would be your choice or would you prefer another Reit? Which one?

Thanks

Q: Hi, given the choice between retractable preferred shares and perpetual preferred shares, what would be the better option, in like of today's potentially higher interest rate environment going forward? Thanks, your Q & A section is my must read daily!

Q: Could you please comment on the management, debt levels and risk of both E and MCR. I believe they are similar in there business activities. Thank you.

Q: Kindly give your insight on GCL. Do you see more positives or ne

gatives over the nest two years. Please elaborate.

Thanks, Lou

Q: Greetings, Team:

I wonder why resource stocks (e.g. Baytex and Crescent Point) tend to go down and are criticized, whereas tech and pharma stocks (e.g. Constellation and Valient) tend to go up when they acquire?

Q: Any thoughts as to how the increase in natural gas prices may impact Superior Plus (SPB) and Rogers Sugar (RSI) down the road?

Thank you

Q: Are any members familiar with the Linde Equity Report which focuses on American stocks? In 2013 it was ranked top financial newsletter - in contrast Jim Cramer's (Mad Money)was 77th. I'd appreciate any feedback members may provide.
Thank you in advance,
Helen

Q: Hello Team,
Last week, I caught the last minutes of an interview on BNN with PTS's CEO (Points International) and was intrigued. When I read the MD&A in the company's 2012 Annual Report, I just couldn't get clear understanding of how the company makes money, other than it has three revenue streams. Beyond that, it was complete jargon. Can you tell me in your own words how it generates its revenue and how you see its future? Thanks for the fabulous service you provide.

Robert

Q: In your response to Graham re Badger you suggested one stock should not exceed 10% of the portfolio. Is that 10% of the equity portion or 10% of the total portfolio including income securities { bonds } and cash? Thank you.

Q: Hi, I originally had 1500 shares of Badger. Sold 500 and paid for my investment. With the 1000, I now have 3000 with the split. It has 'fortunately' given me a heavy weighting with this company. You seem to keep recommending it and I continue to like it even though it does tend to swing my investments when it has good and bad days. My dilemma....at what point does a 'balanced' portfolio outway selling a good stock!

Cheers,
Graham

Q: In response to a query earlier today on AT&T you indicated the stock is good long term, but 'not a screaming buy'. Can you please suggest what is (a screaming buy) right now, in terms of a stock offering reasonable growth and decent income with growing dividends? Thanks a lot!

Q: Please give an opinion on the best way to invest in crude by rail (railcar manufacturer/refitters, or carriers like CN ( given the extra scrutiny that regulators are giving the recent spate of accidents).

Q: Hi Folks
Pls offer your opinion on Chorus Aviation CHR.B on the TSX. Is the juicy dividend safe - mainly looking for income.

Thanks

Ernie

Q: Could you please suggest few stocks for RESP?
My son will need in 7 years.
I would like to invest fresh 5000 dollars.
Currently holding BNS, BMO, MG, STN, TD, MDA, ABX worth 15000 dollars.

Q: Re: Imperial Metals.(III)
Could I have your current assessment please.
Thanks you
Dave