Q: I have some extra cash sitting in a bank account earning next to nothing. I hold positions in the above companies and am thinking about adding to one of them. I understand that no equity investment is truly safe but which company would be your pick if capital preservation and dividend safety was top of mind. Thank you.
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Investment Q&A
Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.
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BCE Inc. (BCE $35.24)
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TELUS Corporation (T $22.94)
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Cogeco Communications Inc. Subordinate Voting Shares (CCA $63.39)
Q: Plea.se comment on Telus results.
Also, I know your two preferred companies in the Canadian telco space are Telus (growth) and BCE (income). I ran a comparative chart for T, BCE and CCA, the results are overwhemingly in favour of CCA at every timeframe (1 month, 3month, 1 year, 3 year and especially 5 year). Excluding dividends CCA is up 80% on the 5 year vs. T at 35% and BCE down 4%. YTD CCA is up 18% and BCE is flat in this very strong market. Is there something in the risk profile of CCA that I may be missing? Any thoughts on why CCA has been so strong YTD.
Thanks for the great service.
Also, I know your two preferred companies in the Canadian telco space are Telus (growth) and BCE (income). I ran a comparative chart for T, BCE and CCA, the results are overwhemingly in favour of CCA at every timeframe (1 month, 3month, 1 year, 3 year and especially 5 year). Excluding dividends CCA is up 80% on the 5 year vs. T at 35% and BCE down 4%. YTD CCA is up 18% and BCE is flat in this very strong market. Is there something in the risk profile of CCA that I may be missing? Any thoughts on why CCA has been so strong YTD.
Thanks for the great service.
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Royal Bank of Canada (RY $190.65)
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Bank of Montreal (BMO $158.68)
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BCE Inc. (BCE $35.24)
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TELUS Corporation (T $22.94)
Q: I'm looking to reduce my portfolio weighting in Financials and Telecommunications.
The question for both adjustments is the same: for these stocks would you recommend eliminating one entirely or just reducing my holdings in both? I will be adding more exposure in the US industrial and defensive consumer sectors with the freed up cash. I should add that for all of these stocks I'm probably pushing my weighting a bit high, at 5-7%.
For financials: BMO and RY (assuming I would sell BMO over RY)
For telecom: T and BCE (assume I would sell BCE over T)
All of these are held in registered accounts, and I'm still 10+ years out from retirement. I currently hold 24 stocks across my registered accounts.
The question for both adjustments is the same: for these stocks would you recommend eliminating one entirely or just reducing my holdings in both? I will be adding more exposure in the US industrial and defensive consumer sectors with the freed up cash. I should add that for all of these stocks I'm probably pushing my weighting a bit high, at 5-7%.
For financials: BMO and RY (assuming I would sell BMO over RY)
For telecom: T and BCE (assume I would sell BCE over T)
All of these are held in registered accounts, and I'm still 10+ years out from retirement. I currently hold 24 stocks across my registered accounts.
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HP Inc. (HPQ $27.74)
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BCE Inc. (BCE $35.24)
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National Bank of Canada (NA $151.55)
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Shaw Communications Inc. Class B Non-voting Shares (SJR.B $40.48)
Q: Hello:
Doing a little cleanup and wondering if NA, BCE, SJR.B or HPQ are worth holding. For sure I have plenty of Canadian financial exposure without NA. I also hold Telus but wondering about dropping Shaw and/or BCE. HP seems to be on the upswing with COVID but is it a long-term keeper?
And then, if you think some can go, what might I substitute? NVDA for HPQ? Would US telcom companies be attractive?
These are held in RRSP, 20 year horizon.
Thanks for your excellent service.
Doing a little cleanup and wondering if NA, BCE, SJR.B or HPQ are worth holding. For sure I have plenty of Canadian financial exposure without NA. I also hold Telus but wondering about dropping Shaw and/or BCE. HP seems to be on the upswing with COVID but is it a long-term keeper?
And then, if you think some can go, what might I substitute? NVDA for HPQ? Would US telcom companies be attractive?
These are held in RRSP, 20 year horizon.
Thanks for your excellent service.
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BCE Inc. (BCE $35.24)
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Restaurant Brands International Inc. (QSR $87.61)
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North West Company Inc. (The) (NWC $50.69)
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A&W Revenue Royalties Income Fund (AW.UN $36.93)
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Brookfield Renewable Corporation Class A Exchangeable Subordinate Voting Shares (BEPC $47.31)
Q: I own bce in my rrsp account. I know it has a good dividend but the stock has been flat for the last few years. I was wondering if you could recommend another dividend stock that was relatively safe but would have a bit more growth potential.
Q: Hello 5i
Could you please let me which option below you’d select and what would be your favorite dividend grower with stock appreciation to add new money to? BCE is yielding 6% and is either
1. A great gic as it pays a solid 6% return but business is flat and will not grow.
2. A shrinking business and will lower in value going forward.
3. A growth and income stock that provides a great yield, continues to increase that yield and will growth the business business (worst days behind it)
Could you please let me which option below you’d select and what would be your favorite dividend grower with stock appreciation to add new money to? BCE is yielding 6% and is either
1. A great gic as it pays a solid 6% return but business is flat and will not grow.
2. A shrinking business and will lower in value going forward.
3. A growth and income stock that provides a great yield, continues to increase that yield and will growth the business business (worst days behind it)
Q: If you already held Telus and were looking for more telecom, would you lean to BCE or the new Telus International?
Thanks.
Thanks.
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Toronto-Dominion Bank (The) (TD $102.88)
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Bank of Nova Scotia (The) (BNS $79.70)
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BCE Inc. (BCE $35.24)
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Enbridge Inc. (ENB $66.33)
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Sun Life Financial Inc. (SLF $81.49)
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TELUS Corporation (T $22.94)
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Canadian Tire Corporation Limited Class A Non-Voting Shares (CTC.A $170.09)
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Fortis Inc. (FTS $70.05)
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Algonquin Power & Utilities Corp. (AQN $8.04)
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ATCO Ltd. Class I Non-voting Shares (ACO.X $50.95)
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Stella-Jones Inc. (SJ $78.13)
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North West Company Inc. (The) (NWC $50.69)
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Magna International Inc. (MG $63.72)
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Premium Brands Holdings Corporation (PBH $95.72)
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Savaria Corporation (SIS $21.15)
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Leon's Furniture Limited (LNF $30.48)
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CT Real Estate Investment Trust (CRT.UN $16.22)
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Brookfield Renewable Corporation Class A Exchangeable Subordinate Voting Shares (BEPC $47.31)
Q: I am looking at putting together a portfolio of set-&-forget Canadian dividend-paying stocks, in what will be my only unregistered account, making up about 30% of our overall portfolio. The registered accounts (70% of portfolio) are now all in mixes of VGRO, VBAL and XAW.
My emphasis is on stable large cap companies, with a sprinkling of smaller cap, low beta, decent and growing dividends. I expect to draw down the capital at 6 - 7% per year (in addition to the dividends). Beyond the drawdown, capital preservation is secondary to the income.
What are your thoughts on the following mix? Additions/deletions?
Communication: BCE, T
Consumer Discretionary: CTC.A, LNF
Consumer Staples: NWC, PBH
Financials: BNS, TD, SLF
Industrials: SIS
Materials: SJ
Real Estate: CRT.UN
Energy & Utilities: ENB, AQN, FTS, ACO.X, BEP.UN (or BEPC)
My other thought is 100% CDZ but I'm not very impressed with the historical returns and the (relatively) high MER.
Thanks. Lotar.
My emphasis is on stable large cap companies, with a sprinkling of smaller cap, low beta, decent and growing dividends. I expect to draw down the capital at 6 - 7% per year (in addition to the dividends). Beyond the drawdown, capital preservation is secondary to the income.
What are your thoughts on the following mix? Additions/deletions?
Communication: BCE, T
Consumer Discretionary: CTC.A, LNF
Consumer Staples: NWC, PBH
Financials: BNS, TD, SLF
Industrials: SIS
Materials: SJ
Real Estate: CRT.UN
Energy & Utilities: ENB, AQN, FTS, ACO.X, BEP.UN (or BEPC)
My other thought is 100% CDZ but I'm not very impressed with the historical returns and the (relatively) high MER.
Thanks. Lotar.
Q: I have a significant holding in BCE and a smaller amount of T. I am wondering if I should continue to hold them or move on to something else. BCE has been performing poorly but has a nice dividend. I think that BCE has been hurt in its media division by the pandemic so might improve particularly with sporting events coming back. T has performed better but its dividend is not quite as good. Perhaps the most important driver will be 5G. When do you think this will become important and how significant do you think it will be?
Thanks, as always, for your insight.
Ian
Thanks, as always, for your insight.
Ian
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Toronto-Dominion Bank (The) (TD $102.88)
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BCE Inc. (BCE $35.24)
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Enbridge Inc. (ENB $66.33)
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Great-West Lifeco Inc. (GWO $55.23)
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TC Energy Corporation (TRP $70.80)
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Sun Life Financial Inc. (SLF $81.49)
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Fortis Inc. (FTS $70.05)
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Brookfield Renewable Partners L.P. (BEP.UN $35.16)
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Canadian Utilities Limited Class A Non-Voting Shares (CU $38.55)
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Emera Incorporated (EMA $66.33)
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Algonquin Power & Utilities Corp. (AQN $8.04)
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Northland Power Inc. (NPI $22.28)
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Brookfield Infrastructure Partners L.P. (BIP.UN $42.37)
Q: Hi, purely in terms of relative dividend security could you please rank the above blue chips companies over the next 5-10 years.Thanks.
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Sangoma Technologies Corporation (STC $7.88)
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Sylogist Ltd. (SYZ $7.99)
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Photon Control Inc. (PHO $3.60)
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BCE Inc. (BCE $35.24)
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TELUS Corporation (T $22.94)
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Constellation Software Inc. (CSU $4,549.91)
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Kinaxis Inc. (KXS $194.59)
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Real Matters Inc. (REAL $6.26)
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Lightspeed Commerce Inc. Subordinate Voting Shares (LSPD $16.93)
Q: Hi, I feel my Tech. Sector 30+% is getting too big, in case a correction is in the future.
T- 3.5 - Kxs- 5 - Lspd- 4.4 -Pho -4.3 - Real -4.1
Csu- 3.5 - Syz - 3.4 - Stc- 2.1 -Bce - 3.4%
Would you consider all these Tech. Stock? I like to keep my sector allocation to 9 or 10 sectors for simplicity ,but I do know there are sub- groups.
Would you sell any of these positions ,or trim all or some? Thinking a 18-22% sector weight, would you agree?
Thanks
T- 3.5 - Kxs- 5 - Lspd- 4.4 -Pho -4.3 - Real -4.1
Csu- 3.5 - Syz - 3.4 - Stc- 2.1 -Bce - 3.4%
Would you consider all these Tech. Stock? I like to keep my sector allocation to 9 or 10 sectors for simplicity ,but I do know there are sub- groups.
Would you sell any of these positions ,or trim all or some? Thinking a 18-22% sector weight, would you agree?
Thanks
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NexGen Energy Ltd. (NXE $9.80)
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Bank of Nova Scotia (The) (BNS $79.70)
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Bank of Montreal (BMO $158.68)
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BCE Inc. (BCE $35.24)
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Enbridge Inc. (ENB $66.33)
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Canadian Imperial Bank Of Commerce (CM $101.22)
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TC Energy Corporation (TRP $70.80)
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National Bank of Canada (NA $151.55)
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Fairfax Financial Holdings Limited Subordinate Voting Shares (FFH $2,427.89)
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Cameco Corporation (CCO $103.61)
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Peyto Exploration & Development Corp. (PEY $19.02)
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North West Company Inc. (The) (NWC $50.69)
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Alimentation Couche-Tard Inc. (ATD $69.70)
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Pizza Pizza Royalty Corp. (PZA $16.34)
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Lassonde Industries Inc. Class A Subordinate Voting Shares (LAS.A $218.50)
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Inovalis Real Estate Investment Trust (INO.UN $0.85)
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Nutrien Ltd. (NTR $80.05)
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Redwood Asset Management Inc. (MJJ)
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WELL Health Technologies Corp. (WELL $4.92)
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Flutter Entertainment Plc (PDYPF)
Q: I am looking to "trim the fat" from my TFSA, which currently holds 20 stocks: ATD, BCE, BMO, BNS, CCO, CM, ENB, FFH, PDYPF, INO.UN, LAS, NXE, NWC, NA, NTR, PEY, PZA, MJJ, TRP, WELL. Are there any positions that raise red flags with you? In addition, could you suggest 3 or 4 value picks suitable for a long-term hold (20 years plus)?
Thank you!
Thank you!
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Royal Bank of Canada (RY $190.65)
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BCE Inc. (BCE $35.24)
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Vanguard Balanced ETF Portfolio (VBAL $35.48)
Q: Good Day,
My fiancé has recently begun investing. Currently she has:
254 shares of VBAL
16 shares in Royal Bank
27 shares of BCE
She has $1300 available to invest in her TFSA and $500.00 to invest in her RRSP. She is a conservative investor.
We are wondering:
What would you suggest for next steps in terms of shares/etf to purchase in this small portfolio? Or should we just buy more VBAL?
In addition, would it be best to wait a little to see if there is a ‘better deal’ in a few months?
Please take as many of my questions as you see fit.
Regards,
Ryan
My fiancé has recently begun investing. Currently she has:
254 shares of VBAL
16 shares in Royal Bank
27 shares of BCE
She has $1300 available to invest in her TFSA and $500.00 to invest in her RRSP. She is a conservative investor.
We are wondering:
What would you suggest for next steps in terms of shares/etf to purchase in this small portfolio? Or should we just buy more VBAL?
In addition, would it be best to wait a little to see if there is a ‘better deal’ in a few months?
Please take as many of my questions as you see fit.
Regards,
Ryan
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BCE Inc. (BCE $35.24)
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Enbridge Inc. (ENB $66.33)
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TC Energy Corporation (TRP $70.80)
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Loblaw Companies Limited (L $56.88)
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Sun Life Financial Inc. (SLF $81.49)
Q: I currently own $10K in each of these companies,,, looking to invest another $10k into possibly SLF or BCE. I look at 1 year at a time and then judge after. My aim is growth. Would you change anything?
Q: BCE oversold here? Does price reflect slower growth versus T (fwd PE 16.6 versus 21 for T) or could price drift lower still in your opinion?
Telus trading well above its historical PE and PEG levels,
T is higher growth but based on valuation , BCE seems to be the better buy.
Telus trading well above its historical PE and PEG levels,
T is higher growth but based on valuation , BCE seems to be the better buy.
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BCE Inc. (BCE $35.24)
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Rogers Communications Inc. Class B Non-voting Shares (RCI.B $49.30)
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TELUS Corporation (T $22.94)
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Shaw Communications Inc. Class B Non-voting Shares (SJR.B $40.48)
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Cogeco Communications Inc. Subordinate Voting Shares (CCA $63.39)
Q: No rush to answer. Retired, dividend-income investor. I am a position "light" in the Communications sector. I already have a full position in BCE....looking to add one of Telus, Shaw, Cogeco, Rogers or another name you might suggest.
When I look at the various metrics (P/E, P/BV, P/CF, P/S, ROE) I filtered out Telus, leaving SJR and CCA and RCI. Reading past questions, some quite dated, I am wondering if time has changed your opinions on these three.
Shaw has a nice (5.4%) but slow-growing dividend. ROE 10%. It's chart looks good from a value point of view, but is it a value trap? Very poor momentum.
Cogeco has a lower (2.6%) but faster growing dividend. ROE 16%. It's chart shows better momentum. I also wonder whether a new takeover offer might be in the future?
Rogers is just ok across the board.
I'm leaning towards Cogeco, but wanted your advice first. What odds would you place on a take-over happening? Please rank all three in order of your preference to buy.
Thanks...Steve
Rogers
When I look at the various metrics (P/E, P/BV, P/CF, P/S, ROE) I filtered out Telus, leaving SJR and CCA and RCI. Reading past questions, some quite dated, I am wondering if time has changed your opinions on these three.
Shaw has a nice (5.4%) but slow-growing dividend. ROE 10%. It's chart looks good from a value point of view, but is it a value trap? Very poor momentum.
Cogeco has a lower (2.6%) but faster growing dividend. ROE 16%. It's chart shows better momentum. I also wonder whether a new takeover offer might be in the future?
Rogers is just ok across the board.
I'm leaning towards Cogeco, but wanted your advice first. What odds would you place on a take-over happening? Please rank all three in order of your preference to buy.
Thanks...Steve
Rogers
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Toronto-Dominion Bank (The) (TD $102.88)
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BCE Inc. (BCE $35.24)
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Enbridge Inc. (ENB $66.33)
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Loblaw Companies Limited (L $56.88)
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Constellation Software Inc. (CSU $4,549.91)
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Algonquin Power & Utilities Corp. (AQN $8.04)
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Kinaxis Inc. (KXS $194.59)
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Agnico Eagle Mines Limited (AEM $189.83)
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Shopify Inc. Class A Subordinate Voting Shares (SHOP $196.52)
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A&W Revenue Royalties Income Fund (AW.UN $36.93)
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Real Matters Inc. (REAL $6.26)
Q: Thanks for your very helpful and informative service. I have the following stocks in an RESP for three young grandchildren. Could you kindly suggest any of them that I should sell or add to along with three other names in order of preference which I could buy with new money. THX.
Q: In our investment accounts, reg and non-reg combined, we have: PSLV @ 3.5%, PHYS @ 3.5%, BCE @ 9.72%, BNS @ 6.6%, KEY @ 3.5% VSC @ 5.7% and ENB @ 6.6%. I have a significant cash balance which is available for the right opportunity. Thus far nothing jumps out as “buy me now”.
We have smaller allocations [2% to 3%] to FTS, MFC, ALA, KEY, SU each and a number at less than 2%.
Given we are retired I’m wondering about increasing some of these allocations on any market general pullback? I usually focus on liquidity and free cash flow as two of my selection criteria as well as comments you make to questions asked of 5i.
Thanks for an advice you can provide.
We have smaller allocations [2% to 3%] to FTS, MFC, ALA, KEY, SU each and a number at less than 2%.
Given we are retired I’m wondering about increasing some of these allocations on any market general pullback? I usually focus on liquidity and free cash flow as two of my selection criteria as well as comments you make to questions asked of 5i.
Thanks for an advice you can provide.
Q: I own CU at a loss and am thinking of selling and buying BCE. Is this trade worth doing? Both are down and BCE does pay more or am I selling at the bottom on CU. THANKYOU
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Microsoft Corporation (MSFT $507.23)
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BCE Inc. (BCE $35.24)
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Vanguard Balanced ETF Portfolio (VBAL $35.48)
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iShares Core 40/60 Moderate Allocation ETF (AOM $46.74)
Q: Hi,
What is your general opinion of investing in segregated funds? I understand that there are some great benefits for estate planning purposes as you get older, i.e. bypassing probate/estate fees, quick transfer of funds to beneficiaries, guaranteed death benefit, etc... but are the high MER fees (>2%) really worth it? I was helping my mom who is retired look into some of her investments in her TFSA and her advisor has her in invested in these two Manulife products, MPS4959 and MPS4980. Thoughts on these two funds? Do these two funds pay dividends or have a distribution yield? Could not find it.
Aside from the benefits I mentioned above where you only get with Seg funds, and looking at just the pure investment return/structure of the funds, could you suggest 4-5 other attractive ETF's that she could invest in that would outperform these over the next 10-20 years? I would like to switch her into some low cost ETF's or an all in one fund that are either comparable(balanced fund) or better than these two expensive products. She is close to 70, won't need to draw any of this money to live on (she has other sources of income) and looking for some steady and stable growth assuming life expectancy for another 15-25 years. Thanks!
What is your general opinion of investing in segregated funds? I understand that there are some great benefits for estate planning purposes as you get older, i.e. bypassing probate/estate fees, quick transfer of funds to beneficiaries, guaranteed death benefit, etc... but are the high MER fees (>2%) really worth it? I was helping my mom who is retired look into some of her investments in her TFSA and her advisor has her in invested in these two Manulife products, MPS4959 and MPS4980. Thoughts on these two funds? Do these two funds pay dividends or have a distribution yield? Could not find it.
Aside from the benefits I mentioned above where you only get with Seg funds, and looking at just the pure investment return/structure of the funds, could you suggest 4-5 other attractive ETF's that she could invest in that would outperform these over the next 10-20 years? I would like to switch her into some low cost ETF's or an all in one fund that are either comparable(balanced fund) or better than these two expensive products. She is close to 70, won't need to draw any of this money to live on (she has other sources of income) and looking for some steady and stable growth assuming life expectancy for another 15-25 years. Thanks!