Investment Q&A

Q: A Canadian Investor with over 40 % a portfolio in US securities and additional Canadian companies either doing business in the US or reporting in US dollars. A lot of talk about 2019 being a down year for US dollar against the Canadian dollar.
How does one hedge this risk.

Q: With Bell and Telus being 2 of the prominent defensive stocks out there.Since Japan ,Australia,New Zealand ,Germany,England Usa have either banned or are considering it.It seems irresponsible of Bell andTelus to go full speed ahead.What effect do you think it will have on these stocks.Own a 5% holding in Bell for income.

Q: I have read that if Canada bans Huawei ( I think they may have to) from 5g that the telecoms , Rogers to a lesser degree will have a 1 billion hit as they will have to remove the equipment they have already installed. Now the time for the crystal ball.

If that were to happen , it is a one time hit, probably some tax write offs etc would the market react violently negative.
I own a lot of bce.

Q: If I were to buy this ETF, which account would be best. U.S cash account or a RRSP (CDN) account. Is there a tax advantage.
Thanks

Q: Further to my earlier question today about the so-called predictive value of the inverted yield curve, I think recent stock market action is not due to such a prediction but more due to journalist hype and general equity anxiety. As pointed out yesterday by Stan Wong on BNN, "An inverted yield curve, where short-term rates are higher than long-term rates, has historically been a precursor to an economic recession. We note however that these (recent; ed.)short-end measures of yield curve steepness have not been reliable precursors to recessions. As a recession indicator, the more reliable yield curve spreads have tended to be those with larger maturity gaps such as the two- and 10-year, which still currently indicates a normal yield curve." I do recognize that your table of two days ago did reference the 2-10 yield gap but I still think if a prediction hasn't materialized in 12 months or so, it isn't much of a prediction.

Q: Curious as to what's attracting Buffet to Apple. Could they be due to transform from selling product to a subscription model and enjoy a renewed period of growth similar to Microsoft?
I've enjoyed a good ride with CSU, but wondering if it could be timely to sell and purchase Apple. Would you proceed or not?
Thanks Peter.

Q: Hello there,
Any thoughts on the Convertible Bond fund ETF ( CXF) offered by First Asset Management ?
Thanks

Q: I am planning to realize losses on the above companies to offset capital gains with a plan to repurchase after 30 days. In order to maintain sector exposure in the intervening period I would like identify proxies for each holding. My thinking is as follows:

TECK.B == XMA
BNS == TD
TFII == ZIN
NFI == ZIN
WEF == CFP
VET == XEG
WCP == XEG

Please review my suggested proxies and add / amend as needed. Alternatively, if you think I would simply be better off holding cash until repurchasing please say so. Thank-you very much for your help.

Q: This stock looks like good value to me compared to peers and the market in general. Has a low P/E, high ROE, and decent free cash flow generation which is quite uncharacteristic for the sector. In your opinion what has caused the SP to slide and do you think it is a decent spec buy? I've heard there is heightened political risk with this name. Could you speak to this a little? Thanks.

Q: do You think it is a good time to buy these stock? for long term investment like snow ball.
appreciate your time!

Jacky

Q: this stock is not looking good , any chance it could go bankrupt?

Q: In one of today's questions, you note "The inverted yield curve has worried some, as it does tend to predict recessions." This statement has an air of certainty that seems to be at odds with the table of data that you published the day before showing that recessions on average came 20 months after the yield curve inversion. What value is there in a prediction that takes on average 20 months to materialize. I would bet a correlation between not having a recession for ten years and having one in the next 2 to 3 years is even better and just as useless. Do you really want to propagate this myth?

Q: I am a little curious about your answer to George regarding preferreds. Don't they move inversely to interest rates? So all else equal would you not expect a preferred share etf to fall in value as interest rates rise (just like bonds)? Not only that, would they not generally fall even further than bonds as preferreds never mature (preferreds therefor have a longer duration than bonds making them even more sensitive to interest rate changes). Thanks.

Q: I hold approx. 6000 shares of each of the following at hIgher prices.VET,SIS,PXT,COV and GUD.Which would you sell,add or hold.Your input is appreciated.
Thanks Richard

Q: Due to several highly caffeinated poor investment decisions this year I have decided to switch to decaf to balance myself and my portfolio. I really like Swiss Waters drip decaf, do they have a DRIP?

Q: Good morning,
Could you please provide your top 20 Canadian dividend paying stocks. Please feel free to use more than 1 question asked as I know this is a big question.
Thanks

Q: I have been looking to buy a bit more Goeasy in a young adult's TFSA, on the current weakness. I tend to buy based on fundamentals, but I sometimes use technicals to time buys and sells. Today my long standing buy order got filled, near the end of a sharply down day. Do you feel that GSY has broken support here and there is more downside to come? And do you think the decline is just general market negativity, or is there more to it, i.e. are the technicals reflecting a fundamental change? I am not too concerned, as this will be a long term hold, but would like your thoughts if you would be comfortable buying GSY at these levels.
With appreciation,
Ed

Q: I know you don't like trading but in this market
it looks like trader can make money most of my long-term holding is in negative.
Which stocks you believe are unfairly bitten down and has potential of coming back?

Q: LB just got whacked over its results but increased its dividend. What, specifically, do are the risks to this bank? Will it go bankrupt, be taken over or recover from a bad spell? Having just increased its dividend it seems unlikely it will cut it in the foreseable future. Why would it not be a "boring" income stock?
Thanks for your insight.

Q: May I please have your thoughts on US financials at this time and Visa, Morgan Stanley and JP Morgan in particular? Thank you,

Jason