Canadian retirees and other dividend investors are searching for top TSX stocks to add to a self-directed Tax-Free Savings Account (TFSA) or Registered Retirement Savings Plan (RRSP) focused on generating passive income and long-term total returns.
The rise of the TSX over the past year has reduced dividend yields on many stocks, but investors can still find yields that are attractive.
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Enbridge
Enbridge (TSX:ENB) trades near $73 per share at the time of writing. The stock is up 20% in the past 12 months, trading near its record high, but still provides investors with a solid 5.3% dividend yield.
The share price has been on an upward trend since late 2023 when market sentiment shifted from fears of additional interest rate increases to anticipation of rate cuts that eventually materialized in 2024 and 2025.
Enbridge uses debt to fund part of its growth program, which includes acquisitions and organic developments that can cost billions of dollars. The drop in borrowing expenses helps boost earnings and frees up more cash for dividends and debt reduction.
Enbridge is currently working on $39 billion in capital projects. As the new assets are completed and go into service, the company expects adjusted earnings per share (EPS) and distributable cash flow (DCF) to rise by about 5% annually over the next few years. This should support steady dividend increases.
Enbridge has increased the dividend in each of the past 31 years.
Canada’s plan to boost oil and natural gas sales to global buyers could lead to the construction of new pipeline infrastructure connecting producers in Alberta to the coast. If a project materializes, Enbridge would be a good candidate to participate.
BCE
BCE (TSX:BCE) is arguably a contrarian pick right now. The stock took a beating in recent years, falling from above $70 in 2022 to below $30 in the second quarter of 2025. Since then, the share price has stabilized and now trades around $35 per share.
BCE cut its dividend to preserve cash flow as it works through a strategy shift to reduce debt while also investing for future growth. The company sold its stake in Maple Leaf Sports and Entertainment (MLSE) and used the funds to buy Ziply Fiber, an American internet service provider. The Ziply deal gives BCE a good growth platform in the U.S. market where there is more opportunity for expansion than there is in Canada.
BCE is also moving into the AI data space with offerings focused on providing Canadian corporate and government clients with services to help them keep their data in the country.
The dividend should now be safe and there is decent upside potential for the stock if the growth initiatives deliver as expected. Investors who buy BCE stock at the current level can get a dividend yield near 5%.
The bottom line
Enbridge and BCE are industry leaders and pay dividends with attractive yields. If you have some cash to put to work in a TFSA or RRSP focused on dividend income, these stocks deserve to be on your radar.
