If Your Portfolio Has You Worried, These 2 Canadian Stocks Are Built to Hold Up

Is market volatility making you feel uneasy about your portfolio? These two stocks could offer much-needed stability.

Key Points
  • Manulife Financial (TSX:MFC) offers global diversification and steady earnings growth.
  • Choice Properties REIT (TSX:CHP.UN) provides reliable monthly income backed by essential real estate.
  • Both stocks combine stability and dividends, making them strong choices during uncertain markets.

If market swings make you uncomfortable, don’t worry – you’re not alone, as volatility can make even experienced investors feel that way. But instead of reacting to short-term noise, a better approach is to focus on businesses that are built to stay steady through different market cycles.

In this article, I’ll highlight two such Canadian stocks that are built to weather market turbulence.

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Manulife Financial stock: Stability backed by global diversification

Manulife Financial (TSX: MFC) is one of Canada’s largest insurance and financial services companies, with a strong presence across North America and Asia. Its diversified operations across insurance, wealth management, and asset management give it multiple avenues for steady earnings. Following a 26% rally over the last year, MFC stock currently trades at $52.92 with a market cap of $88 billion. At this market price, it has a 3.7% dividend yield, paid quarterly.

What makes Manulife particularly resilient is the strength of its actual numbers. In 2025, the company reported core earnings of $7.5 billion, up 3% from the previous year, while net income reached $5.6 billion. On a per-share basis, core earnings climbed 8% year-over-year (YoY) to $4.21 per share. These stable numbers show its ability to post consistent growth even in a mixed macro environment.

Manulife’s capital position remains solid, too. It ended the year with a life insurance capital adequacy test ratio of 136% and generated $6.4 billion in remittances. This allowed the company to return $5.4 billion to shareholders in 2025, alongside a 10.2% increase in its dividend and ongoing share buybacks.

Beyond the numbers, the company continues to invest in growth. It’s expanding into new markets like India, strengthening its asset management platform with acquisitions, and using artificial intelligence (AI) tools to improve customer experience and productivity.

With strong earnings, growing business segments, and disciplined capital returns, Manulife continues to show why it can hold up well even when markets turn uncertain.

Choice Properties REIT: Reliable income from essential real estate

If you’re concerned about market volatility, Choice Properties Real Estate Investment Trust (TSX: CHP.UN) could be another great stock to consider for stability. This real estate investment trust (REIT) focuses mainly on necessity-based retail, industrial, and mixed-use properties across Canada. Its shares currently trade at $15.32 apiece with a market cap of $5 billion. The REIT also offers a 5.1% dividend yield, paid monthly.

The strength of Choice Properties lies in its tenant base and property mix. A large portion of its portfolio is anchored by grocery and essential retail tenants, which tend to perform well even during economic slowdowns.

Financially, the REIT continues to show steady progress. In the fourth quarter of 2025, its net operating income grew 4.7% YoY with the help of higher occupancy and positive leasing spreads. This reflected consistent demand for its properties.

At the same time, the company maintains a disciplined approach to its balance sheet, with an adjusted debt-to-EBITDA (earnings before interest, taxes, depreciation, and amortization) ratio of 7 times. Also, Choice’s capital recycling strategy and ongoing development projects further support the long-term growth outlook.

With stable cash flows, a strong tenant base, and attractive monthly payouts, Choice Properties provides a reliable income stream for investors seeking defensive positions.

Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.

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