July 2026
Population decline in Canada and its effect on the economy
Posthaste: What Canada's 'demographic recession' means for the economy
Trump levies new tariffs to Canadian dairy, auto and alcohol
https://www.cbc.ca/news/world/livestory/new-trump-tariffs-canada-us-trade-cusma-usmca-9.7277143
Slower growth in Canada shown in lower inflation affects the TSE
Bank of Canada lower the forecast GDP
Canadian real estate market showed small signs of improvement.
July 15 2026 News Release | CREA Statistics
Dividend Stocks & ETF – the Good and the Bad
What Are Dividend Stocks?
Dividend Stocks are stocks that historically provide a regular dividend. The dividend can be paid quarterly or annually depending on the stock. Shareholders on the official register as of the ex-dividend date (usually a couple weeks prior to the dividend payment date) receive the dividend. If the stock is sold after the ex-dividend date the previous owner receives the full dividend. Some investors target purchasing a stock the day before the ex-dividend date, but usually the stock price increases at that time to adjust for the upcoming dividend. Dividend stocks can be purchase individually or in ETFs (exchange traded funds).
The Good
There are many good qualify blue chip (high quality) stocks that pay a dividend. Some as high at 6%. In a bull market (when the stock market is consistently going up) the investor can receive a good return in the dividend plus the capital increase in the value of the stock upon sale.
The Bad
Dividend Stocks and ETF (exchange traded funds) cautions
-Do not invest in US stocks or ETF in your TFSA because there is a 15% withholding tax
-some dividend stocks are paying as much as 6%, but many of them can only do that by leveraging (borrowing) as much as 150% of their fund value. This is extremely risky and should only be purchased by seasoned stock market investors who have a high-risk tolerance and who are investing less than 10% of the net financial assets.
Takeaways
In a bull market dividend blue chip stocks can provide a great return but before purchasing them check the stock or ETF debt ratios and avoid any with significant debt. In a bear market avoid dividend stocks are their returns are not worth the risk of losing capital with a decreased stock value upon sale. By comparison, MIC shares provide an even higher return while having low or even no leveraged debt whether a bull or bear market. So if you just want a solid investment good in all markets call us for our MIC options.