Sun Life and ManuLife offer attractive, growing dividends backed by solid capital positions and payout ratios for income‑oriented investors. One company just raised its quarterly dividend by 10.2%, while both firms have long histories of dividend growth and conservative capital.
For valuation‑sensitive buyers, both stocks trade at reasonable multiples despite their strong metrics. One trades at 11.8 times forecast EPS and the other at 13.5 times. That’s less than many global insurers and asset managers offering less stability and growth.
MANULIFE FINANCIAL (Toronto symbol MFC; www.manulife.ca) represents one of Canada’s largest life insurers. It’s also a leading insurer in Vietnam, Cambodia, Singapore, and the Philippines. On December 31, 2025, the insurer had $1.70 trillion in assets under administration.
Manulife’s Global Wealth and Asset Management business recently paid an undisclosed amount for a 75% stake in Comvest Credit Partners, a U.S.-based private credit manager with $17.5 billion in assets under management. The deal enhances the insurer’s private credit capabilities.
Meantime, the company’ earnings in the three months ended December 31, 2025, fell 8.5%, to $1.5 billion from $1.64 billion a year earlier. However, excluding currency rates, earnings rose 4.5%, to $1.99 billion from $1.91 billion.
Per-share earnings gained 8.7%, to $1.12 from $1.03, on fewer shares outstanding.
The stock trades at a low 11.8 times the company’s projected 2026 earnings of $4.49 a share. Manulife raised your quarterly dividend by 10.2% with the March 2026 payment. Investors now receive $0.485 a share instead of $0.44. The new annual rate of $1.94 yields 3.4%.
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Here’s another high yield at an attractive valuation
SUN LIFE FINANCIAL (Toronto symbol SLF; sunlife.ca) lets investors tap Canada’s third-largest life insurance company by market cap after Manulife (No. 1) and Great-West Lifeco (No. 2).
Sun Life sells life coverage, and savings, retirement and pension products. In addition to Canada, it operates in the U.S., Asia and the U.K.
On December 31, 2025, the insurer had $1.60 trillion in assets under administration.
Sun Life’s revenue in the fourth quarter of 2025 gained 6.7%, to $8.72 billion from $8.17 billion a year earlier. Revenue increased primarily due to higher investment gains and insurance premiums.
Earnings rose 13.0%, to $1.09 billion from $965 million a year earlier. Per-share earnings increased 16.7%, to $1.96 from $1.68 on fewer shares outstanding.
The company’s shares trade at just 13.5 times the forecast earnings of $7.32 a share for 2026. With the December 2025 payment, Sun Life raised your quarterly dividend by 4.5%, to $0.92 a share from $0.88. The shares yield now 3.7%.
Recommendation in Dividend Advisor: Sun Life Financial Inc. and Manulife Financial Corp. are both buys.
