Investment Q&A

Q: re: DDD & DASTY ... and digital printing industry (DPI) in general

Morning 5i Team

I think we can all agree the DPI in general has a bright future in our everyday life. Let's face it. One day instead of plugging in a tape to watch a movie, you will have a box that allows you to record and download movies or shows anytime you want then watch them days later.

Soon, when you need a small tool you can simply go to your digital printer and make it in the kitchen.

But as always with new technology, while in it's infancy no one knows which company will be a player and which company will no longer exist when the technology becomes affordable and really starts to take off.

I read an article yesterday regarding the education system planning on using digital printing in the classroom... an ideal application. Did you see anything on this information and if so, do you feel it may be a catalyst to start us towards DP's becoming become part of our everyday life?

And which of the aforementioned stocks do you think have the best chance too take advantage? Is there another company we should be aware of that could be a serious player?

Plus any other thoughts you may have regarding the future of the DPI. Someone is going to make allot of money. Any chance it could be us?

Thanks for all you do

Gord

Q: Peter, I have a half position in ATHN and I am consider replacing it with AYA. Your thoughts?
How is your training going? I have donated once and thought I would donate again once you get on your bike in Vancouver and again when you get off it in Halifax.

Stephen

Q: Hi Peter and team,
I am considering replacing EIT.UN with PKI. I would like to know your thoughts on this move. Thanks for the excellent service.

Q: Considering selling my holdings of Alaris Royalty (AD)to fund purchase of Onex (OCX). Considerations: AD - smaller, quasi private equity company with good dividend and capital gain consideration vs. OCX - larger cap, established, pure private equity play with small dividend. On a go forward basis , which would you choose as long-term hold?
Thank-you.

Q: I have a small position in constellation software. What would you think of acquiring some more rights and invest in the debentures by borrowing against the home line of credit? Maybe even convert it to a mortgage amount at a lower floating rate?
The interest rate on the borrowing is a floating rate as is with the debenture and the premium offered with the rate reset would more than justify the risk?

Q: Hi Peter and team…..Now that arbitration has been completed on the Gold Reserve action I would appreciate your comments as to the stock price or any other advise you may have on Gold Reserve. ( GRZ )

Q: Hi
I'm considering a position in Lassonde (LAS.A)and an wondering if it's price has got ahead of its value. There doesn't seem to be much coverage. Would greatly appreciate your opinion.
Regards Les

Q: Peter; Will you be posting a progress report on your ride next week? thanks. Rod

Q: NeuLion (NLN)
Have you warmed-up a bit more to NeuLion? (since Mar 24th)
Their Q2/Results showed a 22% increase in year-over-year revenues.
Is this enough to overcome your reservations about some of the management?

Q: My plan is to invest in the Canadian financial sector. Not sure if I should invest in a Canadian bank etf or perhaps in a Canadian financial etf containing the banks and other financial institutions.
I would appreciate your comments.

Q: This may be an off the wall question, but would it be reasonable to regard CPP and OAS as part of the "bond" portion of a retiree's portfolio? Thank you for your continued stabilizing support.

Q: Hi Peter,

Any chance of getting the article on Student Transportation (STB) posted? You have to register to read the article and I do not wish to do so. I want to enjoy a good laugh!

Thanks
John

Q: Hi 5i,

I am curious, you often recommend BNS over other canadian banks yet of the main canadian banks it looks as though TD is in the best position to expand into the US. I know the dividend yield is slightly lower then BNS yet the growth of all the canadian banks seems to match each other. Would TD not be a better choice for growth/yield over a 2-3 yr time frame? Or are we splitting hairs a bit here?

Q: Thanks for creating 5I we have followed you for many years before 5I. My question is simple we follow insider trading reports a lot and always check them before purchasing a stock, recently we looked at purchasing DHX but its insider selling report didn't look that good. I have owned DHX before but am bothered by the insider selling. Are we reading too much into these reports as we also own Google and its insider reopt is not the greatest either?

Q: I don't know if anyone has pointed out this article: http://www.theglobeandmail.com/globe-investor/diy-investors-might-be-pushing-buy-and-sell-buttons-too-much/article20077915/
It talks about DIY investors buying and selling too much. The advice is nothing new to subscribers to 5i, but for those of us who haven't fully integrated this wisdom, it's good to be frequently reminded.

Q: I bought LIQ at 11.75. Their dividend has not changed, just like the CEO said after the stock dropped following the news that BC government will allow grocery stores to sell the same products. The dividend is 9%. You recently wrote that this stock is below book value. Do you like it at this level? I'm tempted to double my position, but I would like to know, do we know when BC grocery stores will start selling alcohol? And do we know the impact it would have on the stock? Is it baked in?

Q: AVO.The bloomberg article painted an accurate,but damaging picture.Commenable that Ceo,Alex's primary focus is growth to $550m by end,2016 & maximizing its good product to keep abreast of competition.But acceptable that he is doing it at the expense of PROFIT & ramping up hugh & excessive expenses.M.Lowry,a co's spokesman stated that AVO has no current plans for more acquistion.This is damaging especially after $100m equity financing in last April(diluting shares) Many fund managers recommend AVO,including 2(PI Fin.corp & CIBC) who increased the target price a few days prior to release of results and subsequently reduced. On Aug 11,a sharp fund manager stated a lot of hedge funds who own the stock were disappointed & try to leave at once,This is now a "SHOW ME" story Appreciate good managers like our Peter Hodson & Pat Horan who advised us to stay the course,& Pat recommended it as a "STRONG BUY" In my humble opinion,if a hedge fund,who owns a seizable portion & decides to intervene,AVO will see glory days again very soon.Note that Ceo Alex only owns a small amount(3.2%).For example,CP increased substantially after intervention,& to a much lesser extent,BXE(a few days ago. Thanks

Q: Hi Peter and Team
I have a small overall position of REIT's in my portfolio. Please compare CUF.UN and HR.UN and provide your opinion on the best to place new money now. Would like to understand how each may react in a higher interest rate environment.

Q: Hi are there one or two large cap Canadian growth companies you like that also trade in the US and is so could you please give a recommendation? We already own a full position in Magna in our Canadian accounts. Thank you. Bill Y.

Q: What is your opinion of the debenture offering by CSU through debenture rights to shareholders?