Investment Q&A

Q: Further to my prior question about allocating stocks to multiple sectors, how would you assign the following? I know this is 'not a science', but I think it will give me a better idea of my sector distribution.
TCL.A Cons Disc:Industrial
CCL.B Cons Disc:Industrial
NFI Cons Disc:Industrial
MG Cons Disc:Industrial
LNR Cons Disc:Industrial
TFII Cons Disc:Industrial
EIF Industrial:Financial
AQN Utilities:Energy
EMA Utilities:Energy
MX Mining:Energy
T Telecom:Healthcare
PSK Mining:Financial
TRI Financial:Cons Disc

If you think that other sectors should be included here, please add them.
Thanks again, and please deduct questions as you see fit.

Q: I have about 3/4 positions in the above utility stocks in my non-registered portfolio. I also have some money to add to this sector. Would you suggest I top up one or more of these stocks or open a new position in ACI? Thanks for your advice.

Q: 10:15 AM 5/16/2019
1. Could you please provide the numbers for, and compare and comment on : debt levels, financial leverage, debt to cashflow, and payout ratios for EMA, FTS, AQN, BIP.UN, BEP.UN.
2. You seem to always rate EMA at the bottom of the list [Why?] but I believe EMA has sold off some significant assets [Emera Maine and others?, more to come?] so debt levels should be lower, so is it a secure buy now for long-term dividend income?
3. I worry that BIP and BEP both have extremely high payout ratios. You have suggested that a total of 15% of one's portfolio in these two would be acceptable. Are you still of that opinion?
Thank you........ Paul K

Q: 3:44 PM 5/8/2019
I really apreciated the TSX60 list with US revenue percent for each company. I do however have some questions. Several of the numbers were a surprise.

1. We are told that TD Bank is 50% or more American with a branch on almost every corner in many large US cities but your list shows only 26% of revenue is derived from the US. Can you confirm this number as it makes a big difference to my investing decision.

2. I see Emera has 70% of income from the US which seems a little high to me as I understood that Emera was about evenly balanced between Canada and the US.

3. Fortis with huge investments in ITC in Michigan and 6 adjacent states [the largest independent electricity transmission company in the United States], in Central Hudson Gas and Electric and in UNS in Arizona shows just 9% US income. Surely this figure is sadly out of date.

Can we trust the rest of the figures in the list?

Thank you.............. Paul K

Q: hi folks:

is there any logical reason why emera is close to all time highs?

have operations/fundamentals improved that much?

or, is this a recipient of a flight to quality/defensive positioning asset?

thanks

Q: I have owned this stock since I bought it at $16. It is now at the absolute high it ever was and I am wondering if it would be a good idea to switch to Northland Power for a better chance of capital gain. The div. would be the same since I can buy double the shares or would it be smarter to sell half of EMA and invest the proceeds into either Northland or Algonquin. I do not own any other power utility. Thank you for your great service provide over the years. H.
P.S. Someone is selling $750 m worth of shares and should that bring the price down somewhat?

Q: 7:42 AM 3/25/2019
I am looking to invest in 10 or 12 of these companies for a very long time: RY, CM, BNS, CNR, SU, CNQ, NTR, ET, NWC, FTS, EMA, NPI, AQN, BIP.UN, BEP.U, ENB, TRP, PPL.

I am concerned to select companies with the highest probability of surviving a severe recession intact while continuing to sustain or increase dividends over the next 10+ years.

I fear some may have too much debt or other "hidden" problems to survive a major downturn so could you please comment on debt levels and vulnerability.

Could you please arrange them in order of "security of income", safest first, and maybe single out any weak ones. I am not overly concerned about future price fluctuations as long as dividends can be sustained.

I quite realize these are not the same as government bonds and do not have the same levels of safety. I intend to hold them purely for rising income with no intention of selling.
Thank you............. Paul K

Q: I need raise money from my cash account.
Current dividends have been paid.
What would you sell first, second, third,4th, etc.?

Thank you ian

Q: Can I get your take on CU? How would you compare it to EMA, AQN and FTS?

Thank you

Q: Hi,
I have approx 10% weight in these in a long term RRSP following your porfolios(Only 1% WN as spin off)
I have about $!0,000 to add. What are your thoughts?
Add to a few laggards or add new?

Q: I'm looking for a utility that can provide both yield and growth for a three year span or more. Between EMA an PKI which one will give me a better combined yield over this period? Or if there are other names out there that are preferable. Much appreciated.

Q: Hello,
I hold TRP 5%, FTS 4%, ENB 3%, EMA 1.2%, PPL 1.2%, & AQN 1.2% in my accounts. I plan to increase the smaller holdings to about 2% each. I like these stocks for their dividends and their international diversification. Are these 6 utilities reasonable choices as long term holdings or should I look elsewhere?
Would you please rank them.
I am way past my retirement age but do not relay on the dividend income from these stocks.

Thank you,

Werner

Q: Can you please comment on their earnings just released and their future prospects? Thanks once again...

Q: could you please rate these stocks in order of preference and why. thank-you.

Q: Does the following make sense, or is there a flaw I'm missing? For a beginning RRSP with 35 yrs to retirement: 50% VGRO and 50% equal amts TD, EMA, PBH, BEP.UN? ( to increase Cdn exposure and to make a little more conservative)
Thank you.

Q: Good morning,
I currently hold the following Utility and Telco stocks in my non registered account with the following weight:
Utility stocks:
AQN 3.3%, CU 4.5% and EMA 2.4%
Telco stocks:
BCE 11.70% and T 2.8%
I would appreciate your thoughts and suggestions on the quality and current weight of theses Utility & Telco stocks along with your best ideas in both of these sectors and whether or not you would replace or add to any of them.
Looking for some income and moderate long term moderate growth.
Thanks for your great service.

Q: Good morning,
I'm 70 years old and with yet a new year upon us and a review of the holdings in my non reg equity portfolio, I'm concerned that my $650K non reg equity portfolio has slowly grown into a "hodge podge" of miscellaneous holdings that need to be trimmed, better concentrated (minimum 5% per holding) along with the addition of a few additional names in sectors that are not currently represented. My current holdings are as follows:
AQN (3.3%),BCE (11.6%)BAM.A(3.8%),CU (4.5%),DIV(2.8%),EMA (2.4%),KEY(2.2%),XIU(5.2%),XIC (33.2%),XDV(18.4%),SLF(3.6%),T(2.9%),T(2.9%),MAW120(3.1%)MAW102(3%).
I would very much appreciate your suggestions on how to best to adjust my current non reg equity portfolio to make it easier to manage and follow. I'm open to adding an appropriate mix of ETFs or Mawer equity funds as need be. My RRSP and TFSA are pretty much all populated with a mix of relatively low MER Mawer equity funds which have performed well over the years. I thank you in advance and look forward to hearing your sage advice and recommendations.
Francesco

Q: Hi there,

I own a position in AQN and would like two of these 5 in a balanced portfolio. This would be for an extremely long term hold. Which 2 would you prefer and why please?

Thanks and Happy New Year

Q: Should I trade my bep.un for ema? Which do you think will be a better choice for the near future. Thank you

Q: Good morning,
As an income investor, I have the following utility holdings that amount to about 12% of my non-registered holdings: FTS (up 10%), EMA and NPI (breaking even) and ALA (down 50%). I have no need to sell any of these and enjoy the dividends, but as a conservative senior and in a rising interest rate environment do you think it would be prudent to unload/reduce some of them or just hang on? If sell/reduce which should be the first to go?