Investment Q&A

Q: Some gold commentators are salivating over the evolving profitability of the mining companies, and imagining their free cash flows on the verge of going parabolic. I'm thinking that governments at multiple levels are well aware of the situation, and are likely preparing salvos of new taxes, surtaxes, royalties and the like to claim their "fair share" of the wealth.
Could you please offer your assessment? Thank you.

Q: I currently have a significant position in Yamana and with the recent rise in share price, I have been thinking of selling a portion of my position and buy another mid-cap gold miner. I am likely going to sell my gold positions in 2-3 years time and would like a mid cap company with higher share price growth potential.

I am debating between BTO, AGI and K.

BTO has had some momentum of late but with geo-political risk. AGI has minimal debt but generally produces less gold. Kinross is a larger producer but it may have some leverage to run up significantly with a higher gold price.

Any thoughts on these three stocks and which do you prefer of the three?

Thanks in advance.

Q: Hi there : what would you recommend to protect the portfolio from a high inflation due to all the stimulus packages for the pandemia ?, gold (i.e CEF) , or ENB (with physical assets that will go up in value if inflation goes up). Are shares of financial companies (i.e. TD) protected against inflation ?
thanks

Q: I think that this crisis might have an impact on supply chains, accelerating the globalization pendulum swinging in the opposite direction. I'm assuming KXS could benefit from more supply chains moving back to domestic markets like the USA - do you agree?

Q: Hello! First time question-asker and first-time investor, although I've been researching for about a year.

I'm looking to create a mixed-income portfolio leaning towards risk. This is not a retirement plan, I'm fairly young (under 30) and okay with some risk - looking at a 5 year timeline. The companies I'm considering most closely are above, with guidance from 5i I've landed on these. Question is, can a member of your team gauge the 'health' of this portfolio selection? Would you start with 14 companies, or a smaller number? Do any of the companies above strike you as over-valued at the moment and I should hold off? Would you even consider these selections high risk or relatively safe? Would you dump savings (>10k) into your first time investment with the above selection, or way too risky given the current climate?

Q: IF and that is a big IF we have all missed the bottom on American larger caps should I be now focusing on US small caps and International markets? When I look at SPY and VIG all th money has jumped into American large caps and more or less erased the huge loss and pairs back some of my gains from 2019...so huge collapse gone...for now. I've topped up some VIG but missed on SPY. When I look at US small caps they are lagging and I assume this is due to the higher risk and lower volume, Same story for Europe, International and emerging markets. So my question is should I be shifting to adding IWO, XEF, and VE. I need to add some international content to my portfolio anyways as I am a bit light at 12% international ( developed) and 10% emerging markets. If you agree or don't strongly disagree what ETFs do you recommend right now ( I already hold the one mentioned). I am leaning toward a bit of IWO and larger positions in VE and XEF.

5 year window, high but slowly lowering risk tolerance, Balanced portfolio follower ( shifting slowly to income follower), overweight canada (40%) and US(40%) ,

Q: you guys seem to be fine with this stock.
But the market thinks different.Why?
Any compelling reasons to buy it here?
What is their financial situation and metric/numbers.
Would you initiate a position here?

Q: hello team,
your thoughts on HAL vs SLB.
Thanks

Q: Has domtar ever cut div? And has it ever been caught up in such a poor environment for it's product?what do you think is the likely hood of a cut is inevitable? TKS. And all the best to the 5i.team.Larrh

Q: Current thoughts on the company? Security of dividend? (payout ration seems high) If you see a cut, how much would they cut it?
Do you view it as a BUY?

Q: I have held Kinaxis for a few years and it has always been fairly steady with growth. For the last few months it has really moved up. From your previous comments you indicate it has been adding new contracts with existing customers to explain this. My question is how could this cycle be disrupted. I feel comfortable not trimming on a stock like this.
What are your thoughts
Thank You, Peter

Q: Good morning,
I have just been informed of a Conversion Privilege on FTS.PR.H. Two options (1) do nothing - retaining FTS,PR.H or (2) Convert to FTS.PR.I on a 1 to 1 basis.
I am always puzzled by these conversions.
These two preferred shares both seem to trade at either 10$ or just below that mark. However FTS.PR.I 's average volume is half of that of FTS.PR.H (2083 vs 4549 Ref. Globe Investor). FTS.PR.I has 2.9 M outstanding shares and FTS.PR. H has 7.0 M
I am wondering what is the catch,,, should I take the conversion ?
Looking at all this information, I think I would likely keep my FTS.PR.H since it has more outstanding shares therefore the average trading volume is more than double that of the FTS.PR.I ... easier to sell if need be.
Is this reasoning sensible or am I missing something. What is the point of this "Conversion Privilege"?
This is the last time I invest in preferred shares, as frankly they have not been a good investment.

Best Regards in these difficult times and stay healthy.

Elaine

Q: What was the payout ratio at National at the time of the last dividend?

Also do you have any details of the circumstances that caused Na to cut their dividends in the past, such as how dire their circumstances were.

Thx!

Q: your assessment and speculation for the below with respect to :
1. survival
2.recovery and profitability.
3.your commentary please
please rate 1 best 10 worst for the following.
ARX,CJ,CHR,NFI,SU,SGY,TOG,TOU,VET,WCP,PEY,BTE,CPG,FRU,KEL,MEG,BIR,PONY
thanks
Yossi ( stay safe )

Q: Could I have your latest views on this small cap. It seems likes it's been moving up rapidly of late. Is this one that a person should keep an eye on for the long run.
Tnx

Q: Hi Guys,
Appreciate your daily answers to all the questions so thanks for those.
Could I get your opinion on selling IPL to crystallize a loss and buying PPL? Then consider buying some IPL after 30 (or is it 31) days.
Take whatever credits you need.
Thanks

Q: Hello Peter and Staff
Can you please provide quarterly sales for the last 4 quarters and anticipated sales to be reported next?

Thanks for all you do
Dennis

Q: Hi, trying to decipher SRX's metrics, what is the % of gas of their production? Noticed a significant increase in volume lately, any idea why?

Thanks!

Q: I am looking at Enghouse as a possible investment. While I believe it to be a good company, I am wondering if 5i thinks it is a good investment at current price level? or do you think a lower entry price (10-20%) is a very real possibility before we get through the effects of Covid 19 ?

Q: I have roughly equal weights in NA, RY and BNS and a half position of TD in a TFSA. Even at the worst point of the decline (so far), I have stayed above water on on all but BNS.

As a retiree who loves his solid dividends, the banks are attractive to me and my total holdings are likely higher than you would recommend. I am wondering if I should use the correction to move out of NA and redistribute the funds into RY and BNS. (No room to add money to the TFSA.)

Your thoughts?