The stock market has been on a roll lately, and that’s evident in the performance of the S&P/TSX Composite Index. The benchmark index for the Canadian stock market is up by 5.8% year-to-date, making a strong bull run since its April 8, 2025, low to climb by over 17% within the space of a few months. It has been a bit of a rollercoaster ride, but the market seems to be gaining positive momentum.
Many investors are still wary of putting money into the market due to fears of another downturn causing losses. If you don’t have a big appetite for risk and want to put your money to work in the market, consider investing in the top companies in some of the most reliable industries. Today, we’ll look at three blue-chip stocks you can consider.
Source: Getty Images
Banking giant
Canada’s banking stocks are some of the best investments, and that’s because the sector is one of the best performers in North America. Bank of Nova Scotia (TSX:BNS) is one of the Big Six Canadian banks. While you cannot go wrong investing in any of the top Canadian banking stocks, Scotiabank stock can be a good pick to consider.
Scotiabank has a strong domestic presence but has increased its focus on the international market across the border. The bank’s presence in the Latin American market has not yielded strong results due to its volatile nature. The US market offers more lucrative growth opportunities. At writing, Scotiabank stock trades for $73.27 per share and offers a 6% dividend yield you can lock into your portfolio.
Utility royalty
As boring as they are, utility companies can be some of the safest investments you can make, and Canadian Utilities Ltd. (TSX:CU) is one of the best to consider. Being among the top Canadian utility stocks, CU is a $10.3 billion market-cap utility company offering gas and electricity services. These are essential services that ensure the company keeps making money regardless of the economic situation.
As such, CU stock might not offer much in terms of capital gains. However, it is a staple holding in many investor portfolios due to its reliable dividends. With a dividend-growth streak spanning around five decades, it keeps increasing payouts each year. The reason? It can fund its dividend hikes comfortably with the stable revenue and cash flows it generates each year.
As of this writing, CU trades for $37.84 per share and boasts a 4.8% dividend yield.
Energy sector stock
The Canadian energy industry also has some amazing picks to consider, and Enbridge Inc. (TSX:ENB) is one of my top choices. Enbridge is a $139.6 billion market-cap giant in the Canadian oil and gas sector. The company owns a substantial portfolio of midstream assets that transport all kinds of hydrocarbons across North America. It also owns and operates one of the region’s largest regulated natural gas utility businesses in the region.
Since it services companies producing fossil fuel products and charges based on volume transported, it doesn’t get too affected by volatile commodity prices. The defensive business model helps the company generate stable and reliable revenues. The additional revenues from its utility business and growing renewable energy segment also contribute to making it a reliable long-term investment.
As of this writing, ENB trades for $64.02 per share and boasts a 5.9% dividend yield.
Foolish takeaway
Investing in industry-leading stocks can be an excellent way to put your money to work in the market without taking unnecessary risks. Granted, stock market investing is inherently risky. However, betting on well-established companies from reliable sectors with proven track records is a good way to make the most of your investment. To this end, BNS stock, CU stock, and ENB stock can be excellent holdings to add to your self-directed portfolio.
