December is crunch time for Canadian investors. With the Registered Retirement Savings Plan (RRSP) deadline approaching (March 2, 2026, for the 2025 tax year) and Tax-Free Savings Account (TFSA) contribution room resetting when January 1 rolls around, smart Canadians aren’t just asking how much to invest — they’re asking where to put their money for the year ahead.
Both accounts offer powerful tax advantages. RRSP contributions reduce taxable income today, with investments compounding tax-deferred until withdrawal. TFSAs, meanwhile, allow capital gains and income to grow completely tax free. But regardless of account type, long-term results depend on owning high-quality businesses bought at reasonable prices.
This December, experienced Canadian investors are positioning their RRSPs and TFSAs with a mix of dependable income, discounted growth, and selective turnaround opportunities.
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A reliable income anchor with upside
Granite REIT (TSX: GRT.UN) continues to attract investors looking for stability without sacrificing growth. Trading around $80.79 per unit at the time of writing, Granite has already climbed roughly 6% over the past month and currently offers a healthy 4.2% distribution yield.
Granite focuses on industrial real estate, owning 134 properties across North America and Europe. Its portfolio is exceptionally well-positioned, with committed occupancy of 97.1% and a weighted average lease term of approximately 5.5 years. These characteristics provide steady cash flows that tend to hold up even when economic conditions soften.
What really stands out is Granite’s consistency. The REIT has increased its cash distribution for roughly 15 consecutive years with a 10-year distribution growth rate of about 4.1%.
Analysts also see nearly 13% near-term upside based on the current consensus price target, making Granite an appealing blend of income, resilience, and moderate growth — an ideal core holding for RRSPs and TFSAs alike.
Buying a quality tech leader on sale
CGI (TSX: GIB.A) represents a very different opportunity: a tech name trading at historically low valuations. After a difficult year, the stock is down about 18% year to date, despite rising roughly 3% over the past month as sentiment begins to stabilize.
From a valuation perspective, CGI now trades near price-to-earnings (P/E) levels last seen during the 2020 pandemic sell-off. For long-term investors, that kind of compression in a quality business often means opportunity.
Operationally, the company remains solid. In fiscal 2025, CGI reported revenue growth of 8.4% to $15.9 billion and adjusted earnings per share (EPS) growth of 8.9% to $8.30. Its backlog — a key indicator of future revenue — sits at roughly twice its annual revenue, offering visibility for solid growth potential.
Analysts see close to 20% upside from current levels near $128 per share, making CGI a compelling December addition for growth-oriented RRSP and TFSA investors.
A higher-risk turnaround with asymmetric potential
Cargojet (TSX: CJT) isn’t for the faint of heart, but selective investors are taking notice. After hitting lows in November, the stock has rebounded about 7% in the past month, hinting that the worst may be behind it.
Cargojet operates in a volatile, cyclical industry, yet it benefits from long-term contracts with major customers. Notably, agreements with Amazon and DHL extend through 2029 and 2033, respectively, with options to push further into the 2030s. These contracts provide stability in an otherwise unpredictable sector.
Through the first nine months of the fiscal year, revenue edged up 0.1% to $708 million, while adjusted EPS declined 16% to $3.00. Importantly, the company maintained a robust adjusted EBITDA margin of 32.7%, underscoring disciplined cost management.
At roughly $85 per share, analysts see upside of about 27%, and investors collect a 1.6% yield while they wait — a speculative but potentially rewarding RRSP or TFSA power play.
