Top 5 High Dividend Stocks in canada in 2023

1. BCE Inc ( Yearly Dividend 7.19 % )

BCE inc stock price (55.14 CAD)

BCE Inc., formerly known as Bell Canada Enterprises, is a prominent Canadian telecommunications and media company. It is one of the largest and most established telecommunications companies in Canada. BCE operates in various sectors of the communication industry, including providing landline and mobile telephone services, internet services, television broadcasting, and media content distribution. The company has a significant presence in both the consumer and business markets, offering a range of communication and entertainment services. BCE is headquartered in Montreal, Quebec, and has a history dating back to the early days of telecommunications in Canada.

2. National Bank of Canada (Yearly Dividend 6.47)

National Bank of Canada stock price (100.33 CAD)

The National Bank of Canada, often referred to as National Bank or Banque Nationale du Canada in French, is one of the largest and oldest financial institutions in Canada. Established in 1859, it holds a significant presence within the country's banking sector. The bank provides a wide range of financial services, including personal and commercial banking, investment banking, wealth management, and insurance. Headquartered in Montreal, Quebec, the National Bank of Canada serves millions of clients across Canada and maintains a strong commitment to innovation, sustainability, and community involvement.

3. TC Energy Corp ( Yearly Dividend 6.18)

TC Energy Corp stock price (48.44 CAD)

TC Energy Corp is a Canadian energy company that specializes in the development, operation, and maintenance of energy infrastructure projects. It was formerly known as TransCanada Corporation before changing its name in 2019. The company is one of the largest energy infrastructure firms in North America and is involved in various aspects of the energy sector, including natural gas pipelines, liquids pipelines, power generation, and energy storage.

4. Bank of Nova Scotia (Yearly Dividend 5.70)

Bank of Nova Scotia stock price (62.42 CAD)

Retail banking, business banking, wealth management, investment banking, and insurance are just a few of the services that Scotiabank provides. The bank operates in numerous countries, with a significant presence in North and South America, the Caribbean, Europe, and Asia.

5. TELUS Corp (Yearly Dividend 5.70)

Telus Corp stock price (22.83 CAD)

A Canadian telecommunications corporation called TELUS Corporation offers a variety of communication goods and services to people, companies, and governments. Founded in 1990, TELUS has become one of Canada's largest telecommunications companies, offering wireless and wireline services, internet connectivity, television services, and various business solutions. With a focus on innovation and customer satisfaction, TELUS has played a significant role in shaping Canada's telecommunications landscape and continues to provide cutting-edge technologies and reliable communication services to its diverse customer base.

FAQ

What are dividend stocks?

Shares of businesses that regularly distribute a portion of their profits to shareholders are known as dividend stocks. The amount of the dividend is typically paid out quarterly, but it can also be paid out monthly or annually.

Why invest in dividend stocks?

There are a number of reasons why investors choose to invest in dividend stocks. Some of the reasons include:

* Income: Dividend stocks can provide a steady stream of income, which can be helpful for retirees or other investors who need a regular income stream.

* Growth: Dividend stocks can also grow in value over time, so investors can benefit from both income and capital appreciation.

* Safety: Dividend stocks are typically considered to be safer than other types of investments, such as individual stocks or bonds. This is because dividend-paying companies are typically well-established and have a track record of paying dividends.

How do I choose dividend stocks?

When choosing dividend stocks, there are a number of factors to consider, including:

* The company's financial strength: The company should have a strong financial position and be able to afford to pay dividends.

* The company's dividend history: The company should have a history of paying dividends regularly and increasing dividends over time.

* The company's dividend yield: The dividend yield is the amount of dividend per share divided by the stock price. A higher dividend yield means that the stock is more likely to pay out a higher dividend.

* The company's growth potential: The company should have good growth prospects so that the stock price can also appreciate in value.

* Your investment goals: Your investment goals will determine how much risk you are willing to take and how much income you need from your investments.

What are some of the best dividend stocks in Canada?

Some of the best dividend stocks in Canada include:

* BCE: BCE is a telecommunications company that has a long history of paying dividends. The company has a dividend yield of ( 5.7% Yearly )

* Enbridge: Enbridge is an energy company that also has a long history of paying dividends. The company has a dividend yield of 5.4%.

* Telus: Telus is another telecommunications company that pays dividends. The company has a dividend yield of 5.3%.

*Canadian National Railway: Canadian National Railway is a transportation company that pays dividends. The company has a dividend yield of 4.7%.

* Fortis: Fortis is an energy company that pays dividends. The company has a dividend yield of 4.5%.

How much should I invest in dividend stocks?

The amount of money you should invest in dividend stocks depends on your individual circumstances, such as your investment goals, time horizon, and risk tolerance. However, a good rule of thumb is to start with 10% of your portfolio in dividend stocks.

How do I buy dividend stocks?

You can buy dividend stocks through a brokerage firm. There are a number of different brokerage firms to choose from, so it is important to compare them before you make a decision.

How do I sell dividend stocks?

You can sell dividend stocks through the same brokerage firm that you used to buy them.

What tax effects might investing in dividend stocks have?

The tax implications of investing in dividend stocks depend on where you live. In Canada, dividends are typically taxed at a lower rate than capital gains.

What are the risks of investing in dividend stocks?

There are a number of risks associated with investing in dividend stocks, including:

* Market risk: The value of dividend stocks can go down if the market goes down.

* Dividend risk: The company may cut or eliminate dividends if its financial performance declines.

* Interest rate risk: Rising interest rates can make dividend stocks less attractive to investors, which can cause the stock price to go down.

How do I manage the risks of investing in dividend stocks?

There are a number of ways to manage the risks of investing in dividend stocks, including:

* Diversification: By investing in a variety of dividend stocks, you can reduce your risk.

* Investing for the long term: Dividend stocks are typically more volatile in the short term, but they tend to perform well over

What is a dividend aristocrat?

A corporation is considered a dividend aristocrat if its dividend has raised for at least 25 years running. Dividend aristocrats are considered to be very stable and reliable companies, and they are often seen as a good investment for income-oriented investors.

What is a dividend yield?

The dividend yield is the amount of dividend per share divided by the stock price. It is expressed as a percentage. For example, a stock with a price of $100 and a dividend of $5 has a dividend yield of 5%.

What is a dividend reinvestment plan (DRIP)?

With the help of a dividend reinvestment plan (DRIP), investors may have their dividend payments automatically reinvested into further shares of the same business. Investors may benefit from this as their investment grows over time.

What is a covered call?

A covered call is a strategy where an investor sells a call option on a stock that they own. The call option gives the buyer the right to buy the stock at a certain price on or before a certain date. The seller of the call option is obligated to sell the stock at the agreed-upon price if the buyer exercises the option.

What is a dividend capture strategy?

A dividend capture strategy is a strategy where an investor buys a stock just before the ex-dividend date and sells it shortly after. The ex-dividend date is the date after which the buyer of the stock is not entitled to the next dividend payment.

What is a dividend growth investing strategy?

A dividend growth investing strategy is a strategy where an investor buys stocks that are expected to increase their dividends over time. This strategy can help investors to generate income and capital appreciation from their investments.

What is a dividend discount model?

The dividend discount model is a valuation model that is used to estimate the value of a stock based on its expected future dividends. The model assumes that the stock price is equal to the present value of all future dividends.

What is a dividend screener?

A dividend screener is a tool that allows investors to search for stocks that meet certain criteria, such as dividend yield, dividend growth rate, or dividend payout ratio.

What advantages can dividend stock investments offer?

The benefits of investing in dividend stocks include:

* Income: Dividend stocks can provide a steady stream of income, which can be helpful for retirees or other investors who need a regular income stream.

* Growth: Dividend stocks can also grow in value over time, so investors can benefit from both income and capital appreciation.

* Safety: Dividend stocks are typically considered to be safer than other types of investments, such as individual stocks or bonds. This is because dividend-paying companies are typically well-established and have a track record of paying dividends.

* Tax efficiency: Dividends are typically taxed at a lower rate than capital gains.

What are the risks of investing in dividend stocks?

The risks of investing in dividend stocks include:

* Market risk: The value of dividend stocks can go down if the market goes down.

* Dividend risk: The company may cut or eliminate dividends if its financial performance declines.

* Interest rate risk: Rising interest rates can make dividend stocks less attractive to investors, which can cause the stock price to go down.

* Liquidity risk: Dividend stocks may not be as liquid as other types of investments, such as blue-chip stocks. This means that it may be difficult to sell the stocks quickly if you need to access your money.

Top 5 High Dividend Stocks in canada in 2023

The amount of the dividend is typically paid out quarterly, but it can also be paid out monthly or annually.