Investment Q&A

Q: hi ,dear team:
i bought bpy.un at 11.81 and xom at 40.81, do you think i should change to su and hu.un for more saftey?
i still some money now, which one you think i should add to my portfolio.?
appreicate!

Jacky Luo

Q: Current thoughts on the company? Security of dividend? (payout ration seems high) If you see a cut, how much would they cut it?
Do you view it as a BUY?

Q: I have held these for income and am down substantially. . All are in registered accounts. Are any of them in danger of bankruptcy? Are any worth holding and/or adding to at this time?
Thanks
Gary

Q: These REITs have been awarded B and B+ rating by you . Would you keep the ratings of these REITs at this time as they were?

Q: On April 17, HR.UN announced various responses to the current crisis (including credit facilities well in excess of its mortgage encumbrances), a distribution in line with its previous payouts, and deferred development projects. Do these argue for its keeping the dividend intact?

Q: Hello
Today XRE dropped 1%, REI.UN 1.8% but HR.UN 7%.
Are there any developments with respect to HR.UN ?
Thanks

Q: no news on dividend anything pending thanks

Q: I would like to add a mix of income stocks to my portfolio (for a 5-10yr hold) which has been primarily growth oriented and comprised of a number of 5i’s BE Model Portfolio names.
a) Could you please rank the above listed stocks for dividends with preference for long term yoield of at least 4-5%, and growth back to YTD highs over the next year or two. Moderate to high risk is okay.
b) List any particular concerns you see with any of them.
c) Your suggestions for 1-2 better names in the current market to represent sectors such as utilities, financials, Telecoms, Reits, and ndustrials would be much appreciated.
Thanks for your wisdom and guidance over these unprecedented times.

Q: I have been beaten up badly with this stock. Assuming I want continued general exposure to the REIT market would you cut ties and move onto something else such as ZRE.TO to reduce some risk but maintain exposure?

Q: Is HR.UN a reasonable tax loss swap for BPY.UN?
Thanks, Hugh

Q: To a recent question I asked, 5i responded: "Some REITs, if they distribute a large portion of income as return of capital, can still be attractive outside of registered plans. But this also relates to our preference for growth inside a TFSA (REITs are typically slower growth)." I checked my TFSA portfolio, and some of my REITs' distributions are comprised almost entirely of ROC (Allied [AP.UN], Chartwell [CSH.UN], Dream [D.UN]), whereas others' (Choice [CHP.UN], H&R [HR.UN], Riocan [REI.UN]) are almost all otherwise taxable income. So I gather from your previous answer that the former type of REITs (Allied, Chartwell, Dream) shouldn't, generally speaking, be held within a TFSA, is that your view/advice? Also, more generally, so I better understand this issue-- what is the main business/accounting reason(s) why some companies' distributions are primarily ROC? Generally speaking, is one versus the other type of REIT (with respect to proportion of ROC within the distribution) a "better" investment, all other factors being equal (i.e., is there any general investment "rule" here)?
Ted

Q: I am retired and have both a cash and RIF account. In my cash account are the big 5 Banks, T & BCE, FRU & IPL. I see that IPL has cut the dividend & FRU has a "1,437% Pay out Ratio (PoR)!! I have mostly REITs in my RIF & EXE & CHE.
I'm not concerned re the banks or telecoms but the PoR of FRU, CHE & EXE are of concern to me. I also feel that in the longer term, the REITs will survive especially with interest rates so low. Also, to replace IPL would you consider PPL
Your thoughts please.

Q: Hi Everyone at 5i! I hold HR, and have ridden it up and now down. It’s dividend is 17%. Should I just hold it, or add to it? How stable do you think the dividend is? Cheers, Tamara

Q: Hello,
Do you consider H&R a buy, sell, or hold at current level. How safe is their dividend.
Please provide your thoughts about the company.
Thanks,

Q: My wife and I are seniors drawing from our RRIF's and we are 'buy and hold' type of investors and need income. Your recommendations to 'harvest' capital losses is something that we have not really done previously but this suggestion is resonating with us now. If we were to do this I think we would look for 'proxy' purchases for at least the 30 day waiting period before we could repurchase the same equities if we wished.
Could you suggest some appropriate 'proxy holdings' we should be aware of for the following equities?
1. The REITs HR.UN, BPY.UN......would ZRE be a good holder?
2. EXE
3. POW
4. FM
5. MTY
6. TFII
Please use my question credits as appropriate. With thanks

Q: Which company do you prefer in this environment - BYP.UN or HR.UN? Do any have a risk of a distribution cut or will it all work out more or less once the pandemic is under control?
Thanks for your service

Q: I currently own positions in ADW.A , SIS and HR.UN in my TFSA.
I am thinking about adding to these positions.
What would be your order of preference with the fact that you do not plan on selling any of these in the next 5 years

Q: Hi 5i Research Team:

I have traded Forex before and am new to stock trading. 90% of my RRSP, RESP and TFSA is in cash and I'd like to avail the current market conditions by "gradually" buying the dips.. and holding it over the long term, 5 to 10 years. I understand that no one can time the market or its bottom.

After exploring the reports and questions on your site, I have identified the enclosed 29 stocks based on following criteria:
- Current Retracements of > 75% over 52 week high & low
- Dividend Yield > 5% (in some cases, like WEED, which is a bit risky, I understand there's no dividend in the near term.. and I am simply going for the upside swing over the next 2 years... same for CRON and Air Canada)

Considering my 90% cash position and strategy to partially buy in on dips over the next few weeks, can you please advise if my stock selection is sound. In addition to my stock picks, please advise anything else that I should keep in mind.

Thanks for everything you do. Much appreciate.

Q: Hi Peter and Staff

If we end up in a longer (say 1-2 year recession) can you provide any comments as to which of the following could suffer most or least from vacancies or unpaid rent based on their tenants ?

FCR.UN, SRU.UN,NWH.UN,HR.UN and REI.UN

I guess I am also asking which one (s) appear to have been beaten up too much in relation to the others and why

Thanks for all you do
Dennis

Q: Could I get your take on REITs at these levels. I thought they would have held up much better in this current meltdown. Are investors just dumping them because they think tenants are going bankrupt and default on their lease agreements? What is your opinion on FCR.UN? or do you prefer HR.UN? Thanks Ron