canadian

We’ve often pointed out that growth by acquisition is inherently riskier than internal growth since it carries an above-average chance of unpleasant surprises. That’s because a buyer of something rarely knows as much about it as the seller.

Still, some companies handle acquisitions better than others, and successfully integrating those purchases can spur strong growth and share-price gains for their investors.

AltaGas took on a lot of risk with a huge acquisition in July 2018....

The best stocks to invest in that pay dividends can benefit you and your portfolio for years to come. Learn all about dividend investing right here

YELP INC., $38.23, symbol YELP on New York, lets people rate and review local businesses such as restaurants, retail stores and service providers. They do that by detailing their experiences for other patrons and assigning a business a rating of up to five stars....

CAE INC., $27.56, Toronto symbol CAE, remains a buy for long-term gains.

The company is a leading maker of flight simulators for commercial and military aircraft. It also operates pilot-training schools in over 35 countries and makes mannequins and other medical-simulators for training health professionals.

CAE reported lower-than-expected revenue and earnings for its latest quarter....

GREAT-WEST LIFECO INC. $32 (www.greatwestlifeco.com) is a hold. The insurer recently completed its $4.45 billion acquisition of the full-service retirement services unit of Prudential Financial (New York symbol PRU)....

Shares of Royal Bank have declined lately, mainly due to fears that rising interest rates will slow demand for new loans and lead to higher writeoffs. However, the implementation of mortgage stress tests in the past few years should keep any losses low. The bank also continues to expand its profitable wealth management operations.


ROYAL BANK OF CANADA $126 is a buy. The bank (Toronto symbol RY; Conservative Growth and Income Portfolios, Finance sector; Shares outstanding: 1.4 billion; Market cap: $176.4 billion; Price-to-sales ratio: 3.9; Dividend yield: 4.1%; TSINetwork Rating: Above Average; www.rbc.com) is Canada’s largest chartered bank by market cap....

Investors fear that rising interest rates will boost the appeal of bonds and hurt the shares of these high-yielding utility stocks. However, bond investors have to treat interest payments they receive as regular income. As a result, they pay higher taxes on their income compared to dividend payments from Canadian firms that qualify for a tax credit....

Apart from the overall market decline, higher interest rates in Canada and the U.S. are the main reason for weakness in the shares of real-estate firms and REITs. So far this year, ETFs holding U.S. and Canadian REIT have lost around 20% of their value.


However, the outlook for almost all segments of the real estate market are now quite positive....

This month we highlight both a copper exchange traded fund from Horizons and a high-income ETF from Harvest Portfolio Group.


HORIZONS COPPER PRODUCERS INDEX ETF $20.20 (Toronto symbol COPP) aims to track the Solactive North American Listed Copper Producers Index....

High-yielding ETFs have appeal for income-seeking investors. The income they provide can also provide a buffer in declining markets. However, you need to look closely at the strategies that let those ETFs pay their high yields—and whether they are worth the risks.


Below we look at three ETFs that aim to provide investors with high yields....