Investment Q&A

Q: Peter,
you know it is not the first time that the predators on the US market are breaking down an asset class and then restructuring, consolidating and grabbing the weakest for almost nothing. It is actually a recurrent theme in the history of the US markets since what 130 years from the railroads to the S&L to the internet stocks, to the pharmaceuticals to the Real estate, to the Banks and now to the oil. Restructuring is the next game in town and will soon hear loud sounds of M&A in the fracking players...
So In a sense that it is not the cheapest oil stock to buy or the most resistant to a lower oil to buy, may be it is the 10 most prone to be bought that are the most interesting and leave it to the oil manipulators to bring the oil down to $40 if they want, as we will never know if the natural oil price is $80 or $40.
So my question is what are the most prone to be swallowed. How about 5 Canadians and 5 Americans candidates.
Publish only if my question has some merit otherwise keep it private.
Thank you very much.

Q: What is your opinion on NVA : TSX

Q: Hi Peter and team.
could you give me your opinion on ZWH, ie, how the covered calls function and if the dividend is safe. i am hoping for a 8 to 10 % annual return from it.
thank you
cliff

Q: hi
what do you think of this u.s. industral fund with low oil prices
tks

Q: Hello Peter & Co,
I'm 71 and 100% of my portfolio is in equity; I'd like to shift a portion of it in fixed income. Corporate bonds and Government bonds (especially the long term ones) have done surprisingly well this year; the interest rate environment was obviously favourable. But rates are bound to go up, if only because the economy is supposed to pick up with attending inflation.
What fixed income vehicle would do (relatively) OK in such an environment?
Thanks,
Tony Sepetdjian

Q: Hello, Preference between these two companies? Long term hold as part of a balanced portfolio, growth prospects, dividend growth? Other names more preferred? Thanks,Lavern

Q: Hello 5i team,

dec 12 it was announced "COM DEV International Ltd (CDV.TO) has signed an agreement to acquire 100 percent of MESL Microwave Ltd for £12.8 million in a transaction that expands COM DEV's market and product portfolios."

I have a small position in my portfolio. Can you please comment on this purchase and what you expect for CDV over the next 2 years please?

Thanks for all you do

Gord

Q: I would like to sell Baytex to offset the capital gains that I made this year. I hold other oil and gas stocks already so I don't need to replace it with another oil and gas stock. I don't have much weight in the technology industry except for Enghouse Systems and it is about 2% weight. Should I add another name or invest more in this name? I also have no stocks or ETF in the health industry.I also have cash that I can invest as well but not quite sure where is the best place at the moment. I am a long term investor.

Thanks
Dolores

Q: This is not a question, but a comment.
Ref: December 15, 2014 (asked by Jim)

Question: I have been looking for an ETF, on the Canadian stock exchanges, that tracks US banks. Can you recommend any and of course, the best one as you see it. (lol)
Thanks for your help!

5i Research Answer:
We woudl suggest the best one (if not the only one) as ZUB, BMO Equal Weight US Banks. It is $199 mm, hedged to the C$, with fees of 0.40%. Three year annual return is 26.7%.

The symbol for US Banks is ZBK, not ZUB. Per the BMO web site, this etf has a distribution yield of only 1.09%, and the fee is 0.35%. Not sure where your performance numbers came from. There are none on the BMO site as this etf only began in Feb. 2014.

Q: Small co. I know, but could you give your opinion. Seems an interesting technology. How are the financials? Thanks

Q: Peter My new year plan is to deregister from my RIF wcp and 300 shrs of BTE out of our spousal RRSP and transfer them into my cash account I have sufficient div in both accounts to pay the taxes.
We are allowed 19m$ for our TSFA contribution and I plan to move as much SGY into it that I can from my cash account .This is my attempt to make the best of these low share prices .
Do you have any comments on this plan.
Stan

Q: Tourmaline has provided a revised capital program. It shows production guidance unchanged, cash flow expected to be reduced 9% ( allowing for reduced commodity pricing),and cp. budget down 12%. In Nov. you expected per share cash flow to grow 25% in 2015. These numbers seemed surprisingly positive,in the circumstances.
Would you consider Tou for addition to a TFSA with no current energy exposure and a strong bias toward growth.
Thanks
Mike

Q: Good Morning 5i Team

Please accept my apologies if this question has been previously asked and answered.

I follow a large number of companies watching news, price, volume and tracking dividend performance.

I have noticed in the past few days a number of companies showing an increased yield on their dividend... i.e. CPG going from 6.97% on Friday to 12.68% today.

Please excuse my own ignorance as I know many other members are probably aware why this is but, could you explain this to me please?

thanks for all you do

Gord

Q: As is Michael in a previous question, I am also taking a hit on this stock. The principal reason for purchasing the stock was considerable insider buying. Do you have any comments why they are doing so. Thanks, Bill

Q: hello 5i team,

I want to be honest and with respect, I found your answer earlier today for Mike regarding tracking quarterly reports a little disconcerting. As I study and learn, there is no question that not only to quarterly reports give me an indication whether I should buy or sell, they also give me a heads up as to what I "might" expect in the foreseeable future.

What I find disconcerting in your answer is that it appears to me there is not a really good reason for 5i not provide heads up on quarterly reporting other than 5i may be too busy to find the time to do so.

You do so much and I really appreciate all the effort but hopefully you appreciate our feedback as I would very much like to know when quarterly reports are scheduled to come out and what we might expect to see.

Thanks for all you do

Gord

Q: Would BP.US be a good stock to purchase. Eddie.

Q: Just a follow-up to my earlier question on a list of reporting dates. I think I understand and appreciate your approach of developing an investment thesis and allowing management time to execute on their plans and grow the business. However are you suggesting that we not look at the quarterly reports, and only do annual reviews .
Thanks
Mike

Q: Is it a good idea to buy TLM as a takeover play.

Q: I have been looking for an ETF, on the Canadian stock exchanges, that tracks US banks. Can you recommend any and of course, the best one as you see it. (lol)
Thanks for your help!

Q: Hi 5i team,
In response to my question on replacing BDI (tax selling) you suggested HNL. This was on Dec.10th. Two days later in response to question from Hans you suggested selling HNL due to debt levels and removal from TSX index. I am a bit puzzled there...?
I replaced BDI with HNL last Thu and now down 15% on this stock in just 3 days. Can you please confirm either one or another recommendation? I have 2% of portfolio in HNL (my O&G total 18%) and wondering whether I should keep HNL or sell it and get additional 3K loss?