Following reports that Donald Trump has suspended the planned strikes on Iranian power plants and energy infrastructure after productive talks with Iranian officials, global equity markets responded positively. Canadian markets also joined the rally, with the S&P/TSX Composite Index climbing 1.8% yesterday.
However, uncertainty still lingers regarding the outcome of these discussions and the broader impact of elevated energy prices on global economic growth.
In this environment, maintaining a well-balanced portfolio that includes a mix of growth, defensive, and dividend stocks becomes increasingly important. With that in mind, here are my top three picks.
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5N Plus
5N Plus (TSX: VNP) stands out as a compelling growth stock to consider for your portfolio. Despite ongoing volatility in global equity markets, the company has delivered an impressive return of over 75% this year. Its strong financial performance, combined with exposure to high-growth areas such as semiconductors and space-based solar power, has been a key driver of this momentum.
Looking ahead, powerful structural trends are working in its favour. The global transition toward clean and renewable energy, along with the rapid expansion of space-based projects, satellite communications, and security applications, is creating significant long-term tailwinds. To capitalize on this growing demand, 5N Plus continues to expand its production capabilities across key strategic segments.
Recently, the company announced plans to boost solar cell production capacity at its AZUR SPACE Solar Power GmbH facility by 25% this year. It also secured a US$18.1 million grant from the U.S. government to enhance the recycling and refining of germanium from industrial residues and mining by-products at its St. George, Utah, facility. Considering these growth initiatives and the favourable industry backdrop, 5N Plus appears well-positioned to sustain its financial momentum and support further stock price appreciation.
Fortis
My second pick is a defensive name, Fortis (TSX: FTS), a utility company serving approximately 3.5 million customers across North America. With about 95% of its assets tied to regulated transmission and distribution operations, its earnings remain largely insulated from commodity price fluctuations and broader market volatility. This stability has enabled Fortis to deliver consistent financial performance and steady share price appreciation, generating an average annual shareholders’ return of 10.3% over the past two decades. The company has also increased its dividend for 52 consecutive years and currently offers a forward yield of around 3.38%.
Looking ahead, rising energy demand across North America—driven by economic growth, increased investments in AI-ready data centres, and the electrification of transportation—should act as a strong tailwind. To capitalize on these trends, Fortis plans to invest $28.8 billion through the end of the decade, targeting a 7% annualized rate base growth to reach $57.9 billion by 2030. Supported by these expansion plans, management expects to grow its dividend at an annualized rate of 4–6% through 2030, reinforcing its appeal as a reliable defensive investment.
SmartCentres Real Estate Investment Trust
My final pick is SmartCentres Real Estate Investment Trust (TSX: SRU.UN), a high-yielding REIT with a strong, diversified, and retail-focused property portfolio. The trust owns and operates 198 strategically located properties across Canada and benefits from a high-quality tenant base. Around 95% of its tenants have a regional or national presence, while roughly 60% provide essential services. This mix supports consistently high occupancy levels, even during periods of economic uncertainty.
In addition, SmartCentres boasts a substantial development pipeline of 87.4 million square feet, with approximately 0.8 million square feet currently under construction. These expansion projects, combined with its stable occupancy, are expected to strengthen its financial performance over time and support continued dividend payments. The REIT currently pays a monthly dividend of $0.1542 per unit, yielding around 6.93% and making it a compelling addition to your portfolio in these uncertain times.
