Investment Q&A

Q: Peter and team,

I currently hold CBO and HFR at 5% each of the portfolio. Rest of the Portfolio is currently stocks that are pretty close to the 5i model portfolio. Due to high personal exposure, I am thinking of selling TRP stock (5% of the portfolio) and adding XHY in its place.

I think the XHY should add some currency diversity to my portfolio as well as providing nice yield and it looks like the recent decline in value is finding a bottom.

Any thoughts here? By the way, my opinion on interest rates is that they are going to continue to stay lower for longer than anyone thought possible but I am cognicent that they can almost only go up from here and therefore have stuck to floating rate and short durations so far.

Thanks,

marc

Q: I hold CLS and VCM in my TFSA. CLS is up 9 per cent and VCM is up 66 per cent. Do you think I should continue to hold? I realize this is not diversifed but I have other accounts that are being managed by a professional.
Thank you.

Q: Hello Peter and Team, I,m wondering if it is time to take profits on my U.S. stocks as two of these are up over 100% and the others between 30 and 50%. Also the currency gain of almost 25% I receive over 2000.00 U.S. in dividends per year for an investment of around 80,000.00 U.S. This is in my cash account so I imagine I will pay a fair amount of cap. gains tax. Thank you Herb

Q: Ben Cheng (Aston Hill) was on BNN yesterday and chose this as one of his Top Picks. Despite a high valuation, he felt it was not over-priced and that it was poised for very good growth. He further commented that the managers are very good operators who have excelled at integrating their acquisitions. Acknowledging that your focus is not US stocks, I nonetheless value your opinion very highly. I am looking to add something relatively stable (i.e. med. risk) to a US RRSP portfolio, with a 2 year timeline on it, sector being relatively unimportant, as the portfolio is well diversified. This caught my eye, especially given the North American penchant to store up everything they can lay their hands on: in and of itself, exclusive of the company, I would think this is a huge growth area. Thanks for your advice.

Q: What do you think of Ryerson for a longer term hold as a value or growth stock.
Thanks
Jim

Q: concerning the model portfolio what are the allocations by sector represented as it is. in other words what percentage is in each sector as it stands today...cheers

Q: Hello Peter and Team, I am considering PSI, Pason Systems and /or LIF Labrador Iron Ore as a contrarian move (5%)within an otherwise diversified folder, with a focus on income while riding the potential rebound of both. Could I get your assesment of the risk to dividend payout and metrics of each?
Thank you kndly, Rick.

Q: Dear Agent. Is Hatteras (HTS) a stock worth holding on to in one's portfolio. Eddie.

Q: Dear 5i
I am down about 28% with this company but I have only a half position . Is this company worth buying more of at this time or one to avoid investing more into . I have about a 4-5 year time frame .
Thanks
Bill

Q: QSR started trading at $40, and it is now $49.
Would it be wise to invest in this Co. now?

I know it is Burger King & Tim Hortons.

Thank you.

Q: Which of these two funds should I select? Given the free-fall of the Canadian dollar, I am inclined to go with the zsp.u (US dollar denominated). Then again, perhaps I should hedge my bets and buy both in equal amounts!!
Your reaction please.

Q: Hi Peter and staff,

Please give me your opinion on this fund. BAROMETER DISCIPLINED LEADERSHIP HIGH INCM FD CL A.
MER+TER is 4.84%
the fund may also pay annual performance fee to the portfolio manager equal to 20%of the amount by which the value of the Fund exceeds the value of its benchmark.
Your opinion would be greatly appreciated.
Thanks Shirley

Q: Gamehost's share price seems to be moving down with the price of oil because they are tied to the Alberta economy. Assuming the worst, a prolonged recession of several years, would GH survive? would they maintain their divvy? GH seems like a great contraian pick with a good div. I already own a small position and would like to add. My portfolio is diversified in both geography and sector. Your advice please. Thank You

Q: HiPeter
I know you are high on this stock and guessing you are looking at the big drop as buying opportunity. Other than a few larger caps like CTC,MG,CNQ, I do not buy larger quantities if dividends are under 3%. That is the effective rate now at $8 per share. If the stock went back up to $10 or more,do you anticipate raising dividends to get to that rate or do you believe I will adequately rewarded otherwise(share price appreciation and dividend annually averaging more than a 5% yield on what you call an income stock)
Thanks for all you do
Dennis

Q: Hi 5i,
Do you believe McDonald's current woes are reflective of the fast food industry as a whole or do you think it's more specific to that company? I've been eyeing a&w for a while but am not sure about the whole fast food industry with more health conscious consumers.

Thanks in advance!
Wayne

Q: Hello team
I noted that Patrick Horan said that a competitor of Sandvine's was up for sale with about a 35% premium. He said that the competitor was much smaller than Sandvine. Do you have any idea who the competitor is. Patrick made positive comments on SVC. What do you guys think of SVC?

Thank You for your good work
Clarence

Q: With the latest lowering of prime and possibility of further decreases and the economy as a whole,would you hold or sell present holdings in this stock? Any suggestions for dividend stock that will hold up and have some growth? Thanks. Ken

Q: Hi - Back in 2009 I bought a number of Corporate Bonds (all at a discount) which have done quite well. Unfortunately, a good chunk of them are coming due and I would like to replace them. Finding decent yields is alot tougher. I am looking at Preferred Shares as a potential replacement both for the yield and the dividend tax credit which makes them look even better than corporate or gov bonds. In my view the Prefs - particularly for banks and utilities have risk closer to bonds than equities. Do you agree? Many thanks

Q: What is your opinion on investing in Tesla at this time. It's pulled back considerably of late. Is this just the tracking of the price of oil, or are there other underlying issues? Your insight is most helpful.

Q: Good morning,
What are your thoughts on ZID or some other India ETF or mutual fund for added global exposure in my grand chldren's RESP? The twins are only four years old and other holdings in the RESP are CDZ (33%), MAW 104 (26%)and MAW150 (26%). I've just sold ZRE (13%)and was thinking of replacing this with ZID which I recognize adds more risk to the portfolio, but may well continue go higher given India's long term growth potential. I currently hold ZID in my own personal non reg acct and although it has done well, I was wondering if this ETF was suitable for a RESP or should I opt for a more global ETF or mutual fund. Thank you.