Investment Q&A

Q: Regarding Kim's question about fees her broker might earn from putting her in ETFs. Why not simply ask the broker how he/she gets paid. It's a fair question. If the broker does not provide a clear answer, perhaps it is time to find broker who will.
Guy R.

Q: Hello.
After all the conversation about CXR today, the rumour about Blackstone recently and some with clear support for CXR, how do we know that CXR did not just fabricate the rumour to boost stock price or go to Blackstone desperate for a deal before the company explodes?

Thanks for your thoughts.
Dave

Q: I'd like to use moving averages as one of the buy- sell signals. What time span would you use, i.e. 1,2 or 3 year chart? Would you use a daily or weekly chart to assess moving averages? Thanks.

Q: I manage a part of my portfolio and have some with a wealth management firm that is strictly income. My wealth management firm has been buying a lot of ETF's lately, and I am concerned that I am paying fees to the firm as well as fees on the ETF's, and that overall it is cutting into my income more than I realize. I have been searching the internet for a site that will list the fees associated with ETF's so that I can make some calculations, but can't seem to find one. Do you know if wealth management firms get any sort of kick-back for buying ETF's, and do you (or another member) have a suggested site with fee information easily available?

Q: Hello Gentlemen,

What do you think about Facebook plans to actually split their shares and to introduce new classes of shares? Are there some potential concerns for class A shares owners? Thank you for advice!

Q: when HCG did the dutch auction, where did the $150 million come from to buy back shares? did the company use cash on hand or issue debt or shares?

Q: Hi Peter and team

Seeking Alpha has just published a sell recommendation on AVO. Could I please have your view on it and its possible affect on the stock price. It seems to rehash old news like executive departures but also gets into improper accounting practices.
Thanks, Gerry

Q: With Bombardier getting orders for their aircraft are there companies in the aerospace industry in Canada that will benefit ? I am thinking of Magellan mal. Any others ?

Q: Can you tell me what you know about this company and if you think it would be a good investment in a TFSA?

Thanks for all your work,

FP

Q: Hi Team
I'm looking at US Label companies to purchase with US$. Is there much growth left in Avery or 3M? Or have I missed the boat? Is there another company you would suggest? Much thanks

Q: I know it is difficult to predict the future of currencies. But I am still interested in your opinion on the Canadian to US dollar exchange. With the current price of oil, do you think the Canadian dollar is about as high as it will get, relative to the US dollar, for the next couple of years? Thanks!

Q: Valeant was a company showing everyone that is was not a well run company with no R&D, and a CEO focused only on expansion and looking good to the stock market. And funny accounting.

But the market, Wall Street, Bay Street and most investors willing overlooked it!! Including 5iResearch.

Podcast: As identified from minutes 0:35:10 to 0:45:10

http://www.podbean.com/media/share/dir-4scbv-17fda94

Q: when buying stocks you recommend depending on the stock up to a 5% weight based on total portfolio. My question is that since you are limited to how much you can put into a TFSA that a 3-5% of the total may be up to 30- 40% of the TFSA account,you could do very well or lose quite a bit in your TFSA depending on how the stock does.So should there a percentage difference when investing inside the TFSA especially if investing in some growth names that you have provided.

Q: HSE, PXX and CNQ together make up a small percentage of my portfolio. I will hold CNQ but wonder whether you would consider it worthwhile to move from HSE and/or PXX to other energy Co's (TOU?) with better potential? Thanks Jim

Q: Hello, Does MG benefit significantly from the low Canadian dollar in sales of its products to its foreign customers? MG reports on May 5th - any buzz on their earnings? Thanks so much!

Q: Which of the three would be better to own in terms of safety, as well as income and some growth? If it were one of the US telcoms I would hold it in my RRSP.

Q: Is SPB considered a Industrial stock or does it fall under Utilities?

Thanks
Dolores

Q: Overall I am very happy with the diversity in my portfolio, except for one sector, resources, which I have avoided like the plague for the last six years for obvious reasons. But the tables are turning. Could I ask you for 5 resource stocks for consideration, with dividends if possible.

Thanks!

Q: I didn't know where to post my comment as the forum sections seems very inactive.

What this post is about is the article you sent us entitled: 'The Portfolio Management Assumptions that Harm Clients'.

Very excellent article IMHO. I am not a portfolio rebalancer and never have been. In his article he writes and I quote:

"We may rebalance periodically – quarterly for example – or we may set percentage boundaries around each asset class and rebalance when they are exceeded. Either way, the underlying assumption is that our target allocation is better than the allocation the markets have given us.

Research on the value of rebalancing suggests that it has little ability to increase returns or decrease risk. Whatever utility exists depends on factors such as time period, the direction of the market and the relative future expected returns of the asset classes being rebalanced. Yet few, if any, of us take these factors into account in developing our rebalancing strategies. Instead, we employ simple, mechanical rebalancing strategies that add little or no value and may even detract from long-term performance.

The only thing we can be sure about is that our rebalancing strategies result in transaction and tax costs."

5i constantly encourages/recommends that we rebalance our holdings especially when one becomes more weighted than say approx. 5%.

I feel the writer has a very interesting POV and would like to ask you to let us know how you feel about his POV on rebalancing.

Q: Fairfax is off 5 per cent on earnings. What do you think?