Investment Q&A

Q: 1) I understand that companies that have increased their dividends recently do so because they're confident of their earnings for the next year or two. Is there an ETF that focuses on these companies?
2)I own PKW (concentrates on companies buying back their stock)and wonder which of these two approaches, companies that are buying back stock or those that increase their dividends, you would endorse?

Q: I have been looking at Lyondellbasil (LYB:NYSE) and Methanex (MX:TSX) as potential plays on the US industrial/chemical resurgence and cheap natural gas prices. I notice that LYB is not mentioned very often despite having had a great run and IMO still trading cheap relative to the rest of the S&P 500 (forward P/E). What are your thoughts on LYB? Is it worth picking up or is Methanex a better investment?

Q: Hello, Regarding CCT, what do you see in the future for this company. I have held it for years, and done very well, but it seems to have stalled. Better prospects elsewhere? Thanks

Q: Taking a real beating on WFI, down 15%. Any insights or advice would be much appreciated. Thanks.

Q: one last question regarding SUM

You have mentioned you would hold it here and wait it out which makes sense but I do not have a position a this time. Would you buy right now or wait to see what effect the CEO share sale plan has on the stock? It did recover somewhat yesterday.

Thank You Peter & Family

Q: Hi Peter,
I'm looking to deploy new money into one or a few names in the small to mid cap energy space. Could I please have your current thoughts on Crew (CR), RMP energy (RMP), and Raging River (RRX). Which of the three (if any) would you recommend at current levels? Also, do you see any of the three as takeout candidates in the next 12 months or so?
Many thanks, Peter!

Q: Alter NRG Corp

I am down 15% which (with a small position of $1,000) isn't that big a deal. And I know you mentioned in the past this needs to be considered risky. I don't have a problem holding unless there is something you know or can see which should tell me to get out now.

Thank You Peter & Family

Gord

Q: I own Manulife (MFC) at an ACB of $17.86 in a registered account as part of a balanced portfolio. Would you sell it and buy Sunlife (SLF)?

Q: Good Morning Peter and Co.
Can you expand on your response to what you think the economic and market conditions for 2014 will be like? What sectors or industries do you see as outperforming the market if any?
Thank you for your advice and information.

Q: Hello 5I team,

Looking at the ajusted model portfolio am I correct in thinking that you have changed the sector asset allocation? For example my calculation shows 25% in tech, 20% in financial and 0% in healthcare.
Is this correct and if so is there a reason behind this change.

Q: 5i Guys Considering the spike in acq yesterday . Is it a buy yet? TKS

Q: What are your thoughts on SPLK?Are there other companies that do what they do?

Q: Hello Peter! I have 30K in my TFSA and I want to invest them in one or two of Canadian Banks or in bank ETFs.Please provide me with 2 good banks and 2 good ETFs names. In your opinion what is better choice for long time, single bank or bank ETF? Thanks.

Q: Hello,
I guess CF did not make it to your model portfolio, I was wondering if I should hold it or switch it for some other growth stock in your model portfolio. Also are there any US mortgage finance or housing related stocks you would recommend seems like the US housing starts look good this year. Thanks. Regards,

Shyam

Q: Hello Peter
I have brokerage accounts at two large full-service brokerages [Scotia McLeod, and National Bank Financial] and one at TD Waterhouse. I use the TD Waterhouse one with the low commissions for smaller positions and for ones I may expect to trade.

To simplify things I am considering consolidating the two full-service ones into one account, however I worry that then I may have too much riding on the solvency of a single bank, and in view of possible troubles and the possibility of "bail-ins" as happened in Cyprus and in several other European countries, maybe I am better spreading the risk.

I understand that the Government of Canada has already passed into law the regulations for the bail-in of an insolvent bank whereby the depositors are the losers. What do you think?
Thankyou........ Paul

Q: EIF Exchange Income Corp

The expansion of cell phone usage is supposed to increase significantly in the coming few years. Hard too believe considering how many cell phones there are out there. But that along with 4G usage has me watching American Tower Corp (AMT) closely.

I asked 5i & family about AMT Jan 7 of this year and you recommended EIF as a way to have access to a private company Westower which is in the same business as AMT and as reported by 5i was showing good financials. Since Jan 7 EIF is down 13% from $23.68 to 20.55 as of my writing this today.

I still believe that cell phone tower companies have a bright future, especially considering 4G, tablets etc... coming on line in the very near future.

What is your present opinion of EIF and/or are there any other recommendations you are making in this sector? And do you agree with my assessment of the future opportunities for cell tower companies such as AMT & Westower?

Thank You Peter & Company, always appreciate your time

Gord

Q: Peter and team:

We bought DCI at just over $26 and are under water. This is less than 1% of our portfolio. Do we get out or just hold on?
Also why was Amaya down today?

SS

Q: Hi Peter

Great Job Guys
Is there any reason for the sudden movement in spb and vsn

Thanks Mike B

Q: Hello,
I love the aet.un dividend,and am generaly a long term investor, but the stock keeps going down. I don't understand why. The company has issued news that says essentialy they are doing good. The valuations seem ok. Am i in a value trap? What could be the problem with this stock? Would you buy more here if you owned some already (which i do, below Net assest value)? Thank you for this wonderful service - that is good value!
Georgina

Q: I own ipl in 3 of my accounts representing around 5 percent of my portfolio. I note you have dropped it from your model portfolio and only one analyst now recommends it as a strong buy. Is the valuation getting stretched and are there better names to be in for growth.