Investment Q&A

Q: A comment and a question if I may. There's so much talk about markets being at 'all time record highs' as if this is a reason in itself to sell or short. But if markets have consistently gone up over many decades, you could argue that in a historical sense the market is almost always at an all time high.

On to my question: I need to add an oil/energy stock for diversification and I'm on the growthier side of risk tolerance. Do you have a preference between RRX and ENB at this time?

Thanks 5i!

Q: Hi, I know that going forward, with the trend in ETF investing, mutual funds might not be a lucrative for fund compagnies like CIX and IGM, but as these compagnies are trending down in prices, at what point do you think they represent good value? I know a lot of people who are still invested in mutual funds and don't have any intention to change. Also, CIX, with the acquisition of First Asset, seem to be adjusting to this new trend. Which one would you recommend and at what entry point? Thanks.

Q: Any chance this company turns things around over the next 2-3 years ? I had a small position which is now tiny. Do you usually recommend to move on in these situations.

Also, i was reading stock options are offered to management at $0.48 , is it common practice for a company that has been doing so poorly. Does not feel right for investors who have paid way more. Thank you !

Q: I see several law firms proceeding with class action activity against CXR. Is it worth while to register for these?

Q: Would you please comment on diversifieds earnings.

Q: Regarding Richard's question re AQN. I think he was asking about the instalment receipts in particular. They were recommended on BNN Market Call.
I participated in the EMA and FTS instalment receipt deals with their large USacquisitions. In both cases things worked out well. Of course it has been a hot market for utilities so the underlying shares increased in value while I was holding the receipts, which obviously helps.
Two comments 1) These deals make sense only if you would be comfortable owning the shares when the call for funds comes (when you have to put up the other 2/3 of cash). It is kind of like selling a put. The income is nice, but you have to be ready to buy the security if things go wrong. 2) best not to buy in a registered account, unless you have room to add the additional 2/3 cash to buy the shares. You don't want to be forced to sell the receipts at a bad time just because you are trapped by your RRSP or TFSA limit.
Hope this was useful.
Cheers
John

Q: What is your current view of DH- acting very poorly. Given that US financials are improving lately- surprising. I know a US short seller has been involved...

Q: I am a senior who needs dividends. Currently preferred shares are 20% of my taxable account(10% overall). I hold PPL.PR.M and ALA.PR.I. Could you recommend 2-3 other minimum rate resets?
I held and sold my Concordia shares the day before you took them out of the growth portfolio. Your advice has been great and very consistent. I wish 5i was around 50 years ago.

Thanks, Jim

Q: I am well diversified. I plan to buy either NDAQ,EBIX,or add to the NVDA I already own.I also came across PRTS which looks interesting. Would you please give me your reasons for buying or ignoring these stocks. Many thanks.

Q: Can you please comment on QHR earnings please?

Q: I have a small amount of CIX in an RSP account. I originally bought it a few years ago for the dividend, a bit of growth and the prospect of the company being purchased. I am not terribly unhappy with it as i've collected the nice dividend over the years and the current price is still over what i paid. But now with the industry moving away from high fee mutual funds it seems as CIX is dead money at best and the only attractive thing is it's dividend. I'd like to sell CIX and move it to another financial that has a bit more of a growth component to it. Would you consider a cdn bank as a good replacement? Or a US bank? An insurer? I'm not interested in DH corp, HCG, or EFN. Thanks for your advice

Q: Hi guys. I have 400 shares of Concordia should I sell and put the proceeds into GUD?
I currently have 2000 GUD shares. Any other recommendations to consider in health care at this time?
Thank you
David

Q: In a recent member's question regarding a conservative portfolio construction you said that there are good consumer discretionary companies that are growing income and dividends. Which ones in Canada and the US would you recommend other than the auto related ones? Many thanks for the great service.

Q: Hi 5i team,

As infrastructure in various countries are now in an expansion/renewal phase, infrastructure stocks may be the new 'utility' stocks of the future. I currently already owned BIP.un. Given the current market conditions, please recommend some Canadian or US listed infrastructure stocks or ETFs that are worth investing in now. Thanks

Q: Could you share what you feel would be the best tool to invest for an increase in Volatility?

Thanks

Q: Re Sierra Wireless.. please tell your opinion an reasons for:
1. How 'safe' this stock is
2. What probality it has for price increase
3. What is the PE today and projected and how significant this is
4. What growth potential it has
5. What slice of the 'internet of things' business it has and
6. What other similar stocks are similar but better for price & growth
Thank you. I much appreciate your insights

Q: Trillium Therapeutics (TR) reported on August 12. Could you please speak about the results and whether this is a continued hold? This is a small position in my portfolio, firmly entrenched in the "speculatives" for now, at 2%. Is it worth adding another percentage point? Thanks, as ever, for your service.

Q: Can you provide your view on Novo Nordisk? It took a real hit last week.
Why did this happen, and what is your view going forward?

Q: Gentlemen:
Sorry for another in the string of CXR questions. Early last June, Blackstone and Carlyle dropped their bid for CXR when the shares were selling in the $36.00 range. Considering that the shares have crashed since the acquisition of Amdipharm, can you see a company such as Knight GUD making a bid? They have a strong seasoned management team and have had some financial involvement with the firm. Debt apparently does not come due for another 4 or 5 years.
Thank you

Q: Hi 5i - even with all the problems at Valeant, it looks like it has a higher PE than CXR? For an investor willing to accept risk, is staying in CXR a decent decision? Im looking at the revised guidance and earnings and even with the lower expectations, it is expected to make big earnings and seems to be a very cheap stock. Thanks, Neil