1. Toronto-Dominion Bank (TD)

View of TD bank location from outside at night.
Raysonho / Wikimedia Commons

This member of the big five bank club was created by the 1955 merger of the Bank of Toronto and the Dominion Bank. As of Q2, TD held about C$1.7 trillion in assets, making it Canada's largest bank in terms of assets.

The stock has fallen over the past month, but given TD's massive scale advantages, its current dividend yield of 3.9% — slightly higher than that of close rivals Royal Bank (3.3%) and Bank of Montreal (3.3%) — is tough to pass on. And with about 11% annualized growth, TD has a strong and consistent dividend history.

The company currently generates about 35% of its revenue in the U.S. When you combine that geographic reach with the bank's conservative lending practices, risk-averse investors might want to take a closer look.

There are popular investing apps that’ll give you a free stock for your first investment as well.

Join Masterworks to invest in works by Banksy, Picasso, Kaws, and more. Use our special link to skip the waitlist and join an exclusive community of art investors.

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2. Fortis (FTS)

Utilities pole in the mountains in Alberta.
Fortis

This utilities giant operates regulated gas and electric energy services in Canada, the U.S., Central America and the Caribbean.

As of June this year, the company controlled $56 billion in assets and served about 3.4 million customers.

Fortis doesn't just boast a stable record of dividend payments: It has increased its payout to shareholders for 47 consecutive years. And for prospective investors, management has planned 6% annual average dividend growth through 2025.

Given Fortis' highly regulated operating environment and five-year beta of just 0.06 — meaning the stock is far less volatile than the overall stock market — its current dividend yield of 3.5% looks particularly attractive.

Some popular investing apps not only allow you purchase dividend stocks like Fortis, but "slices" of shares as well.

3. BCE Inc (BCE)

Bell Media with the CN Tower in the background in Downtown Toronto at night
V. Ben / Shutterstock

The publicly traded holding company for Bell Canada traces its roots back to Alexander Graham Bell's 1876 filing for a Canadian patent for the Bell telephone. It now provides internet and television services, and runs recognizable media brands CTV, TSN, Crave and iHeartRadio.

BCE shares have risen steadily over the past year, up about 23% since September of 2020. But with a current dividend yield of 5.4% — higher than that of rivals Rogers Communications (3.1%) and Telus (4.3%) — there might be plenty of room for BCE shares to run.

Since Q4 2008, the company has increased its annual dividend by 140%. BCE's scale advantages and highly regulated operating environment should be able to easily support continued long-term hikes.

Those looking to take control of their investments should certainly explore online trading platforms. The best sites offer resources and tools to help investors make informed decisions as they build and manage their investment portfolios.

Going with a robo-advisor can also be a stress-free way to start investing.

Fine art as an investment

Stocks can be volatile, cryptos make big swings to either side, and even gold is not immune to the market’s ups and downs.

That’s why if you are looking for the ultimate hedge, it could be worthwhile to check out a real, but overlooked asset: fine art.

Contemporary artwork has outperformed the S&P 500 by a commanding 174% over the past 25 years, according to the Citi Global Art Market chart.

And it’s becoming a popular way to diversify because it’s a real physical asset with little correlation to the stock market.

On a scale of -1 to +1, with 0 representing no link at all, Citi found the correlation between contemporary art and the S&P 500 was just 0.12 during the past 25 years.

Earlier this year, Bank of America investment chief Michael Harnett singled out artwork as a sharp way to outperform over the next decade — due largely to the asset’s track record as an inflation hedge.

Investing in art by the likes of Banksy and Andy Warhol used to be an option only for the ultrarich. But with a new investing platform, you can invest in iconic artworks just like Jeff Bezos and Bill Gates do.

About the Author

Sigrid Forberg

Sigrid Forberg

Reporter

Sigrid is a reporter with MoneyWise. Before joining the team, she worked for a B2B publication in the hardware and home improvement industry and ran an internal employee magazine for the federal government. As a graduate of the Carleton University Journalism program, she takes pride in telling informative, engaging and compelling stories.

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