Investment Q&A

Q: Renewable energy has been beaten up over the last year and seems to be fairly cheap at the moment. With quantitative tightening and raising interest rates on the horizon, would it be prudent to wait to see what happens with inflation before moving into this sector? Which of these names do you prefer? Thanks.

Q: I am looking to add a position to AQN to increase utility exposure in my portfolio. I had bought AQN in December at 17.50, I see the price still hovering at that level, Is it good to increase the exposure in AQN at this level or would you recommend alternative stock?

Q: I am looking to add to the utilities sector. I currently have FTS BIP.UN and AQN. Not really excited about AQN for the last year. I would like to add to my utility stock basket and looking for recs. Also might drop AQN. My horizon is 7-10 yrs.

Q: Why renewables have been down so much and for so long even though their fundamentals are strong ? They were down before interest rates started creeping up. Pipelines, which are also interest rate sensitive, are doing OK.

Q: Hi Peter& 5i team,
These are the stocks I have in my TFSA currently. I have 15 % cash and am looking for a couple of stocks with good dividends and growth potential. Could you please give me some suggestions.
Thanks for your opinions .

Q: Hi 5i Team - I am considering selling part of my Algonquin Power holding and diversifying into the same field. My first choice is either BAM, BEP or BEPC but I'm not sure which of the three to pick since they are all related. Could you assist me by providing a brief description of the differences between the three and your preference, if any. Also is there another company in the same space that you would recommend.
Thanks.

Q: what 5 Canadian utility stocks would you currently recommend and why? please rank them in order of highest to lowest recommendation.
thanks

Q: just wondering since aqn pays dividends in u.s. dollars i there any drawbacks from holding this in a non registered account . will we get full dividend or is there a holdback on u.s. dividends. thanks and great service

Q: I was planning on growing my position in these companies during 2022 in my TFSA account. Is there any of these companies you wouldn't invest in or replace for an other company (please indicate witch company you would replace it by).

Also can you say in what order you would rank these companies from highest to lowest, highest being you favourite and lowest least favourite?

Q: Withdrew $75000 plus in calander year 2021. Assuming I can contribute $75000 plus $6000 in 2022 .
The contribution will be stocks from my unregistered account. My choices to contribute are, AQN,BCE,EIF and SLF plus cash for which will purchase additional shares of BCE and SLF.
Am I correct on contribution? Any comments on my choices for contribution. Looking for some income plus enough growth to mitigate rising interest rates and inflation.

Q: I have some extra USD money from a small US pension that is used for going to Florida in the winters. Since we have not gone in the last two years, I would like to put some of it in our TFSA. My questions are, if I buy say TD on the NY stock exchange would the dividend in US dollars be subject to 15% withholding tax. Could you please give me several companies I could buy into if this is true. Could you also give me several US companies or ETF's that would give me a dividend and hopefully growth for a long term hold. Thank you for all the help I get for being a member. Gary

Q: I'm overweight utilities and underweight health. In a taxable account, I am contemplating selling AQN (up 30%) and purchasing ABBV. Given the tax implications, would you support this swap?

Q: Hi Peter and staff, Happy Holidays.

These are my holdings in TFSA account. Can you please suggest two more names, Canadian or US to add for the 2022 contribution.

Thank you.

Joe

Q: In my dividend portfolio, I have half positions in these stocks. Can you put them in order of which you would bring up to a full position first to last in light of their current value? Thanks!

Q: I have losses as follows for potential tax loss selling:
AQN 18%
BEP.UN 24%
SJ 14%
What can you recommend as suitable proxies until repurchase, or which ones would you not repurchase (leaving their "proxies" in the portfolio).
Thanks, and I wish everyone on the team, and your readers, Merry Anytime and Happy Always.

Q: hello 5i:
as an Income play, with safety of capital most important, and some growth (don't expect much), please rank the above 3 companies. And what's the difference between ACO.X and ACO.Y?
thanks
Paul L

Q: Hello 5i,
Aqn had an investor day earlier in the week. I understand they plan to spend $12 billion out to 2026 on new capital projects. While the expansion plans should be good for the growth of the company:
1)will getting the financial backing for these projects put pressure on the stock price and
2)will it put a cap on the dividend growth plans within the next 5 years?
Tia!

Q: Hi Peter & 5i,
Wishing you and the staff a joyous holiday season!
Would you see any red flags in this portfolio for a conservative investor needing the dividends for cash flow. The portfolio would be 50% equities and 50% fixed income - 5 year laddered GIC's.
Here are the stocks and their proposed weightings:
Financial Royal Bank RY 5.7%
TD Bank TD 3.6%
Sun Life SLF 4.4%
Power Corp POW 4.0%
Utility Fortis FTS 5.7%
Brookfield Renewable BEPC 4.2%
Algonquin Power AQN 2.2%
Comm TELUS T 4.7%
Bell BCE 4.1%
Cons Staple Costco COST 4.3%
Loblaws L 4.0%
Cons Discr. Magna MG 3.8%
Restaurant Brands QSR 2.4%
Industrial CN Rail CNR 5.2%
Savaria SIS 3.6%
Energy Enbridge ENB 4.6%
Suncor SU 2.9%
Materials Nutrien NTR 4.3%
Real Estate BMO-Equal Weight ZRE 4.2%
Tech Thomson Reuters TRI 4.8%
Health Evolve Global Health LIFE 3.8%
ETF BMO-Low Volatility US ZLU 8.7%
iShares-US Equity-Hedge XSP 4.8%
Thanks so much for the fantastic service.

Q: All the renewable stocks other than BEP.UN are getting beaten up today. Any news that I missed. Could it be Tax loss selling since the sector is one of the few that has done poorly this year?

Q: of all the renewable energy utilities that pay a dividend is Algonquin a good buy?