My Top 3 TSX Portfolio Holdings Going Into 2022

There are many great stocks and ETFs listed on the TSX that are available to investors. Which three are the biggest holdings in my portfolio?

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Although the majority of my portfolio is allocated towards American companies, there are TSX-listed companies that I like a lot. In this article, I’ll discuss my top three TSX portfolio holdings going into 2022. I intend to keep holding onto these three positions for the long term, as I believe they could be worth a lot more in a few years’ time.

My top TSX pick

I write about Shopify (TSX:SHOP)(NYSE:SHOP) a lot. In fact, last weekend, I wrote about the stock being my top pick for 2022. This isn’t without reason. I really do believe in the company, and this is evident in my own portfolio. My Shopify position is the largest of all TSX-listed companies in my portfolio. Although it’s already the third-largest position overall, I see myself adding to this position in the future. After all, Motley Fool co-founder David Gardner famously reminds us to water our flowers and not our weeds.

Shopify is a leading player within the quickly growing ecommerce industry. Using its platform, merchants of all sizes can easily sell products online. In Q2 2021, Shopify surpassed Amazon for the first time in terms of customer traffic, when it recorded an average of 1.16 billion monthly active users. As e-commerce continues to penetrate the broader retail industry, we could expect to see even more users flock to Shopify. It’ll also be interesting to see how the company’s new partnership with Spotify will affect sales and traffic numbers.

This ETF is a must-have for younger investors

The second largest TSX-listed position in my portfolio is an ETF. Evolve FANGMA Index ETF (TSX:TECH) is the first ETF of its kind, tracking the performance of the six American big tech companies. For those that are unfamiliar, that includes Meta Platforms (Facebook), Apple, Netflix, Alphabet (Google), Microsoft, and Amazon.

This ETF is a great position for younger, and newer, investors because it provides an opportunity to see a lot of growth while spreading your risk across several companies. Adding this ETF to your portfolio will also give you exposure to the American stock market, which provides two benefits. First, the American stock market tends to see a lot more growth than the Canadian market. Second, it provides your portfolio with geographic diversification.

A solid dividend stock

The third-largest TSX-listed position in my portfolio belongs to Bank of Nova Scotia (TSX:BNS)(NYSE:BNS). Like many other Canadians, I enjoy investing in the Canadian banking industry because of its reliability. I have been wanting to add dividend stocks to my portfolio, and choosing one of Big Five banks seemed like an easy choice.

Bank of Nova Scotia has significant exposure to the Pacific Alliance. That is a region which includes the countries of Chile, Columbia, Mexico, and Peru. It’s previously been estimated that the Pacific Alliance could grow at a faster rate than Canada and the U.S. over the coming years, due to a rapidly growing middle class. If that’s the case, then Bank of Nova Scotia could see massive growth. That’s a nice bonus to the attractive dividend the stock already offers to investors.

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.

Suzanne Frey, an executive at Alphabet, is a member of The Motley Fool’s board of directors. Teresa Kersten, an employee of LinkedIn, a Microsoft subsidiary, is a member of The Motley Fool’s board of directors. Randi Zuckerberg, a former director of market development and spokeswoman for Facebook and sister to Meta Platforms CEO Mark Zuckerberg, is a member of The Motley Fool's board of directors. John Mackey, CEO of Whole Foods Market, an Amazon subsidiary, is a member of The Motley Fool’s board of directors. Fool contributor Jed Lloren owns Apple, BANK OF NOVA SCOTIA, Evolve FANGMA Index ETF, Microsoft, and Shopify. The Motley Fool owns and recommends Shopify. The Motley Fool recommends Alphabet (A shares), Alphabet (C shares), Amazon, Apple, BANK OF NOVA SCOTIA, Meta Platforms, Inc., Microsoft, and Netflix.

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