Your take on the selloff today? Pre-election and pickup in Covid cases. No structural changes to the market. Not too concerned yet. Almost business as usual, but we'll have to see if it continues.
Your asset allocation? He looks at all the companies in the world and positions towards those that will do well irrespective of who wins elections in the near future. He's looking to add companies that have overreacted to the downside, and is looking to reduce those companies that have less upside.
Risk of total lockdown again. You have to take the worst case scenario and see which ones will be profitable. Some businesses are benefiting from Covid, so you must figure out whether they will continue to be good investments even when Covid cases drop. He sees opportunities in both growth and value.
Monopoly in Saskatchewan. Disappointing performance. Yield is sustainable. Conservative investment that lets you sleep at night. Not much growth. Not interested until he sees change in strategy from management.
Are pipeline dividends in Canada vulnerable in the same way as in the US? The economics for the Canadian ones are much more sustainable. But you have to look at it case by case. Canada has limited capacity with long-term contracts in place.
Great company, niche expertise. High net cash position. Results from biggest client are solid. Good potential to accumulate at these levels. Great management team. Unique temperature measuring devices for chips. Potential takeout candidate. Buy on weakness.
Can't go wrong if you invest for the long term. Harder to do installations in the Covid environment. Pickup in demand once conditions abate. Might have a few more challenged quarters. One of the best companies on a risk adjusted basis. A good one to accumulate rather than chasing high flyers.
High quality company, really well managed. Inventory levels are down, as vehicle sales have gone up. Inventory levels need to be rebuilt urgently, so Magna will benefit. One to own at these levels.
Disappointing over the last couple of years. Doesn't see prospects to improve. Will remain under pressure. Be careful with this investment. If you can't make it during the boom days, you won't be able to make it during the challenging times.
(A Top Pick Jul 29/20, Up 13%) Continues to deliver. Beat expectations. Good cash position. Remains a prime takeout candidate. Growing organically despite Covid. Helps small and mid-cap companies with their phone and other communications.
(A Top Pick Jul 29/20, Up 17%) #2 in the domain business. A cash cow. Steady and predictable. Also have a mobile business and a fibre business. In this environment, expects them to have many more installations and business should boom. Top management. Would buy at these levels.
Best way to invest in gold now? A safe haven. Uptick in gold prices earlier this year. Not a viable long-term investment. For the conservative investor, better to invest in companies that are cashflow positive and are growing nicely. Hard to predict price of gold. For gold, invest in ETFs, not individual companies. ETFs can be in bullion or miners, but bullion is safer.