Whether the market is growing rapidly or starting to pull back, it’s always important to own high-quality businesses you can rely on for the long haul. Not every stock you buy has to be ultra safe, but many high-quality companies operate reliably enough that they naturally offer a degree of safety.
These are the kinds of stocks you want to own all the time. A truly top-notch business can provide investors with stability and peace of mind without sacrificing long-term growth potential.
Then there are defensive stocks, which take that reliability a step further. These are the stocks you buy specifically to help shore up your portfolio during uncertain or volatile markets.
Typically, these businesses are massive large-cap companies. Their size is often what makes them so safe and reliable, but it’s also what limits their upside. They may never explode higher in value, but they’re some of the most trustworthy and consistent investments you can own.
The strongest portfolios usually have a mix of both. High-quality stocks with more growth potential and a bit more risk, alongside ultra-safe stocks you can buy and confidently hold for years.
So, if you’re looking for safe stocks you can buy right now, here are two of the best Canadian picks to consider.
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This ultra-safe utility stock is one of the best investments to buy now
If you’re looking for a safe stock to buy and hold in your portfolio for decades to come, there’s no question Fortis (TSX:FTS) is one of the very best. In fact, it might just be the lowest-risk stock on the TSX.
Fortis is a regulated utility company that owns electricity and natural gas assets across Canada, the United States, and the Caribbean. That means its returns are largely set by regulators, and demand is ultra-stable.
In other words, Fortis generates highly predictable cash flow every year, which is what makes it so safe. Not only is it consistently earning a profit, but it’s consistently growing its earnings, its dividend and the cash it’s investing in future growth.
So, although Fortis never offers explosive growth, it’s the safe and consistent performance that leads to the significant compounding over the long haul.
For example, even as one of the lowest-risk stocks on the TSX, Fortis has earned investors a total return of roughly 175%. That’s a compound annual growth rate of roughly 10.6%.
Plus, Fortis doesn’t just have ultra-safe operations, as proven by its 50-year dividend-growth streak; it’s also one of the least volatile stocks in Canada, with a beta of just 0.4.
So, if you’re looking for a safe stock to buy now and hold for years, Fortis is easily a top pick; it trades around just $70 a share and offers a yield of roughly 3.6%.
A massive $140 billion energy infrastructure giant
In addition to Fortis, another safe stock you can buy right now for less than $200 is Enbridge (TSX:ENB).
Enbridge is a reliable investment because it operates one of the largest energy infrastructure networks in North America, including pipelines, storage facilities, and natural gas distribution assets.
That means Enbridge provides essential operations, plus the majority of its cash flow is generated through long-term, contracted assets. So, although Enbridge’s future revenue and cash flow are not as predictable as Fortis’s, it’s still incredibly resilient.
Furthermore, because of its defensive operations, contracted cash flow and the fact that it keeps its payout ratio very safe, Enridge is easily one of the best dividend stocks you can buy.
Not only does it offer a yield of more than 6%, but it’s also increased its dividend every year for over three decades. Furthermore, its payout ratio in 2026 is estimated to be just 64% to 68% according to its guidance.
So, if you’re looking for a high-quality defensive stock to buy with an attractive yield that’s safe, Enbridge is easily one of the best picks on the TSX.
