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First Brexit… then Trump… Now, it’s time for Pro

Is your portfolio really prepared for what’s coming next?

To help investors like you navigate this historically uncertain — yet high-flying — market and prepare for an inevitable downturn, we’re re-opening our Motley Fool Pro Canada service to a select few new members for a short time.

To discover how Pro Canada could help you to increase your upside potential… reduce your downside risk… and earn paycheque-like income in the process, simply click here — before the small number of spots we have left are all gone!

Get Rich Slowly With These 3 Top Dividend Stocks

As history shows, owning a portfolio of dividend-paying stocks is the best way to build wealth over the long term, and this investment strategy generates the highest returns when you own stocks that grow their dividends over time. With this in mind, let’s take a look at three stocks with yields over 3%, active streaks of annual increases, and the ability to continue growing their payouts going forward, so you can determine if you should buy one or more of them today.

1. Thomson Reuters Corp.

Thomson Reuters Corp. (TSX:TRI)(NYSE:TRI) is the world’s leading source of intelligent information for businesses and professionals. It currently pays a quarterly dividend of US$0.34 per share, or US$1.36 per share annually, which gives its stock a yield of approximately 3.3% at today’s levels.

It is also important to make two notes.

First, the company’s 1.5% dividend hike in February has it on pace for fiscal 2016 to mark the 23rd consecutive year in which it has raised its annual dividend payment.

Second, Thomson Reuters has a target dividend-payout range of 40-50% of its free cash flow, so I think its very strong growth, including its 24.6% year-over-year increase to $1.8 billion in fiscal 2015, will allow its streak of annual dividend increases to continue for the foreseeable future.

2. Canadian REIT

Canadian REIT (TSX:REF.UN) is one of Canada’s largest diversified REITs with 197 industrial, retail, and office properties across the country. It currently pays a monthly distribution of $0.15 per share, or $1.80 per share annually, which gives its stock a yield of approximately 4.1% at today’s levels.

It is also important to make two notes.

First, the company’s 2.9% dividend hike in June 2015 has it on pace for fiscal 2016 to mark the 15th consecutive year in which it has raised its annual dividend payment.

Second, I think Canadian REIT’s ample funds from operations, including the adjusted $2.42 per share it earned in fiscal 2015, its modest payout ratio, including an adjusted 73.5% of its funds from operations in fiscal 2015, its high occupancy rate, and its growing asset base will allow its streak of annual distribution increases to continue for the next several years.

3. Finning International Inc.

Finning International Inc. (TSX:FTT) is the world’s largest dealer of Caterpillar equipment. It currently pays a quarterly dividend of $0.1825 per share, or $0.73 per share annually, which gives its stock a yield of approximately 3.4% at today’s levels.

It is also important to make two notes.

First, the company’s 2.8% dividend hike in May 2015 has it on pace for fiscal 2016 to mark the 15th consecutive year in which it has raised its annual dividend payment.

Second, I think Finning’s ample free cash flow, including the $325 million it generated in fiscal 2015, its low payout ratio, including 38.2% of its free cash flow in fiscal 2015, and its recent $241 million acquisition of a Caterpillar dealership in Saskatchewan, which will help boost its revenue, earnings, and free cash flow growth going forward, will allow it to announce another dividend hike by the end of the year.

4. And here's a fourth stock pick for good luck!

Renewable energy is predicted to be the largest source of electricity growth over the next five years. A trend like that is simply too hard for us Fools to ignore. Luckily, we've identified 1 Top Renewable Energy Stock for 2016 - And Beyond that we think Canadian investors should take a much closer look at. If you'd like our full analyst report sent directly to your inbox FOR FREE, then click here right now..."

Fool contributor Joseph Solitro has no position in any stocks mentioned. Finning International is a recommendation of Stock Advisor Canada.

NEW! This Stock Could Be Like Buying Amazon In 1997

For only the 5th time in over 14 years, Motley Fool co-founder David Gardner just issued a Buy Recommendation on this recent Canadian IPO.

Stock Advisor Canada’s Chief Investment Adviser, Iain Butler, also recommended this company back in March – and it’s already up a whopping 57%!

Enter your email address below to claim your copy of this brand new report, “Breakthrough IPO Receives Rare Endorsement.”

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