Income Investors: Grab These 3 High-Yield Dividend Stocks That Pay Monthly

High-yield, monthly-paying dividend stocks like Inter Pipeline Ltd (TSX:IPL) can generate a steady and frequent income stream.

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For dividend investors, high yields are among the most satisfying things on earth — even more so if the payouts are made monthly. While the vast majority of dividend stocks pay quarterly, there are some out there that pay their investors every single month.

Monthly payouts spread your income out more, resulting in less income each time the deposit hits your account; however, many monthly dividend stocks have high yields. When you combine a high yield and a monthly payout schedule, you’ve got a recipe for passive income coming in at a lightning pace. So, without further ado, here are three high-yield TSX dividend stocks that pay every single month.

Inter Pipeline

Inter Pipeline (TSX:IPL) is an energy company that focuses on transportation, LNG processing, and storage. The company’s pipeline system spans 7,800 kilometers and delivers 1.4 million barrels of oil a day. Its operations are highly diversified, not only in terms of operations but also geography. For example, the company’s pipeline business is based in North America, while its storage business is based in Europe.

IPL’s strong diversification and steady income make it a classic income play. Its dividend yields 8.4% and is paid every single month.

NorthWest Healthcare Properties REIT

Northwest Healthcare (TSX:NWH.UN) is a real estate company that invests in hospitals and health clinics. Because its clientele consists of health organizations — notable for their financial stability — it has an astounding occupancy rate of 96%. The international part of its portfolio has an even higher occupancy rate of 98%.

In its most recent quarter, NWH grew its revenue by 6% and its operating income by 2.5%. It’s not exactly a huge grower, but it does offer a tasty 6.5% dividend yield and a monthly payout schedule.

Vermilion Energy

Vermilion Energy (TSX:VET)(NYSE:VET) is a diversified energy producer that operates in North America, Europe, and Australia. In North America, it owns a dominant position in the West Pembina Cardium and Turner Sand plays. In Europe, it has onshore and offshore oil extraction operations that sell Brent Crude and natural gas, which is about 2.5 times more profitable when sold in Europe rather than Canada. And finally, in Australia, the company owns a 100% interest in the highly productive Wandoo offshore oil field.

This collection of assets gives Vermilion a highly diversified set of petroleum products to sell on the world markets. It should come as no surprise that in its most recent quarter, the company grew its funds from operations by 14% over the previous quarter and 58% year over year. This growth in funds means that Vermilion can keep paying its ultra-high dividend for years to come without running out of retained earnings. Speaking of that dividend, it yields a whopping 9.5% and is paid monthly. If you’re looking for big dividends on a regular basis, this may just be the bet for you.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Andrew Button has no position in any of the stocks mentioned. Northwest Healthcare Properties is a recommendation of Stock Advisor Canada.

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