Investment Q&A

Q: For the next 5 years, what would your asset allocation look like if you were building a portfolio today:

Money Market %
Canada index %
USA index %
International index %

For equity exposure, do you believe in the 100 - AGE rule of thumb?

Thank you

Q: Does 5i provide fair market value for stocks? If yes, what is the fair market value of ATD pls?

Q: They will be reporting in 2 weeks. Do you see any red flags? I will need the money in 2 years.

Q: Between these 2 stocks, both with good growth and dividends, would you prefer for a long term hold. Are their dividend taxed differently in Canada?

Is there another CDN or US stock you prefer to these two?

Q: Would you please comment on micron’s earnings and guidance? Earnings looked like a bear but the guidance wasn’t as favourable as perhaps was hoped and it’s presently down after hours. I’m trying to decide whether to sell it tomorrow or hold. Thanks.

Q: Hi guys,

WELL.CA is starting to act better, is it time to increase the percentage from 1/3 to a 1/2 of a position?

Thanks

Jim

Q: Hello 5i team,

Any reason WELL is moving up this past month. Strange that it never moved with past
good quarters but now is moving upwards with nothing really happening.

Andrew

Q: I'm confused by your earlier response to Maureen's question today on the risk reward for some companies. I expected NXT and CELH to receive high risk rankings but I did not expect them to receive such low grades for reward. In fact t, a couple of questions later you singled these two companies out as top growth candidates in a 3-5 year period. Did I misinterpret your answer?

Appreciate your insight.

Paul F

Q: I see that you like ULTA, and i've been looking into it a bit. I agree that there is quite a bit to like with the company. But the one part i'm a little hung up on is the growth potential and past performance. Any time frame in the last 5 years (11%) has not been very good. But if we look out much longer at the 10 year (316%) and beyond it looks much better. I see that the valuation is quite attractive, compared to their historical valuation. But I wonder based on the last 5 years if the growth isn't behind them. Why do you think they've underperformed for the last 5 years, and why do you think that is going to change going forward? Thx!

Q: What vehicle would be your top recommendation for parking cash for next 12 months. Thanks. Rick

Q: Interesting article today in Wall street journal on Canadian oil sand producers.
i like this point: More recently, some companies have started replacing human-operated trucks with autonomous ones. Suncor Energy sees room for even more efficiency: On a call with analysts last month, the company said the WTI crude-oil price at which it can reach corporate break-even could come down by $10 a barrel, or about 19%, by year-end 2026.

Perhaps Buffet will buy in again (not sure if he sold his whole position).

Q: Hi. I have some funds to invest. I already own IIP.UN in a diversified portfolio. Would adding RIT or BPYP-PR.A be a good diversification addition or would you recommend just staying with IIP.UN? Thank you.

Q: I currently have some cash sitting in CBIL and PSA. I am considering adding some cash to one of them. Do you have any preference?

Thanks Ken

Q: Hi, Further to my comment on BBU/CDK, the media still mention BBU as the owner of CDK. But with the BAM split in 2022, hard to know who owns what.
BN stock has not really moved in the last 5 days compared to BBUC. Might explain why Gordon was not happy on Tuesday.

https://www.bloomberg.com/news/articles/2024-06-20/brookfield-business-partners-slips-as-hack-hits-car-dealers

Q: Hi
Skeena Resources just announced a financing package to see them through the development of the Eskay Creek property. The ownership of the stored materials at the site is still in dispute. Would you see this financing as sign that this issue of ownership of stored materials is close to being resolved?

Q: In a recent question from Michael, regarding the Communication Services sector, 5i responded by stating “we think investors are better off without having too much capital invested in these fields”. I agree that owning BCE and T lately, especially for long-term holders, has been very frustrating to say the least.

For our combined portfolio, Portfolio Analytics indicates that our holdings in this sector have dropped to 5.9% (understandably) but PA still suggests a weight of 7% in this sector.

Two questions: (1) In light of sector weakness, which will probably continue for some time, what would be your suggested Communication Services sector weight? (2) Would you endorse some tax-loss selling of BCE and/or T but put the proceeds into another more promising sector?

Thanks as always for your insight.

Q: I own this preferred and am wondering how it will be treated with regards to the upcoming split of TRP into 2 units...where will the preferred reside after split is done....does this have the effect of reducing credit worthiness of this said preferred..many thanks

Q: Setting up a simple-to-manage, taxable account, with the goal of reasonable stability/safety of capital and the generation of tax efficient income of 4-5% (ideally dividends so Canadian Div tax credit can be used) . Could I please get your comments or alternate suggestions on the following:
25% in VDY, ZUT, HTA and the final 25% split between EIF and BAM. I believe all of these distribute eligible dividends, other than HTA which seems to be Return of Capital / Capital gains.
Registered accounts are held in diversified equities.
Many thanks.

Q: Hi team, I am a 65 year old dividend investor. I presently hold about 12% of my portfolio in Money Market Fund ZMMK while waiting to see what to buy next. I am wondering how this fund would react during a major market sell off. I know it is fairly safe but the fund has a short history. In your opinion how safe is ZMMK and during a sell off would funds gravitate towards it or would it sell off with the rest of the equity market? Thanks.

Q: Can you comment on the prospects for XMHQ?