The Stock Tips/Investment Advice Thread

[DFO]

Originally Posted by FLAMESRULE

Wasn't Encana going to buy Trident last year for $1Billion, but had to assume $700MM in debt?? I wouldnt touch Trident with a 100' pole. CBM needs gas prices to go up at least 30% from where they are now. Not to mention the lag time between well onstream and actual production to remove the source water.

I've got about 6 junior oil producers (primarily heavy) and 1 gas with 2 heavy metals and 2 Uranium stocks. The mining companies are doing better than the O+G stocks and U308 is the worst after the subprime crash affecting the hedge funds. The price has dropped from about $135/lb to $85/lb.

I'd have a large cash position right now just to wait out and see the royalty issues. May be a chance to get some great deals.

One I would recommend is BQI (Oilsands Quest). Have a huge amount of oilsands, but in Saskatchewan. Unfairly hit over the royalty issue.

Yeah I have BQI in the basket as well. They should have some upside even with the royalty issue - problem is they are starting from the ground floor and won't be producing anytime soon. The upside is that huge land position and the fact they are really the only player on that side of the boarder.

[DFO]

Originally Posted by fotze

Most of their play is in the horseshoe canyon coals, which are water free. There is no dewatering required. The wet Mannville coals you speak of are still barely economic for everyone dabbling in it. The wells in the area have pretty much 100% certainty of success in the area.

If the prices go up to the $13 dollar mark and they got rid of the shady characters they may be decent pickup. They're problem was there were too many hands in the cookie jar, so to speak.

Problem is Trident sunk too much capital into drilling those Mannville wells & creating the infrastructure too quickly. Bad luck for them that gas prices fell off just as they were getting production online. Like you said the wells & concept are sound (seen it first hand) - just not economic right now.

[FLAMESRULE]

Originally Posted by fotze

Most of their play is in the horseshoe canyon coals, which are water free. There is no dewatering required. The wet Mannville coals you speak of are still barely economic for everyone dabbling in it. The wells in the area have pretty much 100% certainty of success in the area.

If the prices go up to the $13 dollar mark and they got rid of the shady characters they may be decent pickup. They're problem was there were too many hands in the cookie jar, so to speak.

Thanks fotze. But yeah, I still wouldnt touch it. Like you mentioned lots of hair on that one. Our new CFO came from Trident, seems like a solid guy. I had a buddy who used to work there as well. Shady was a good way to put it.

U308 is now down to $75/lb...load up on uranium.

[Cowboy89]

Originally Posted by FLAMESRULE

Thanks fotze. But yeah, I still wouldnt touch it. Like you mentioned lots of hair on that one. Our new CFO came from Trident, seems like a solid guy. I had a buddy who used to work there as well. Shady was a good way to put it.

U308 is now down to $75/lb...load up on uranium.

Very good choice my friend. First rule of vulture investing is that underpriced and insolvent = a big fat goose egg for equity holders. Price depressed but half decent interest coverage = good takeover target by industry peers = good premium on stock price in the short term. When Trident is selling equipment on the Daily Oil Bulletin, drilling 2 wells in Q1/07 vs 96 in Q1/06, it's just about over.

[FLAMESRULE]

Originally Posted by Cowboy89

Very good choice my friend. First rule of vulture investing is that underpriced and insolvent = a big fat goose egg for equity holders. Price depressed but half decent interest coverage = good takeover target by industry peers = good premium on stock price in the short term. When Trident is selling equipment on the Daily Oil Bulletin, drilling 2 wells in Q1/07 vs 96 in Q1/06, it's just about over.

### - That is sooo true, and yet people continually get burned.

Another stock, although possibly to late to get in, is Lululemon (LLL), nothing but up up up.

[return to the red]

Originally Posted by FLAMESRULE

### - That is sooo true, and yet people continually get burned.

Another stock, although possibly to late to get in, is Lululemon (LLL), nothing but up up up.

interesting read on Lululemon

http://www.canada.com/nationalpost/f...48c2494&k=7267

[FLAMESRULE]

I've always thought about getting involved in some type of "investing club". It sounds rather nerdy, but as a fairly novice trader any help is appreciated.

Anyone know of some in Calgary?? I'm specifically interested in O+G becuase thats what I know best, but mining and other resources are owned as well.

[Regorium]

How much capital do you guys think is required in order to start your investing career?

I attempted once to play the markets (ie. gamble) with $2000, and that just isn't enough to follow sound investment practices like diversifying, and setting low goals (due to commissions and such).

[Slava]

Originally Posted by Regorium

How much capital do you guys think is required in order to start your investing career?

I attempted once to play the markets (ie. gamble) with $2000, and that just isn't enough to follow sound investment practices like diversifying, and setting low goals (due to commissions and such).

Well this is enough if you are interested/willing to consider vehicles such as mutual funds. In order to diversity properly though with a single security portfolio you would need considerably more.

[FLAMESRULE]

To be honest, its never enough money. As your own trader we are at such a disadvantage its not even funny. The entire stock market is rigged so heavily in favour of the big money managers, stock brokers etc. it would make you sick. But I am prety much addicted to it. Basically gambling for the middle class.

But its always a good time to get invested as quickly as possible, thats the beauty of compound interest. And I always pay myself first. A certain % of my salary goes right into my trading account and into mutual funds or cash.

[Cowboy89]

Originally Posted by Slava

Well this is enough if you are interested/willing to consider vehicles such as mutual funds. In order to diversity properly though with a single security portfolio you would need considerably more.

To further add to Slava's point: For a low-cost investment solution there's few options better than mutual funds (ETF's maybe depending on the transaction costs). However be careful mutual funds can be extremely inefficient due to high MER's, front-ends loads (Back end loads are just dumb unless they are significantly lower than common front-end loads), transaction costs, etc. In many cases (Not all csaes, there are some great funds out there for specialized types of investors) diversified fund managers are just trying to mimic a similar return to a broad index, which takes little work or talent to achieve. No sense on paying those fees and expenses if you can afford not to.

[Cowboy89]

Originally Posted by FLAMESRULE

To be honest, its never enough money. As your own trader we are at such a disadvantage its not even funny. The entire stock market is rigged so heavily in favour of the big money managers, stock brokers etc. it would make you sick. But I am prety much addicted to it. Basically gambling for the middle class.

But its always a good time to get invested as quickly as possible, thats the beauty of compound interest. And I always pay myself first. A certain % of my salary goes right into my trading account and into mutual funds or cash.

Only if you're an active trader. By active trader I mean more than 50 or so trades a year. If you only make trades maybe 10-20 times a year just to rebalance your exposure those factors shouldn't bite you over the long run.

[MoneyGuy]

First rule of acting on stock tips posted on an Internet forum: Be verrrryyyyyy careful.

[Winsor_Pilates]

I have no investments and am fresh out of Uni at my first full time job. I work in real estate so I want to my money into my inside oppurtunities, but what else is good to get started?

RRSPs, mutual funds? help me money gurus

[prarieboy]

Originally Posted by Winsor_Pilates

I have no investments and am fresh out of Uni at my first full time job. I work in real estate so I want to my money into my inside oppurtunities, but what else is good to get started?

RRSPs, mutual funds? help me money gurus

As far as Mutual Funds go buy NO-LOAD funds with a good long term track record and low MER's. (Management Expense Ratio).
You might have to dig around abit as most fund salesman will not offer these to you as they may not get paid to do so.
(or paid very little)
Try looking at Mutual Funds on Globefund.com
It's a great site for researching Mutual Funds performance and costs.

[return to the red]

Originally Posted by prarieboy

As far as Mutual Funds go buy NO-LOAD funds with a good long term track record and low MER's. (Management Expenxe Ratio).
You might have to dig around abit as most fund salesman will not offer these to you as they may not get paid to do so.
(or paid very little)
Try looking at Mutual Funds on Globefund.com
It's a great site for researching Mutual Funds performance and costs.

you forgot to mention avoid the companies that white stamp mutuals

ie. London Life

[prarieboy]

Originally Posted by return to the red

you forgot to mention avoid the companies that white stamp mutuals

ie. London Life

What does "white stamp mutuals" mean?

[return to the red]

Originally Posted by prarieboy

What does "white stamp mutuals" mean?

for example...Candian Resource Mackenzie Fund. A company like London Life adds their name in front of it and makes an additional percent on that or any other fund value that you may hold in your portfolio. So it's actually London Life Canadian Resource Mackenzie Fund

I could be way off on this one but I'm pretty sure this is the basis of it from what I was told. Maybe someone in the business can correct me if I am wrong

[Slava]

Originally Posted by prarieboy

As far as Mutual Funds go buy NO-LOAD funds with a good long term track record and low MER's. (Management Expenxe Ratio).
You might have to dig around abit as most fund salesman will not offer these to you as they may not get paid to do so.
(or paid very little)
Try looking at Mutual Funds on Globefund.com
It's a great site for researching Mutual Funds performance and costs.

This is not necessarily true. Buying funds and having someone get paid to provide advice for you to do so is not all bad (contrary to what some might think!). If you want professional help, then you will have to accept the fact that someone is earning a living providing that advice for you...its not the worst thing in the world, either!

Look at it this way: I could cut my own hair. I know how to use a pair of scissors and I know the hairstyle that I want....I could even save myself some $$ by doing so. Would I do this? Absolutely not! I get far better results by getting it done right!

Lastly, there are deferred service charges which make more sense in many cases. This is a service charge that gradually reduces to zero, generally over 7 years. If you are not planning on withdrawing in those seven years, then you're really not paying any service charge, but still getting professional advice, professional monitoring and professional service along the way. Globefund is cheaper, but its not providing you all of that!

[Phanuthier]

I think there is definatly a use for a financial manager, and they'll get you a comfertable interest, but I don't think you'll be hitting too many jackpots... thats just the way it goes.

I think its worthwhile to get a financial education and invest some yourself too though.