Investment Q&A

Q: Hi group here we go again - Tech stocks getting hammered - do you recommend selling (or buying more) on any or these recent high flyers KXS + Shop +Real+Visa Score + Docu and so on

Also can you recommend a silver stock that makes sense in this market Thanks for your guidance it really helps

Q: I rode this up and now it seems I’m riding it back down. I am planning on holding it but would like to hear your thoughts on it at this time. Should I cut losses and avoid more significant losses or hold for the ride? Thanks.

Q: Hi Peter, Ryan, and Team,
I follow the questions and answers carefully and have learned a great deal from them. However, I have a suggestion: Would it be possible/practical to edit questions so that the answer is meaningful to all readers? For example, this Q & A was from Bill:
Q: I gave up on this stock after several years in Tfsa. I am in early 60’s so don’t wish to go too far up risk scale, however our portfolio is fortunately quite significant so can take some risk.Hold BYD and Kinaxis. Do you have one or two other suggestions? Thanks, Bill
Asked by Bill on July 14, 2020
5i Research Answer:
For something with a bit more stability and an income stream, we might suggest BEP.UN or Hydro One. Both have some longer-term growth potential but offer size and stability. For some slightly riskier growth (but nothing crazy) we think OTEX, TRI or QSR might fit the bill.
When Bill says that he "gave up on this stock after several years.......", nobody but Bill can tell what stock he's referring to.

Thanks for all your help.

Q: Hi 5i team,
I’ve recently sold some of my SHOP position in a taxable account (the share price has risen ~15-fold since purchase about 2-1/2 years ago, and even after this partial disposition, SHOP remains my biggest overall position—thank you for this excellent recommendation!). Now, I want to reduce the tax hit, and so I am planning to sell positions in BMO, BNS, and SU, with aim to rebuy after 31 days (to avoid superficial loss), as these 3 securities are core holdings in my portfolio. In general, when I do tax loss selling, I try to maintain an economic position in the types of companies I am selling, because I’m always anxious the shares will rise during the 30-day waiting period (indeed, frustrating increases in stock prices during the 30-day waiting period seem to happen quite often, at least in my experience). So, my question is: Can you recommend a security (or securities) to maintain economic exposure to BMO/BNS, as well as to SU, for the 30-day waiting period? (For perspective, I’m planning to sell ~$185,000 worth of BMO/BNS, as well as ~$72,000 worth of SU; when I rebuy BMO/BNS/SU, I would then sell the temporary holdings I bought to maintain the economic position.). Would you buy a Canadian bank ETF and Canadian oil sector ETF, to maintain these economic positions (and please recommend some appropriate securities), or rather other individual Canadian banks or individual oil companies (and please recommend some appropriate securities)? Also interested in your philosophical thoughts about how to handle the situation of tax loss selling, which arises every so often, especially now during pandemic, when there is wide variety of individual security performance (some big winners, but also some high-quality stocks that are—hopefully temporarily—depressed in price) as well as higher-than-usual volatility.
Ted

Q: What are your picks for an industrial reit in canada and also USA?

Q: One of the themes that I am seeing is companies reducing in carbon intensity. It seems to be more prevalent in Europe right now, with companies building or buying wind and solar power generation for hydrogen production and use. How can one get exposure to European companies through North American markets including wind turbine manufacturing companies, as the European Union launches a new push to make hydrogen one of the clean fuels of the future? With Covid it seems that EU will push the green energy theme for bonds as well. What do you see as an implication of this in North America? What NA companies and ETF's would you see in this hydrogen arena?

Q: Large firms have outperformed small firms for a number of years. What conditions will need to occur for this trend to reverse, and for small firms to start outperforming large firms?

Many thanks for your insightful advice.

Q: Growth stocks have outperformed value stocks for a number of years. My understanding is that growth stocks are currently at an all time high relative to value stocks. Presumably, at some point, this trend will reverse and value stocks will begin to outperform growth stocks.

Do you have any thoughts as to how much longer the growth outperformance will continue? What conditions should an investor watch for, to be able to detect the switch when it occurs, to outperformance by value stocks?

Many thanks for your insightful advice.

Q: Comment: The management of PHM might not have been perfect, but if you are a buy and hold investor, and purchased PHM when Jason Donville recommended it years ago, you actually have made out rather well. I wish I had not sold some shares as a tax loss.

Q: I own Abbvie and Stryker .What US healthcare company would you recommend to complement these holdings? Thank you.

Q: What will be the future growth above company that I listed here in 2 to 3 yrs
Thx,

Q: NIO stock has shot up significantly over the last couple weeks; sales numbers for the last quarter looked strong. Financing is in place. What are your thoughts on this company and do you think it makes sense to jump on this EV play vs Tesla. Second question; if sales remain strong throughout the rest of 2020, where could you see the stock price by year end.

Q: Hi,
I would like invest some money in to Gold sector. Instead of putting money in to one gold producer, I would like to invest money into DEUTSCHE Bk AG/DB GOLD DOUBLE LONG (DGP). Please advice this is a good stock to invest or you prefer another stock,
Thanks

Q: Thoughts on the Fairfax Africa deal? Thanks.

Q: Could you compare these two companies wrt management, growth, acquisition rationale and strategy, and moat. Would you consider VEEV a US version of CSU?
Thanks
Jeff

Q: Hi Guys,
Are any of these names a MUST sell in your opinion? They are all down approx. 15%.
My time frame is 3 to 5 years.

thanks
Jim

Q: Is there any reason other than technical sell signal that PTON drops so much yeterday? Is there any further downside? Thanks for your advice

Cindy

Q: Hi 5iTeam,
my question is a follow-up on a recent question raised by Ted regarding potential US estate tax liability on US situs investment. I remember a few years ago when Gordon Reid was on Market Call, he commented that even if one's US situs investment exceeds threshold of forty some US$ (I forgot the exact threshold amount) when one passes away, there will be no US estate tax payable unless the total value of the deceased's estate is over the exemption amount of US$11.4M. Would you please confirm if this is still the case.
Cheers,

Q: What is your analysis on this stock? Seems they had an uptick in business due to social distancing tape and the online business trajectory.

Q: Regarding Paul's question on software to help with decumulation of assets, Cascades Financial Solutions purports to offer a cloud based Canadian product, although it does appear to be aimed at advisors.