Investment Q&A

Q: What catalyst do you see to reverse the trend of the Canadian Banks freefall Bns broke trough the $60.30 support leval today .All this with indications of riseing interest rates .The risk reward ratio in Banks have not been there .
Stan

Q: Based purely on it's beaten up share price, do you like the risk/reward on ATP going forward?

Q: 2:58 PM 2/3/2014
Hi Peter:
Today both Liquor Stores LIQ [down over 11% today ] and Rogers Sugar RSI [down over 6% today] have had big declines over the last months. I know that the BC Government have just approved the sale of wines and spirits in corner stores and this extra competition will hit Liquor Stores in BC. As far as Rogers Sugar goes all I can see as a cause is possible higher natural gas costs. Do you know of any other news?
Both companies have had considerable net insider buying as prices fell over the last year which surely is encouraging.
I hold these stocks purely for the dividends and expect little if any capital gain over the years.
Can we reasonably expect both companies to just jog along and continue to pay their dividends and recover over time, and should I just continue to hold them?
Regards........ Paul

Q: Hi Peter & 5i. Questions upon reading your updated Report on Carfinco (CFN): (1) What are "charge-offs"? (2) I couldn't tell from the Report what the substantive concern is behind the headline bullet "Some governance concerns." I have held CFN for some years now and I have found the Grafs and co to have shown good leadership in surviving the financial crisis and managing their growth opportunities and the risks along the way, including the recent decision not to overpay for the distressed assets that were being bid up in an auction format in the US. So I would have pegged governance as an organizational strength rather than a basis for particular concern. (3) Of their recent growth initiatives, I thought the Quebec expansion was reasonably significant; any insight into how that aspect of the buisiness is going? Thanks!

Q: Good Morning All, this is not really a question, just an observation. Your January report is showing a monthly return of -63% on BAD. Must be a typo or something??

Q: Would you please comment on what is going on in the markets today; is this a buying opportunity or should we wait. What do you do with your portfolio on days like this?

Q: What are your thoughts on LIQ at this time?

Q: Hi Peter and Team,
What's your take please on the report that Valeant (VRX) will purchase PreCision Dermatology (PR) for ~$475M?
Thank you, Michael

Q: Hello, DGC is scheduled to announce, tomorrow, an update on the life of mine plan and I am wondering if this is a good or bad thing for the company? Should I sell or hold my position with this stock based it pending annoucement. Thanks

Q: With CLQ & SIM getting together I fail to understand why the price of both of them has come off. It seems to me the Lundin family is taking over and moving their management in. I've always done well following the Lundin's around when it comes to mining. Could you explain to me why the Lundin name always shows up in holding companies like Zebra, Loritto etc. aren't the family just paying extra lawyers and accountants.

Q: What did you think of the COS 2013 financial results?

Q: Hello, we have cash funds to put to work in our TFSA. We already own AVO/E/Magna/CSU/AYA. Do you have one or two further recommendations, or would you suggest adding to any of the stocks already held? Thank you, Bill Y.

Q: Hi,

I am thinking of creating a high risk portfolio of the following stocks with 10% of total portfolio ($12k) weighting allocated equally between these ($1k each). The commission will be $7 per transaction.

PLI,PN, HEO, LXV, PHM, LOY, FLY, GXI, NRG, SY, TNG, WEW, ZMS

Q: Hello Peter and team, I wanted to ask if you think the following strategy is sound. I'm just starting out looking at ETF's and am considering buying ZSP until CAD bottoms out, at which time change to ZUE.

Q: Hello 5i

I am planning to switch my RRIFs from Corp Bonds held during contribution yrs to US index ETFs now that I am well into compulsory payout phase. I am looking at VUN or VFV. VUN is only 6mo old with a much smaller subscription and a more diverse index, and better current trading volume despite its smaller size. (you made some comments on why size matters which don’t seem to apply to these 2 funds given that they hold only the US$ equivalent Vanguard funds).

The only reason I am considering the C$ unhedged funds is to avoid the 2-2.5% charges BMO levies for both Buy & Sell transactions. So Vanguard is providing these currency transactions at no cost. Is there some trick of the light here here that I am missing

Your comment appreciated.

Q: Hello 5i,
I’m raising cash by selling US stocks and looking for a few good buys in the US small/mid cap area, sector isn’t a priority with the exception of REITs/oil/gas/pipelines, but I would like a 4% div. minimum. I know you folks like technology and healthcare anything there? Please help with some ideas.

Q: Hi Peter,
I have just read a comprehensive report on LNG. Please give me your expert opinion on which of these companies Entrec or Petrowest would most likely be successful over the next few years.
tks Gord

Q: GPS, DHX, and AYA, these three stocks are of interest and I believe still have good growth potential by 5i. Is this still correct? Which stock would you put in which account when looking at a RSP, TFSA, and non-registered account. Is there an account you would not put one of these stocks into, meaning more potential downside risk. I tend to have a buy and hold approach.
Thanks

Q: Hi Peter and Team
Alacer Gold has mines in Turkey. Do you think there political turmoil and currency crisis will have any long term negative impact on ASR. I do believe ASR stock has not done as well as the sector in the past 2 weeks. In general how would you rate the risks for this company? Thank you for your time and insights!
Dr. Ernest Rivait

Q: The pipeline utilities IPL PPL ALA ENF are trading well above their moving averages on lowish volume, some setting new highs in the face of generally higher interest rates and a weak market, while TRP has been quite volatile on high volume. What should a holder read into this? Thanks, J.