Investment Q&A

Q: Hi,

I have read with interest but considerable skepticism the Q&A on crypto. Lately I am starting to learn about stablecoin. Irony aside (pegging a digital currency to despised fiat currency - lol), I do think stablecoin is a possible solution to the “wild west” of digital currency.

Having said that, stablecoin is still very new, and the main player, Tether, is private. There are reports about lack of transparency with its operations despite having leading market share and significant assets under management.

With the recent eye-popping CRCL IPO, and the seeming success of Tether, can you provide some insights into the stablecoin space and how a Canadian investor favouring a long-term, total return strategy might participate without speculating?

Thank you for your valued opinion.

Michael

Q: I currently own a small position in BRM in my TFSA which is down around 25%. I don't usually average down but I might make an exception on this stock given that have good positive numbers and outlook. I own larger positions in other small caps PNG,ZDC, VHI and HBFG all of which have performed well. I know that you don't make actual portfolio recommendations but would you put more into BRM or into one of the others. Thanks for all your help. Steve

Q: With Canada embarking on défense spending, which stocks would you be looking at that may benefit in this realm?

Q: Dear 5i
CRCL seems interesting and seems to be a somewhat more stable investment then investing in bitcoin directly . Do you see this stock as a viable option in the crypto area or is it a little to soon to tell . My one other concern is that the price of this stock goes down when interest rates go down and currently i think the rates are more likely to go down than go up . What are your thoughts on this one and would galaxy or coin be better choices in the crypto space ?
Thanks
Bill C

Q: If you buy a limited partnership in a pipeline in the US at tax time you will get forms saying you may have to file a US tax return. This happened to me once and I don't want it to happen again. I was looking to purchase "weat' as there is a real drought setting up in the central plains but am worried that a product like this might trigger another US tax reporting problem. Right or wrong ?

Q: Hi Peter,

Could you please decode Section 899 of the proposed U.S. tax measure and its potential impact on Canadians receiving income from U.S. sources?

Best,
Matt

Q: Hi 5i.

Lundin Mining recently dropped its quarterly dividend from $0.09 to $0.0275. I can't seem to find an explanation for this anywhere, though. Do you know what the reason is?

Q: Several weeks ago one of your members said they were seeking the safety and yield of CASH:CA and another name I can't remember or find again. This to ride out the market turmoil. I remember both names as being stable and having a decent dividend. Can you suggest the forgotten name or other names that are similiar and offer similiar features?

Q: Hi 5i
CCO ($92) is up over 11% today on news of a couple of upgrades with price targets of 93 and 95. The company expects a $170 million increase in its Westinghouse Electric stake, and there is talk of the US building 10 large scale reactors.
My dilemma is that I bought CCO at 56 in early April and am up more than 60% already. I'm tempted to sell now as RSI is over 80. I know you like momentum but the rise has been almost straight up. Would you sell some, all or none? It is in TFSA so no tax to pay and is less than 3% of port.
Thanks, Greg

Q: Can you please give me your Top 15 dividend stocks that qualify for dividend tax credit.

If possible at least one in each sector

Thanks for your great service

Q: Here are a couple of stocks I should have sold a long time ago. Are either worth keeping at this point? I have very small positions in both.

Q: I'm considering investing in Kraken Robotics and/or Propel - both for a TFSA .
Please rate these and suggest a reasonable entry point.

Q: Hi, is it possible to hold U.S. stocks and U.S. funds in a RRIF in Canada enabling me to hold and trade U.S. securities without incurring exchange charges?

If the answer is yes, what are some self invest companies that provide a RRIF account in U.S.? Thank you for your help.

Q: Hello, is it better to hold a Corporate Class mutual fund as opposed to a traditional
mutual fund in a Corporate investment account? Could you please explain your answer? Thank you.

Q: Hello 5i,
In 2024 I sold my full equity position of GSY not at the top but did well for the multi-year hold (thank you 5i). I started watching for a possible rebuy particularly after the 5i report A-. One of my goals was to create a corporate bond holding portfolio vs a bond etf for a portion of my fixed income %. I noticed GSY has a 5-year 6% coupon with a BB- rating bond on the market. GSY does carry a lot of debt thus if an investor is fine with collecting a 6% return with a stepped-up risk protection profile within the bond world does this make sense? I am assuming in a downturn the bonds will trade down as well but since I have a lot of equity risk already would this make sense? I would plan to hold until full maturity and keep this in a registered account so interest tax is not an issue.
CORP GSY 6.0 05/15/30 380355AK3
Security Description
Issue Description CORP, GOEASY LTD, Call May27@103.000
Security Number 0377427
Alternative Sec Id T657E7
Security Description CORP GSY 6.0 05/15/30 380355AK3 (C)
Issuer Full Name GOEASY LTD
Coupon 6.000
Maturity 05/15/2030
Issue Date 11/04/2024
Dated Date 11/04/2024

Q: Finally in profit territory with DRX.Have a significant holding of HPS.A.Considering bailing out of Drx and replacing with one of 3mentioned .Which would you consider best or due to current momentum of Drx would you consider a hold .Thanks for great t service.Larry

Q: Thoughts on AAON after selloff? Buy here? Thanks

Q: I know this is not a fair question given industries, FX, etc....BUT if you had to choose one with a 3-5 year time horizon, which one would it be, BRK or BN?

Thanks as always.

Q: hi 5i
Share price has ticked up and seems to have settled at the lower end of the auction price......As the closing date nears and auction closes how would you expect SP to respond.... in general, would a higher auction price be viewed as positive and how do you think shareholder should view the results...

I am a little surprised the shares have not continued upwards a little more positively....

Would the shares price be expected to stabilize at the auction price or just continue their previous trajectory downward after auction close...
thx

Q: I notice that both ENB and EMA have high payout ratios. ENB seems to be about 138% on Dividendhistory.org and EMA around 98%.
Is this possible? What does it say about the safety of the dividend or do utilities use a different calculation when it comes to Dividend payouts?
Thank you
Frank