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[music] >> Hello, I'm Greg Bonnell. Welcome to MoneyTalk Live, brought to you by TD Direct Investing.
Every day, I'll be joined by guests from across TD, many of whom you'll only see here.
We're going to take you through what's moving the markets and answer your questions about investing.
Coming up on today's show,We are going to be answering your questions about how to get more out of the WebBroker platform.
Jason Hnatyk, Senior client education sector with TD Direct Investing joins us.
Plus MoneyTalk Anthony will he is going to have a look at any report from TD Securities on the outlook for real estate investment trusts.
So here's how you can get in touch with us.
Just email moneytalklive@td.com or fill out the viewer response box under the video player on WebBroker.
Before we get to our guest of the day, let's get you an update on the markets. A bit of a mixed to session out there to start the week.
Some modest downside for the TSX Composite Index. You are down 51 points, about 1/4 of a percent.
We have the price of gold higher today.
The price of oil, a little bit of a step back ahead of that virtual meeting at later in the week from OPEC that got delayed from this weekend.
So if you cross turns. Let's take a look at some of the most actively traded names on the TSX. Shopify coming out of the Black Friday shopping weekend today, apparently at cyber Monday, up about 4%, at 100 bucks per share, $100.17. They said they had a record weekend for the emergence it globally, $4 billion US in sales. The market likes that news.
First Quantum minerals, they suspended their output from their mind in Panama amid all the opposition to their operations there. They are now turning to arbitration in their dispute with Panama's government.
You have that stock and another 2.4% today, it's been a pretty tough fall for the stock in terms of the price action in the last couple weeks. South of the border, let's check in on the S&P 500, that brought a read of the US market.
We are down a whopping two points right now, about five text, although we are seeing some momentum among some tech names. Let's check in on the tech heavy NASDAQ. It's actually in positive territory the last time I checked.
Indeed, not a huge amount, the attempt of a percent higher but you're up about 13 points. Shopify is listed in New York and it's doing well down there as well. An Amazon, that's another play, right now at 140 bucks and change, it's a fairly modest 1 1/4%.
And that's your market update.
On today show, we will be answering your questions about how to get more out of the WebBroker platform.
Joining us now to help his Jason Hnatyk, Senior client education sector with TD Direct Investing. Jason, always great to have you on the program, great to have you on for a full show.
>> Absolutely. A pleasure to be here. It's a great opportunity for me to walk us through WebBroker. WebBroker is God really boundless amounts of tools that we got available for all investors, whether or not we are scanning the market, looking for a new investment, we are looking to track and see how her own portfolio is doing.
Maybe you want to leverage some charting capability. There is something here for everybody so it's a great chance to walk us through the different tools here on the show. the show. Let's get to them. Here's the first one for you.
IGO, apparently it's an Australian company, someone wants to know if they can purchase it in their Canadian account.
>> Great question.
Let's jump into a broker and I will show us how we can identify the stock and help to learn where we can trade on this particular security.
I'm going to go to the research tab at the top of the page.
Let's go full-screen.
My apologies.
Go into the research tab from the homepage in WebBroker. Under investments, we will choose stocks.
If you are looking to find a particular investment, even if we don't know the symbol, we have the choice up in the search bar at the top right-hand corner.
Let's go and begin our search with IDEO.
IDEO Limited happens to appear here. You can see it has a little US flag next to it. That means this one is trading in US dollars.
Let's go ahead and select that particular choice.
This is showing us the IDEO that is trading on the Pink sheets or the over-the-counter market in the US. This is telling us that it's going to be and ADR, and American depositary receipt, where shares are brought over and put into Investment Forum and can be traded here in the North American markets.
This particular stock, once again, it's trading at 5.79, down two cents, trading in US dollars, you can buy it in your Canadian account but because it's a US company trading in US dollars, there will be a foreign exchange transaction is going to take place on that transaction. Still need to make sure and way whether or not that's going to be worth it for you, if you are not already sitting on a bit of an nest egg of US dollars. There are other options, Canadian Depository Receipts. You would notice that there will be a link at the top of the page under the name of the company for you to toggle her words the Canadian market and buy it there. But as of right now, if you want to buy the stock, it's going to be US dollars only and therefore it would be a foreign exchange transaction in your account.
One final point, clients have the opportunity, if they want to trade specifically on the foreign exchange, we do offer a foreign trading desk. You just need to call in to one of our brokers, they will get you through to those folks and they will get you sorted out and you can go and make that by or trade on major European exchange if it's a different security altogether.
But we can certainly assist you if you want to go to the home exchange as well.
>> Interesting stuff. I didn't know about that. For the pink sheets, when it comes to viewers who are not familiar, what do they need to keep in mind if they want to trade stocks that way?
>> Great question. With the pink sheets, it sometimes is not as much liquidity with those stocks that we want to keep an eye on the volume as well as the spread between the bid in the ass because of something is that trading is actively, that spread can roll a little wider and there might not be as many people lining up to sell you shares or to buy them back from you and it's time to exit, so always being aware of the current quote and when we are thinking about making a purchase or sale, taking advantage of a limit order so we can make sure that we specify the most we are willing to pay or the least we are willing to sell our stocks for so those things should be kept in mind.
>> Interesting stuff there. You mentioned CDRs, Canadian Depository Receipts. Your team has done a great job in the last while making our viewers aware that they are available in WebBroker.
Now we are getting questions.
Are CDRs is subject to US dividend withholding tax if they are held in a TFSA?
>> Yeah, another great question from a viewer.
Keep those questions coming in so we can make the sessions as personal as possible.
Anytime I speak about tax, I want to preface it by saying if you ever have specific questions to your own personal situation, consult your tax professional.
They are the experts on that. It's worth a phone call.
Alright. So with regards to CDRs, just like any dividend that is held in your TFSA that we are getting on a US company, there is going to be withholding tax of the iris charges you because you are holding it outside of an RRSP. If it's a dividend producing you a stock or a CDR is held in an RRSP, there are no taxable consequences but TFSAs are not viewed in the same manner. One of those things whether it's an individual stock or we are thinking about the CDR equivalent, the same tax consequences are likely to apply on your individual position. But now we are talking about taxes. I think that's a nice a way for me to jump in and show you on the platform what are the resources you have available to yourself so we can, your end is fastly approaching here. We are only a few weeks out from the end of the year so let's take a look of a broker.
We can see some tax resources that are available.
The first thing I want to show everybody is where they can go and get their tax documents when you are logged into the platform.
In go ahead and click on accounts at the top of the page. Underneath the account details section, all the way to the bottom, there is documents and e-services.
Alternatively you'll see your name listed the top left hand corner of a broker. If we select that, it says documents and e-services. That is available for you as well.
In this site, you have access to your trade confirmation, your statements as well as action notices from companies when those take place.
In terms of what we are after today, you will notice that there is a tax document section here at the top of the page. If we go ahead and select that, I'm in my demo cancel is very little activity to show off, but when you are in your account, there will be volumes of information depending on how much trading you do, you will see a whole lot more here. What's nice to show, we can go ahead and accept just one year in time or we can always go back and look at all of the years available. WebBroker is very convenient in this way and that the last seven years of information will always be start here so you're not going to have to go leaving for your records. There are available on the platform, you're going to get your trading confirmations, you are income summaries, trading summaries or tax property reports, all in one really easy to use central location. If we are thinking about learning more about tax planning strategies, we have you covered here.
What I'd like to show everybody next is the learned tab at the top of the page.
I will bring us into the video section.
The video section is where we have all of the on-demand very specific content.
We are quickly approaching 400 video so maybe we will have to have a celebration when we reach that milestone. But if we are looking for tax specific information, you can choose the filter that's over here on the right-hand side. If we scroll down, under the how to invest section, there's managing taxes. If we go ahead and apply that filter, we have 24 separate lessons that are going to be diving into topics and areas within taxation, mistakes to avoid, even saving on taxes through RSP investing. We've got oxygen taxation. Lots to cover and learn. I recommend the folks get into the learned sector and take a look at some of these on-demand videos and see how you can best learn from these experts that have been able to share with us here.
>> Lots of resources there. I think you said basically let's have a party because we have a lot of videos. I'm with you, buddy.
>> Sign me up, for sure.
>> We will get back to your questions about WebBroker and Advanced Dashboard for Jason Hnatyk in just a moment sign.
A reminder that you get in touch with us at any time.
Just email moneytalklive@td.com or fill out the viewer response box under the video player on WebBroker.
Right now, let's get you updated on the top stories in the world of business and take a look at how the markets are trading.
Shares of Shopify in the spotlight today.
The e-commerce company saying it's merchant customers set a Black Friday record, or than $4 billion US and combine sales globally. Shopify says that it was clothing, personal care items and jewelry along the top selling product categories.
The market seems to like the news. Shopify shares back up above 100 bucks, 4.2% gain on the session. One of Apple's key suppliers is planning to invest $1.5 billion in a major project in India.
According to securities filings, Foxconn says the product is aim at fulfilling its operational needs.
While China has been a major supplier for companies such as Apple, there has been a significant shift in recent years to moving some of that production to India.
More than 2000 flight attendants at Air Transat have given their union a strike mandate. The collective agreement for the flight attendants expired at the end of October and the union says the next several weeks of talks will be critical.
Today you got Transat A.T. shares at three bucks and three cents, down a little more than 3%. A quick check in on the markets.
We will start at home with the TSX Composite Index. How are we faring on the first trading day of the week? Even though we have gold farming, we have cautious trade in some of the energy names and oil.
It banker and coming in this week two.
You're down 1/3 of a percent. South of the border, let's check in on the S&P 500.
What are we getting there for the broader market? Not much, down a little more than two points. Even though some tech names are putting points on the table, still have a headline number down about five ticks.
We are back with Jason Hnatyk, take your questions about the WebBroker platform, plenty coming in. Let's get to some more of them.
Here's what I know is within your will is.
Can you explain how limit orders were?
>> I can handle this one.
Learning about this is a key step to getting started. If you're more advanced, confirming your understanding to make sure you are on the right track never hurts either.
Limit orders are one of the more popular orders and that's for a number of reasons.
Limit orders are great because they allow customers to specify exactly the most they are willing to pay for something or the lease they are willing to sell a particular investment for, we are talking stocks, ETFs, options, things like that.
Let's jump in on the platform and take a look at our order tickets to see how we can set one up as well as talk to some of the pros and cons of the order. Shopify has been in your update till its use that example.
When we are drying up our order ticket, we can see that the stock is trading just a shade over $100.
As you pointed out, we are up over 4% today. If I was thinking I want to buy this particular stock, but I was concerned because I was only willing to pay let's say $100 per share, no more than that, otherwise I will let it go and think about purchasing at a later date. A limit order would be a good way to do that. My symbol is popped in here at the top of the ticket and we are ready to go.
You need to fill in our quantity on the order ticket. Let's start with 100 shares.
The next stage in the order type, we have to change our price type from market to limit. When we are doing in order ticket, the quote is always going to appear on the right-hand side of the screen. It's a real time but it's not streaming. If you are like me and you're doing some humming and hawing over whether you want to do this or what price you want, if I sat here for any length of time I always want to make sure I give it a quick refresh on the ticket so I know I'm going to get the most accurate representation of the market price on the stock.
Important about knowing about buying and selling is understanding what the bid and ask is telling us.
This is going to play into our limit price on your choosing it. The bid price represents the current order the highest bid to buy. Right now at $100.30. The ask is the lowest number out there willing to sell at the time. I hope that my limit order in, if I was willing to pay $100 per share, and I put that into the limit price, this is telling the market, I willing to buy 100 shares but only willing to pay $100 per share. One of the key things we need to understand about a limit order is that I can guarantee I'm not going to be paying more than $100 but I can never guarantee that I'm going to be filled.
There's nothing to say that the market will ever bring Shopify down.
Owners of Shopify might hope that it never reaches $100 again. But I'm saying I'm willing to enter the market at my limit price of $100.
I can be filled at a lesser price if it does drop down below that limit though.
>> Great primer there are limit orders.
Got another question here for you coming in. Someone wants to know where they can see the US Canadian dollar exchange rate in WebBroker.
>> May be doing some cross-border shopping heading into the holiday season or some exposure to the US market in our portfolio and want to be informed. What broker keeps us up-to-date with that conversion.
I will show you were to find that within the platform, it is easily done.
We are going to go back to the research tab at the top of the page.
From there, we went to select overview.
I've already got the Canadian US dollar exchange rate put in here.
We can see that it's down 0.39 here on the day, the Canadian dollars coming in at 73.31, a bit of a rally over the last number of weeks. We have seen the Canadian never come up in price.
Who's this handsome eye on the screen here? All right.
If you don't happen to see the Canadian US dollar exchange rate on your banner at the top the screen, the way that we can get that in is this edit button that's over here on the right-hand side if we go ahead and use the drop down menu, you can see that these are the opportunities for you to choose different indices, maybe it's not that all you are after but you can go ahead and select that right on the platform so it's good to go.
Beyond that, in the platform, because we want to make this as convenient as possible for all of our users, we also have the opportunity to trading Canadian and US dollars and also giving yourself the opportunity to transfer cash back and forth whether or not it's your Canadian and US component of your RRSP, your TFSA or your margin account, that ability exists right on the broker and that can be accomplished by going to the accounts tab at the top of the page. Under the transfers and withdrawals section, you will notice there is a transfer cash within TD. If we go ahead and choose that, or our viewers that are using the transfer tools with in WebBroker or on the mobile application, this is not going to be a big departure.
It's as easy as selecting the from account, save you want to go from our Canadian account to our US account, I'm in my demo account so there's no cash to move but in your live account you will see the balances and your ability to do this. All you need to do is put in exactly, say you want to do $1000 and then you say you want to move 1000 US and then you hit continue.
If you want to make these transfers happen, if you do it during market hours, it's real time so you're not gonna miss an opportunity to buy or sell. It's going to be available for you to do and it's convenient to accomplish. No fees, no additional charges, it's as easy as a couple of clicks of a mouse.
>> Great stuff.
Another question for you. Someone wants to know where they can find earnings information in Advanced Dashboard. We are jumping up to the next level here.
>> Let's take a look. Advanced Dashboard got so much going on. It was designed with active traders in mind but that doesn't mean that all investors can't use it.
Maybe we are looking to do a little speculation based on how we think earnings are gonna happen so we want to make sure you are armed with the right information.
The top into the platform. I have Advanced Dashboard running on my screen.
Let's transfer that over and move it over here. But I would like to highlight for everybody as you will notice there is a bunch of, a series of workspaces running on top of the different pages, many of them are factory defaults that I've got here, some are others that I have designed for myself. The one we are going to show off is a factory default. It's under analytics.
That's where a lot of the company information is going to be as well as a lot of the fundamental information such as the balance sheet, other important ratios.
Let's take a look.
Let's change off of SPY. That's not the best use case for fundamentals. Let's go back to shop here. So we've got shop on the screen. We can learn all about Shopify, the number of employees, we can learn what the company is all about. This is a new business that has come to our attention.
We can go through look at different analyst information. We contractors have professionals in the industry are raiding the company. You can look for trends in terms of reading changes and things like that. We got our financial statements as the question is asking, we can see we've got a three year back view of what's going on with companies armed with lots of information.
We got dividends so if you want to track to see what dividends, Shopify is not typically going to be paying a dividend but if your company was in question, looking at TD for instance, we could track current and past dividends so we can see the trend we are looking for may be a little bit of increase.
Beyond this, there is still more to come on Advanced Dashboard. We have a really interesting tool called Earnings Analyzer.
You'll notice that we are on our equity analytics submenu within this tab. If I go to the right, the Earnings Analyzer is now going to pop up. What's really interesting about this, this gives us a two-pronged view here.
We not only get our standard candlestick charts but we are also getting of you here on the screen, this blue kind of shaded area, that's the standard deviation on the stock to is giving us an expected move for that particular time frame with about a 67% likelihood. You are arming yourself with some additional probabilities and analytics to help you with your decision-making but also more graphs here for everyone in the Earnings Analyzer, the expected range between analyst opinions and the high-end lows, so we get a sense of how much a consensus is there out of the market. I'm gonna take a quick second here and show you how to create a tab when you're in here in Advanced Dashboard to really show how we can customize and get the most out of it.
So to create a new tab, I'm going to click the plus Button here. It's going to bring me into workspace creation. I'm going to keep it simple. I'm going to choose a square shape and colour earnings.
I'm going to keep it straightforward and we will leave it. After I this earnings workspace on, I'm highlighted in blue on the earnings tab. Right now you have 2+'s on the screen. If I want to go ahead and maybe take a look at the watchlist on the left-hand side, you choose that and from here and in a watchlist like I already created them a platform. Let's say we want to go ahead and use the Earnings Analyzer to put on the right-hand side so I really have the ability to choose and quickly analyse different stocks that are important to me in this perspective.
Under analysis in this particular case, Earnings Analyzer would be the choice for me, to get these two components working together, one less piece of homework, we just need to get them talking on the same channel. Simon ascended for my watchlist and I'm gonna have that received on the Earnings Analyzer.
So anything on the screen, if I choose anything on the left-hand side, let's choose J.P. Morgan, it's the first one that popped into my line of sight, through one click of a mouse, and you are my choices on the left-hand side of the screen, I'm into my Earnings Analyzer so I can look at the standard deviation, I can cross-reference the price action and on the right-hand side of the screen I am getting ranges so I can have a sense of projection of where the market is giving an expected range of stock and move-in over specific point in time.
>> A lot of powerful tools there indeed.
As always, make sure you do your own research before making any investment decisions.
we will get back to your question for Jason Hnatyk on WebBroker in just a moment's time.
A reminder, of course, you can get in touch with us at any time.
Do you have a question about investing or what's driving the markets?
Our guests are eager to hear what's on your mind, so send us your questions.
There are two ways you can get in touch with us.
You can send us an email anytime at moneytalklive@td.com or you can use the question box right below the screen here on WebBroker. Just write in your question and hit send.
We'll see if one of our guests can get you the answer right here at MoneyTalk Live.
All right, we are back with Jason Hnatyk, take your questions about the WebBroker platform. Jason, we are not giving you much time to take a breath.
The audience likes what they are seeing and they have some work for you. Here's another one. How can I compare dividend yield companies that I am monitoring?
>> Yeah, great question here as well. The audiences firing some good ones in. I like to see it.
Just so we can start by saying, yield is the percentage of the annual, underlying stock that is being paid back to owners of the company in the form of dividends.
Let's go ahead and figure out where we can find out where the yield is represented so you can understand if a company is paying dividends and then we will take the next step to cross-reference it against his peers as well as any different was that we are monitoring. Within the platform, I'm going to choose the research tab at the top of the screen.
Under investments, we are going back to stocks.
Let's see what pops up. We know Shopify is not paying much for dividend. Let's go ahead and choose Microsoft for our purposes here. So the first place I'm going to check for if the stock buys the dividend is if I scroll down on the right-hand side, what I'm looking for is dividend yield, so I can see that is showing me .79 so that tells me the annual dividend is .79% of the value of Microsoft shares presently.
The percentage allows us to compare apples to apples. I can compare that yelled against other companies to make sure I'm getting the most bang for my buck when I am making investment decisions for my portfolio. The annual dividend rate, this is how much the company pays on an annual basis, not necessarily on a quarterly dividend basis, dividend frequency will be paid every three months but that's ultimately up to the company just the same way if they are not paying a dividend it's up to the company as well. The next two pieces of information I want to understand here is the ex dividend date and the payable date.
The ex dividend date is telling us before this date, I need to own this stock. If I want to get involved for this round of dividend for Microsoft, November 15, at this point I'm too late. If I buy Microsoft now, I won't be eligible until the next round of dividends which will be approximately three months out in the future.
We now understand a little bit about finding dividends and what it's all about.
Let's do a comparison.
Let's scroll back to the top of the screen.
If we go to the fundamentals tab, there's a really neat feature that I like and that we have available and WebBroker.
Underneath fundamentals, there is a sub- tab called pure comparison.
And here you are not only going to compare Microsoft against the industry average but you can also see it against his closest competitors in its own space in the market. So we scroll down from here, there is a return on assets as well as manual dividend rate. We can see annual dividend rate here, Microsoft .79 and if we follow it off to the right hand side, we can see SAP, they are not paying a dividend.
That's good information to know.
Once again, we are able to see was very low effort how Microsoft is stacking up to its next competitors.
If you're looking to do this across a list of your own choosing versus history competitors of the company. The way you can do that is in the watchlist function in the platform. The easy way to do that is a little star icon that is locked in here. It's the quick access button on everybody screen.
I will choose that. I'm on my banks list here. You can see there are 10 different companies in US and Canadian markets. To find dividend information on a watch list, what I would like to point everybody's attention to his the fundamentals tab.
The dividend yields as well as the ex dividend dates are going to appear on the right hand side.
We will look here at Bank of America.
We've got 3.24% and the ex dividend date is 30 November. If I bought this today, I would be in line to receive this dividend and we can cross-reference it with the other stocks and maybe you need to fill in on your list. Before we move on to this question, there is a WebBroker feature that I think is underappreciated so I want to shine some light on it.
It's right here in the watchlist. As the tracker function. This is the opportunity for users on the platform to create kind of like mock portfolio because it allows you to put in here, if I take a look at Bank of America, this is in 100 shares in my own account, I've been able to say that I bought 100 shares with an average cost of $24.
If I bought for $24 I think I'm doing good at this point in time. If only this was a my really come. But what it's saying is whether or not I'm trying to test at a particular technical analysis way trading or I want to make a trade without actually putting any skin in the game so I could test my own metal, I've got an opportunity to put in quantity as well as shareprice and tracked the progress of that mock portfolio over time so I can build on my skills and my confidence as I get ready to go ahead and put some money were my methods for lack of a better term.
>> Lots of good information there. While we are on the topic of yield, we have someone wondering where they can find out where yield is on money market funds. We took a look at equities there, what about money market funds? Where do you find the old?
>> Regardless of what type of cycle of the economy we are in, that information is always available. We want to make sure our money is working as hard as possible for us. A money market fund can be a good alternative to get interest paid to you and not lock your money in over a long period of time. Souls go ahead and learn about where to find that in the platform.
We are going to go back into web broker here and then under the research tab, we spent a lot of time here because there's a lot of good information here.
We can see it which particular funds have perform best or worst over a predefined period of time.
It's just a way to do a quick scan of the market. But if we are looking after a particular fund category, in this case money markets, we can see next overview is a category section. From here if we scroll down, we can see how they are different diversification opportunities through mutual funds. One opportunity that we can see as we scroll down here's the Canadian money market. There are 190 of these available to be purchased through a broker and if we look to the right, we can see its relative performance over one through 10 years worth of time and it should be no surprise that with the interest rate environment we have seen a big spike in yields on money markets definitely in the near term history. But to get a little more information, we can always go ahead and select the Canadian money market choice here and now we are running and showing you all of the different funds that are available and not only do you get a chance to see MorningStar ratings but MER.
That management expense ratio. This is basically the cost that the fund charges to run and manage the assets that you are potentially buying into. And then we get compare our yields against each other.
We've got the TD Canadian money market class D. D is the preferred class of fund that you are buying here a TD Direct Investing. That's your discount fun. We are a discount broker, it all lines up it makes sense.
TDB2913, if we choose that as an example, there is an opportunity to buy and sell and you can dig deeper and find out more information about those funds. If we go ahead and choose the summary opportunity at the bottom of the screen, here's where we got an opportunity to dig deeper and pull back the layer of the onion and see where we stand.
I want to show everybody at the bottom of the screen, this can be true for any type of mutual fund, not just specific to money markets, if we scroll down towards the bottom and get to see a breakdown, if it's fairly conservative, it has less of a variety of holdings, but if you are looking for aggressive growth and a bond fund there will be a bigger difference in asset classes but you can also scroll down here and right in my brokerage shows you the top 10 holdings of any particular fund and it should be no surprise to anybody about what the top 10 holdings are for a money market. Lastly, I want to show you how we can buy it. It's good opportunity for us to confirm the, that yield that we are looking to get out of the investment.
Just like when we were buying our first money market order, if we buy mutual fund, we can click buy. Everything is as easy as that. It's good to go. The yield is going to be listed on the right-hand side of the screen, okay?
When you're thinking about mutual funds, we are not specifically putting an exact dollar amounts that we want to buy.
We can put per share amounts. We can choose if we want to put in a specific amount, maybe I want to put in $5000, we can do that with mutual funds, unlike with stocks at the present time. Alternatively, you can tell me how many units you want to buy. With a money market account specifically, it's a fixed unit cost of $10 per unit. One last tidbit of information that's important to know is that when we are trading mutual fund, whether or not it's a money market or any fund, 3 PM Eastern time as the cut off. If you want to get your order and for that day. Do you want to make sure you want to get in at three. Anything after three will be for the next market day.
>> Great caveats.
We are going to get back to your questions for Jason Hnatyk on the WebBroker platform in just a moment's time.
As always, make sure you do your own research before making any investment decisions.
and a reminder that you can get in touch with us at any time.
Do you have a question about investing or what's driving the markets?
Our guests are eager to hear what's on your mind, so send us your questions.
There are two ways you can get in touch with us.
You can send us an email anytime at moneytalklive@td.com or you can use the question box right below the screen here on WebBroker. Just write in your question and hit send.
We'll see if one of our guests can get you the answer right here at MoneyTalk Live.
It's no secret to our audience on aggressive central bank rate hikes have weighed on a number of asset classes, including the reach sector. However, it appears that the rate hiking cycle is nearing an end. Is this a good time to start taking another look at the REITs?
Anthony Okolie joins us now to discuss TD Cowen key takeaways from the Q3 results and their outlook for the sector. What are we seeing?
>> Thanks very much. The third quarter results for the real estate sector overall were in line with TD Cowen's expectations.
Some of the key takeaways from the latest earnings season, they did see solid net operating income growth during the third quarter here in North America, again, with the interest rate hiking cycle, interest cost headwinds were easing and that led to decent Adjusted Funds From Operations per unit growth of just over 4% for the weighted average for the index names. That is a new high since the second quarter of 2022.
And just shy of TD Cowen's expectations.
Same property net operating income is also strong in the third quarter. Just over 6%.
That compares to about 5.8% in the second quarter of this year.
Looking ahead, TD Cowen is forecasting the same property and operating income growth before things slow down a bit to just under 5% in 2024 and 4.3% in 2025.
Some other key observations from TD Cowen during the third quarter, they said the planned residential construction starts were on hold until interest rates stabilized but they did see that on you retail development was final rebounding after better 10 year slump.
Some other observations, losses accelerated in the third quarter for the diversified residential and office REITs, due to the recent rise in long-term interest rates. Overall, TD Cowen did observe a slower pace of distribution hikes, no increases versus the typical patterns, or outright pots in some smaller cap highly levered names.
This has an impact on liquidity going forward. TD Cowen forecasts growth of just over 5%. That compares to their 5.3% forecast previously. They believe that the seniors rate sector will lead the way out +19% growth versus 9% growth in industrials and 7% for residential.
Speaking on seniors, TD Cowen expects rise in occupancy for senior REITs, and they expect to see higher rents and an easing of costs there. For residential, apartment fundamentals will strengthen into next year.
Finally, TD Cowen also notes that with sector trading valuations remaining highly correlated to interest rates, in their view, it sets up a positive catalyst for they see unit prices trending towards asset values one or should interest rates move lower.
>> They are clearly seeing some positives there going forward in some key parts of the REITs base. What about some of the risks?
>> Within residential, interest rate fluctuations, within the senior sector, impacts or waves of COVID 19, potential outbreak of any illness or virus, tenant liability claims or to some of the key risks there. It was in industrials, they talk about just in general economic conditions as well as demand for space, also lots of key management fluctuations on interest rates and cost pressures of some of the key risks they have highlighted.
>> Interesting stuff. Thanks.
>> My pleasure.
>> MoneyTalk's Anthony Okolie.
Now for an update on the markets. We are taking a look at TD Advanced Dashboard, platform designed for active traders available through TD Direct Investing.
This is a heat map function. We are looking at the TSX 60, scanning by price and volume. There is a name standing up.
That would be Shopify, 4 1/2% today. They put out a releasing the Black Friday sales that carried to the we can made it more than $4 billion globally US in sales for its merchant customers. The market seems to like the sound of that. You also some of the mining stocks that are closely associated with gold, including Barrick Gold, ABX or Kinross, a modestly about a percent or a percent and 1/2, the rising price of gold and some easing recently in the US back. We have pressure on the screen including it in industrials.
CN Rail now it down and CP real down as well. Let's shift south of the border. We will screen to the S&P 100. Black Friday goes to the weekend and gives way to cyber Monday. Let's look at the retail plays including Amazon, up about 1 1/3%. I noticed PayPal is up about 1 1/2% his wall, tiding down there at the bottom of the screen. A bit more of a mixed picture in the energy space. We are still waiting on the OPEC meeting later this week, a lot of questions on what that they can come to an agreement within their own group about supply levels. You've got Exxon and Chevron down more than 1%. You can get more information on TD Advanced Dashboard by visiting TD.com/Advanced Dashboard.
Let's get back to Jason Hnatyk from TD direct and think, take your questions about the WebBroker platform.
How can I compare different chairs… This is like a tongue twister. How can I compare preferred shares, Jason?
>> That's a tough one.
I'm glad it's you reading these questions to me and not the other way around. That's the hard part.
Let's get on the platform and I will show you some tools available for preferred shares. The first thing I want to show off to everyone here is we have a lot of reports that are available on my broker, some for TD and TD Securities and others from trusted sources outside of the company as well.
Let's show off that first of all.
Under the market section, we've got reports. The reporter went ahead for everybody here is our monthly preferred share report. It's an opportunity to hear from the folks at TD Securities, see what they are saying and look to get some additional insight from the group so we can be better informed and you might even find something you want to add to your watchlist.
You can continue to evaluate it over time.
But over here in research there is the preferred share report which will pop up on your screen after you selected.
Next I want to show the audience how we can use our screeners to good effect to find preferred shares.
I'm going back to the trustee research tab. Under tools, we have screeners.
We've been to the Sweeter section in this program many times before. It's a very versatile area on the website. We have an opportunity to screen for stocks, technical advance, mutual funds, ETFs. We were looking at some money market funds, you can screen for them on this particular section as well.
We are going to go ahead and stay right on stocks. It comes predefined with some criteria already selected. I'm going to clear that off so we can start from scratch just to build a really basic kind of really broad net we are going to cast when looking for preferred shares. The first thing I want to screen for is going to be shared type.
Common shares is your most commonly used.
We were looking at Shopify on the heat map and Advanced Dashboard, as well as when we were doing the limit order, that your common share when you're buying and selling in the market. There are other types of shares. If we look at common shares in school now, we've got also to other choices we can look at, trust units as well as preferred shares. They are going to be a bit of a mix between fixed income as well is a… They are giving us some exposure to price but looking to generate some additional yield on the company is going to pay for us.
If we just want to keep it as broad as we got it today, we've got 878 preferred shares that are available. If you want to know that focus on a little bit let's do that. If we go down and choose more criteria, this brings us to a wide assortment of different criteria. You can narrow down your search with.
Let's go back to when we were talking about earlier, less choose dividend yield.
This allows us to make sure that we are getting once again that bang for our buck.
You can set a minimum and a maximum. I want to move this out. You can move the slider or type in the box below. I moved to 5%. Let's see if we can narrow this down if we are looking to keep spending Canadian dollars as opposed to looking at our US account. You got shared type, dividend yield. We have now narrowed our sites down to simply 297.
That's quite a lot but once again is your opportunity to continue to build on this.
You got all of these preferred shares available for investment down below.
You can go ahead and click on the title to find out more information or the drop-down menu can get you into buying and selling or into the overview section which we are all familiar with now so we go ahead and start picking apart the company to get more information, whether we are looking at a chart or more of its fundamentals like we have in the past.
>> Jason, great stuff as always. The show just flew by. I really enjoyed it. I know the audience learned a lot. I look forward to the next one.
>> Yeah, it was my pleasure to be here.
I hope the audience got something out of this. Looking forward to doing this again.
>> We will be calling on you pretty soon.
Thanks, buddy.
>> Cheers, have a great day.
>> Our thanks to Jason Hnatyk, senior client education instructor a TD Direct Investing.
As always, make sure you do your own research before making any investment decisions.
stay tuned for tomorrow's show, Maria Solovieva, Economist at TD will be our guests.
You can get a head start with your questions by emailing moneytalklive@td.com. That's all the time we have the show today. Thank you for watching. We will see you tomorrow.
[music]
Every day, I'll be joined by guests from across TD, many of whom you'll only see here.
We're going to take you through what's moving the markets and answer your questions about investing.
Coming up on today's show,We are going to be answering your questions about how to get more out of the WebBroker platform.
Jason Hnatyk, Senior client education sector with TD Direct Investing joins us.
Plus MoneyTalk Anthony will he is going to have a look at any report from TD Securities on the outlook for real estate investment trusts.
So here's how you can get in touch with us.
Just email moneytalklive@td.com or fill out the viewer response box under the video player on WebBroker.
Before we get to our guest of the day, let's get you an update on the markets. A bit of a mixed to session out there to start the week.
Some modest downside for the TSX Composite Index. You are down 51 points, about 1/4 of a percent.
We have the price of gold higher today.
The price of oil, a little bit of a step back ahead of that virtual meeting at later in the week from OPEC that got delayed from this weekend.
So if you cross turns. Let's take a look at some of the most actively traded names on the TSX. Shopify coming out of the Black Friday shopping weekend today, apparently at cyber Monday, up about 4%, at 100 bucks per share, $100.17. They said they had a record weekend for the emergence it globally, $4 billion US in sales. The market likes that news.
First Quantum minerals, they suspended their output from their mind in Panama amid all the opposition to their operations there. They are now turning to arbitration in their dispute with Panama's government.
You have that stock and another 2.4% today, it's been a pretty tough fall for the stock in terms of the price action in the last couple weeks. South of the border, let's check in on the S&P 500, that brought a read of the US market.
We are down a whopping two points right now, about five text, although we are seeing some momentum among some tech names. Let's check in on the tech heavy NASDAQ. It's actually in positive territory the last time I checked.
Indeed, not a huge amount, the attempt of a percent higher but you're up about 13 points. Shopify is listed in New York and it's doing well down there as well. An Amazon, that's another play, right now at 140 bucks and change, it's a fairly modest 1 1/4%.
And that's your market update.
On today show, we will be answering your questions about how to get more out of the WebBroker platform.
Joining us now to help his Jason Hnatyk, Senior client education sector with TD Direct Investing. Jason, always great to have you on the program, great to have you on for a full show.
>> Absolutely. A pleasure to be here. It's a great opportunity for me to walk us through WebBroker. WebBroker is God really boundless amounts of tools that we got available for all investors, whether or not we are scanning the market, looking for a new investment, we are looking to track and see how her own portfolio is doing.
Maybe you want to leverage some charting capability. There is something here for everybody so it's a great chance to walk us through the different tools here on the show. the show. Let's get to them. Here's the first one for you.
IGO, apparently it's an Australian company, someone wants to know if they can purchase it in their Canadian account.
>> Great question.
Let's jump into a broker and I will show us how we can identify the stock and help to learn where we can trade on this particular security.
I'm going to go to the research tab at the top of the page.
Let's go full-screen.
My apologies.
Go into the research tab from the homepage in WebBroker. Under investments, we will choose stocks.
If you are looking to find a particular investment, even if we don't know the symbol, we have the choice up in the search bar at the top right-hand corner.
Let's go and begin our search with IDEO.
IDEO Limited happens to appear here. You can see it has a little US flag next to it. That means this one is trading in US dollars.
Let's go ahead and select that particular choice.
This is showing us the IDEO that is trading on the Pink sheets or the over-the-counter market in the US. This is telling us that it's going to be and ADR, and American depositary receipt, where shares are brought over and put into Investment Forum and can be traded here in the North American markets.
This particular stock, once again, it's trading at 5.79, down two cents, trading in US dollars, you can buy it in your Canadian account but because it's a US company trading in US dollars, there will be a foreign exchange transaction is going to take place on that transaction. Still need to make sure and way whether or not that's going to be worth it for you, if you are not already sitting on a bit of an nest egg of US dollars. There are other options, Canadian Depository Receipts. You would notice that there will be a link at the top of the page under the name of the company for you to toggle her words the Canadian market and buy it there. But as of right now, if you want to buy the stock, it's going to be US dollars only and therefore it would be a foreign exchange transaction in your account.
One final point, clients have the opportunity, if they want to trade specifically on the foreign exchange, we do offer a foreign trading desk. You just need to call in to one of our brokers, they will get you through to those folks and they will get you sorted out and you can go and make that by or trade on major European exchange if it's a different security altogether.
But we can certainly assist you if you want to go to the home exchange as well.
>> Interesting stuff. I didn't know about that. For the pink sheets, when it comes to viewers who are not familiar, what do they need to keep in mind if they want to trade stocks that way?
>> Great question. With the pink sheets, it sometimes is not as much liquidity with those stocks that we want to keep an eye on the volume as well as the spread between the bid in the ass because of something is that trading is actively, that spread can roll a little wider and there might not be as many people lining up to sell you shares or to buy them back from you and it's time to exit, so always being aware of the current quote and when we are thinking about making a purchase or sale, taking advantage of a limit order so we can make sure that we specify the most we are willing to pay or the least we are willing to sell our stocks for so those things should be kept in mind.
>> Interesting stuff there. You mentioned CDRs, Canadian Depository Receipts. Your team has done a great job in the last while making our viewers aware that they are available in WebBroker.
Now we are getting questions.
Are CDRs is subject to US dividend withholding tax if they are held in a TFSA?
>> Yeah, another great question from a viewer.
Keep those questions coming in so we can make the sessions as personal as possible.
Anytime I speak about tax, I want to preface it by saying if you ever have specific questions to your own personal situation, consult your tax professional.
They are the experts on that. It's worth a phone call.
Alright. So with regards to CDRs, just like any dividend that is held in your TFSA that we are getting on a US company, there is going to be withholding tax of the iris charges you because you are holding it outside of an RRSP. If it's a dividend producing you a stock or a CDR is held in an RRSP, there are no taxable consequences but TFSAs are not viewed in the same manner. One of those things whether it's an individual stock or we are thinking about the CDR equivalent, the same tax consequences are likely to apply on your individual position. But now we are talking about taxes. I think that's a nice a way for me to jump in and show you on the platform what are the resources you have available to yourself so we can, your end is fastly approaching here. We are only a few weeks out from the end of the year so let's take a look of a broker.
We can see some tax resources that are available.
The first thing I want to show everybody is where they can go and get their tax documents when you are logged into the platform.
In go ahead and click on accounts at the top of the page. Underneath the account details section, all the way to the bottom, there is documents and e-services.
Alternatively you'll see your name listed the top left hand corner of a broker. If we select that, it says documents and e-services. That is available for you as well.
In this site, you have access to your trade confirmation, your statements as well as action notices from companies when those take place.
In terms of what we are after today, you will notice that there is a tax document section here at the top of the page. If we go ahead and select that, I'm in my demo cancel is very little activity to show off, but when you are in your account, there will be volumes of information depending on how much trading you do, you will see a whole lot more here. What's nice to show, we can go ahead and accept just one year in time or we can always go back and look at all of the years available. WebBroker is very convenient in this way and that the last seven years of information will always be start here so you're not going to have to go leaving for your records. There are available on the platform, you're going to get your trading confirmations, you are income summaries, trading summaries or tax property reports, all in one really easy to use central location. If we are thinking about learning more about tax planning strategies, we have you covered here.
What I'd like to show everybody next is the learned tab at the top of the page.
I will bring us into the video section.
The video section is where we have all of the on-demand very specific content.
We are quickly approaching 400 video so maybe we will have to have a celebration when we reach that milestone. But if we are looking for tax specific information, you can choose the filter that's over here on the right-hand side. If we scroll down, under the how to invest section, there's managing taxes. If we go ahead and apply that filter, we have 24 separate lessons that are going to be diving into topics and areas within taxation, mistakes to avoid, even saving on taxes through RSP investing. We've got oxygen taxation. Lots to cover and learn. I recommend the folks get into the learned sector and take a look at some of these on-demand videos and see how you can best learn from these experts that have been able to share with us here.
>> Lots of resources there. I think you said basically let's have a party because we have a lot of videos. I'm with you, buddy.
>> Sign me up, for sure.
>> We will get back to your questions about WebBroker and Advanced Dashboard for Jason Hnatyk in just a moment sign.
A reminder that you get in touch with us at any time.
Just email moneytalklive@td.com or fill out the viewer response box under the video player on WebBroker.
Right now, let's get you updated on the top stories in the world of business and take a look at how the markets are trading.
Shares of Shopify in the spotlight today.
The e-commerce company saying it's merchant customers set a Black Friday record, or than $4 billion US and combine sales globally. Shopify says that it was clothing, personal care items and jewelry along the top selling product categories.
The market seems to like the news. Shopify shares back up above 100 bucks, 4.2% gain on the session. One of Apple's key suppliers is planning to invest $1.5 billion in a major project in India.
According to securities filings, Foxconn says the product is aim at fulfilling its operational needs.
While China has been a major supplier for companies such as Apple, there has been a significant shift in recent years to moving some of that production to India.
More than 2000 flight attendants at Air Transat have given their union a strike mandate. The collective agreement for the flight attendants expired at the end of October and the union says the next several weeks of talks will be critical.
Today you got Transat A.T. shares at three bucks and three cents, down a little more than 3%. A quick check in on the markets.
We will start at home with the TSX Composite Index. How are we faring on the first trading day of the week? Even though we have gold farming, we have cautious trade in some of the energy names and oil.
It banker and coming in this week two.
You're down 1/3 of a percent. South of the border, let's check in on the S&P 500.
What are we getting there for the broader market? Not much, down a little more than two points. Even though some tech names are putting points on the table, still have a headline number down about five ticks.
We are back with Jason Hnatyk, take your questions about the WebBroker platform, plenty coming in. Let's get to some more of them.
Here's what I know is within your will is.
Can you explain how limit orders were?
>> I can handle this one.
Learning about this is a key step to getting started. If you're more advanced, confirming your understanding to make sure you are on the right track never hurts either.
Limit orders are one of the more popular orders and that's for a number of reasons.
Limit orders are great because they allow customers to specify exactly the most they are willing to pay for something or the lease they are willing to sell a particular investment for, we are talking stocks, ETFs, options, things like that.
Let's jump in on the platform and take a look at our order tickets to see how we can set one up as well as talk to some of the pros and cons of the order. Shopify has been in your update till its use that example.
When we are drying up our order ticket, we can see that the stock is trading just a shade over $100.
As you pointed out, we are up over 4% today. If I was thinking I want to buy this particular stock, but I was concerned because I was only willing to pay let's say $100 per share, no more than that, otherwise I will let it go and think about purchasing at a later date. A limit order would be a good way to do that. My symbol is popped in here at the top of the ticket and we are ready to go.
You need to fill in our quantity on the order ticket. Let's start with 100 shares.
The next stage in the order type, we have to change our price type from market to limit. When we are doing in order ticket, the quote is always going to appear on the right-hand side of the screen. It's a real time but it's not streaming. If you are like me and you're doing some humming and hawing over whether you want to do this or what price you want, if I sat here for any length of time I always want to make sure I give it a quick refresh on the ticket so I know I'm going to get the most accurate representation of the market price on the stock.
Important about knowing about buying and selling is understanding what the bid and ask is telling us.
This is going to play into our limit price on your choosing it. The bid price represents the current order the highest bid to buy. Right now at $100.30. The ask is the lowest number out there willing to sell at the time. I hope that my limit order in, if I was willing to pay $100 per share, and I put that into the limit price, this is telling the market, I willing to buy 100 shares but only willing to pay $100 per share. One of the key things we need to understand about a limit order is that I can guarantee I'm not going to be paying more than $100 but I can never guarantee that I'm going to be filled.
There's nothing to say that the market will ever bring Shopify down.
Owners of Shopify might hope that it never reaches $100 again. But I'm saying I'm willing to enter the market at my limit price of $100.
I can be filled at a lesser price if it does drop down below that limit though.
>> Great primer there are limit orders.
Got another question here for you coming in. Someone wants to know where they can see the US Canadian dollar exchange rate in WebBroker.
>> May be doing some cross-border shopping heading into the holiday season or some exposure to the US market in our portfolio and want to be informed. What broker keeps us up-to-date with that conversion.
I will show you were to find that within the platform, it is easily done.
We are going to go back to the research tab at the top of the page.
From there, we went to select overview.
I've already got the Canadian US dollar exchange rate put in here.
We can see that it's down 0.39 here on the day, the Canadian dollars coming in at 73.31, a bit of a rally over the last number of weeks. We have seen the Canadian never come up in price.
Who's this handsome eye on the screen here? All right.
If you don't happen to see the Canadian US dollar exchange rate on your banner at the top the screen, the way that we can get that in is this edit button that's over here on the right-hand side if we go ahead and use the drop down menu, you can see that these are the opportunities for you to choose different indices, maybe it's not that all you are after but you can go ahead and select that right on the platform so it's good to go.
Beyond that, in the platform, because we want to make this as convenient as possible for all of our users, we also have the opportunity to trading Canadian and US dollars and also giving yourself the opportunity to transfer cash back and forth whether or not it's your Canadian and US component of your RRSP, your TFSA or your margin account, that ability exists right on the broker and that can be accomplished by going to the accounts tab at the top of the page. Under the transfers and withdrawals section, you will notice there is a transfer cash within TD. If we go ahead and choose that, or our viewers that are using the transfer tools with in WebBroker or on the mobile application, this is not going to be a big departure.
It's as easy as selecting the from account, save you want to go from our Canadian account to our US account, I'm in my demo account so there's no cash to move but in your live account you will see the balances and your ability to do this. All you need to do is put in exactly, say you want to do $1000 and then you say you want to move 1000 US and then you hit continue.
If you want to make these transfers happen, if you do it during market hours, it's real time so you're not gonna miss an opportunity to buy or sell. It's going to be available for you to do and it's convenient to accomplish. No fees, no additional charges, it's as easy as a couple of clicks of a mouse.
>> Great stuff.
Another question for you. Someone wants to know where they can find earnings information in Advanced Dashboard. We are jumping up to the next level here.
>> Let's take a look. Advanced Dashboard got so much going on. It was designed with active traders in mind but that doesn't mean that all investors can't use it.
Maybe we are looking to do a little speculation based on how we think earnings are gonna happen so we want to make sure you are armed with the right information.
The top into the platform. I have Advanced Dashboard running on my screen.
Let's transfer that over and move it over here. But I would like to highlight for everybody as you will notice there is a bunch of, a series of workspaces running on top of the different pages, many of them are factory defaults that I've got here, some are others that I have designed for myself. The one we are going to show off is a factory default. It's under analytics.
That's where a lot of the company information is going to be as well as a lot of the fundamental information such as the balance sheet, other important ratios.
Let's take a look.
Let's change off of SPY. That's not the best use case for fundamentals. Let's go back to shop here. So we've got shop on the screen. We can learn all about Shopify, the number of employees, we can learn what the company is all about. This is a new business that has come to our attention.
We can go through look at different analyst information. We contractors have professionals in the industry are raiding the company. You can look for trends in terms of reading changes and things like that. We got our financial statements as the question is asking, we can see we've got a three year back view of what's going on with companies armed with lots of information.
We got dividends so if you want to track to see what dividends, Shopify is not typically going to be paying a dividend but if your company was in question, looking at TD for instance, we could track current and past dividends so we can see the trend we are looking for may be a little bit of increase.
Beyond this, there is still more to come on Advanced Dashboard. We have a really interesting tool called Earnings Analyzer.
You'll notice that we are on our equity analytics submenu within this tab. If I go to the right, the Earnings Analyzer is now going to pop up. What's really interesting about this, this gives us a two-pronged view here.
We not only get our standard candlestick charts but we are also getting of you here on the screen, this blue kind of shaded area, that's the standard deviation on the stock to is giving us an expected move for that particular time frame with about a 67% likelihood. You are arming yourself with some additional probabilities and analytics to help you with your decision-making but also more graphs here for everyone in the Earnings Analyzer, the expected range between analyst opinions and the high-end lows, so we get a sense of how much a consensus is there out of the market. I'm gonna take a quick second here and show you how to create a tab when you're in here in Advanced Dashboard to really show how we can customize and get the most out of it.
So to create a new tab, I'm going to click the plus Button here. It's going to bring me into workspace creation. I'm going to keep it simple. I'm going to choose a square shape and colour earnings.
I'm going to keep it straightforward and we will leave it. After I this earnings workspace on, I'm highlighted in blue on the earnings tab. Right now you have 2+'s on the screen. If I want to go ahead and maybe take a look at the watchlist on the left-hand side, you choose that and from here and in a watchlist like I already created them a platform. Let's say we want to go ahead and use the Earnings Analyzer to put on the right-hand side so I really have the ability to choose and quickly analyse different stocks that are important to me in this perspective.
Under analysis in this particular case, Earnings Analyzer would be the choice for me, to get these two components working together, one less piece of homework, we just need to get them talking on the same channel. Simon ascended for my watchlist and I'm gonna have that received on the Earnings Analyzer.
So anything on the screen, if I choose anything on the left-hand side, let's choose J.P. Morgan, it's the first one that popped into my line of sight, through one click of a mouse, and you are my choices on the left-hand side of the screen, I'm into my Earnings Analyzer so I can look at the standard deviation, I can cross-reference the price action and on the right-hand side of the screen I am getting ranges so I can have a sense of projection of where the market is giving an expected range of stock and move-in over specific point in time.
>> A lot of powerful tools there indeed.
As always, make sure you do your own research before making any investment decisions.
we will get back to your question for Jason Hnatyk on WebBroker in just a moment's time.
A reminder, of course, you can get in touch with us at any time.
Do you have a question about investing or what's driving the markets?
Our guests are eager to hear what's on your mind, so send us your questions.
There are two ways you can get in touch with us.
You can send us an email anytime at moneytalklive@td.com or you can use the question box right below the screen here on WebBroker. Just write in your question and hit send.
We'll see if one of our guests can get you the answer right here at MoneyTalk Live.
All right, we are back with Jason Hnatyk, take your questions about the WebBroker platform. Jason, we are not giving you much time to take a breath.
The audience likes what they are seeing and they have some work for you. Here's another one. How can I compare dividend yield companies that I am monitoring?
>> Yeah, great question here as well. The audiences firing some good ones in. I like to see it.
Just so we can start by saying, yield is the percentage of the annual, underlying stock that is being paid back to owners of the company in the form of dividends.
Let's go ahead and figure out where we can find out where the yield is represented so you can understand if a company is paying dividends and then we will take the next step to cross-reference it against his peers as well as any different was that we are monitoring. Within the platform, I'm going to choose the research tab at the top of the screen.
Under investments, we are going back to stocks.
Let's see what pops up. We know Shopify is not paying much for dividend. Let's go ahead and choose Microsoft for our purposes here. So the first place I'm going to check for if the stock buys the dividend is if I scroll down on the right-hand side, what I'm looking for is dividend yield, so I can see that is showing me .79 so that tells me the annual dividend is .79% of the value of Microsoft shares presently.
The percentage allows us to compare apples to apples. I can compare that yelled against other companies to make sure I'm getting the most bang for my buck when I am making investment decisions for my portfolio. The annual dividend rate, this is how much the company pays on an annual basis, not necessarily on a quarterly dividend basis, dividend frequency will be paid every three months but that's ultimately up to the company just the same way if they are not paying a dividend it's up to the company as well. The next two pieces of information I want to understand here is the ex dividend date and the payable date.
The ex dividend date is telling us before this date, I need to own this stock. If I want to get involved for this round of dividend for Microsoft, November 15, at this point I'm too late. If I buy Microsoft now, I won't be eligible until the next round of dividends which will be approximately three months out in the future.
We now understand a little bit about finding dividends and what it's all about.
Let's do a comparison.
Let's scroll back to the top of the screen.
If we go to the fundamentals tab, there's a really neat feature that I like and that we have available and WebBroker.
Underneath fundamentals, there is a sub- tab called pure comparison.
And here you are not only going to compare Microsoft against the industry average but you can also see it against his closest competitors in its own space in the market. So we scroll down from here, there is a return on assets as well as manual dividend rate. We can see annual dividend rate here, Microsoft .79 and if we follow it off to the right hand side, we can see SAP, they are not paying a dividend.
That's good information to know.
Once again, we are able to see was very low effort how Microsoft is stacking up to its next competitors.
If you're looking to do this across a list of your own choosing versus history competitors of the company. The way you can do that is in the watchlist function in the platform. The easy way to do that is a little star icon that is locked in here. It's the quick access button on everybody screen.
I will choose that. I'm on my banks list here. You can see there are 10 different companies in US and Canadian markets. To find dividend information on a watch list, what I would like to point everybody's attention to his the fundamentals tab.
The dividend yields as well as the ex dividend dates are going to appear on the right hand side.
We will look here at Bank of America.
We've got 3.24% and the ex dividend date is 30 November. If I bought this today, I would be in line to receive this dividend and we can cross-reference it with the other stocks and maybe you need to fill in on your list. Before we move on to this question, there is a WebBroker feature that I think is underappreciated so I want to shine some light on it.
It's right here in the watchlist. As the tracker function. This is the opportunity for users on the platform to create kind of like mock portfolio because it allows you to put in here, if I take a look at Bank of America, this is in 100 shares in my own account, I've been able to say that I bought 100 shares with an average cost of $24.
If I bought for $24 I think I'm doing good at this point in time. If only this was a my really come. But what it's saying is whether or not I'm trying to test at a particular technical analysis way trading or I want to make a trade without actually putting any skin in the game so I could test my own metal, I've got an opportunity to put in quantity as well as shareprice and tracked the progress of that mock portfolio over time so I can build on my skills and my confidence as I get ready to go ahead and put some money were my methods for lack of a better term.
>> Lots of good information there. While we are on the topic of yield, we have someone wondering where they can find out where yield is on money market funds. We took a look at equities there, what about money market funds? Where do you find the old?
>> Regardless of what type of cycle of the economy we are in, that information is always available. We want to make sure our money is working as hard as possible for us. A money market fund can be a good alternative to get interest paid to you and not lock your money in over a long period of time. Souls go ahead and learn about where to find that in the platform.
We are going to go back into web broker here and then under the research tab, we spent a lot of time here because there's a lot of good information here.
We can see it which particular funds have perform best or worst over a predefined period of time.
It's just a way to do a quick scan of the market. But if we are looking after a particular fund category, in this case money markets, we can see next overview is a category section. From here if we scroll down, we can see how they are different diversification opportunities through mutual funds. One opportunity that we can see as we scroll down here's the Canadian money market. There are 190 of these available to be purchased through a broker and if we look to the right, we can see its relative performance over one through 10 years worth of time and it should be no surprise that with the interest rate environment we have seen a big spike in yields on money markets definitely in the near term history. But to get a little more information, we can always go ahead and select the Canadian money market choice here and now we are running and showing you all of the different funds that are available and not only do you get a chance to see MorningStar ratings but MER.
That management expense ratio. This is basically the cost that the fund charges to run and manage the assets that you are potentially buying into. And then we get compare our yields against each other.
We've got the TD Canadian money market class D. D is the preferred class of fund that you are buying here a TD Direct Investing. That's your discount fun. We are a discount broker, it all lines up it makes sense.
TDB2913, if we choose that as an example, there is an opportunity to buy and sell and you can dig deeper and find out more information about those funds. If we go ahead and choose the summary opportunity at the bottom of the screen, here's where we got an opportunity to dig deeper and pull back the layer of the onion and see where we stand.
I want to show everybody at the bottom of the screen, this can be true for any type of mutual fund, not just specific to money markets, if we scroll down towards the bottom and get to see a breakdown, if it's fairly conservative, it has less of a variety of holdings, but if you are looking for aggressive growth and a bond fund there will be a bigger difference in asset classes but you can also scroll down here and right in my brokerage shows you the top 10 holdings of any particular fund and it should be no surprise to anybody about what the top 10 holdings are for a money market. Lastly, I want to show you how we can buy it. It's good opportunity for us to confirm the, that yield that we are looking to get out of the investment.
Just like when we were buying our first money market order, if we buy mutual fund, we can click buy. Everything is as easy as that. It's good to go. The yield is going to be listed on the right-hand side of the screen, okay?
When you're thinking about mutual funds, we are not specifically putting an exact dollar amounts that we want to buy.
We can put per share amounts. We can choose if we want to put in a specific amount, maybe I want to put in $5000, we can do that with mutual funds, unlike with stocks at the present time. Alternatively, you can tell me how many units you want to buy. With a money market account specifically, it's a fixed unit cost of $10 per unit. One last tidbit of information that's important to know is that when we are trading mutual fund, whether or not it's a money market or any fund, 3 PM Eastern time as the cut off. If you want to get your order and for that day. Do you want to make sure you want to get in at three. Anything after three will be for the next market day.
>> Great caveats.
We are going to get back to your questions for Jason Hnatyk on the WebBroker platform in just a moment's time.
As always, make sure you do your own research before making any investment decisions.
and a reminder that you can get in touch with us at any time.
Do you have a question about investing or what's driving the markets?
Our guests are eager to hear what's on your mind, so send us your questions.
There are two ways you can get in touch with us.
You can send us an email anytime at moneytalklive@td.com or you can use the question box right below the screen here on WebBroker. Just write in your question and hit send.
We'll see if one of our guests can get you the answer right here at MoneyTalk Live.
It's no secret to our audience on aggressive central bank rate hikes have weighed on a number of asset classes, including the reach sector. However, it appears that the rate hiking cycle is nearing an end. Is this a good time to start taking another look at the REITs?
Anthony Okolie joins us now to discuss TD Cowen key takeaways from the Q3 results and their outlook for the sector. What are we seeing?
>> Thanks very much. The third quarter results for the real estate sector overall were in line with TD Cowen's expectations.
Some of the key takeaways from the latest earnings season, they did see solid net operating income growth during the third quarter here in North America, again, with the interest rate hiking cycle, interest cost headwinds were easing and that led to decent Adjusted Funds From Operations per unit growth of just over 4% for the weighted average for the index names. That is a new high since the second quarter of 2022.
And just shy of TD Cowen's expectations.
Same property net operating income is also strong in the third quarter. Just over 6%.
That compares to about 5.8% in the second quarter of this year.
Looking ahead, TD Cowen is forecasting the same property and operating income growth before things slow down a bit to just under 5% in 2024 and 4.3% in 2025.
Some other key observations from TD Cowen during the third quarter, they said the planned residential construction starts were on hold until interest rates stabilized but they did see that on you retail development was final rebounding after better 10 year slump.
Some other observations, losses accelerated in the third quarter for the diversified residential and office REITs, due to the recent rise in long-term interest rates. Overall, TD Cowen did observe a slower pace of distribution hikes, no increases versus the typical patterns, or outright pots in some smaller cap highly levered names.
This has an impact on liquidity going forward. TD Cowen forecasts growth of just over 5%. That compares to their 5.3% forecast previously. They believe that the seniors rate sector will lead the way out +19% growth versus 9% growth in industrials and 7% for residential.
Speaking on seniors, TD Cowen expects rise in occupancy for senior REITs, and they expect to see higher rents and an easing of costs there. For residential, apartment fundamentals will strengthen into next year.
Finally, TD Cowen also notes that with sector trading valuations remaining highly correlated to interest rates, in their view, it sets up a positive catalyst for they see unit prices trending towards asset values one or should interest rates move lower.
>> They are clearly seeing some positives there going forward in some key parts of the REITs base. What about some of the risks?
>> Within residential, interest rate fluctuations, within the senior sector, impacts or waves of COVID 19, potential outbreak of any illness or virus, tenant liability claims or to some of the key risks there. It was in industrials, they talk about just in general economic conditions as well as demand for space, also lots of key management fluctuations on interest rates and cost pressures of some of the key risks they have highlighted.
>> Interesting stuff. Thanks.
>> My pleasure.
>> MoneyTalk's Anthony Okolie.
Now for an update on the markets. We are taking a look at TD Advanced Dashboard, platform designed for active traders available through TD Direct Investing.
This is a heat map function. We are looking at the TSX 60, scanning by price and volume. There is a name standing up.
That would be Shopify, 4 1/2% today. They put out a releasing the Black Friday sales that carried to the we can made it more than $4 billion globally US in sales for its merchant customers. The market seems to like the sound of that. You also some of the mining stocks that are closely associated with gold, including Barrick Gold, ABX or Kinross, a modestly about a percent or a percent and 1/2, the rising price of gold and some easing recently in the US back. We have pressure on the screen including it in industrials.
CN Rail now it down and CP real down as well. Let's shift south of the border. We will screen to the S&P 100. Black Friday goes to the weekend and gives way to cyber Monday. Let's look at the retail plays including Amazon, up about 1 1/3%. I noticed PayPal is up about 1 1/2% his wall, tiding down there at the bottom of the screen. A bit more of a mixed picture in the energy space. We are still waiting on the OPEC meeting later this week, a lot of questions on what that they can come to an agreement within their own group about supply levels. You've got Exxon and Chevron down more than 1%. You can get more information on TD Advanced Dashboard by visiting TD.com/Advanced Dashboard.
Let's get back to Jason Hnatyk from TD direct and think, take your questions about the WebBroker platform.
How can I compare different chairs… This is like a tongue twister. How can I compare preferred shares, Jason?
>> That's a tough one.
I'm glad it's you reading these questions to me and not the other way around. That's the hard part.
Let's get on the platform and I will show you some tools available for preferred shares. The first thing I want to show off to everyone here is we have a lot of reports that are available on my broker, some for TD and TD Securities and others from trusted sources outside of the company as well.
Let's show off that first of all.
Under the market section, we've got reports. The reporter went ahead for everybody here is our monthly preferred share report. It's an opportunity to hear from the folks at TD Securities, see what they are saying and look to get some additional insight from the group so we can be better informed and you might even find something you want to add to your watchlist.
You can continue to evaluate it over time.
But over here in research there is the preferred share report which will pop up on your screen after you selected.
Next I want to show the audience how we can use our screeners to good effect to find preferred shares.
I'm going back to the trustee research tab. Under tools, we have screeners.
We've been to the Sweeter section in this program many times before. It's a very versatile area on the website. We have an opportunity to screen for stocks, technical advance, mutual funds, ETFs. We were looking at some money market funds, you can screen for them on this particular section as well.
We are going to go ahead and stay right on stocks. It comes predefined with some criteria already selected. I'm going to clear that off so we can start from scratch just to build a really basic kind of really broad net we are going to cast when looking for preferred shares. The first thing I want to screen for is going to be shared type.
Common shares is your most commonly used.
We were looking at Shopify on the heat map and Advanced Dashboard, as well as when we were doing the limit order, that your common share when you're buying and selling in the market. There are other types of shares. If we look at common shares in school now, we've got also to other choices we can look at, trust units as well as preferred shares. They are going to be a bit of a mix between fixed income as well is a… They are giving us some exposure to price but looking to generate some additional yield on the company is going to pay for us.
If we just want to keep it as broad as we got it today, we've got 878 preferred shares that are available. If you want to know that focus on a little bit let's do that. If we go down and choose more criteria, this brings us to a wide assortment of different criteria. You can narrow down your search with.
Let's go back to when we were talking about earlier, less choose dividend yield.
This allows us to make sure that we are getting once again that bang for our buck.
You can set a minimum and a maximum. I want to move this out. You can move the slider or type in the box below. I moved to 5%. Let's see if we can narrow this down if we are looking to keep spending Canadian dollars as opposed to looking at our US account. You got shared type, dividend yield. We have now narrowed our sites down to simply 297.
That's quite a lot but once again is your opportunity to continue to build on this.
You got all of these preferred shares available for investment down below.
You can go ahead and click on the title to find out more information or the drop-down menu can get you into buying and selling or into the overview section which we are all familiar with now so we go ahead and start picking apart the company to get more information, whether we are looking at a chart or more of its fundamentals like we have in the past.
>> Jason, great stuff as always. The show just flew by. I really enjoyed it. I know the audience learned a lot. I look forward to the next one.
>> Yeah, it was my pleasure to be here.
I hope the audience got something out of this. Looking forward to doing this again.
>> We will be calling on you pretty soon.
Thanks, buddy.
>> Cheers, have a great day.
>> Our thanks to Jason Hnatyk, senior client education instructor a TD Direct Investing.
As always, make sure you do your own research before making any investment decisions.
stay tuned for tomorrow's show, Maria Solovieva, Economist at TD will be our guests.
You can get a head start with your questions by emailing moneytalklive@td.com. That's all the time we have the show today. Thank you for watching. We will see you tomorrow.
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