Investing is vital because it’s how to build your way to financial freedom. Of course, saving cash is crucial too and a prerequisite to investing. But saving alone will be very difficult to help you achieve your goals, especially when you consider that inflation is causing your cash to lose value every single year. So, just deciding to start investing in 2022 is a step in the right direction.
However, investing can be overwhelming for beginners, especially with so many stocks to consider and so much to factor in. So here is a simple four-stock sample portfolio that will help you diversify your cash and get your feet wet when it comes to investing.
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If you’re just getting started investing, consider a top utility stock
Some of the first stocks you’ll want to buy when you start investing in 2022 are high-quality and highly resilient businesses that can begin to form the core of your portfolio. These should be high-quality stocks that will grow consistently over the long run. But they should also be highly resilient, so they can protect your capital in times of turmoil.
That’s why Fortis (TSX: FTS)(NYSE: FTS), one of the top utility stocks in Canada, is such an excellent stock for investors who are just getting started. Utilities are regulated by governments, making them highly safe. Plus, they offer services that are essential, making them highly resilient.
And, of course, these are consistent dividend growth stocks. Fortis, for example, has increased its dividend every year for 48 consecutive years.
A high-quality cash cow
Another excellent stock for investors looking to start investing in 2022 is BCE (TSX: BCE)(NYSE: BCE). BCE is slightly less resilient than a utility stock like Fortis. However, it’s still remarkably robust.
Furthermore, it offers even more growth potential and is a massive cash cow. Much like Fortis, it’s also consistently increasing its dividend payments to investors. Its dividend today even yields an impressive 5.3%.
Plus, with the potential of 5G technology, BCE has a massive runway for growth. So, if you’re just getting started and looking to build up the core of your portfolio, a high-quality telecom stock like BCE is an excellent choice.
A top financial stock if you’re going to start investing in 2022
Financial stocks are also some of the best stocks you can buy. And right now, in this environment, Manulife (TSX: MFC)(NYSE: MFC) offers investors a tonne of potential.
Not only is it cheap and offers another excellent dividend yield of 4.75%, but Manulife is also another excellent long-term growth stock. Plus, as interest rates are expected to begin rising in 2022, it’s a stock that will likely see a major tailwind as a result.
So if you’re looking for a high-quality financial stock to help you get started investing in 2022, Manulife is a top choice.
Each of these three blue-chip stocks is a highly resilient business as well as an impressive cash flow generator and dividend stock. And once you have these high-quality stocks selected and making up the core of your portfolio then you can look at adding some growth stocks to the mix.
A top real estate growth stock to start investing in 2022
Real estate is another excellent industry to invest especially if you are going to start investing in 2022. Not only is it another reliable industry, especially residential real estate, but some of the stocks you can buy, such as Canadian Apartment Properties REIT (TSX: CAR.UN), also offers incredible growth potential.
CAPREIT has used ultra-low interest rates to its advantage over the last few years and has expanded its portfolio rapidly. In fact, if you had owned CAPREIT for the last 10 years, you would have earned a total return of more than 275%.
So, if you’re looking to start investing in 2022, it’s crucial that you take a long-term approach. And most importantly, you want to find high-quality stocks that you can rely on to protect and grow your hard-earned capital over the long haul.
