Investment Q&A

Q: I’m struggling with why you would think GSY would do well in a recession. They serve sub prime customers with very little discretionary disposable income. Wouldn’t you expect these customers to be most impacted by unemployment, lost wages etc which would then drive late payments and then eventually loan losses. Initially I would expect GSY would take a similar approach to banks by deferring payments for customers to limit losses but eventually they will need to take them. New business will be impacted with branch closures, not to mention their leasing business, historically the reliable cash cow will be impacted as well without the foot traffic. Given the adjustment that big banks have taken to their stock prices over the last 3 weeks. GSYs massive drop looks warranted to me.

Q: Unemployment...

I've heard of an estimate of unemployment going up, as estimated recently by one of the big US banks, can you provide some insight to this?

When are the next figures due for Canada and USA?

Q: WCS oil price, according to BNNs feed was $9.12, or so, at the close today. Is there a vehicle to trade this commodity whereby I can buy today and wait a year or two for an eventual recovery? Not looking to play this through producers.

Q: In an earlier answer today you compared slf and bam and concluded that bam would be a better buy today. This comparison seemed odd to me as they seem to be very different types of companies. That aside, however, if you could only buy one of these two today, sector not an issue, which one would you choose and why
Thanks again

Q: Hi Amazing Team,

Don asked a question today about Canadian Western Bank: With Alberta hurting and oil prices crashing would you consider the western bank safe. Your answer began with: We would be cautious on CWB....

My question is please: I have a significant CWB bond maturing Jun 16 2022. It is in the money. Would you be inclined to hold or sell?

Many, many thanks for what you are doing in this time of crisis. Michael

Q: If you were to pick one stock that would react the most positively to an increase in oil price what would be your pick?

Q: On fundamentals (yield/PE revenue ..etc have we reached the levels of 2008 financial crises in particular for banks/utilities and REITS. Can you please explain if majority of REITS in particular residential (eg CAR.UN) would benefit from lower interest rates why are they going down?

Thanks

Q: I am wondering about Bond ETFs and why they are dropping when interest rates are at historic lows. Does this have to do with liquidity issues of the etf's, with people trying to sell them so fast that the managers of the ETF cannot sell the underlying assets quick enough? Does that mean that the underlying assets of the ETF are actually much higher than the price to buy the ETFs themselves? As an example I am considering the 9% drop of ZAG that occurred today.

Q: I Have held these bond etfs for a long time and they are down considerably. (-16 & -30% -9.00 % -5.16%)and still counting

My question is :
Do I have any reasonable reasonable expectation of ever recovering the capital if I hold them ?
Or I am reasonably safe in selling them and putting what is left in a better place ?

Q: Regarding this company's net income vs. dividend payout, it doesn't seem to support it. From its free cash flow perspective, its also short of the dividend payout amount. Please comment.
Secondly, is there another healthcare REIT similar to this one with a good dividend that we can compare. Thank you.

Q: I bought half positions in CNQ and SU and I have buy orders in at lower prices which I never thought I would see ($8 for CNQ). At current prices, CNQ is yielding over 15%. Even though their dividend was well covered, does it matter how low their share price goes or is it more a function of how long the coronavirus and price war going on for that you force them to cut their dividend? Would they cancel share buybacks before cutting their dividend even though share prices are so low?

Thanks,
Jason

Q: This company, like many other hotel companies, has been clobbered the last couple of weeks. Seems to be overdone in my opinion. HOT runs hotels in the smaller US markets (non-conference hotels) and they will not be hit as hard as the larger chains operating in the New York and LA markets. Any thoughts on the prospects and valuation after the drubbing?

Q: Back in early march I asked if dividend would be ok. Topaz money. Will this help them through this period of uncertainty. I would appreciate your comments. Probably dividend will be cut to save money. WOW I have been through different market meltdowns, but not like this one.

Q: Thoughts on the above.
Regards

Q: Nvu.un is about 10.00 below the offer the purchase .
I know it not done until the check clears but trading seems to say the deal buy out may not happen
Any rumours on the street ?

Q: I see that insiders are buying so i want to pick up a small position for long term hold.
Should I buy now or wait for div. cut?
Thanks.

Q: What is your opinion on the Keg.un at these price levels. Do you know what the payout % on the dividend.

thanks Valter

Q: NWH.UN or BPY.UN which would you prefer? Buy now or wait, understanding the volatility risks?
Thanks for your service

Q: What are your thought on prospects for IMPUY from here?

Q: Would selling TFII for a tax loss be a wise move? Would you wait to re-but in 30 days of replace it with something else?