Investment Q&A

Q: Good Morning,

Do you have more confidence in VHI or WELL for a three-year hold? If purchasing today, in what order would your preference be, including LLY? Thank you.

Q: I've done well with LLY. Is it time to move to something like Intuitive? I also own Stryker. Is there another name you'd favour?

Q: Similar to my last question, but looking to the US, I am interested in having a group of companies that are great companies and want to develop a grouping of these -whether they have a dividend or not, as part of my portfolio. Companies that have a competitive advantage, great leadership, quality assets, not too high debt and continue to execute with continuous improvement. Could you give me what you consider to be the best Great US Companies for each sector or industry. Thank you.

Q: Hi team...what's your take on health care sector changes coming with Trump I own 3% LLY 1% ISRG 1% UNH lly getting walloped due to speculation on what's coming (how bad can it be) do you recommend selling the sector or repositioning the stocks presently own in the sector or do you have a top pick?....Thanks also do you think that this is good entry for CNQ,TOU,MDA,MEQ, GFL,LMN, looking for some growth and dividend return please rate them in order of preference c/w entry target price...thanks for your help

Q: In a recent question on LLY, you said "President Trump is about to sign an executive order that would likely slash the cost of drugs (and hence the profits for maker) on a slew of popular, expensive products".

What effect will this have on the price and dividends paid by HHL.to and LIFE.to ?

Q: What's up with LLY? Was it the Wegovy sales from a competitor? Leadership changes? Is this little dip one to buy? Your thoughts?

Q: Hi group am short on healthcare and financials'.

Should i add to LLy on present weakness or ISRG /United health also on weakness seems like United and LLY are the best choices due to the pullback.? what do you think or is there a better play in the sector?

Financials are also weak in my portfolio should i buy JPM and Ry or simply buy ETFs in US /CAD looking for decent return with minimal risk....thanks for you help

Q: Going forward, which of these two would you prefer to own and for what reasons. Thanks

Q: LLY reported this am. I have been waiting to buy. What are your thoughts on LLY and would you be a buyer of a half position here?

Q: Any reason for big sale on Wsp? Is there any reason not to add to it. I have a very small position in NVO . Which has become smaller..is there any reason to add to it?or would you consider selling it and buying Lly instead. Thanks. Shyam

Q: MRK was a recommendation for stable US and health exposure, but has seen a major drawdown in 6 moths. Any insight you can offer on current challenges and whether they have a path to recover? Or should it be replaced?

Q: PINK NYSE Arca/US Simplify Health Care ETF

Looks like just another health care ETF. Any uniqueness here or not worth investing in?

Thank you.

Q: Trying to decide whether to sell stocks in my TFSA now as they are in US dollars and I might want to purchase a condo in next 4 years. I am worried now that if dollar continues to rise and if stocks go nowhere or even up a little I'll take a big hit. All great, blue chip companies that have done well in past ten fifteen years.. American Express, Chubb, Bank of America, Eli Lily, Nvidia, etc.... Any predictions on how high the CAD could go and how does one figure out a strategy when dealing with currency and declining stock prices. Thank you for your wisdom!

Q: Hello I am new to 5i (one week!) and am really enjoying the Q&A as a learning opportunity. I use one of the banks to invest our personal retirement funds (ie we don't have company pensions) and am keen to learn to self invest.

As a 60 yr old I have recently started an incorporated and am wanting to invest my incorp dividends appropriately. I have invested about 20% of my available funding and have a high cash position at present.

The information I have gleaned online is that a an incorporation should invest accordingly:

Corporation:

1. Corporate Class Mutual Funds/ETFs
2. Broad market ETFs (stock and bond ETFs) *capital gains only taxed when sold, reducing annual tax drag. Be mindful of whether dividends or capital gains.
3. Canadian dividend stocks (eligible for dividend refund mechanism)
4. Growth stocks (Capital gains taxed at 50% when you sell) but no Dividend reduction management benefits compared to Canadian dividend stocks.)
5. Investment Real Estate (Rental income is considered passive and taxed at 50%. Can reduce small business tax rate eligibility if passive income exceeds $50K)

The online information also indicates that incorporations should not invest in:

1, High Interest Savings accounts and GICs
2. Foreign Dividend Stocks and REITS
3. Actively managed mutual funds

As well - I have completed your portfolio questionnaire which tells me that I am an Alpha Balanced Investor. This happens to align with the personal portfolio that I hold for our retirement which is invested 70% in equities.

Based on the guidance you have been providing in the past week, I feel it is time to start $ cost averaging for my incorporation funding. I believe that my husband and I can live off of our personal portfolio and do not need to pull $ out of the incorporated for 3-10 years.

Given that my current interest is to starting investing my incorporated revenues, can you please recommend the selections?

I understand that you cannot provide personal recommendations. However, I suspect there may be additional members who have set up their own businesses recently and can benefit from a tutorial and investment recommendations. Thank you !

Q: On these 7 themes please pick your favourite one or two stocks for each theme based on your view of the best potential performance over a 3 year hold with "appropriate" thought given to concern for downside potential based on corporate debt, management, current valuation or any other concerns that would prevent you from choosing a given equity. For most themes suggested equities are provided however please feel free to ignore those if not your favourite one or two. 1. AI COMPUTE (META ASML) 2. AI SOFTWARE (AVGO IBM) 3. POWER AND UTILITIES (NEXTERRA DUKE AEP) 4. BUILDING PRODUCTS (INHD AEHL WSO CRH) 5. LIFE SCIENCES 6. HEALTHCARE SERVICES (MERCK TMO AMGN SYK) 7. ELECTRIFICATION AND INDUSTRIAL (GEV EOSE GWH MVST). BIG ASK I know but likely of broad member interest and I seldom ask questions. Thank you.

Q: What's going on with Natural gas sector i own TOU ARX,TRP CNQ would you add hold or sell and in what order also own small positions in Gold (GDXJ and Silver same question ) lastly own COST WMT ....LLY ISRG also same question buy more sell or hold CW entry prices thanks for all your help


same question

Q: Given the volatility of markets, I would like to purchase some small quantities of equities shares as I have some cash to invest. Which equities would you recommend, top 5 in Nasdaq, S&P 500, and TSX.

Best,
Neeraj

Q: I need to do some portfolio rebalancing. I want to increase weghtings in Basic Materials, Consumer Defensive and Health care. Could you please give me your top 3 picks in each category for a 3 - 5 year hold. Canadian or US stocks are fine.

Take as many credits as you think appropriate.

Q: I am working on increasing my sector representation in Healthcare. I will shortly have filled a full position in ISRG, adding in this downturn. I have traded around UNH, and am planning to take it from a 1/2 to full position. I have 1/4 position in ILMN and do not think I should be topping it up; I perceive it to be risky. I need 2 more companies, or may need to take one or both of IRSG/UNH to more than a full position.

This provides me a surgical/instrumentation company and a service/product supplier. For diversity in the Healthcare space can you rank your preferred buys (with entry points) I'd appreciate 2 recommendations on the pharmaseuticals side and 2 on the biotech side, or as you may see that fits better.

While I am open US companies I do have a concern that the Trump administration will bring the DOGE and Executive Order train wrecks to health care. I would appreciate your views on this potential action and howe it may impact investment choice in the field.

Thanks as always,

Dave

Q: Do you have any suggestions re the Pharma companies which would be a good time to purchase now, either in a partial or full position? Thanks