3 of the Best Canadian Stocks I’d Buy and Hold Forever

These three stocks have always done well for me and should continue well into the future — especially with dividends on board!

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When it comes to finding Canadian stocks I plan to hold forever, now is actually an excellent time to consider them. I don’t want companies that are going to fluctuate wildly when the market is done or the economy is in the toilet. I want companies that are going to provide me with long-term growth and opportunities for passive income.

With that in mind, today, I’m going to look at three companies I hold — ones that I plan on never selling if I don’t have to. So, let’s get into it.


First up, I purchased Topicus (TSXV:TOI) about a year ago now. This was when tech stocks were on edge, but I was attracted to the company for one major reason. Topicus stock is a split from Constellation Software (TSX:CSU). An acquisition powerhouse that has seen insane growth over the last decade or more.

So, you might ask, why didn’t I buy CSU stock? I’d like to, but with shares now nearing $4,000, it wasn’t exactly in my budget range. However, Topicus stock certainly is. In fact, it’s the exact same company as CSU stock, though in Europe. It’s still finding valuable, essential software to invest in. And it’s still the same management team—just in a different location.

With that in mind, I am quite hopeful that this investment will be similar to the growth trajectory for CSU stock. We’ve already seen a lot of that. Shares have increased by 36% in the last year alone. So, not only will I continue to hold this stock, but I will very likely invest back into it.


Another strong option that has given me so much growth and peace of mind is Vanguard FTSE Global All Cap Ex Canada Index ETF Unit (TSX:VXC). I, like many Canadians, invest fairly heavily into Canadian stocks. So, by investing in VXC, I immediately get exposure to a global portfolio.

The objective for VXC is to provide exposure to equity securities from developed and emerging markets around the world, except for Canada. You can look forward to long-term capital growth, with a diversified portfolio at the click of a button.

What’s more, VXC offers dividend income as well. It currently offers a 1.58% yield, which isn’t nothing. And as for returns, they’ve been excellent in the last year alone. Over the last year investors have had 21% growth in their returns! So, I will certainly continue to invest in VXC above all else.

RBC stock

Finally, Canada is well known for their Big Six banks. These Canadian institutions are massive. Not only is Royal Bank of Canada (TSX:RY) the largest bank in Canada as well as the largest stock, but it’s huge even compared to United States banks. It would even mark among the top five!

While less competition means higher fees, it also means stability. RBC stock has been nothing if not stable since I’ve owned it. Even during these downturns, the company has performed ahead of the other Canadian banks. And with a dividend yield of 4.08% that is constantly growing, it’s one I’ll continue to pick up in the future.

Especially now. It’s not just because the stock offers a deal during downturns, with pretty much a guarantee of recovery. It’s also because the company recently purchased HSBC Canada for even more growth. All considered, it’s another of the Canadian stocks I’ll be holding as long as I live.

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 Royal Bank Of Canada, Topicus.com, and Vanguard Ftse Global All Cap Ex Canada Index ETF. The Motley Fool has positions in and recommends Topicus.com. The Motley Fool recommends Constellation Software. The Motley Fool has a disclosure policy.

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