Investment Q&A

Q: We have new money to invest and would like to use it to correct our only significant sector weighting imbalance, which is in technology. The sector is currently represented by CSU, DSG, KXS and SHOP, where all but CSU are down.

5i has often stressed the importance of both maintaining target sector weights and not leaving too much cash idle. Now we find ourselves with the technology sector struggling and would like some guidance on how to proceed.

For the existing positions, which are long term holds, would you be inclined to spread out the additional investments over the medium term, say the next 6-12 months, or would you tend to be more aggressive, investing in the shorter term?

How would you rate (1-10) CSU, DSG, KXS and SHOP for additional money today?

If we were to initiate long term positions in TOI, TIXT, NVEI and LSPD today, how would you rate them?

Once again, a big thanks to you all at 5i! We've just renewed our membership after a first year. We only wish we'd known of your service earlier!

Q: Where would you rank APPS right now in relation to the above companies for a buy right now?

Q: You have replaced OTEX with NVEI. I currently own LSPD so would it be better to buy TOI instead of NVEI or would you suggest a different stock?

Thanks

Q: Hello Peter and team,
Can you expand on your answer please on Topicus and Nuvei? You had indicated these are good growth names but add when there is a sustained recovery in tech.. how does one gauge it? Do we use technical analysis and also it seems that yield curve may flatten should that not bode well for tech? With rising rates, banks are supposed to do well but i see a decline.. Is the view now that only short term rates will go up and long term may not go up much; lastly, do you think Abcellara is a good buy now?

Q: Hello 5i team,

Based on growth of revenue and income and not forgetting the debt level. Which one of these two companies would be better suited for higher inflation rate and starting one's position in.

Thank you

Ed

Q: How would you rank these tech picks today?

Q: Hi,
Can you please suggest a few names outside of Oil & Gas which currently represent
Value or Growth.
Thanks,

Q: Good morning, Since growth, risk on etc. Is not in favor these days, do you think there is an opportunity cost in holding stocks like TOI, NVEI etc? Since it could be while before these type of stocks will be in favor again, thanks?

Q: Hi 5I gang

I just want to confirm that thru this "risk on" period which will sustain for the foreseeable future, I am doing the correct thing by "holding" as opposed to "selling" these growth stocks.

Carl

Q: In this market backdrop, is it timely to buy Toi plus these fallen angels,,Atz, Gsy,Shop,Dsg,Kxs & Lspd.Please provide a good entry point for each,& rank for entry with best first.Txs for u usual great services & views.

Q: I need to lighten up on techy/growth stocks and replace with more defensive/value names. Of this list, are there any you would sell? If not, and if I wanted to sell something anyway, in what order would you suggest selling? Thank you.

Q: Hello Peter and team,

What is causing Topicus and Gladstone Land Corp to surge today (Friday April 8th) and Lithium Americas to decline when the recent news from USA was very positive on the metal. Thanks very much

Q: What has been going on with Topicus the last 4-5 trading sessions? Has gone from $90 range to $112 top, despite tech stocks falling like knives in those sessions. Any insight? Thx

Q: " It was a taxable spin off, but the deemed value was essentially zero. T3s are not always given in these scenarios. The cost base of TOI shares was determined to be less than 1 cent per share."

So, the deemed value of taxable spin off being essentially Zero, it's not required to be reported for Taxable Income in any form, for 2021 tax year - Is this the correct understanding ?

What should the ACB of the spin off shares used, when sold - Zero - For Capital Gain purposes ?

Thank You

Q: Hi 5i,

After being unable to receive a rational or timely response from my Investment Advisor(Big Bank) nor a return call from the company(CSU/TOI), I beleve other members have in the past asked this same question regarding the spin off value of TOI from CSU for tax purposes --- is the value of 'TOI' shares received deemed to be a 'taxable dividend' for tax purposes for tax year '2021? If so, should I have not received a 'T5' by now?

Thank you and confused,

Dean

Q: Can I get your top picks for Small and Mid sized Canadian Growth Tech stocks for the next 12 months. Also, should we mind witch exchange these stocks are on?

Q: What are the best types of stocks to include in TFSA for long term hold (15-20yrs) with medium risk tolerance? Growth only or growth + income? Have heard that dividend stocks in TFSA can be good as income can compound over time tax free but if the growth outperformes the dividend yield would that not be better? Also could you include your top 10 Canadian picks right now for allocation in TFSA (sector doesn't matter)? Thanks

Q: Looking to lighten the load on above names. In terms of growth please rank their prospects over at least 3-year time horizon. Thanks.

Q: Are the Topicus shares distribution from CSU taxable in 2021?

Q: Topicus has a press release revealing they are going to buy a tech firm that creates vertical market software for numerous markets in Poland. I’ve converted the $ to USD because I don’t understand the currency:

Offer price: $61 million
Annual revenue: $38 million
P/S multiple: 1.6X
Free cash flow per annum: $5.5 million

1) What do you think of the deal?
2) Did Constellation Software ever buy a public company? If so, when and what was the name or names?

Thanks for the great service.