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As a DIY investor, it's really hard to get access to the best-quality bonds. The fund managers get the pick of the litter before whatever's left gets to the retail channel. Generally if you buy them on the secondary market, you're buying at a premium.
He'd be comfortable owning bond funds through ETF structures such as XCB or XLB on the TSX. There are a lot of bond mutual funds but he doesn't see a lot of value there, especially with a big fee overlay.
Pretty core Canadian holding for energy exposure in a growth or dividend portfolio. Great company, well run. Moves in cycles with energy. Energy's popped now with geopolitical tensions. His research sees potential drop in oil price. Good hold, pretty good run. Better opportunities elsewhere for new capital.
Leverage and covered calls to generate income. The utility trade has already happened with lowering interest rates, so further capital appreciation is limited. Know why you're owning it.
Less risk in ETFs, so you could pick some different sectors for a weighting of 10%.
Great run, and that's when you have to be careful that you're not chasing a stock at its highs. Could pull back. If you look at a chart, sometimes you see an upward trajectory and then a major push up at the tail end ("too good to be true"). And that's where this stock is.
He has no problem owning, stock's in the right sector, but would want to buy at 10-15% discount from today.
A stock matters, but purchase price matters as well. So you need to understand both entry and exit levels. Moving sideways, consolidating, though earnings have increased exponentially since Covid peak. Multiple's going lower. As markets continue to run, this one will catch up.
Don't be too over-exposed to any one sector, though it's OK to tilt your portfolio toward a preference. The small-cap universe hasn't yet caught up to the large caps to the degree he expected. Could see a small boost later in the year. Worse places to be than to have a small sleeve of small-cap exposure.
Volatile, and that's the price you pay for these growth stocks with higher reward potential. Really likes its business and where earnings come from. Tied to buildout of servers and data centres and AI-driven push. Latest earnings were really strong, with anticipated increased demand and revenue.
He'd be OK to buy, but you have to be comfortable with the volatility. It can go down more than the market on a down day. But if you stick with this one, sees upside from current levels. The bottom is in; ride up to $140-150, and then be cautious.
Lots of product innovation in ETFs. OK if you like the company and you don't want to covert CAD to USD or own individual stocks. Use it for income, not growth.
He feels that if you're going to own growth, then own growth. If you're going to own income, then own that. For him, he'd own AMZN for the upside. He wouldn't want upside to be muted by the covered call strategy of an ETF like this.
Boils down to individual preference on what you're trying to achieve. Owning individual stocks gives you more volatility, which can be to the upside or the downside.
LMAX will give you more income sustainability. A traditional healthcare ETF will give you more diversification, less risk, but not quite as much upside as individual stocks. And if you want growth, and don't mind the volatility, you'll almost always see more upside if you pick the right individual names.
Has only a bit of exposure, not a major amount. He's noticed that analyst price targets have started to come down, due to the South Bow spinoff. He doesn't know enough about the spinoff to be able to make a recommendation.
Almost like a utility. Pipelines are not getting a lot of new approvals. Like the rails, what's there is there. Strong market position, but where is the growth going to come from? M&As can dilute shares and add debt. Well run, pretty steady. He'd be comfortable holding. Not huge upside, but some; income potential.