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Compiling comments that experts make about stocks while on public TV.

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Richard Croft , President

R.N. Croft Financial Group Inc.

Address
218 Steeles Ave East
Thornhill, ON
L3T 1A6

Contact Info
Telephone: (905) 695-7777
Toll Free: 1-877-249-2884
Fax: (905) 695-9777
Email:
Website: http://www.croftgroup.com/index.htm

Bio:

R. N. Croft Financial Group Inc. is a boutique portfolio management company, providing fully customized discretionary asset management to discriminating investors. Our investment approach combines low cost tax-efficient indexed investment strategies, with targeted active management, and sophisticated options techniques to maximize client returns at any risk level. Our portfolio processes are unique, flexible and comprehensive.

Date Signal Chart Symbol Company Opinion Price
2015-06-29 N/A Must be logged in to use chart A Commentary A Comment -- General Comments From an Expert

Markets. We are down to the end game with Greece, which is a good thing. It has been 5 years trying to sort this out. Had thought the market had paid way too much attention to Greece. It comes down to the uncertainty of the event more than the event itself. Not sure on how it is all going to be played out. His suspicion is that the referendum will be the end game. Even if they vote No to the austerity measures, it doesn’t necessarily mean that they are going to exit the euro zone. It could play out for some time to come. This is a great buying opportunity. You have a crisis that was really not that big of a crisis. We have had an increase in volatility, and one of the things that investors want to keep an eye on is the notion that we have had 5 years of very strong markets without much in the way of a correction. The #1 strategy has been momentum. If you bought momentum stocks in this low volatile environment with low interest rates, you have done very well. As volatility starts to come up and interest rates start to rise, you may start to see a shift into more value kind of strategies or stocks. This is what he is looking at right now.


Price:
$0.020
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
_N/A
2015-06-29 COMMENT Must be logged in to use chart A Commentary A Comment -- General Comments From an Expert

Selling deep in the money Calls on high dividend stocks? This Reduces the cost of the stock to the point where the dividends actually looks very attractive. You are getting a 6.5% yield, whereas if you bought the stock in the market and didn’t Sell the Call, you would get whatever the normal yield would be. The problem is that when you have a “deep in the money” Call, very often you will find that they get assigned early. If you write an option that is a year from now, each quarter when the dividend comes due, that option can go into a point where it has no time value. That option will often get exercised and the other person will take the dividend. Arbitrageurs do that all the time.


Price:
$0.020
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 PAST TOP PICK Must be logged in to use chart BAC-N Bank of America

(A Top Pick May 13/15. Up 10.71%.) January (2017) 17 Call. A rising interest rate environment is good for banks. This one is fairly leveraged to residential mortgages. Thinks they have tremendous earning power, and once that starts to turn, it is going to be a pretty dramatic move. He can see $20 on the stock. Would probably sell half his position if it doubled.


Price:
$16.890
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 COMMENT Must be logged in to use chart BCE-T BCE Inc.

Buying a $60 Jan/17 Call for $1 and Selling a $40 Put? This is a great high dividend paying stock. It is in a mature industry and is a mature company. They have increased their dividends about 9 times in the last 5 years. The Call options are relatively cheap because it is a high dividend paying company. He is not sure that he sees huge growth in the company. By Buying a Call and Selling a Put, what you have actually done is synthetically created a position on the company, so it is going to act pretty much the same as the company stock, up or down. To trade options on this company, he would be writing Puts closer to where the stock’s price is now, may be a $55 Put. If you really think there is a lot of opportunity on the upside, which he doesn’t really think so, you can stay with the $60 Call. He would close out the Put and Sell another Put at the money.


Price:
$52.980
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 COMMENT Must be logged in to use chart BMO-T Bank of Montreal

Sell Puts and Sell a Covered Call 6 months out? This is a very common strategy. What the sale of a Put does is to obligate the investor to Buy the shares of the stock. For example, let’s assume a stock is selling at $75 as share and you sell a $74 Put. You are simply agreeing to buy the stock at $74. That is no different than putting in a limit order. The difference here is that you get paid a premium to wait. People get into trouble with this strategy when they don’t have enough funds to buy all of the stocks that they write Puts on. It is the leverage that causes the problem on the strategy, and nothing more. Nothing wrong with the strategy.


Price:
$74.130
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 TOP PICK Must be logged in to use chart CNQ-T Canadian Natural Rsrcs

Covered Call. This company is a choppier oil company in the energy sector and has very high premiums. The stock was $34 today. You write the $34 Call and you pick up over $3 for January. A seven-month return is about 8.86%, not counting dividends. If it rises, you are not going to get the upside, but you are going to get the 8.86% over 7 months. If it declines, you have production all the way down to $31 a share, and he would simply write another Call in January.


Price:
$33.760
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
No
2015-06-29 PAST TOP PICK Must be logged in to use chart DXJ-N Wisdom Tree Japan Hedged Equity

(A Top Pick May 13/15. Up .04%.) Had thought 2015 would be a consolidation year in the markets and expects we will be in the malaise through to the end of the year. Also, thought the areas of the world, where they were doing a lot of stimulus, would probably play catch-up. Earnings are probably going to be pretty good in the 2nd half of the year, but the problem is you are going to have a weaker currency.


Price:
$56.970
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Yes
2015-06-29 COMMENT Must be logged in to use chart HACK-N PureFunds ISE Cyber Security ETF

If you are marketing an ETF to the public, one of the great things you want to do is to play off of something that is in the news. This is a very narrow focus on a sector that is in the news. It is a higher risk on a very small segment of the market. He would prefer buying some of the companies rather than the ETF such as Palo Alto Networks (PANW-N) or CyberArk Software (CYBR-Q).


Price:
$30.930
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 PAST TOP PICK Must be logged in to use chart HEDJ-N Wisdomtree International Hedged Equity Fund

(A Top Pick May 13/15. Down 2.58%.) He likes this very much. Had thought 2015 would be a consolidation year in the markets, and expects we will be in the malaise through to the end of the year. Also, thought the areas of the world, where they were doing a lot of stimulus, would probably play catch-up. Earnings are probably going to be pretty good in the 2nd half of the year, but the problem is you are going to have a weaker currency.


Price:
$61.580
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Yes
2015-06-29 COMMENT Must be logged in to use chart HEX-T HAP Enhanced Income Equity ETF

He is not exactly sure what they are doing in this. Assumes it is a covered call fund and they are selling Covered Calls against a basket of equities that likely matchup with the TSX 60. His issue is that their prospectus basically says they are going to write covered calls against all of the stocks, all of the positions. If so, this puts the manager into an impossible position. If the stock rises, you are losing it. If it declines, you are writing a Call on a lower price, and you are never going to be able to get back to where you were. When you have a basket of stocks, you are compounding the effect.


Price:
$6.680
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 SELL Must be logged in to use chart HVU-T HBP S&P 500 VIX Short Term Future Bull+

Thinks volatility is going to abate probably tomorrow. These are very short term and are usually traded intraday. If you wanted to be aggressive, he would look at buying a Call on Wisdomtree International Hedged Equity Fund (HEDJ-N). Or you could Buy Calls on Bank of America (BAC-N).


Price:
$4.960
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 COMMENT Must be logged in to use chart ITB-N iShares DJ Home Construction ETF

An ETF that takes advantage of US housing starts and/or home renovations? One would be this or SPDR Homebuilders (XHB-N) as a pure play on homebuilders. Not a bad place to be and you could do very well in the next 2-3 years.


Price:
$27.430
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 COMMENT Must be logged in to use chart SU-T Suncor Energy Inc

Has been writing Covered Calls against most of the oil companies he owns. Likes this as a strategy because if oil companies are doing well, very often the economy is not doing so well. Oil companies tend to be in the top quartile, or certainly in the top half, i.e. higher volatility stocks. He is writing covered calls into December of this year.


Price:
$33.790
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 COMMENT Must be logged in to use chart XHB-N SPDR HOMEBUILDERS E.T.F.

An ETF that takes advantage of US housing starts and/or home renovations? One would be iShares DJ Home Construction (ITB-N), or this one as a pure play on homebuilders. Not a bad place to be and you could do very well in the next 2-3 years.


Price:
$36.490
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
Unknown
2015-06-29 TOP PICK Must be logged in to use chart XLV-N SPDR Health Care E.T.F.

The healthcare sector should probably be one of your core sectors holdings and you can hold this for the long-term. It is a play on major US healthcare providers. There is going to be continued consolidation in the sector, because margins will be squeezed.


Price:
$74.150
Subject:
OPTION STRATEGIES & E.T.F.S
Bias:
OPTIMISTIC
Owned:
No
Showing 1 to 15 of 641 entries
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