dividend growth

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

The major Canadian and U.S. stock markets, while subject to volatility, have moved back up since their initial COVID-19 drop. Nonetheless, we think that if you can afford to stay in the market for several years or longer, now is still a good time for new buying....

The merits of investing in top dividend-paying companies are well known—capital gains, regular income, and lower risk. However, investors in ETFs that focus on dividend-paying companies need to be aware that the dividend payouts of ETFs are not as smooth as those of the best individual dividend-paying companies.


For investors, companies that pay regular and growing dividends have performed very well over time when compared to the broad market indices.


A simple dividend strategy (as represented by the S&P 500 Dividend Aristocrats) like selecting stocks with a long history of uninterrupted dividend growth has added 11.7% per year over the past 30 years; this compares to the 10.3% annualized returns for the S&P 500 Index....

iShares Canadian Select Dividend Index ETF yields 3.7% with a 0.55% MER and offers great diversity by holding 30 of the highest-yielding Canadian stocks.

The major Canadian and U.S. stock markets, while subject to volatility, have moved back up since their initial COVID-19 drop. Nonetheless, we think that if you can afford to stay in the market for several years or longer, now is still a good time for new buying....

ISHARES CANADIAN SELECT DIVIDEND INDEX ETF $31.65 (Toronto symbol XDV) lets you hold 30 of the highest-yielding Canadian stocks. The ETF also considers dividend growth and payout ratios to make its selections.


The weight of any one stock holding is limited to 10% of the fund’s assets....

The major Canadian and U.S. stock markets have moved back up since their initial COVID-19 drop. Nonetheless, we think that if you can afford to stay in the market for several years or longer, now is still a good time for new buying. We see ETFs as one way for you to profit from the continuing rise, while at the same time cutting your risk.


The best of these funds offer a diversified group of stocks and charge you low management fees....

The traditional telecommunications service providers, such as Telus and BCE, are trading at substantially lower valuations than other “infrastructure” type companies. This is not only true for Canadian companies, but also for U.S. and other similar companies in Europe.


Infrastructure type companies such as telecommunications, pipelines, utilities, and railroad companies have delivered comparable financial results over the past five years—so this provides scant reason for the significant valuation differences....

The major Canadian and U.S. stock markets have moved back up since their initial COVID-19 drop. Nonetheless, we think that if you can afford to stay in the market for several years or longer, now is still a good time for new buying. We see ETFs as one way for you to profit from the continuing rise, while at the same time cutting your risk....

Recently a member asked a question that you may have wondered about over the years.

“Hi, Pat. My question regards your philosophy of spreading investments out among ‘most if not all of the five main sectors’: I’m wondering where each of the 11 broad Global Industry Classification Standard (GICS) sectors commonly used for sector breakdown fit within your framework....