Investment Q&A

Q: Why is your opinion of the 400 million dollar deal of Altagas to pay bank debt? The dividend look safe to me for a company that more than half of the revenue and cash flow come from the US?

Q: Altagas has dropped in last week. Did this occur because of Fort Mcmurray fire. What is the impact of the fire on Altagas company and its' holdings ? Do I need to be concerned ??

Did the fire affect any other companies (that I should be concerned about ?) (I think Great west life took a hit too ???)

thanks

Ernie

Q: May I have your opinion on Altagas for income and growth potential??
GUY R.

Q: Just curious, on 21 Apr, I asked if this is a good time to add to ALA on a 3% position and your answer was "Not weak enough to sell, not strong enough to add to an already 3% position"

Since then, it dropped ~2% before the rise today, your answer to Jim's question this morning is fine to add. Wondering if something changed or just a difference between our portfolio weighting.

Thanks

Q: I am a dividend growth investor and invest for the long term. I currently hold Altagas, but would like to increase my weighting. In the past many analysts were projecting good growth for this company over the next few years.

With the stock languishing recently relative to others such as Enbridge, Pembina, etc., do you see any issue in adding on to my 2% position?

It appears that you believe their dividend is relatively safe with their current payout ratio. Do you see continued growth of that dividend looking towards the future?

Thanks.

Jim

Q: I sold all my energy and pipeline positions in early 2015 and currently have no such holdings. I am considering slowly re-entering this space. Do you think it is a good entry point for Ala, ppl and ipl? Any addition, deletions and modification would be appreciated. I am not adverse to risk. Thanks for all the good advice past, present and future.

Q: Altagas just reported could you comment on their results and what you think of this company for income and growth.

Q: bought at 50 should i sell or hold would you recommend something else in this sector that could regain my loss . thank you

Q: Good Morning: Your comments please on the Altagas results released today and your current opinion of this Utility/Energy Infrastructure company. With thanks.

Q: In response to Bill's request for a DRIP site where shares are exchanged I highly recommend the following. I have used it for well over a decade and it is moderated and we have never had an issue with anyone.


http://www.dripinvesting.org/boards/boards.asp

Q: I am looking to buy up to ten (10) shares of ALA to start a DRIP program for a granddaughter. Could a fellow member perhaps direct me to a web site where one can purchase shares to put in her name. Thanks for all help and knowledge provided by 5i's by professional staff and by fellow members. Thanks, Bill

Q: This comp. has incr. it's dividend 2x this yr. by .01 cent each time: PR +300%, ROE minimal ( not making any money or very little), high debt.. I own and have for 6 yr now TRP & ENB and realize that this is not a pipeline company; but, does have a utility component now, I believe. Would I be putting too many eggs in one basket, if I bought this company? What am I missing here because all the number say stay away!!!!

Q: The MInimum Rate-Reset Preferred Shares BEP.PR.G, ALA.PR.I, BAM.PF.H, CU.PR.I seem almost to good to be true. They offer rate resets that are a 100 bps or higher than the previously issued rate reset shares of the same companies as well as a guaranteed yield of 4.5 to 5.5%. The only caveat I have been able to find is that the distribution is projected to be composed of 50% eligible Canadian dividend, 25% income and 25% return of capital (http://prefblog.com/?cat=14). How and when would the return of capital be taxed in a non registered account? Would the return of capital diminish the redemption price of the shares? What percent of a fixed income portfolio would allocate to this type of security?
Thanks David

Q: What would be your choice between ALA and EMA with respect to
future capital appreciation, dividend growth, and risk? TD
Waterhouse has a buy rating on ALA with a target of 47.00. Joe

Q: What do you think of the ALA and CAR.UN bought deals?

Q: Give you give me your opinion on Altagas latest report. Is the dividend safe and its growth prospects?

Thanks

Q: I presently hold BNS(11%),RY(27%),T(16%),TD(14%),and cash(32%)in my TFSA. I'm considering purchasing ALA with the cash balance. Is there a better choice?

Q: I’m hoping to add to some positions in the next couple of months with summer-time volatility. About a year ago I started a long-term position in Altagas at about $45.75. I’m hoping to add about 50% more shares to fill out this holding, and – with ALA’s chart continuing to slope downwards, as well as the possibility of a U.S. interest rate increase in September – I picked a bid price of $35.86. Is it realistic to think ALA has a little more to go down or am I just getting too cute in the bid process?

Q: Here's a syndrome I'll bet a lot of investors who were sold preferred shares can relate to. You become overly comfortable as it seems to be relatively immune to ups and downs for many years. Then one day you wake up and see it has recently tanked and you have lost as much as all the income you've ever gotten from it... and more. Any comments or advice about dealing with this syndrome in general (or in particular as regards ALA.PR.A)? Thanks.

Q: I purchased Alta Gas some time back as a long term hold. Everything that I read about the company is very positive about its long term prospects. Your comments on this site have tended to be supportive of this position. Yet the shares continue to fall despite all this. The shares are down a lot since February and technically look extremely weak. Is there something that we are all missing relative to this company's prospects as the fall since February has been relentless. Today's trading appears to be starting another leg down having broken the support around $40. Clearly the market is not as positive about this company. at least in the past 4 -5 months. Is there any explanation for this drop and any rationale for continuing to hold the shares rather than stepping aside. I would appreciate your comments.