Investment Q&A

Q: Hello 5i,
I’m looking to better my portfolio incrementally, in the financial sector, I have three companies which I like, Mercury General Corp (MCY), Oritani Financial Corp (ORIT) and Old Republic International Corp (ORI). I have cash to buy one of these companies and will sell Australia and New Zealand Banking Group Ltd (ANZBY) to buy the other. Does this make sense from a long term perspective? I was looking at the Beta of ANZBY and thought I could do without that.
Thanks,

Q: With the recent bounce in Athabasca's stock price (ATH) resulting from announcement of completion of sale of Dove stake, just wondering if you still see any upsides to Athabasca. Is it worth hanging onto? Much appreciated.

Q: re CHEMTRADE LOGISTICS fUND..
I wonder if this debenture would be a buy at this time? I know the interest is commencing in December 31,?
Please advise.

Q: Hi Peter and gang. What can you tell me about TIL Capital (TIL)
Earning per share first quarter of 0.69 seems to bode well for a stock priced in the $9.00 range. Your insight is much appreciated.
Guy R

Q: Hi Guys,

Can you suggest a Technology ETF. I would assume to hold Google, Amazon, and those types it would have to be American.

Thanks,
Charlie

Q: Hello 5i, I am a holder of Long Run LRE and with the merger of Crocotta would like to know if I am entitled to any warrants to buy shares of Leucrotta LXE at the strike price of 1.70 as I did not own any Crocotta before just long Run.
Thanks

Q: Hi Peter, Manitok (MEI.v) reported today and is taking a hit. Whats your assessment ? Would you continue to hold or move on ? Thank you. Paul

Q: CSS closed @ $15.25 up .08.Thomson Reuters ranked it a 10(the highest) with a target range of $16.30(high),$15.20(mean) & $14.60(low) by 7 analysts.Note $6 low on Oct 7/11 & up since then.Been telling my friends about the great risk/reward ratio since our P.Hodson's recommendation on 7/29.Will have to wait to see what unfolds soon especially if the price holds or continue to increases

Q: AR
Hey Peter,
What happened with Argonaut gold on Friday? Share price spiked and then the stock was halted on the TSE. The price did come down but still closed up 7 %. Just wondering if I should take by 13% profit now or is something exciting about to happen.
Thanks.
maggie

Q: Hi 5i team, your update on LVL.v is most appreciated.

Q: I am over 50 and am looking for income. I was thinking of the following names: ET (yield: 3.659), VNR (yield: 6.211) and SPB (yield:4.043). However, it seems to me that ET and VNR are not very liquid (Volume: 42,429 and 32,812 respectively). Would you regard it as an issue? Which of the 3 names would your recommend? In your view, has SPB got room for growth too?
Thanks.

Q: Re; Meeting Peter
If you want to meet Peter, attend the Money Show in October. He was the Master of Ceremonies last year. I attend the Money Show regularly and from the literature I have received, he will have a similar role this year.

Dennis

Q: Hi 5i: some additional thoughts on the CSU debentures. Shouldn't people think first about whether these debentures are really the right kind of investment for them? For starters, maturity is a long way out (2041?), so the fact that you can buy 100 face value for 95 with your CSU rights is not as material as what the debentures will trade for in the meantime. Second, long term corporates may not be a good idea from a risk standpoint. Hank Cunningham I believe suggests that average fixed income investors keep their corporate maturities at 10 years or less, just because the corporate world does not provide sufficient visibility to justify going longer. Let's remember too; this is no utility; this is a tech company with a significant growth by acquisition component, despite successes to date. Third, if these really are the product for you, shouldn't you be thinking about whether you would use market purchases to top up to your regular position size, essentially with the rights just giving you a small potential discount on the whole position? Along those lines Peter, would you consider making CSU debentures an important addition to the Model Income Portfolio and, if so, take us through the analysis of whether to go ahead with the purchase at anticipated prices and what you would sell to do so? Thanks!

Q: Do you have any comments on the drop in Laurentian Bank's unit price the last few days? Being as LB seems solid and has a decent dividend history we are interested in this bank for some retirement income. Maybe it is a good time to purchase some shares? Many thank you,Len

Q: In the latest email from 5I, I was reading about ETFs and saw the symbol VTSMX as a suggested Vanguard fund ; however, when I looked it up no results were found .I rechecked and had copied it correctly but once again no results . Could you give your comments on this fund? Thanks, Dave

Q: Hope you don't mind an elementary tax question!
I have some Sino-Forest (unfortunately), which I believe is delisted. Can I report it as a "sale" for NIL value in my capital gains/losses Schedule this year and/or in later years?

Q: I own 25 shares of CSU. I have pretty much ignored the talk of debentures since I understand nothing about them. However, I've now got some CSU.RT worth practically nothing sitting in my discount brokerage account. Do I have to do anything with it? Why do I have it at all?

Q: As for Kathy's question on acquiring a small CSU debenture with rights, possibly she ought to check with her broker to see IF a $200 bond could be sold. This quote is from the itrade site "Face value should be in multiples of $1,000.00 as there are no fractional bond units, except for strips where the rule in multiples of $1,000 does not apply." Also it is not possible with them to trade anything less than a $5000 corporate bond online.

Perhaps for most of us small holders of the rights the best course of action is to sell them on the open market; otherwise you might be stuck with an unmarketable security until maturity in 2040. Alternatively if you're really keen on the debentures you could purchase enough rights to get up to the minimum trading levels so you are holding something marketable. Thanks, J.

Q: Hi Peter: In the tech sector I own CSU, MDA, OTC, ESL and AVO. I am thinking of selling AVO and buying DSG or perhaps something else for a 2-3 year hold if you suggest it. Your thoughts are appreciated. Thanks.

Q: Re: ELW......how has this company gone from 19 million shares to 333 million fully diluted shares? Is this a correct number? Thank you