The stress of constantly having to readjust your portfolio can be daunting. To skip the worry altogether, may I suggest buying Brookfield Asset Management Inc. (TSX:BAM.A)(NYSE:BAM) and Royal Bank of Canada (TSX:RY)(NYSE:RY), two stocks that should see consistent upside momentum over the next 10-years.
1.Brookfield Asset Management Inc.
Brookfield Asset Management is a great addition to a portfolio geared for the longer-term because the company has a diverse suite of businesses, and a business strategy to maximize value over the longer-term. A strategy that has resulted in a solid past performance that I think is likely to be repeated.
As the name implies, Brookfield Asset Management is a global asset manager with about $200 billion worth of assets under management. Their focus is on real estate, infrastructure and renewable energy. They also have a private equity arm. Over the past 10-years, the company’s stock has advanced by 200% and I believe that due to the company’s business strategy the returns over the next decade could be very similar.
Brookfield Asset Management’s diverse mix of businesses mean that the company can profit under more diverse economic climates compared to businesses with a single focus. And the company’s strategy to purchase assets for a good value and grow those assets for long-term profits make this company an ideal candidate for your portfolio.
2. Royal Bank of Canada
The Royal Bank of Canada is Canada’s largest bank, and the stock has advanced by 160% over the past 10-years. The company has recently reported strong earnings, aided by a strong financial position and a move to cut costs where it can. These cost cutting measures are a sign of prudent management and are likely to hold the bank in good stead. Along with it’s prudent management, a healthy exposure to our domestic market, a dominant capital markets franchise, and as with all banks, a dividend that tends to only go up, help to make Royal Bank of Canada a top pick for those investors looking to consistently add value to their portfolio over the long-term.
