Investment Q&A

Q: Good morning. May I have your assessment of Air Canada (AC/B) versus Southwest Airlines (LUV).I recognise the following caveats:1)US stocks are not your focus & 2)airline stocks are better for trading than for long term investments.
Thank you,
Tim.

Q: Hello Peter,
From my understanding, the Canadian Banks typically are considered good value when their PE ratios are under 15. I am noticing that the ratios are getting close to 15 (i.e TD). From a technical standpoint, the RSI is still good (under 70) so am wondering if you would consider the banks approaching full value on fundamentals. I understand there is more to considering full value (ROE values etc), but when the banks approach PE of 15, is it time to reduce the weightings. Thanks for your advice. umed

Q: What would cause a 5.3% drop in AVO yesterday? Volume was average.

Q: Your answer to Paul: Re CSS transforce may be playing some brinkmanship games here. What does that mean? I am with TD Waterhouse and have received nothing from my broker. Has other subscribers with TD received information on voting? I will call them today.

Q: I am interested in your opinion on the two ETFs DIV and SDIV. DIV is a so-called "US super-dividend" ETF and pays dividends of about 5.3% per month with a management fee of 0.45%. SDIV is a so-called "global super-dividend" ETF paying 5.6-5.9% with a management fee of 0.58%. They appear to provide very good international diversification and excellent yield. Do you seek any downsides here?

Q: Hi 5i,

What are your thoughts on Engagement Labs (EL-V)?

It was recommended to me buy a newsletter writer. Just wondering what your thoughts were on the Company and its prospects.

Q: I own $6000 (par value) of Southern Pacific Resources (STP) non-secured senior bonds, due in 2018, that I purchased some time ago through my discount brokerage. All indications are that STP is on the verge of bankruptcy. Today, the market price of the STP bonds is 62 cents, indicating that likely some fraction of the bonds' face value should be recoverable during the (probable) bankruptcy proceedings.

As a retail investor, I do not know what the procedure is for small bondholders when a company is in bankruptcy. Assuming that bankruptcy occurs, will I need to personally make a claim for my money, or will I normally be able to "piggy-back" off the legal efforts of major bondholders and wait for the settlement? Do all bondholders need to share the legal expenses related to the bankruptcy proceedings?

Thanks for any clarifications you may be able to provide.

Q: CSS Contrans Aug 25/14 question asked by Gerald:

I recently voted a control number from a CIBC proxy package at
proxyvote.com where the choice was clearly For or Against.
Proxyholders can vote again before the deadline with only the last vote counting. 'Take no Action' could result in voting for the management recommendation by default.
Publish at your discretion.

Q: It seems that Blackstone is a share holder of burger king. should blackstone share price follow proportionally the increase of burger king.
?
thank you

Q: Re:TOU - Aug 25 - question by Ilesh
In your answer, re Energy sector, you mention you have other favourites in the pure growth area and the dividend category. Would you kindly advise your favorites in those areas please. Thanks.

Q: Could you comment on the recent asset sale by Eagle Trust?
Does this change your outlook?
Thanks,
Fred

Q: Can you provide any info on NGM ? It appears to be a lottery ticket but an insider is buying a lot of stock. Do you know any of the management team and what are some reasons an insider would put big money into this ? Thanx Robbie

Q: Soon we will be drawing on investment income for retirement and note Ryan's 'Dividend growers with room to run" article. Calian Technologies[CTY] is of interest and we are wondering your thoughts on this company as a small long term investment.
Many thanks, Len

Q: Good Morning Peter, Ryan, and Team,

Great blog regarding Tim Hortons / Burger King. Very informative and well written.

At this point in time what companies would comprise your top five growth names (in order of conviction) for inclusion into an TFSA Account ??? Holding period of a minimum of 3-5 years and they would be added to complement slower growing, "safer" holdings. (i.e. BAM.A, BNS, CGX, etc.)
Thank you very much. DL

Q: It looks like Brookfield is selling their entire position in WEF.If this is true will it be a positive for the stock?
Thanks for your opinion.

Bob Rose

Q: My question is to purchasing CUS stock or the debenture.As a current shareholder I received rights to purchase the debentures but wonder whether this capital should be used to purchase additional equity?
Thanks For your help.

Bob Rose

Q: My RY and BNS stocks have soared over 15% of my portfolio. Should I sell. If I do, which financial stock would you recommend. Do you think a switch to MFC or SLF would be appropriate. Thanks

Q: re GPRO.US GoPro Just a comment for Gordon's question of Aug 24th as a long time GoPro user ( and camera enthusiast). The company is very poor at inventory control, lax in their customer service and downright bad at following up on promises. I would stroll down to your local camera shop and see if they actually have any GoPro inventory, of anything but 3rd party accessories! As 5i pointed out, GoPro is a good little product but the larger companies with better supply chains are developing competitive products and I suspect they will eat GoPro's lunch. GoPro seems to be having difficulty "growing up".

Q: Hello 5i team,
I bought shares of THI at $59; how long would I have to wait in order to make a 40% capital appreciation.
Do I wait? Do I sell? do I take some profit?
What a quandary!
Tony

Q: CSS Contrans I voted my shares today at CIBC. Actually, it was a choice between a 'take no action' vote or a 'tender your shares' so the call in seems superfluous as I took no action.