High dividend stocks canada reddit. I am just doing research .

High dividend stocks canada reddit What's the point of buying a a position for 4. Most people earn employment income though, which pushes the dividend income into a higher bracket so "negative tax on dividends" rarely the case. OP was asking about dividend ETFs and everyone in this thread were throwing out the typical JEPI and SCHD. On top of that, if a good dividend paying title has high debts (like the whole telecom and utilities sectors) they're getting double hammered. Remember, this is a subreddit for genuine, high-quality discussion. Dividend stocks do not have a higher expected total return than non-dividend paying stocks. A few years ago, you could count on your hands the number of Canadian large caps paying a 5% dividend. Bonus if you’re Canadian or are interested in the Canadian market! 🇨🇦 TROW is raising dividends for the 35 years. And value stocks are riskier. But in my investment company I do receive eliigible dividends from Canadian public companies , which I can pass on to me as eligible dividends because the public companies paid a higher rate . Can I please get some advice on what this crowd thinks about dividend stocks? Which ones did you pick, how did that That's 2. Dividend stock performance in Canada. Silver, Economic Dystopia, Lewds, Waifus, OC post it all :D This is a place where all Meme Creators can shit their art all over the place :P *This sub contains some NSFW content* *English posts please!* Looking forward to identify new high yielding dividend stocks. 94%, which isn't good enough to qualify as a high dividend growth stock in my book (though I still hold a modest position in it), especially since their more recent dividend raises have been getting smaller and smaller. Foreign dividends are 100% taxable income. Especially over the long term, this would hold true. Please We are Silver Degens. VDY has higher dividend payments sitting around 15-16 cents every month along with the actual growth of the ETF, it's like a canadian SCHD. The US index ETFs pay low dividends and have a lot of low profit tech giants with AI hype. The underlying portfolio is yield-weighted and broadly diversified across sectors. Of course, dividends aren't bad, it's just that total return matters more. Ultimately, as a dividend stock and dividend growth stock, I like ARE a lot more. So if you reinvest the divs, the overall "Value" can be comparable to another stock that had no divs but capital growth. MSFT dividend yield is 0. Whereas Dividend stocks inside the TFSA would not be eligible for the lower tax rate or dividend tax credit since these stocks would not be taxed. Wave if you are a DSR member as well! At that time I took a look and noticed two things: Cenovus was undervalued, and it traded on the Nasdaq. The withholding tax is $0. un, che. Banks, utilities, energy, Here, you can easily find high dividend paying stocks with large market capitalizations. No bonds. Do you know Canadian stocks that offer high dividends and are relatively safe? I purchased a lot of ENB stock and I really have been enjoying the number I get in dividends. There's an ETF that is specific to the big 5 banks in Canada. Putting your money into a 10% yield stock is the same thing as an ultra high risk growth stock. You could end up with more stocks which are similar value, vs the original So when you look at one stock with 6% growth and 1% dividend CAGR it is basically the same as a stock with 4% growth and 3% dividends CAGR and the divs reinvested in it. Top 5 Dividend Stocks for 2024! Locked post. Sure you can look "outside of norm", but there is no value in this stock at all. Look into a successful dividend fund or ETF. 05%, holds 222 stocks with only 38% in the top ten and a 0. Moving my so-called portfolio (portfolio sounds like something carefully planned, which mine doesn't feel like ATM) more in line with his philosophy. They are Canadian aristocrat they have consistently increased their dividend over Consecutive Years of Dividend Growth:greater than 8, EPS (Basic, Continuing Operations):greater than 0. New comments cannot be posted. These are Buy divided paying companies that have low dividend payout ratios (EPS and / or FFO), decent With the last month's rally on CAD Dividend stocks what have been your favourites and what Many might not think of Alimentation Couche-Tard as a dividend stock, they see the div yield and they dismiss them as not being a good dividend stock to hold. I'll break down them into 4 categories. Silver, DD and dank silver memes, Breaking the COMEX, one waifu at a time. 13%; Dividend Payout Ratio: 56. Get the Reddit app Scan this Lots of canadian companies with good dividends in the 5 percent and some slightly higher. So I started building with what I knew. There is no difference financially between a dividend stock and a stock in which you sell a small portion each year. They will list their top ten holdings. Yes the dividend component is higher, but the sum of the dividend and the capital gain is not. 25% which shows that their dividend is sustainble and likely to increase. 27 votes, 28 comments. upvotes · comments Because we live on dividends. It's true in registered accounts there's no real advantage to dividends, since the dividend tax credit doesn't apply. TD -> TD, huge bank, great dividend history BMO -> See above CPX -> Energy company, younger dividend history with promising growth outlook ENB -> Canada's dividend king MFC -> Slow and stable long term growth for company and dividends I wouldn’t sell yourself on ‘ high yield’ the better option would be to grab 10 average yield ( TD, RBC ,Fortis on the Canadian side) and (ABBV, O, KO on American side) then grab 2-3 low yielders for growth ( CNR ,ATD or MRU on Canadian side ) ( AOS, AFL or MSFT for American side) then if you want abit more yield look to the pipeline in Canada (enbridge or tc energy and TTM Dividend Yield. Instead, dividend stocks have value characteristics. 05% management fee (38% financials, 13% materials) ZCN has slightly less financials, slightly more balanced sectors AFN down 11% today. I am just doing research Td is good but it’s almost at all time highs. Otherwise half of my money is in XIC & ZAG (TFSA) then ITOT, IEFA & IEMG (RRSP). High dividend Canadian stocks/ETFs are the best in a TFSA. HCAL is just HCA with 1. It's taking money from the left pocket to pay the right. why would you invest in ETFs vs high dividend yielding I suggest that you read the dividend myths series that begins on this page. For non-reit high div stocks I’m in SIA & KEY. Price is a very important factor in safety. 11. Updates and news about Canada's housing crisis. 5 anually? I hold enbridge and I tend to calculate my dividends with the quarterly dividend amount and not by the annual dividend yield so I just wanted to double check I’m doing it right with XEI. What are your Top 5 Dividend Stocks for January 2023 that you would suggest r/dividends A chip A close button. I'm gonna have to look up they're payout ratio I’m not Canadian, nor do I live in Canada (or ever been), but I love Canadian dividend stocks. Vote on your favorite type of Canadian Dividend Paying Stock/ETF/Fund? Let us know the individual ticker and why you like them so much in the comments. Over a ninety year period for US data, the total returns for no-dividend, low-, medium-, and high-yield US equities was basically the same: If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. Supplements income with writing covered call contracts I go the DIY route. 42% annualized returns for the high dividend index and 8. I have Canadian banks, utilities, telcos and energy stocks. You will be surprised, each fund has probably 8 stocks held by the other funds. Hence my request for high quality. You also seem to imply that dividend stocks you are DRIPing aren’t going to drop 20-40% in a recession as well. I couldn’t find what the dividend dollar amount is instead of a yield percent, so I guess if I have $1000, I’ll make 49. I'm in Canada so not sure on specifics of us tax laws but pretty sure if you buy the us enbridge and not enb. The next thing I noticed was the US market had not closed the gap on the Canadian price on Cenovus, the current dividend was 0. Companies like MSFT & AAPL are "safe" dividend growth stocks, but you have to pay a premium for them because they're such high quality companies that everyone loves. Regular dividend increases, great yield, payout ratio is about 1/3 of their net income, and they have been growing their income and revenue consistently for years. I like his thinking (lower yield and higher growth). If you have a short time frame, or you don't want to take any risks with your capital, you might want to consider GICs at 4. Now I'm not sure how the taxes are with foreign investments. Bank of Montreal. Note: Reddit only allows 20 images per post so the first 10 stocks don't have charts. An example would be something like Chorus entertainment, high yield but it’s because its stock has tanked but it hasn’t cut its dividend (yet) so it’s at like 20% You’re better off investing in a dividend aristocrat that grows its stock value and consistently raisins its dividend. That's where you want to be. -> Stocks with high dividend. Today, that rate looks almost ordinary. Anyone watching it? When it comes to finding the best dividend stocks on the ASX, it's essential to conduct thorough research and consider various factors. VT/VXC/VXC are also 10%. So whether capital gains or dividends would be more tax efficient would depend on how much income is made and whether or not your dividends are eligible. ~~~~~-- Expert in a field related to housing and would like to do an AMA either anonymously or publicly? Context is everything. Let me know and I will make the correction before next months poll. true. We Love Silver and Meme Creators. High Beta, high market correlation. It's a dividend trap. I'm thinking consolidating my Canadian dividend stocks into a high dividend ETF will be better. xx%. So if a stock pays dividends, you would expect its stock value to be proportionately lower in stock price than the same stock that didn't pay dividends. Here are my top 7 Canadian dividend stocks that I am building a portfolio around. Market theory dictates that dividends are priced into share value. Over time if they keep increasing the div then the stock will go up and make it way better than a shit stock with a super high div. I consider high dividend paying stocks to be almost always be Value Stocks because they typically are. If you'd like to have a dividend payout to live off of or use as passive income, that's fine. 5% with zero risk to your principal. Depends on the stock. Although all my dividend positions are on the TSE, I would be open to buying some NYSE tickers as well. And there is withholding tax on US dividends on margin accounts. View community ranking In the Top 1% of largest communities on Reddit. Id wait for a pullback to invest In these stocks tbh. TO; Sector: Financial services; Dividend Yield: 5. 3, EPS (Basic):greater than 0. I have exposure to lower but growing yield via banks, pipelines etc. A lot of blue chip stocks are at all time highs right now. Eligible dividends are most Canadian stocks or etfs holding Canadian stocks. ZEB and ZWB for a covered call position. A 15% tax on dividends means a US stock that pays a 4% dividend will instead give you a 3. Here is my dividend investment I don't know why you keep getting down voted. Take a look at stock movement before and after ex-dividend dates. Here’s the other thing, in Canada growth and income are kind of similar. If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. 5% yield that has the risk of contraction or falling share price when you can park your money in a GIC, high yield savings, or other fixed income vehicle that pays 4 to 4. Was looking for another pipeline, looks good to me. In 2011 if you bought any Bank stock or Telecom, not only has your portfolio doubled in value, but your dividend would have been higher than this 6%. I am looking for passive growth and income without taking on excessive risk and chasing penny stocks. It has dividend growth, likely not much capital growth. I understand the tradeoffs. Unless you’re just looking for the dividends then I would do any of the 5 major banks or Enb. From another commenters suggestion in this thread i’ve now added IPL. I predict it makes most of the losses back in the next few days. un, VE, div, De, Lif Make sure you do your due dilligence DFN has paid 10% for a decade (except when it hasn't, it suspends dividends when NAV is too low) but it just pays dividends out of its total return. Food for thought, if American; canadian bank stocks are the way to go since you get a great conversion rate for high dividned yields. Instead, their stock broker is recommending 100% high dividend yield stocks, and specifically, heavily weighted in the "big 5" Canadian banks. This is the worst performing dividend stock i've seen. to you're fine as its no different than holding an American company. High Central Bank interest rates are good for insurance companies, and they haven't been this high in years, I doubt Manulife willl ever go to 30, but they've kept thar divided in check. Sure, for US stocks, an RRSP keeps the 15% dividend withholding tax. However, it's not because of the dividend. So would it be wise to buy this ETF and perhaps invest in some other high end dividend stocks from another sector? For instance, Bell has a high dividend. 3, Price / Earnings to Growth (P/E/G): 2 to 3 and 1 to 2 and < 1, Return on Assets %:greater than 2, Return On Equity %:greater than 5, Debt / Equity (D/E) %:less than 130, Levered (after expenses) Free Cash Flow:greater than For canadian dividend stock tickers that aren't split shares, right now I'd recommend csh. 137 votes, 64 comments. BDTs dividend has been the same for the past 5 years, no raises, and this was after cutting it in 2017. The CCP approach using EFTs gives you much broader diversification than what you could realistically achieve by investing in high dividend paying stocks alone (at least assuming a relatively small portfolio size). SG dividend stocks . The two ideas I have come across is investing in dividend stocks (banks, telecom, utilities) to ensure I have dividend payments every month, OR throw it all into an ETF like VEQT/XEQT (this idea came from Million Dollar Teacher) Primarily invests into healthcare companies Never cut their dividend as per Seeking Alpha BST - blackrock science and technology fund. Then there is time horizon. 30. For my US coverage I am not savvy enough to pick individual stocks. As far as stocks, I personally hold MFC. Apparently fees are higher than is apparent, which is why I avoided ETFs for years. Funnily enough, when the Trinity study was first published, Canadian stocks were one of the few stock markets that could actually sustain a 4% withdrawal rate for 30 years with basically a failure rate of 0%. The high price means a lower starting dividend yield, and more downside potential if the market reprices the stock downward. 41%; Market Cap: $81. This might not be long term. However, as with any stock, there is still risk involved, and the stock price could be lower when you need to sell. I own some US stocks in my tfsa. Symbol: BMO. It requires more involvement and you gain experience which you need to become a successful investor. Yield is impressive and higher than BLK/BX. Ex-dividend dates for these ten stocks are approaching, but you still have time to buy. Holding dividend paying US stocks are not very tax efficient in a TFSA because you cannot claim the foreign tax credit, so they are best in an RRSP first and foremost, and then in an unregistered account where you can claim a foreign tax credit for the 15% witheld. Most stocks don't pay a very high dividend, and most of your profits will be from capital gains. Ideally whichever over time has the higher total return long-term is preferable. 92%, which is currently around $3 dividend per share. The total return is unimpressive compared to the underlying stock. I've only been invested in ENB and BMO; would like to dabble in other sectors with high-quality dividend stocks. Very high yield dividend stocks Or investing into new value positions. I aimed for dividend aristocrats and high yield dividend stocks. currently yields around 9. 25x leverage, so higher growth and higher dividend (5% vs 4%). Welcome to r/dividends!. Because XEI dividend barely grows its been around 10 cents forever along with its overall stock growth potential. My comment was in that context. I'm excluding ETFs and non tsx stocks. Opinions on what is Canada best dividend etf, for stock appreciation, dividend yield and overall safest. Dividends stocks (as a group) tend to outperform the broad market. In Canada the dividend tax credit will allow a household to make up to around $80k in eligible dividends tax free. 18 billion; BMO is one of the largest banks in Canada and the oldest, with a 204-year history. It seems like the only obvious problem is the lack of diversity from this ETF. They just increased dividends and announced non-cash distributions for holders throughout next year. What's the thesis for those banks rebounding higher and faster than those other things which are cheaper especially when they have to pay Most of the usual Canadian dividend payers are between 4%-6% at the moment. We want common sense housing laws that ensure: transparency and ample housing stock, to make Canada's housing the most affordable in the G7. Their dividend payout is at 14. BDCs - Arcc, Get the Reddit app Scan this QR code to download the app now. 3% higher on the US market. (iShares S&P/TSX Composite High Dividend Index ETF) our community is the best way to get help on Reddit with your questions about investing with Fidelity My general idea moving forward is 5 Canadian dividend stocks (TFSA), 5 growth stocks (TFSA) and 5 US stocks (RRSP). VDY holds banking and energy sectors and those are Canads best holdings to have. 52 votes, 52 comments. What are your The BMO Canadian High Dividend Covered Call ETF (ZWC) has been designed to provide exposure to a dividend focused portfolio, while earning call option premiums. Assuming your emergency fund is secure in a HISA, the rest would almost certainly do best if put towards shares in a broad market ETF. 45. I had an understanding of the Canadian stocks because I am Canadian. Eligible Canadian dividends can have preferential treatment when you combine the dividend credit at lower tax brackets. I happily hold some Canadian high div funds in my tfsa. Popular dividend paying stocks are having a rough time because people who normally buy them are switching to risk free options giving 5%. Share transparency and ample housing stock, to make Canada's housing the most affordable in the Tiff Macklem basically mentioned mass immigration is the root cause for the difficulty to bring down Canada's high inflation back to the I joined Dividends Stocks R ock (DSR - Mike Heoux) a few weeks ago. But I like TROW better, why? Dividend yield Valuation I'm wondering if just selling off these four stocks and buying into vdy or xdv would be more beneficial. Or the same as a stock with 7% growth CAGR and no dividends. I’m young so I want to take ten years to determine if index, dividend or growth investing works best for me. Also sidenote, while AAPL stock is loved by many, it's 5 year average dividend CAGR is only 7. High dividend yield is appealing, but you should also assess the company's financial health, dividend sustainability, and growth prospects. 30 votes, 92 comments. It’s true you shouldn’t chase bad companies paying unsustainable dividends, but when you’re looking a blue chippers, for my money it’s a decision based on convenience and tax implications. It seems like the high dividend stocks come from these financial institutions here in Canada (mostly). The polar opposite to BME. 28%, dividends of 3. Sure, if you want to optimize, aim to have US dividend stocks in your RRSP and US growth stocks in your TFSA, but on the list of decisions that affect people's wealth, this is pretty low down on the list. Thoughts on this? I know there are dividend fans out there, and Canadian banks have a reputation for being very safe in terms of protecting capital. I don't buy and sell often, so I think this type of strategy works well for me. Skip to main content. I’m really liking the high yield along with the amount of growth on oil stocks, however I’m a bit skeptical about buying them TD dividends are eligible for tax credits for Canadian residents, so as long as you don’t sell the stock and realize capital gains, it doesn’t really matter whether you hold this stock in taxed or tax-free accounts, the return in the form of dividends is tax-friendly or even tax-free (depends on your other incomes), you’re better off using your TFSA/RRSP rooms for growth stocks. For REITs I own a few, REI, TNT, H&R, Slate Grocery, SRU and looking to add Well, as far as dividends, Aecon has raised theirs every year for the last decade. The bank has been paying dividends since 1829 and has a policy to pay out 40-50% of its earnings in dividends over time. A higher dividend yield doesn't mean the bank is paying out more dividend, or that it makes it tougher for banks to keep up with a 5-7% dividend yield. Worse though, as you get to more than 6% payout, the sustainability of that payout starts to get into jeopardy. I'm fairly new to investing, meaning I'm ignorant to a lot of investment strategies. They're still paying out the same dividend than they were when it was around 3-4%, it's just that the stock price dropped, so the yield increased. Google it. 87% for the base index. Generally speaking the higher the payout, the less the growth- so you are not actually coming out ahead of holding a non or low dividend stock. This is actually correct and most accurate assessment of this debate. Could have been clearer, my bad. Everyone has their preferences, here are some of my favorites. Dividend stocks aren't any safer than any other kind of stock. in 2023 it is projected that Telus' cash flows will be much higher- high enough that they can safely pay their ever-increasing dividends (and my assumption is that they will use that extra cash to start to buyback all the shares they've "had" to offer to make ends meet now). That simply isn’t sustainable, the moment that company declares a lower dividend that stock will sink like the titanic. un, rnw, bto, fru(if you believe o&g will stay the same or go higher), vdy, bpf. 3%, its a new fund and they haven't cut their dividend yet. What other Canadian stocks do you think are safe, that provide high dividends? 29 votes, 58 comments. Dividend stocks/ETFs outside of the TFSA will be taxed at a lower rate and be eligible for dividend tax credit. But don't invest in dividend stocks thinking they'll perform the best. Canadian stocks have historically done very well with lower than average volatility. Most of my income investments is high quality in dividend stocks. Let’s say I have a 1M$ portfolio generating 47k in eligible dividends , each year I can declare to me personally 47k eligible dividends . I am looking at covered call ETF's to provide on higher dividend for re-investment portion. You need to look for positions that have a combination of share price growth PLUS stable dividend yield. Forget about the stock advice here. Get app Get the Reddit app Log In Log in to Reddit. . Please keep all contributions civil, and report uncivil behavior for moderator review. These all in my TFSA. I don't know. The index ETFs are full of good dividend payers. So I have built up with VEQT, SCHD and O (makes up 42% ofmy portfolio). Buy Canada - TSX is dominated by banks/financials, materials, utilities and energy (all good dividend stocks) XIC ave 5 year return of 8. There is also r/dividendscanada but it's a much smaller and less active subreddit. I have bought enbridge, air canada, TD, dfn and apple The current price for any stock or sector is based on the market's opinion of what it is worth and that opinion includes the expectations for future growth. Welcome to r/dividends! If you are new to the world of dividend investing and are seeking advice, brokerage information, recommendations, and more, please check out the Wiki here. I found it interesting that these funds generate income via covered calls. It's wise to diversify your portfolio and not solely rely on a few stocks. Log In Remember, this is a subreddit for genuine, high-quality discussion. to (Manulife). I’ve often read that dividend investing is something to be done close to or in retirement. A company with good FCF, undervalued, undervalued further on the US exchange. 40% dividend in your TFSA. Stocks like Microsoft may pay a relatively small dividend, but they increase it every year. Do I think TROW will be a better investment than BLK/BX? that is a hard question. These cash outflows are expected to end in 2022. They hold the big 6 banks, applying a mean-reversion strategy (they hold 80% of the 3 banks that performed worst in last quarter and 20% in the other 3, and adjust each quarter (I believe)). Here's a Good chance those stocks will go down 80% in a few years. Forgive me if I classified any of the examples wrong. Expand user menu Open settings menu. r/canadiandividends: Canadian dividend paying stocks. With having so many stocks I find it difficult to decide every payday which stocks or ETFs to buy. I think your basic understanding of the CCP - as you explained it to your friend - is correct. Nothing bad in quarterlies. In fact, vdy has slightly outperformed the Canadian index long term when dividends are included. Please direct all simple questions and "Rate my Portfolio" requests towards the Weekly Discussion Threads (sort by hot, they're at the top). Thanks for any input ! SPY is 10% lower than it was from its highs, S&P Mini is close to that too I think. Moreover, all 10 stocks are trading near their 52-week lows, so you can buy them for a bargain. This is a compensated risk called the value premium, and it The notion that dividend stocks have higher returns than similar non-dividend stocks have been proven to be untrue. I won't go over 10% of portfolio in this type of investment instrument. bhebk padvr ojko ecwg couyf hoa rlkcr wdcbdai qwxux qlf