Investment Q&A

Q: Kraken seems like a very interesting company but I am worried about it's vulnerability to intensified 'buy American' policies, and Trump tariffs. Does it have a moat that could help it deal with these? What is your assessment of overall risk?

Q: Please comment on the recent significant draw down. Is the stock considered expensive at current levels?

thank you

Q: What are your thoughts on RRSP loans and borrowing to invest in general?
Right now I can borrow at 5.3% for an RRSP loan and can otherwise borrow at 7.4%. I think the tax and investment benefits would outweigh the borrowing costs in the case of putting it into an RRSP. In the case of a non registered account, the 7.4% hurdle rate makes it tougher. Do you have any general advice for borrowing to invest in a non registered account? And if one chooses to do so what suggestions would you make regarding allocation or options to consider? I understand this would be general advice and not personal recommendations.

Thanks very much

Q: In a recent response to another member you mentioned "IBKR is almost twice the size of HOOD ($99B vs. $56B market cap, respectively)".

I ended up looking into IBKR and HOOD a bit more and discovered this about IBKR:

Depending on the data platform, some list the IBKR market cap as ~$25B and others list it as ~$99B. This has to do with whether you consider both public and private shareholders counts when calculating market cap.

I learned that GAAP handles this where the non controlling interests are removed from the income statement ("less net income attributable to non-controlling interests" which was $2.652B for 2024 leaving $765B Net Income) to leave only the net income attributable to IBKR public share holders. The bigger chunk goes to IBG Holdings controlled solely by Thomas Peterffy.

Based on this I believe IBKR is half the size of HOOD, at least the portion that common shareholders attribute earnings too.

How do you think about companies structured like this?

Q: I just took a beating on a couple of my stocks, hudbay and paramount…..if it wasn’t for the threat of tariffs I would most likely be looking at buying the dip…..I’d like to ask you about your thoughts?? Thank you

Q: What do you think about these for the next two years?

Q: Is it time to let it go? Thanks

Q: BCE and MG are mine losers and I want to sell one. Please advise which one would you let go or do you still think I should hold both of them and why

Thanks for the great service.

Q: Hello Team,

I am looking at adding a half position of one of the above companies in my TFSA. Can you please rank them in order with the most potential return over the next 3 years. Thanks

Q: Thanks for answering my previous question on WEF (western forest products). I have been taking a closer look at wef and trying to decide if I should liquidate my smallish position. One thing I noticed is that WEF has nearly $300 million 'on deposit' with the USA government. This is for the softwood lumber tariffs that they have had to pay over various years. This is a unique situation but what does it mean to be 'on deposit". Does any of this money ever get returned to a Canadian lumber producer? If not, then why does WEF even mention it? I found out about this in a WEF press release and I made a perfunctory search of the balance sheet and I could not find anything, although I am certainly not any expert navigating balance sheets. Does it appear on the balance sheet but I just missed it? Is this a complete non-issue or is it a hidden source of future revenue for WEF?

Q: Can you give me 3 US strong conviction growth stocks in tech?
Thank You

Q: CLBT has dropped significantly in the past month. I would appreciate your thoughts on the company and do you see this as a buying opportunity?

Q: Cloudflare stock is down 17% pre market (Feb 19,2205). I have always liked the stock but never bought because it's too expensive. Would this be a good entry point to start a position?

Q: I asked this earlier but perhaps it fell between the cracks. Between PPL and ENB, which would you buy today for a 2 -3 year hold?

Q: Can you give me a basket of European ETF's that would give broad market exposure please?

Q: Thoughts on Anet ? Thank You

Q: Hi, I am wondering about either of these as places to park some US cash for a while. Given the uncertainty in the US, would this be a wise choice? If so, which is preferable and if not, what other ETFs would you suggest? Thank you for all your good work!

Q: Hello, 1.How does one protect them selves from large market crashes?
2. If one were to start a portfolio with only index funds, etfs which are the ones you would suggest. Maximum 5 etfs. Thanks.

Shyam

Q: I own TOU and TPZ and like them both for long term holds. TOU was recently added to the 5i income portfolio. Why go with TOU as apposed to TPZ, which is more of an income structured investment. Do you feel that TOU will offer a better total long term return both with respect to their dividend and capital appreciation?

Thanks.

Q: Long term owner of KXS. Happy to be a patient long term investor as long as the investment thesis is not deteriorating. Are you seeing any signs in their numbers that KXS business is deteriorating or getting disrupted? Revenue growth, margins, new customers, any other metrics that you feel are relevant to the question.

Thanks.