When it comes to long-term investing, dividend stocks can be your best friend. These don’t just sit quietly in your portfolio but pay you along the way. That’s the magic of buying and holding the right dividend stocks for decades. In Canada, there are two that stand out as strong candidates for the next 20 years: BCE (TSX:BCE) and Dream Industrial Real Estate Investment Trust (TSX:DIR.UN).
BCE
Let’s start with BCE. This dividend stock is about as Canadian as it gets. It’s been around forever and delivers your internet, your TV, and your mobile service. And up until recently, it was one of the most reliable dividend payers on the TSX. But earlier this year, something happened that caught investors by surprise: it cut its dividend. The annual payout was lowered from $3.99 to $1.75 per share.
Why did it make such a bold move? BCE decided to shore up its balance sheet amid rising interest rates and regulatory changes. It’s using the cash to focus on growth and reduce debt, which could pay off in the long run. In its most recent earnings report for the first quarter (Q1) of 2025, BCE posted net earnings of $683 million, a big improvement from $457 million in Q1 2024. Revenue reached $6.12 billion, up 1.2% year over year. So, even with a lower dividend, it’s clear the dividend stock is on solid footing.
BCE also invests heavily in its fibre internet network through a joint venture called Network FiberCo. It partnered with PSP Investments to accelerate its fibre expansion. This could eventually bring fibre to nine million homes and businesses. That kind of long-term infrastructure investment suggests BCE is not thinking about the next quarter, it’s planning for the next decade. For investors looking to build wealth slowly and steadily, that’s a good sign.
Dream REIT
Now, let’s turn to Dream Industrial REIT. This one is a hidden gem in the Canadian real estate world. While many REITs have struggled with office vacancies, Dream Industrial focuses on industrial properties, think warehouses, logistics hubs, and distribution centres. These properties have become hot commodities thanks to the rise of e-commerce and the ongoing demand for better supply chain infrastructure.
Dream Industrial REIT trades offers a monthly dividend of $0.05833 per unit. That works out to about $0.70 annually for a yield just above 6%. In its most recent earnings report, Dream Industrial reported net rental income of $91.7 million for Q1 2025, up from $85.9 million a year ago. Funds from operations per unit came in at $0.26, up from $0.24 in Q1 2024.
The REIT owns and operates 336 properties across Canada, the U.S., and Europe, totalling 72.6 million square feet. It’s not just sitting on these assets, either. The trust is actively developing new sites and redeveloping older ones to increase rental income and property value. With a focus on high-occupancy rates and long-term leases, Dream Industrial provides both stability and growth potential.
Foolish takeaway
So, how much could investors earn from these two pairs? If you were to take a $10,000 investment and put $5,000 towards each, here’s how it might shake out. All while you wait for shares to rise higher.
| COMPANY | RECENT PRICE | NUMBER OF SHARES | DIVIDEND | TOTAL PAYOUT | FREQUENCY | INVESTMENT TOTAL |
|---|---|---|---|---|---|---|
| BCE | $30.13 | 166 | $1.75 | $290.50 | Quarterly | $5,000.58 |
| DIR.UN | $11.35 | 440 | $0.70 | $308.00 | Monthly | $4,994.00 |
Yes, BCE’s dividend cut might give some investors pause, but the long-term story remains intact. It’s repositioning itself for the next chapter. Dream Industrial has quietly delivered solid returns and monthly income, and its business model fits well with what the future demands: flexible, reliable industrial real estate in a global supply chain-driven world.
If you’re looking to park some cash and let it grow while earning dividends for the next 20 years, BCE and Dream Industrial both deserve a spot on your radar. One gives you exposure to communications and infrastructure. The other gives you real estate and income from tenants in resilient sectors. Combined, they offer diversification, income, and a solid chance at long-term growth.
