How to Make $510/Month in Passive Income With These 2 TSX Stocks

You could bring in passive income of $6,115 annually, or $510 per month, from these TSX stocks today!

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The TSX today continues to recover closer to 52-week highs. After a market correction of 10.8%, shares have climbed back up. As of writing, the TSX is back up about 4.2% from those lows reached in mid-May. That is why now is a great time to lock in some strong passive income.

There are a few benefits here. You can create a passive-income stream to protect from any further volatility. But also, you can lock in a higher yield to bring in dividends for the next few years! All you need to find are stable companies producing long-term dividends, so let’s look at two TSX stocks I’d consider buying today.

BMO High Dividend ETF

BMO Canadian High Dividend Covered Call ETF (TSX:ZWC) isn’t all that old, but it’s linked to a Big Six bank. It offers a substantial dividend right now of 7.2%, paying it out consistently each month since 2018.

The benefit here isn’t necessarily the share growth aspect, but the passive income. This ETF is like having a group of managers finding you the best TSX stocks for dividends that are on offer right now. You get a group of professionals doing the work and no longer have to choose them yourself.

After the drop back during the March 2020 crash, shares have grown at a consistent rate. However, they’re still down from all-time highs. This allows Motley Fool investors to jump on TSX stocks like this one for passive income and substantial growth.

You can buy this ETF with a dividend yield of 7.2% dished out monthly — one that could rise soon as the pandemic allows it to increase its passive-income options once more.

Fiera Capital

If you want to put the work in capable hands, Fiera Capital (TSX:FSZ) is another strong option. The company has long supported a high dividend yield that comes from identifying growth and value stocks — ones that allow it to pay out passive income at higher levels.

And right now, there is a lot of value to be unlocked if Motley Fool investors know where to look. And, frankly, most Canadians probably don’t. That’s why it’s a great time to put your financial future in the hands of the professionals — especially with Fiera stock finding strong opportunities for growth and value on the TSX today.

With restrictions down and inflation and interest rates hopefully getting under control, Fiera stock could unlock substantial growth. During its latest earnings report, it announced a quarterly dividend of $0.215. That brings its current yield to 8.8% as of writing. Furthermore, it’s been around for some time, offering a compound annual growth rate (CAGR) of 10.4%! Yet shares are still down 7% year to date, rising 8% in the last month.

Bottom line

Both ZWC and Fiera offer strong long-term passive income, and growth as the market recovers. Motley Fool investors can see solid cash flow come in, as the company relies on experts in money management. This will allow you to bring in cash for decades.

If you were to use a Tax-Free Savings Account to put half of your $81,500 contribution room towards each passive-income stock, you could bring in $6,115 annually, or about $510 each month!

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 Amy Legate-Wolfe has positions in BMO Canadian High Dividend Covered Call ETF. The Motley Fool recommends FIERA CAPITAL CORP.

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