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Markets. Thinks we are already in the Santa Claus rally. We survived the taper talk, which seemed to have created instability and negativity, but the actual taper itself seemed to create “certainty”. This is a wonderful illustration about how markets actually trade. They are very scared by uncertainty but the minute you have certainty there was a huge rally off the $10 billion taper as well as the certainty about interest rates. The message is that there is no inflation visible in a 1-2 year forecast. Business can go ahead with a lot of investment on a lot of the capital side, with certainty that they are not going to get crushed by rising rates in the near future. It also tells consumers that they can go ahead and loosen the purse strings and, if an American, buy that house and car.

Leading manufacturer of farming equipment in North America. Thinks there will be some torque out of Europe but more broadly, the market for agricultural machinery will strengthen and the momentum will continue. Feels the 5.9% yield is safe and wouldn’t be surprised to see a dividend increase in 2014. Looking for some good upside.

One of his favourite pipelines. Has the only gas pipeline to the BC coast and is going to expand it. Also, has a flagship electric energy project coming on that will give it some real cash flow boost. Anticipates that it is in a good position of growth over the next 3-4 years. Could see $43 in a year. Yield of 3.77%.

A pharmacy benefits manager. Basically manages your drug benefit electronically. Obama care in the US, despite its rocky start, will expand coverage, which means there will be more people who need their pharmacy benefit managed and he thinks this company will benefit from that. Had a big run, but has pulled back into a range where he feels they can be bought.

Great company. More recently he has preferred the smaller pipelines. This is getting some traction on Northern Gateway but it is far from certain that it will go ahead. They are more vulnerable because of their low dividend yield to an interest-rate increase than some of the others. You won’t go far wrong by holding this, but if you have made a profit, he would recommend lightening your position a little, and perhaps buying some other pipelines in order to diversify the risk.

Pembina (PPL-T) or Inter Pipiline (IPL-T)? That’s a choice. He would say Buy both. Both have a lot of really good projects in their pipeline and both have done really well and both have a habit of sharing their good profitability with their investors in the form of increasing distributions. Thinks growth is high enough to protect them both from interest-rate increases.

Pembina (PPL-T) or Inter Pipiline (IPL-T)? That’s a choice. He would say Buy both. Both have a lot of really good projects in their pipeline and both have done really well and both have a habit of sharing their good profitability with their investors in the form of increasing distributions. Thinks growth is high enough to protect them both from interest-rate increases.

If you own, he would be inclined to redeploy the money. Historically the producers go up and down following the commodity price and the commodity price is hard to predict. He would move to energy infrastructure such as a pipeline, because they have much steadier growth.

Natural Gas. A little optimistic, but feels there is a very big overhang as a result of drilling for LNG exports. You have some big players that need to prove out a lot of natural gas to get their export licenses for LNG. Thinks there is going to be a big increase in production in Canada, which could put a lid on price increases.

Enormous risk in this story and there always has been. Very speculative stock. Very hard to know. There is some value there. Just reported $4.4 billion of losses this quarter. Parts are probably worth more than the whole at this point.

Thinks the series C is going to work. They are getting shares of orders and sometimes the market is disappointed that they don’t get the whole order. All they need is a share of the business to do well. Fuel efficiency of it will drive some rollover in the fleets. Also, thinks they are going to sell a lot of Q400’s and with economic recovery we are going to see a lot of activity in the regional airlines space globally with a lot of demand for planes.

Likes this whole space because he feels there is going to be a huge investment boom. He can see $200 billion in energy infrastructure projects over 5 years. There are also other similar companies that he would also buys such as Petrowest (PRW-T), Quanta (QR-X) or Chicago Bridge (CBI-N).

Has taken longer to move than expected. Still thinks they can do some acquisitions. They are under leveraged compared to the overall REIT space. Likes the industrial side. They own the Magna (MG-T) buildings, which is having a very good run. Granite has a very good management team and is looking to diversify away from their dependence on Magna. 5.8% yield.

Have assembled some good assets. The concern is that anyone that is paying out a 15% dividend, the market has made a judgment that it is not sustainable. Feels the price has been driven way down because it was assembled and built as a dividend payer and the market is concerned they can’t keep paying this. Would be a little careful with this at this time. If you own, there may be a relief rally after tax loss selling, which may be a good time to get out.

(A Top Pick Oct 11/12. Down 7.94%.) A chemical company that got into building a big “oil by rail” terminal and he really liked the upside on this. Has been tax loss selling some of his holdings. Stock price had fallen off because the underlying chemical business had softer pricing than expected. They are getting the terminal up and running in 2014, so there may be some good rebound, something like $6-$9.