STOCKCHASE

Enbridge Income Fund Holdings

0.020

Buying Puts on stocks you own is a great strategy for a market like this. A way to pay a small premium today for what could be a disaster down the road. The one caveat is that Puts are not cheap.

2009-11-04

TOP PICK

iShares TIPS Bond E.T.F.

TIP-N

103.860

Bond ETF. Thinks the 30-year bull market in bonds is over. This provides insurance against expected inflation.

2009-11-04

TOP PICK

HBP S&P 500 Bear+ ETF

HSD-T

17.730

S&P 500 Bear+ ETF. He is bearish on the market in general. This is a levered product at 2X and is not for the faint of heart. His strategy would be to have a half position against his 2 full positions in his other Top Picks.

2009-11-04

TOP PICK

HBP Comex Gold ETF

HUG-T

11.550

Gold bullion, not stocks. Technicals indicate that gold is going to run.

2009-11-04

BUY

Alcoa

AA-N

10.140

Screening well. Basically flat lined since November. In the industrial materials sector. An entry point now would be reasonable. To mitigate the stock going down or sideways you could write a Call Option on it. If you wrote a 1-month Call with a strike of $12 you might get about $.50 for doing that, which is a nice 5% premium.

2009-07-15

SELL

Bank of Nova Scotia

BNS-T

43.310

Banks have gone up to a point where they are pretty rich and overvalued. If you own, consider selling some or all of your position in anticipation of another decline. If you want to hang on to your bank stocks you could Sell Call Options. He is not doing this because he does not think banks are good to own right now.

2009-07-15

PAST TOP SHORT

Canadian Pacific Rail

CP-T

41.100

(A Top Short July 29/08. Up 36.1%.) Still concerned about this one and wouldn't own it. He covered his Short.

2009-07-15

BUY

Enbridge

ENB-T

39.700

Energy is screening well on valuation. This would be a reasonable place to put your money.

2009-07-15

BUY

ENF-T

11.850

This would be the next thing he would own on the income trust side for an income portfolio. Screening quite well. 10% yield. Classic utility.

2009-07-15

BUY

General Electric

GE-N

12.240

(Market Call Minute.) Screening well for him.

2009-07-15

TOP PICK

H&R Real Estate Inv Trust

HR.UN-T

11.240

REIT sector is starting to pop up on his radar screen. A nice diversified play and one of the lower risks in REITs. Debt to equity and payout ratios is very conservative. Yield of about 6%. Had a big growth opportunity with the Bow project in Calgary, which seems to be fully financed now.

2009-07-15

TOP PICK

Pembina Pipeline Corp

PPL-T

15.160

This is a play on safety. Nice yield of over 10%. More into oil/gas distribution so you can consider it as more of a utility. Acquired Cutbank Complex, which is somewhat accretive.

2009-07-15

BUY

Potash Corp of Saskatchewan

POT-T

97.980

He bought at $95 and wrote a $95 Call Option netting $5. (Does this in New York because Options are more liquid.) (Recent contract prices on potash came in lower than last year's prices, which has been priced into the stock.)

2009-07-15

BUY

78.400

(Market Call Minute.) They are a commanding presence now in smart phones. Market share has gone from 8% to maybe 25% next year. There are huge margins on smart phones.

2009-07-15

BUY

Yellow Media Inc

YLO-T

4.930

Likes this one. Great business. Continues to plod along. Getting some good ad revenue despite the bad economy. Very attractive yield, which he feels is safe.

2009-07-15

Comment

Uranium One Inc.

UUU-T

2.780

He prefers Denison Mines (DML-T), which is screening very well right now. Generally this would mean most of the stocks in that sector are screening well so this could be a reasonable bet.

2009-07-15

BUY

Yamana Gold Inc.

YRI-T

10.520

(Market Call Minute.) Buy it and write a Call on it at 10% or 15% higher than the stock price.

2009-07-15

Comment

0.020

Markets: Expecting a bit of a reprieve during the summer but really worries about the end of Q2 and Q3. Great possibility that March/09 lows could be tested and we need to prepare portfolios for that. Need to consider Shorting as well as insuring portfolios with Options strategies. Also, there is nothing wrong with Cash and July-Aug would be a good time to raise some.

2009-07-15

Comment

0.020

Put Options. Thinks of these as insurance contracts. If you own a stock at $33 and want to defend against the stock dropping down to $25 you can Buy a Put Option; say at $30, which allows you to Sell at $30. The other side of the transaction is Selling a Put so that if the stock goes down to $30 you are forced to Buy the stock at $30.

2009-07-15

Comment

Babcock & Brown Air Limited

0.020

Natural gas service industry. There is plenty of production capacity out there. Thinks the economic activity will remain muted for the next year and natural gas is a big input to this. You might prefer playing the pipelines that transport it. (See Top Picks.)

2009-07-15

TOP PICK

Barrick Gold Corp

ABX-N

33.940

Technical analysts are saying gold is ready to break out to $1000-$1200 but he doesn't buy a big rally in gold. Thinks it will be in a trading range for quite some time. He wants to be Long gold stocks and write Call Options to collect premiums. Bought this one for $36 and wrote a $38 Call Option for 30 days, giving him $1.60 as a Call Premium. If it takes off he will make $2 capital gain as he will be forced to sell at $38. (US exchange has more liquidity for the stock and options.)

2009-07-15

Comment

Pengrowth Energy

PGF-T

8.530

(Market Call Minute.) There are better names out there. He would suggest Fort Chicago (FCE.UN-T).

2009-07-15

BUY

Denison Mines Corp

DML-T

2.000

Screening very well.

2009-07-15

DON'T BUY

Forsys Metals

FSY-T

4.910

Being acquired at $7 but because of the lower stock price, market indicates the deal is not going to close. Doesn't see this as a good way of making a quick buck. You are trying to beat the pros at a game that they are very, very good at.

2009-07-15

DON'T BUY

Potash One Inc.

KCL-T (Dead)

2.490

Acquired Potash North recently. Lexus sector but expects a lot of volatility in the next quarter. Wants to take advantage of this so he prefers bigger names in order to write Call Options.

2009-07-15

BUY

IBI Group

IBG-T

13.100

Basically engineering/consulting infrastructure play. Trades at about 11X cash flow but tends to buy other engineering shops at about 3X so their deals seem to be accretive immediately. 12% yield.

2009-07-15

PAST TOP PICK

Agrium (US)

AGU-N

38.440

(A Top Pick July 29/08. Down 51.18%.) Sold his holdings in the fall when the markets started to fall. If you are Long consider selling a Call Option on it. Still believes fertilizer and still likes this one

2009-07-15

PAST TOP PICK

FLY-N

7.390

(A Top Pick July 29/08. Down 33.94%.) Aircraft leasing company. Sold out last fall when the markets started falling.

2009-07-15

BUY

Bank of Montreal

BMO-T

45.070

Shorting $42 Oct/09 Call? As long as you are Long the stock, this is a reasonable investment.

2009-06-09

HOLD

Cameco Corporation

CCO-T

30.750

(Market Call Minute.) Prefers Denison (DML-T) instead.

2009-06-09

Comment

Calloway REIT

CWT.UN-T

13.840

Owns a lot of trusts but not REITs. The REIT sector is not screening well.

2009-06-09

BUY

Veresen Inc

VSN-T

8.180

Screens very well for him.

2009-06-09

BUY

FNX Mining Company

FNX-T(Dead)

8.750

Screening quite well. Have the characteristics that investors should be looking at. Not participated much in the rally so it's a great opportunity.

2009-06-09

HOLD

Claymore Natural Gas Commodity ETF

GAS-T

6.400

(Market Call Minute.) Natural gas is a tough one to call.

2009-06-09

SELL

Great West Lifeco

GWO-T

22.880

This is part of the financials. Be thankful for your gains and put your money elsewhere. This is a traders market.

2009-06-09

PAST TOP PICK

Labrador Iron Ore

LIF.UN-T

32.030

(A Top Pick May 23/08. Down 36.99%.) Sold it in July and bought it back in March. Lightened up on it a day or so ago. Thinks it will lead in the economic rebound.

2009-06-09

HOLD

Petro-Canada

PCA-T

48.780

(Market Call Minute.) Screening reasonably well. Prefers others.

2009-06-09

TOP PICK

Pembina Pipeline Corp

PPL-T

14.700

Nice, predictable, boring 10.7% yield. Cash flow is pretty much in the bank for the next couple of years. Will convert to a corporation in a while and there may be tax complications 4, 5 years out. Likes the predictability of this stock for the next couple of years.

2009-06-09

PAST TOP PICK

Potash Corp of Saskatchewan

POT-T

127.500

(A Top Pick May 23/08. Down 35.37%.) Got crucified so he sold his holdings. Not screening as well as other things so he is not buying yet.

2009-06-09

PAST TOP PICK

Sherritt International Corp.

90.680

(A Top Pick May 23/08. Down 29.21%.) (See the Pairs Trade in Top Picks.)

2009-06-09

BUY

S-T

4.950

Has great exposure to commodities such as nickel and coal as well as exposure to a power plant. He thinks this is a good company that has not rallied yet. Just added to his portfolios.

2009-06-09

BUY

Teck Resources Ltd. (B)

TCK.B-T

19.600

This is a stock you have to own. It has had a lot of problems but that's where opportunity lies. It's a stock that will lead out of a recession. Has a lot more to rally from here.

2009-06-09

BUY

Trans Canada Corp

TRP-T

33.350

(Market Call Minute.) That whole sector is looking really good.

2009-06-09

Comment

0.020

Base Metals: These will lead us out. Has started but had a pullback in the last few days. Anytime we are in deep recession, they will lead us out.

2009-06-09

Comment

iShares Xinhua China 25 ETF

0.020

Gold: Nice rally up to about $980 but tumbled because of the rally in the US$. Short term he doesn't see a big spike in gold bullion because he doesn't see inflation. In the mid-to long-term there is a big threat of inflation. That's when you want to trade. Play gold by buying a stock and selling a call option against it. He likes large cap almost exclusively.

2009-06-09

SELL

Penn West Petroleum

PWT-T

14.950

(Market Call Minute.) Too expensive on its forward earnings. Better opportunities elsewhere such as Fort Chicago (FCE.UN-T).

2009-06-09

BUY

Galleon Energy Inc.

GO-T

4.590

This screens really well for him. Great company, good prospects but hasn't done much. Natural gas has been part of this problem.

2009-06-09

Comment

New Gold Inc.

NGD-T

3.090

Prefers larger companies. Speculative. If gold flies then you are going to get a bigger pop but he prefers the senior producers.

2009-06-09

SELL

Tim Hortons

THI-T

29.540

(Market Call Minute.) Has been too volatile.

2009-06-09

DON'T BUY

Pengrowth Energy

PGF-T

9.500

Looks cheap on trailing earnings and it is but looking at forward earnings it is very expensive. Doesn't mind the sector but would prefer something like Fort Chicago (FCE.UN-T).

2009-06-09

Comment

FXI-N

38.070

(Question was about shorting this.) Wouldn't Short this as he feels China has a lot of opportunity. You ignore the emerging markets at your own peril.

2009-06-09

BUY

IBI Group

IBG-T

13.250

An interesting small company. Mainly an engineering infrastructure company. Have done a lot of consolidation of other companies. Benefiting from a lot of government spending and infrastructure.

2009-06-09

TOP PICK

Research In Motion Ltd. (US)

RIMM-Q

82.021

A Pairs Trade. Leader in their category by a wide margin. Despite the economic recession it is growing its earnings and revenues and has no debt.

2009-06-09

TOP SHORT

Research In Motion Ltd. (US)

RIMM-Q

82.021

Sell a $70US June Call Option. Pairs trade. Trying to mitigate volatility and reduce risks. Willing to sell some of the upside potential in exchange for predictable income.

2009-06-09

DON'T BUY

Direx Financial Bear 3x E.T.F.

FAZ-N

4.340

Shorting US financials is not unreasonable but a risky thing to do right now. However, you could hedge this by having a long position in Canadian financials. In this particular case, this ETF is 3 times, which is outrageously risky.

2009-06-09

TOP PICK

Goldcorp Inc.

GG-N

35.820

A Pairs Trade. Gold is range bound until inflation takes off 6, 9 or 12 months from now. So in the meantime he would rather own the stock and right a call option, selling away the upside potential.

2009-06-09

TOP SHORT

Goldcorp Inc.

GG-N

35.820

Sell a $40US July Call Option. A pairs trade.

2009-06-09

Comment

Alcoa

AA-N

6.400

Thinks it will start looking a lot more attractive but quantitatively it is not screening well right now. Weakness in the US$ should help. Writing options on this would make a lot of sense.

2009-03-19

TOP PICK

Barrick Gold

ABX-T

41.360

He wants to own Barrick but not at these prices. Wrote an April $25(US) Put giving him $2.45. If Barrick drops below $25, he is forced to buy it, which he is happy to do. (You can't do it now because of stock price but you might want to sell a $30 Put option which would give you about $1.)

2009-03-19

PAST TOP PICK

Agrium

AGU-T

46.700

(A Top Pick March 26/08. Up 71.1%.) Sold in June/08 because of weakening in earnings and expectations. Starting to look interesting but not ready to buy yet.

2009-03-19

DON'T BUY

American International Group

AIG-N

1.620

Short? Too many things are unknown right now. Pure speculation. Consider Manu Life (MFC-T) or Hartford Financial (HIG-N) instead.

2009-03-19

TOP PICK

Bank of Nova Scotia

BNS-T

31.210

Long the stock and Short the March $34 Call Option. Likes predictability of Canadian banks. Doesn't think there's a lot of upside in the banks. Factoring in the Call premium plus 6% dividend yield it gives you a nice healthy cash flow stream.

2009-03-19

PAST TOP PICK

Fording Canadian Coal Trust (Inc Trust)

FDG.UN-T

100.690

(A Top Pick March 26/08. Up 93.3%.) Acquired by Teck Cominco (TCK.B-T).

2009-03-19

Comment

Iamgold Corp

IMG-T

10.560

Prefers to be in more liquid gold stocks that have a lot of option coverage. (See Top Picks.)

2009-03-19

DON'T BUY

Kinross Gold

K-T

23.140

Better gold plays elsewhere. Doesn't see a run for gold being long term because he doesn't believe inflation is here to stay. $1000 is possible on this current run. The best time is 9 to 12 months out for stronger gold prices. (See Top Picks.)

2009-03-19

BUY

Manulife Financial

MFC-T

14.730

Hit pretty hard by increasing liabilities on the mark to market on future obligations. Punished too much given its fundamental business.

2009-03-19

BUY

Petro-Canada

PCA-T

30.900

(Market Call Minute.) Likes it a lot. Nice dividend yield. One of the better integrated oils out there.

2009-03-19

TOP PICK

Pembina Pipeline Corp

PPL-T

13.950

An oasis in the storm. Energy infrastructure and a boring pipeline business with a lot of feeders in the tar sands. 11.5% yield. Trades at 12X forward earnings. Great growth prospects and distributions are safe for the next 5 years.

2009-03-19

Comment

Potash Corp of Saskatchewan

POT-T

98.110

Fertilizer is still a little early. Volatility is very high right now which is why he uses a double option overlay. He doesn't know which way they are going to go. He is anticipating it will trade in a band. In the US it is trading at about $76. He wrote a $90 Call and a Put at $70. If it goes down through $70 he'll have to buy the stock.

2009-03-19

BUY

Rogers Communcations (B)

RCI.B-T

29.980

Likes the communications sector right now. Have a better stake and more diversified business and seem to be eating into the incumbent phone companies’ territories. Good yield of 3.8%.

2009-03-19

Comment

Com Dev International Ltd.

52.260

(Market Call Minute.) He wrote a Put on this one and if it goes down, he'll be happy to own it.

2009-03-19

Comment

Royal Bank

RY-T

35.400

Over 5% dividend. Banks have to now focus on traditional banking business, borrowing and lending spreads. He is not positive on the growth prospects for wholesale banking and the wealth management businesses. He suggests writing a Call option around $40.

2009-03-19

BUY

SNC-Lavalin Group Inc.

SNC-T

32.280

(Market Call Minute.) Infrastructure play. Screens very well as a sector play and on its own.

2009-03-19

BUY

Telus Corp

T-T

33.910

Communications is screening very well for him right now and he likes this one a lot. Sector is economically defensive.

2009-03-19

BUY

Yellow Media Inc

YLO-T

6.050

This is the better operator in a relatively weak sector right now. Likes the media space. Yield of about 19%.

2009-03-19

HOLD

Oilexco Inc

OIL-X

0.145

(Market Call Minute.) Not too sure about this stock but likes the sector.

2009-03-19

BUY

CDV-T

3.200

(Market Call Minute.) Infrastructure looks great. A lot of government money is being put into restructure.

2009-03-19

Comment

Yamana Gold Inc.

YRI-T

11.480

If you are going to own this, he would suggest you write a Call option on it. Gold stocks are incredibly volatile right now. Premiums on Call and Put options are very high on gold stocks.

2009-03-19

Comment

0.020

Gold: Quantitative easing package of $1 trillion by the US has reduced the inflation factor and the US$ is getting punished by every currency in the world. A weak US$ means strong commodity prices, and most especially bullion prices. Can see it testing $1000 easily but is not convinced it is on its way up for good. An appropriate strategy is to have some option overlays on your gold stocks.

2009-03-19

Comment

HBP NYMEX Nat'l Gas Bull+

0.020

Call LEAPs on Canadian Banks: (Leap is a Call option with a long maturity.) He finds the sweet spot are Calls 1 to 3 months out. This will give the highest amount of premium. If they are cheap and you believe in the long-term story of banks, why not.

2009-03-19

PAST TOP SHORT

Denison Mines Corp

DML-T

1.050

(A Top Short March 26/08. Up 63.1%.) Sold Sept 12/08.

2009-03-19

BUY

IBI Group

IBG-T

11.700

(Market Call Minute.) A consolidator of small engineering infrastructure plays. Smart management.

2009-03-19

DON'T BUY

HNU-T

2.490

ETF. Generally, a weak US$ is good for commodity prices including natural gas. Investors would probably like to pick a bottom but no one ever guesses the bottom. This is a very volatile security in a very volatile sector. Suspects the demand for natural gas is going to remain low for quite a period of time.

2009-03-19

DON'T BUY

Agnico-Eagle Mines

AEM-T

65.770

He has a short on this one because he is more worried about their base metal business. Worried about their Q4 report. Would prefer to stick to pure gold.

2009-01-29

PAST TOP PICK

Agrium

AGU-T

42.390

(A Top Pick March 26/08. Down 35.3%.) Sold in June/08 and was up 71%. This is not screening well at all now. Expects demand for fertilizer will go down in 09.

2009-01-29

BUY

Bank of Montreal

BMO-T

32.560

(Market Call Minute.) Would buy it but would write a call option against it.

2009-01-29

Comment

Bank of Nova Scotia

BNS-T

29.850

Has written a $34 February call against this, which gave him $1.50.

2009-01-29

BUY

Valeant Pharmaceuticals

VRX-T

13.660

Healthcare in general is screening very well. Nice yield up 13%. A defensive name. Also likes Neostem (NBS-A) and Cardiome Pharma (COM-T) in this group.

2009-01-29

BUY

Canadian Imperial Bank of Commerce

CM-T

46.710

(Market Call Minute.) Would buy it but would write a call option against it.

2009-01-29

DON'T BUY

Canadian Oil Sands

COS-T

18.500

Not a fan of energy right now. Cut their distribution, which could lead to others doing the same. There are better names.

2009-01-29

HOLD

Veresen Inc

VSN-T

7.690

Good yield at 12.7%.

2009-01-29

PAST TOP PICK

Fording Canadian Coal Trust (Inc Trust)

FDG.UN-T

100.690

(A Top Pick March 26/08. Up 93.3%.) Acquired by Teck Cominco (TCK.B-T)

2009-01-29

DON'T BUY

Kinross Gold

K-T

22.040

Likes gold stocks in general but there is a little political risk on this because of their Russian and Ecuadorian properties. Protectionism could be a problem.

2009-01-29

SHORT

Loblaw Companies Ltd

L-T

35.560

(Market Call Minute.) Has had an amazing run, but the most expensive grocery store in the world right now.

2009-01-29

Comment

Petro-Canada

PCA-T

27.560

Screens well for him but contango price (distant delivery price versus spot) on oil is very much higher than spot, which is very unusual resulting in producers looking for storage. Indicates a tremendous supply out there.

2009-01-29

HOLD