royal bank
Investors looking to generate current income from their stock portfolios typically start by looking for the highest-yielding shares. However, exceptionally high yields can be a sign of trouble ahead—they can signal imminent dividend cuts. One way around that risk is to invest instead in stocks (or ETFs that hold them) with solid, sustainable dividends....
For parents or grandparents who wish to save for their children’s future, there are few better ways than to invest in a diversified portfolio of high-quality, growing companies. Here are two ETFs that can help investors achieve that goal. And even better, these same ETFs are great portfolio additions at any age! Meanwhile, please also see the Supplement on page 49 for more information.
BMO S&P/TSX CAPPED COMPOSITE ETF $25.79 (Toronto symbol ZCN; TSINetwork ETF Rating: Aggressive; Market cap: $5.4 billion) invests in publicly listed Canadian companies.
The ETF tracks the S&P/TSX Capped Composite Index....
A: Canoe EIT Income Fund, $10.97, symbol EIT.UN on Toronto (Units outstanding: 123.3 million; Market cap: $1.4 billion; www.canoefinancial.com), changed its name from EnerVest Diversified Income Trust in November 2013....
Last month we recommended some international ETFs—but at the same time, we noted that Canadian investors often have a bias for investing in their home markets. And we agree with that bias—we still recommend that most Canadians hold the bulk of their portfolios in Canadian stocks, or ETFs that hold those stocks.
Here we highlight two ETFs that invest in top Canadian stocks....
Here we highlight two ETFs that invest in top Canadian stocks....
The Canadian economy ranks among the top 10 globally and has performed better than most of its large, developed peers over the past decade. The country is also among the top 15 most-competitive economies in the world; to date, it has fared relatively well at containing the COVID-19 pandemic....
A: Banco Santander SA plc (ADR), $2.24, symbol SAN on New York (ADRs outstanding: 16.6 billion; Market cap: $37.3 billion; www.santander.com), is a leading retail and commercial bank, founded in 1857 and headquartered in Spain....
Canada’s big banks are weathering the COVID-19 pandemic. Still, federal regulators have directed them to suspend share buybacks and put off dividend increases for now. That prudence works to protect the current, high-yielding payments of Royal Bank and Bank of Montreal.
ROYAL BANK OF CANADA, $93 is a buy. The bank (Toronto symbol RY; Income-Growth Portfolio, Finance sector; Shares outstanding: 1.4 billion; Market cap: $130.2 billion; Dividend yield: 4.6%; Dividend Sustainability Rating: Highest; www.rbc.com) last raised its quarterly dividend with the May 2020 payment....
ROYAL BANK OF CANADA, $93 is a buy. The bank (Toronto symbol RY; Income-Growth Portfolio, Finance sector; Shares outstanding: 1.4 billion; Market cap: $130.2 billion; Dividend yield: 4.6%; Dividend Sustainability Rating: Highest; www.rbc.com) last raised its quarterly dividend with the May 2020 payment....
Based on lots of things we’re looking at, we’re still reasonably sure that stock and ETF prices will be higher in a year or two than they are today. But the market rarely goes straight up or down. Instead we should expect a series of abrupt movements in either direction.
That volatility is all the more reason for conservative investors to keep a high proportion of their holdings in dividend-paying stocks—or ETFs that hold those stocks.
The best dividend stocks provide a consistent dividend yield year after year....
When selecting ETFs, you should look at the stocks they hold but also the methods they use to choose them. All funds use strategies aimed at boosting returns and cutting risk. The two ETFs below (and that in the column to the right) use unique strategies that have both pros and cons.
Meanwhile, the supplement starting on page 79 provides more information on how the most-popular ETFs are constructed....
A: HSBC Holdings plc (ADR), $24.62, symbol HSBC on New York (ADRs outstanding: 4.1 billion; Market cap: $104.1 billion; www.hsbc.com), is a U.K.-based bank and financial services company.
The bank is one of the more geographically diverse in the industry, with operations across 64 countries and territories around the world....
The bank is one of the more geographically diverse in the industry, with operations across 64 countries and territories around the world....