Investment Q&A

Q: Thoughts on ISRG's latest quarter?

Q: I assume that my question pertains to BN, as that is what I trying to understand. I received the text that follows. Is this for BN, or some other Brookfield company.... ? To my understanding, which must be incorrect, are they asking us to convert BN to Brookfield Insurance ?? Do you think it is wise to take advantage of this tender offer? Any reason why, why not? Thank You.
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"There is a tender offer on Brookfield Corp Vtg Shs Cl A. Brookfield Reinsurance Ltd. hereby offers to exchange, upon the terms and subject to the conditions described herein, up to 40,000,000 Class A Limited Voting Shares of Brookfield Corporation, including the Brookfield Class A Shares that may become issued and outstanding after the date of the Offer and prior to the Expiration Time upon the exercise of options or any other rights to acquire the Brookfield Class A Shares for newly-issued class A-1 exchangeable non-voting shares of Brookfield Reinsurance.

Important Notes:

Offer to Purchase Circular dated October 11, 2023:

Under the Offer, each holder of Brookfield Class A Shares who has properly tendered Brookfield Class A Shares, and who has not properly withdrawn such Brookfield Class A Shares, will receive one class A-1 exchangeable share for each Brookfield Class A Share tendered, on the terms and subject to the conditions of the Offer, including the provisions relating to pro-ration described in this document.

The class A-1 exchangeable shares are (i) convertible into class A exchangeable limited voting shares of Brookfield Reinsurance, and (ii) exchangeable into Brookfield Class A Shares, in each case on a one-for-one basis. Distributions on Brookfield Reinsurance's class A-1 exchangeable shares are expected to be paid at the same time and in the same amount per share as cash dividends on the Brookfield Class A Shares but are expected to be paid as a return of capital, rather than a dividend, which may be attractive to certain investors.

There is currently no public market for our class A-1 exchangeable shares. The company intends to apply to list their class A-1 exchangeable shares on the NYSE under the symbol 'BNRE.A'. The Company expects that trading of their class A-1 exchangeable shares will commence on November 16, 2023. The listing of their class A-1 exchangeable shares on the NYSE is subject to their company fulfilling all of the requirements of the NYSE. The NYSE has not authorized thier listing application and there is no assurance that the NYSE will authorize the listing application. The TSX has conditionally approved the listing of their class A-1 exchangeable shares on the TSX under the symbol 'BNRE.A'. The listing of their class A-1 exchangeable shares on the TSX is subject to the company fulfilling all of the requirements of the TSX. The Offer is subject to a number of conditions, including the Listing Condition. Brookfield Reinsurance may not waive the Listing Condition

Q: Hi
I have three questions.
I am confused about market cap of a stock. Let me illustrate by way of example.
Company X lists for the first time on a stock exchange. It sells a lot of shares and captures, maybe, a windfall. The money is used to grow the company. Without any rationale, the share price drops and drops until it is worth next to nothing. The company is still operating and generating profits. In theory, can the company operations not be oblivious to the drop in share prices, as long as it still has sell-able products or services and is generating profits? Or do the value of the share price affect the company's operations?
The other thing I'm confused about is the value of the assets, goods and services possessed by a company. Assuming the value of these assets was much greater than the market cap, it seems unfair that the market cap could be seriously skewed by at the whim of shareholders. I don't have any examples but I assume there are some.
Lastly, can you please compare Tesla to BYDDF and fundamental basis?

Q: Hi, which of these two investment are expected to have better growth potential over the next few years or so, thanks?

Q: A big thank you to Peter for sharing his tips on Analyzing Financial Statements the other day. I learned a lot.
Here's the link on youtube for whoever missed it.

https://m.youtube.com/results?sp=mAEA&search_query=how+i+find+investing+opportunities+in+a+company%27s+financial+statements

Q: My plan is delay OAS, at the same time trying to not go overboard on dividend-payers in my taxable account to limit the clawback. I'm wondering if adding REITs instead tend to help that situation.

Generally speaking, is the payout from Canadian REITs such as GRT.UN and DIR.UN in a form that is beneficial in that regard? Is there a CAD ETF that invests in the U.S. that might also be a good idea?

I hope this doesn't come across as tax advice.

Q: Your last assessment of the stock at the higher price was: it is getting interesting.
Would you step in today before the Q results? Perhaps we are hitting the bottom here?

Q: Is there a website that shows the percentage of institutional investors/funds holding the outstanding stocks of a company ?
Thanks

Q: Hi Team,

What are your current thought and recommendation on this one?

Q: Good morning 5i team,

I own BN in two TFSA accounts.
From tax and capital appreciation would it make sense to accept the offer?
Could you also explain the reasoning?

Thanks
Joe

Q: If one were to sell Brookfield Renewables (BEPC) taking a capital loss would you be in contravention of the 30 day buyback rule if you immediately purchased Brookfield Corp (BN)?

Thanks for the great service.

Q: Many utility companies have lost half of their market capitalization from their peak. Do you anticipate any utility companies being potential takeover targets in the upcoming month?

Q: What are your 5 or 6 top picks in this current market weakness. Long term hold and forget. No specific sectors but preferably large caps. I like dividends but does not have to be a dividend payers. Thank you!

Q: Hi, What are your thoughts on owning Stantec, with respect to its current valuation and future growth vis a vis its competitors ? We have a small position and looking to add, to increase our exposure to Industrial sector. Is it prudent to wait for the quarterly results, due in a couple of weeks or take advantage of current weakness due to markets ? What would be a reasonable price range to buy ? Thank You

Q: Both of these in a non-reg USD account. Considering selling BIP.UN for very small gain and investing proceeds in BEPC to claim dividend tax credit benefit (not much for me at 43% marginal rate). What do you see as downsides to this plan?

Q: I hold these securities in my tfsa and would like to add to one of them. Portfolio allocation aside,which would you recommend for a 2 to 3 year hold and reasons. Thank you

Q: I am down considerably on BNS. Even though it is a bank stock, would it be appropriate to sell it for a tax loss?
Thank you

Q: Hi, Could you comment on the chart of ATS from Technical perspective, as stock seems to be in a precipitous drop over past few weeks. Where do you see technical support ? Would you recommend buying or adding now or wait for the stock to settle, based on strong belief in the co from fundamental perspective ? Thank You

Q: Hi Everyone,
I am retired and seeking dividends. I am considering selling ET and buying ENB in its place. Is this a good move?
Thanks for your service.
Jane

Q: Is there a price you would consider to be attractive to enter this at? There must be something of value?

Thx