Investment Q&A

Q: I have some cash to deploy. Can you state your order of preference please.
Thanks a lot.

Q: Hi Peter, Ryan,
Thanks for the great service Peter and Ryan. It is trying times for portfolios

We picked up AMZN (2%), KXS (1%), ZCH (2%) and GOOGL (1%) in the last few days. Also owned is BABA (3%), NVDA (2%). We have 25% in cash available. Is tech recommended to be 15% or 20% of a portfolio as of today with all the recent drops? I am going against the grain here for a bump up in 2019. Of AMZN, BABA, KXS, GOOGL, FB, MFST, BIDU, & PHO, and an outlier BYD.UN which 2-3 stocks are most appealing for a recovery?

Cheers
Jerry and Debbie

Q: Both stocks down after earnings. How do the results look to you?

I find it odd that Amazon can earn $2.88 billion or $5.75 per share which is over 80% higher than estimates of $3.14 per share, but sales were $500 million lower then estimates ($56.6 billion vs $57.1 billion)... less then 1% miss... with concerns over high valuations in tech stocks, Amazon in particular trading at a high P/E ratio, to crush earnings and go down seems like an overeaction.

Q: I own NVDA, FB, BOX, AMZN and GOOG in my son's RESP and he is still in the green. Would you briefly comment on each stock's potential rebound and rate them? Thanks.

Q: Hi Peter, Ryan,

Is it more beneficial to have stocks such as Amazon or Google inside a TFSA or in an RRSP?

Cheers,
Jerry and Debbie

Q: Artificial intelligence is a trendy topic. What recommendations do you have for a senior who wants to participate in this space?

Q: Would you recommend buying any of the following stocks in the current selloff? Do any of them stand out as particularly attractive or risky right now?

AMZN, GRUB, ETSY, SPOT
KXS, MSFT, CRM, ADBE, TTD, BOX
ISRG, ILMN

Thanks for your thoughts.

Q: Good morning
In keeping with the theme of fewer positions and more concentrated portfolios (higher weights and fewer names you have mentioned in the past).
Which 5 US stocks would you recommend for a US TFSA and for a US RRSP?
Would these be different since tax treatment for these portfolios are different?
Thanks
Victoria

Q: I've been to the AmazonGo cashierless store in Seattle and it is very cool. (This is the cashierless variety store where you just put stuff in your bag and walk out). It is the future. I saw yesterday that someone was mentioning or leaking that they plan 3000 stores in the near future. https://www.bloomberg.com/news/articles/2018-09-19/amazon-is-said-to-plan-up-to-3-000-cashierless-stores-by-2021 .
There are several companies working on this cashierless technology including Microsoft for Walmart.
Should ATD.B be worried about this? Or I am thinking that Cashierless technology will be an adopted technology by all and will simply be a monthly software bill to the retail business.
I own Amazon and bought more after returning from visiting the AmazonGo.
Any thoughts?

Q: I am thinking of selling off my profit in those companies. What do you suggest that are safer for the next year.
margita

Q: Thanks to good advice from 5i, my tech stocks have done well enough to make up close to 40% of my holdings! Within the sector, these are my waitings:
CSU - 12%, KXS - 12%, SHOP - 11%, CLS - 5%, GOOGL - 9%, SQ - 11 %, AAPL - 10 %, NVDA - 9%, AMZN - 15%, and SPOT - 6%.
Some of these are broadly spaced within the sector, and I hate to let any of them go, but I’m getting a bit nervous about vulnerability to a general tech turndown. Do you have suggestions for me?

Q: Dear 5i Research,
I enjoy reading your watchlist questions. I am 67 years old, semi retired and enjoy doing my own investing through a discount brokerage over many years. I do have a high risk tolerance. My retirement income is CPP, OAS and my stock portfolio in 7 figures divided amongst 6 stocks. I am a very “concentrated” investor having gone from 30 plus stocks and ETF’s to only 6 stocks – Constellation Software (CSU), Alphabet (GOOG), Berkshire Hathaway (BRK-B), Amazon (AMZN), Alibaba (BABA), and Tencent (TCEHY). I follow them all closely. Should I be concerned about my high tech component and rather concentrated portfolio? What type of diversification if any would you recommend?

Q: Which of the above two securities would yo recommend for a 5 year hold and your reasons. Thank You.

Q: Hi 5i. I trust your summer is going along swimmingly well. I
In my Info Tech I own; NVDA, CSU, GRUB, GOOG, FB, KXS, SYZ, SHOP, ADBE. and RHT. I am looking to sell and or shave one or more to purchase TEAM and SPOT. Can you suggest which please. Or would one add to my existing. My Weights are good and in line.
Thanks again ahead of time..I'm still very happy with all you do for us.

Q: I have held both Amazon and Shopify as a means to gain exposure to the online commerce sector. Given the relationship between the two, would you recommend owning choosing only one, continuing with both or adding another name into the mix?

Q: I know Shopify is closely related to Amazon. Can you explain how can Shopify be negatively impacted by Amazon please.
Please comment on Square earning release .
Thanks

Q: Please comment on the earning release of these companies.
Thanks a lot

Q: Hi 5i, thank you for your service , the Q&A alone is worth every dollar.

I have big gains in (NFLX – 8%, NVDA – 8%, FB – 8%, GOOGL – 8%, AMZN – 7%) and I have already sold some of these companies previously but they keep rising! Some may say I have let these ride for too long already BUT… based on the Q&A I get a sense you think all of these “tech” stocks are market leaders and have lots of room for earnings growth, so part of me wants to keep them going as I can see them continuing to rise and rise until of course there is eventually a recession or market crash, but again I think a few years after that event they will still be dominant companies, but please give me a good reason to sell these stocks, because I am struggling to justify selling some of them again. I do not need this money for a min 20 years and do not shy from risk.

Also, I have cash available even if I don't sell anything, any recommendations for 2-3 stocks to finish the portfolio ? TD or BNS or both would be adequate? I don’t have an appetite for an energy/oil company, or mining at this time..
Here are the rest of my stocks (SHOP – 5%, BRK – 5%, XYL – 5%, GSY – 5%,TOY – 5%, SIS – 5%, PBH – 5%, PHO – 4%, KXS – 3%, TSGI – 2.5%, GC – 2.5%, SPOT – 2.5%, RHT – 3%, COV – 3%).

Thank you!
Mike

Q: I would like to own amazon but does it make any sense to buy if I can buy only 1 or 2 shares? I know I could buy FANG but I prefer individual stocks.

Q: Hi Peter, Ryan, and Team,

I manage my daughter-in-laws small portfolio, and the sector balances are now out of whack due to her recent cashing out of her TFSA for a major purchase.

She now has almost zero in the Technology sector. After I reallocate some funds from over-exposed sectors in her LIRA and RRSP, I'd appreciate knowing what Technology stock(s) you'd recommend at this time that provide a measure of safety and growth (preferably from the stocks covered by 5i. Thanks as always for your valued insight.