Investment Q&A

Q: In a reply today, you suggested a swap of SJ for MX for quality. In the past five years, MX is up 182% and SJ is double at 363%. Am I missing something here?. You recently added MX to your Balanced Equity portfolio and I would like to follow it but lack the cash right now. SJ is certainly "correcting" but is still in your portfolio. Are you expecting softer returns going forward?

Q: I am trying to high grade my portfolio and looking 2-3 yrs out for total return, would you swap the stocks in the following 3 scenarios or would you stay put. 1. TFI for CNR, 2. MX for SJ, 3. Bad or RUS for SIS. A small explanation as to why would be appreciated. Thanks and keep up the fantastic work.

Q: As a follow up to my previous question regarding the drop in the price of Stella jones shares I too did not see anything in the company specific news that would affect the price of the shares. But when you see the shares dropping as they have there may be other underlying reasons for other investors to sell their shares. Under a Trump led government in the USA is there anything in the policies, attitude toward free trade etc that you can see as potential negatives for the company?

Q: There are two companies in your model portfolio ( SJ and KXS) that are being taken out behind the wood shed and being thrashed severely. Can you offer any reasons for this? Are there any possible concerns regarding the companies that we should be aware of and should we continue to hold the shares. Stella Jones is of particular concern with its downward spiral and down around 5% this morning.

Q: At the recommendations of 5i I purchased these stocks in April/16 for my TFSA account. I have additional funds of $11000 to add. Would you recommend adding to these positions or purchase other stocks? My return has been in excess of 30% and therefore value 5i opinions. Thanks for your excellent service.

Q: Good afternoon, I had moved everything to cash, believing that we were overdue for a bit of a correction, and also because I did quite well on atd and ccl. . Do you think a correction will occur when the honeymoon is over with Trump? I know no-one has a crystal ball, but do you think it is likely? If no, would you be content with the above choices for a moderate risk? I plan to keep my US in cash for now.
Thanks as always.

Q: Hi 5i - I own the following stocks (in a diversified portfolio) and Im looking to top them up to a full 5% position. At todays prices (for a long term hold) which ones would you top up first? Thanks, Neil

Telus - 3%
BNS - 2.5%
SIS - 2.3%
PKI - 2.1%
KXS - 1.2%
SJ - 1.1%
NFI - 1.1%

Q: I appreciated your answer to Michael regarding SJ (which we hold in several accounts) and the effect that Trump's position on coal may have on SJ. I came across this quote when a google search about this topic came up with this: "Why Trump Probably Can't Bring Back Coal (or Kill Renewables Either") The reason, as this former coal miner stated is that, basically, coal isn't as competitive as it once was. He said: “Big picture, I would imagine the U.S. is slower to phase out coal than a president who would have retained the Clean Power Plan. I think coal power is not coming back in this country regardless of what regulatory changes a President Trump is going to make. Economically, it is no longer as competitive as it used to be.”

My own personal opinion is that we shouldn't make rash decisions about what Trump may or may not do. This would apply to stocks that 5i covers or has commented on, such as BEP.UN, and others.

I do appreciate the 'tune out the noise, level-headed advice' that the small retail investor consistently receives from Peter, Ryan, and the 5i team.

Q: I have recently joined 5i and have started converting one of my portfolios to the 5i Balanced Equity Portfolio. Given the limited funds, I am only comfortable holding about 10 positions. I am contributing to this account regularly, with the intention of building up to a full 20 positions within 12-18 months. Given today's conditions, which companies would be best to get into first?

I already hold full positions in CSU, KXS, NFI and SIS.

Thank you

Q: Hi, can I gave your insight on SJ's outlook in a recessionary downturn in North America? Is SJ tied to the coal industry? If yes, would a return to US coal positively impact SJ?

Q: Hi,

I would like to initiate a position in one of these 2 stocks and plan on owning both over time. Given that both are down about 15% from their recent highs last month, which one do you think has a better entry point right now?

Thanks for your time

Q: Hi Gents,

Is the continued sell off in SJ warranted by yesterday's surprise electoral news? Could you please comment on your understanding of how the company's long term prospects may be affected?

Q: Peter, if a Trump/Republican government takes a harder line on softwood lumber, do you see that impacting Stella-Jones very negatively? Thanks!

Q: Earnings fails on all of these. Do you think they'll be treading water/going down until the next quarter?

Q: Peter and Team, Considering adding to a full position in Stella-Jones, on today's pullback. This would be for a 3+ year hold. Your thoughts appreciated.

Q: Comment on the earnings, plz.

Q: Hi, could you please provide the estimates of Revenue, EPS and EBITDA for SJ, BYD.un and TOY. Thanks

Q: Any reason for the big drop in SJ today.It has a recent good run.Appreciate usual great services & views.Peter you were great on BNN

Q: As a newer subscriber to 5i, i am interested in purchasing your BE portfolio. The above names have had huge run ups and I don't know how to approach them. Which ones are buyable at these levels?
Of the ones you deem buyable, can you comment, for each, as to whether a half position or full position should be taken.
And can you rank these in terms in terms of your preferences at current levels?

Thank you for your excellent service, as always.

KR

Q: I'm a late 20s investor looking to augment my company group retirement rrsp (invested in MF's - Index/Mawer) with individual stocks. My goal is to add positions until I'm close to the Balanced Equity portfolio.
At this time, which of the above (or another if there is a better option that I haven't listed) would be a good idea to start with? Thanks in advance.