Investment Q&A

Q: Hi,

TD Waterhouse classifies BIP.UN as a utility but I see it as an Industrial. Which sector do you feel it fits into best?

Thanks,

Carla

Q: Hi, what would you consider appropriate weightings (%) to the following sectors in an all equity portfolio in today's market?

Communications
Consumer Discretionary
Consumer Staples
Energy
Financials
Health Care
Industrials
Materials
Technology
Utilities

Looking to create a more diversified portfolio and seem to struggle on an appropriate weight for each. Thanks!

Q: 8:29 AM 10/6/2015
Hi Peter

In your comment to Robert today you said with reference to Fiera : " Its association with National Bank has not helped recently, with the bank's very bad news."

Comment to Linda yesterday : "We do not like the news, and do not like the dilution from the equity issue. We are also believers in the cockroach theory: i.e. there is usually not just one problem. Shares are also already $1 below the issue price, not a good sign."

Comment to Margot : "We do not think the bank is in 'trouble' but clearly it is concerned about the economy enough to want to shore up its capital."

So My Question is : Can you clarify your opinion? NA makes up 3% of my portfolio. I own 4 other banks in larger amounts. Do you really think NA is headed for serious trouble and should I just sell it [at a 7% loss] or is it safe to hold for years expecting nothing more than the dividend income?

Thank you..... Paul K

Q: I hold SPB. What do you think of the Canexus buyout from an SPB perspective? Thanks, great to have you folks advising.

Q: Hi- this has been a horrible story for some time, but I noticed they did have improved results this summer . What are your thoughts on the stock at these levels and the risk/reward in buying common or the 7% conv. thanks

Q: This company hasn't figured in your questions section for a long time. Browsing through the questions and answers it appears that Silver Wheaton, First Majestic, Pan American, Fortuna are your favourite Silver stocks. Do you still hold the same view? What are your thoughts on EDR? Any other thoughts on Silver and specific stocks in that sector. ( Too many questions in the Gold sector and not that many in Silver!)

Q: Could I please have your thoughts on BAC for a 3/5 year hold.

Thanks, David

Q: could you please give me a recommendation for the best junior gold stock to buy now for the next couple of years

Q: You recently commented that you expected that xtc would do well from the TPP, especially with the low Cdn dollar. But media reports are highlighting both dairy producers and ATO PARTS producers as the likely domestic losers under the deal. I realize the terms of the deal are not fully known. But is your 'best guess' that XTC will do better - or worse - than it otherwise would have absent the TPP's execution. Thanks!

Q: Peter, would you please suggest your three top choices for a low- to moderate-risk investor who is looking for a long-term investment in companies that do NOT currently pay (and, as far as you know, do not plan to begin paying) a dividend. In short, I'm looking for long-term 'sleep well at night' investments, for eventual capital gains, without any taxable income along the way.

Q: Hello! I've been a member of your website since April this year. Investing has become much less difficult and less stressful because I know there is a place to ask if I have questions. Because of your good investment knowledge, my portfolio is doing ahead of the TSX index. THANK YOU VERY VERY MUCH.

I have a question to ask you. I am planning to allot 10% of my fixed income investment to high yield bonds. I am planning to hold these bonds till maturity but I don’t prefer maturity beyond 2019. I found some information in TD about the topic: https://www.tdsecurities.com/tds/pdfs/High_Yield.pdf

In your opinion, which company has the best credit rating and has the strongest balance sheet that can withstand the recession and can pay the interest on time? Companies in the oil sector are having a difficult time right now so I should avoid them, right? Please pick two or three companies for me.

In my opinion, it seems like AGT might be a good choice? I am not sure. I leave it to your professional advice. Thanks again.

Q: Hi Peter, Fiera seems to always announce good results and the stock usually bumps a bit after earnings only to drift lower in the following weeks. It is now at a 52 week low and down again today in spite of the strong day on the market. What is your view of some of their recent moves? Is this still a stock/company you believe in? What is the expectation for Q3 earnings? Thanks Rob

Q: Good Morning,

I own debentures of CUS (CV) and S. They are as follows:

CANEXUS CORPORATION SER VI CONV UNSEC SUBORD DEBS 12/31/21 6.5000

SHERRITT INTERNATIONAL CORP SENIOR UNSECURED NOTES 11/15/18 8.0000

SHERRITT INTERNATIONAL CORP SR DEB 09/24/20 7.5000

The CUS is selling around $70 and the S's are around $60. I purchased all 3 of them at issue, so am down quite significantly.

I am concerned that they will still be liquid at maturity to pay par for the bonds.

Could you determine after looking at the balance sheets if you think they should be sold right away or held till maturity?

If you owned them in your own account, what actions would you take?

Thanks

Q: I would appreciate your opinion on FIE for a balanced income portfolio. Will the capital value hold up in our current flat interest rate environment with rates gradually rising over the coming quarters? A big part of this ETF is composed of preferred shares. Will preferred re-sets do better in a rising interest environment? Many thanks!

Q: I sold this company about 18 months ago and was wondering if this might be an opportune time to buy, again. Due to its cyclical nature, anything you can tell me would be greatly appreciated.
Thanks

Q: I'm a buy and hold investor looking for energy or pipeline stocks with good dividends and eventual growth expected over the next several years. Presently I own none and want to increase it to a ten % position.

1) is it a good time or should I wait.
2) can you give me two CDN and two U.S. Choices that you think are going to be reasonably safe and good long term prospects. I've indictared some of the choices I'm interested in.

Q: I hold both of these, how would you compare there value?

Q: Hello,
I am considering investing $5K in Guestlogix convertible bonds. They are trading at approximately 720 (per 1,000 bond). Can you let me if there is a good chance they will at least pay back at 505 or more? I know this is higher risk investment. To help you understand my risk tolerance ---I could stomach losing $2.5K but losing the whole $5K would upset me.

Q: Lots of insider buying. Time to buy before next earnings. Thank you

Q: Peter, I own CXI, HCG, BNS with each representing approx. 5% of my portfolio. I am considering selling one and buying BAM.A; do you think this would make sense and if so, which one would you sell? I am also looking at selling my 2.5% position in TOU and replacing with either ENB or BEP.UN.

Thanks, Stephen