Home » Dividend Investing » The benefits of Cross-Listed Stocks
As a Canadian, in order to build up US funds, I have held cross-listed Canadian companies on the US stock exchange to earn dividends in US dollars. When the currency exchange is not on par, that’s one way to generate cash in US dollars. Most so when the dividend paid is already declared in US dollars.
The process of transferring a share across stock exchange is called ‘journaling’ . It is a term used with the discount brokers for moving cross-listed stocks between exchanges. The end result is that you can hold Canadian blue chip companies in US currencies generating US dividends . I had many readers asking me the question on how to do this as it is a way to get around currency fees to some extent.
Before you look into the process, make sure your discount broker supports it and that you have a proper US cash account. Many discount brokers already support it such as RBC Direct Investing or TD WebBroker.
Related: Norbert Gambit with DLR and DLR.U
Cross Listed Stocks First, you need a company that trades on both exchanges. Most of the Canadian Blue Chip stocks are present on both the TSX and the NYSE. When you think about it, a share of Royal Bank on the TSX is the same as a share on the NYSE from the perspective of owning a piece of the company. Keep in mind that income taxes have different rules based on country of residence and the provenance of the dividends.
Related: Dividends Taxes
Benefits of Cross-Listed Stocks One main benefit is that you can choose to earn the dividends in either currency. As it stands, my RRSP account for my dividend portfolio is mostly in US currency. The main reason is that there is no dividend withholding tax for foreign dividends (excluding MLPs) in an RRSP.
A note on investing in US Companies:
The US is a large market with many large conglomerates providing international exposure. Exposure to new sectors with little representation in Canada. A secondary benefit is that you incur no currency exchange fees in the process for companies that pay in USD such as Brookfield Asset Management or Thompson Reuters . Below is a comprehensive list of stocks you can use. To execute a straight currency exchange, I simply use DLR and DLR.U as it has very little fee .
TSE:BAM.A BAM.A Brookfield Asset Management Financial Services Asset Management 0.45 49.86 59.13 0.00 0.00 -0.32 0.0122 1.22 1.0000 4 0.48 0.0763 6 4 Tollbooth - Unregulated NO NO YES NO Canada 1 TSE:ABX ABX Barrick Gold Basic Materials Gold 0.42 30.44 42.62 14.10 14.10 2.16 0.0150 1.50 0.2116 4 0.36 0.0150 1 5 Intermediate NO NO NO NO Canada 1 TSE:TRI TRI Thompson Reuters Industrials Consulting Services 0.54 102.46 40.06 21.46 21.46 4.77 0.0188 1.88 0.4047 4 1.52 0.0364 3 7 Intermediate NO YES YES NO Canada 1 TSE:QSR QSR Restaurant Brands International Inc. Consumer Cyclical Restaurants 0.61 81.53 38.22 34.86 34.86 2.34 0.0324 3.24 1.1288 4 2.08 0.6529 8 4 Consumable - Discretionary NO NO NO NO Canada 1 TSE:NTR NTR Nutrien Ltd Basic Materials Agricultural Inputs 0.29 65.37 37.21 307.31 307.31 0.21 0.0350 3.50 10.8846 4 1.80 0.0350 3 3 Intermediate NO NO NO NO Canada 1 TSE:FNV FNV Franco-Nevada Corp Basic Materials Gold 0.52 162.86 31.08 93.05 93.05 1.75 0.0081 0.81 0.7547 4 1.04 0.0521 5 6 Intermediate YES YES YES NO Canada 1 TSE:WCN WCN Waste Connections Inc Industrials Waste Management 0.51 133.74 27.69 134.99 134.99 0.99 0.0078 0.78 1.0518 4 0.82 0.1695 8 4 Tollbooth - Unregulated NO NO NO NO Canada 1 TSE:MG MG Magna International Inc Consumer Cyclical Auto Parts 0.37 96.26 22.68 51.09 51.09 1.88 0.0211 2.11 1.0807 4 1.60 0.1181 4 2 Durable NO NO YES NO Canada 1 TSE:BIP.UN BIP.UN Brookfield Infrastructure Partners Utilities Utilities - Diversified 0.72 63.67 20.93 79.49 79.49 0.80 0.0429 4.29 3.4128 4 2.15 0.1349 8 7 Tollbooth - Regulated YES YES NO NO Canada 1 TSE:WPM WPM Wheaton Precious Metals Corp Basic Materials Gold 0.40 55.16 19.50 45.72 45.72 1.21 0.0092 0.92 0.4198 4 0.40 0.0765 3 4 Intermediate NO NO NO NO Canada 1 TSE:AEM AEM Agnico Eagle Mines Basic Materials Gold 0.58 91.62 17.52 27.35 27.35 3.35 0.0194 1.94 0.5307 4 1.40 0.1338 5 5 Intermediate NO NO NO NO Canada 1 TSE:BEP.UN BEP.UN Brookfield Renewable Partners L.P. Utilities Utilities - Renewable 0.35 62.08 17.06 0.00 0.00 -0.68 0.0355 3.55 1.0000 4 1.74 0.0648 2 5 Tollbooth - Unregulated NO NO NO NO Canada 1 TSE:BPY.UN BPY.UN Brookfield Property Partners Real Estate Real Estate Services 0.59 21.48 15.77 11.07 11.07 1.94 0.0786 7.86 0.8706 4 1.33 0.1349 6 5 Tollbooth - Unregulated NO NO NO NO Canada 1 TSE:AQN AQN Algonquin Power & Utilitties Corp Utilities Utilities - Renewable 0.69 21.82 13.03 20.86 20.86 1.05 0.0361 3.61 0.7503 4 0.62 0.1228 7 8 Tollbooth - Unregulated NO NO YES NO Canada 1 TSE:OTEX OTEX Open Text Corporation Technology Software - Application 0.52 57.10 12.21 46.55 46.55 1.23 0.0179 1.79 0.8292 4 0.80 0.1207 6 3 Subscription NO NO YES NO Canada 1 TSE:RBA RBA Ritchie Bros Auctioneers Inc Industrials Specialty Business Services 0.54 87.74 7.56 44.02 44.02 1.99 0.0127 1.27 0.5615 4 0.88 0.0609 6 6 Intermediate NO YES YES NO Canada 1 TSE:PAAS PAAS Pan American Silver Corp Basic Materials Silver 0.20 45.03 7.44 246.69 246.69 0.18 0.0079 0.79 1.9753 4 0.28 0.0079 2 1 Intermediate NO NO NO NO Canada 1 TSE:GIL GIL Gildan Activewear Inc. Consumer Cyclical Apparel Manufacturing 0.14 36.21 5.65 0.00 0.00 -1.67 0.0000 0.00 0.0000 4 0.00 0.2099 3 0 Consumable - Discretionary NO NO NO NO Canada 1 TSE:OVV OVV Ovintiv Energy Oil & Gas E&P 0.24 21.64 4.43 0.00 0.00 -24.01 0.0220 2.20 1.0000 4 0.38 0.0220 1 3 Intermediate NO NO NO NO Canada 1 TSE:MX MX Methanex Corp Basic Materials Chemicals 0.29 58.24 3.49 40.66 40.66 1.43 0.0033 0.33 0.1350 4 0.15 0.0855 2 3 Intermediate NO NO NO NO Canada 1 TSE:MAXR MAXR Maxar Technologies Technology Communication Equipment 0.24 49.43 2.38 15.33 15.33 3.22 0.0010 0.10 0.0158 4 0.04 0.0010 1 3 Intermediate NO NO NO NO Canada 1 TSE:UFS UFS Domtar Corp Basic Materials Paper & Paper Products 0.06 41.68 1.81 0.00 0.00 -2.32 0.0000 0.00 0.0000 4 0.00 0.0343 1 0 Intermediate NO NO NO NO Canada 1
The process to buy on the TSX and have your share transferred over to the NYSE (and vice-versa) is called ‘journalling’ your shares to the other exchange. Once your transaction has settled, which takes 3 days typically, you can ask your discount broker to do that. With RBC Direct Investing it is free and they adjust the book value as well for accounting. There may be a fee with other discount brokers and you should inquire.
Discount Broker Requirements As a note of caution, to effectively manage US stocks in your portfolio, you need dual currency accounts. Make sure your discount broker provides those (and with no fees if possible). Otherwise, you lose a lot of the benefits that come with holding the US investments.
Related: Discount Broker Review
Canadian Cross-Listed Stocks Below is a list of all the stocks on the Canadian Dividend Performance List that also trade on the NYSE sorted by market capitalization. A large part of my portfolio is invested in US companies and is therefore in US dollars for the simple reason that the US is a much bigger economy than Canada.
The previous table above represents the subset of cross-listed stocks paying in USD whereas the following table represent the stocks that trade on both exchanges.
TSE:RY RY Royal Bank Financial Services Banks - Diversified 0.58 107.98 120.84 13.80 13.80 7.82 0.0400 0.5524 4 4.32 0.1136 6 7 Tollbooth - Unregulated NO NO YES NO Canada 1 4.00 TSE:TD TD TD Bank Financial Services Banks - Diversified 0.63 74.11 105.89 11.53 11.53 6.43 0.0426 0.4914 4 3.16 0.1327 6 7 Tollbooth - Unregulated NO NO YES NO Canada 1 4.26 TSE:CNR CNR Canadian National Railway Industrials Railroads 0.53 147.34 82.41 30.82 30.82 4.78 0.0156 0.4812 4 2.30 0.1431 7 5 Tollbooth - Unregulated YES YES YES NO Canada 1 1.56 TSE:ENB ENB Enbridge Energy Oil & Gas Midstream 0.57 42.38 67.53 43.84 43.84 0.97 0.0793 3.4639 4 3.36 0.1960 7 6 Tollbooth - Unregulated YES YES YES NO Canada 1 7.93 TSE:BNS BNS Scotia Bank Financial Services Banks - Diversified 0.66 68.06 64.77 12.84 12.84 5.30 0.0529 0.6792 4 3.60 0.1123 6 7 Tollbooth - Unregulated NO NO YES NO Canada 1 5.29 TSE:CP CP Canadian Pacific Railway Industrials Railroads 0.40 478.86 64.41 28.39 28.39 16.87 0.0079 0.2253 4 3.80 0.1303 5 3 Tollbooth - Unregulated NO NO NO NO Canada 1 0.79 TSE:BAM.A BAM.A Brookfield Asset Management Financial Services Asset Management 0.45 49.86 59.13 0.00 0.00 -0.32 0.0122 1.0000 4 0.48 0.0763 6 4 Tollbooth - Unregulated NO NO YES NO Canada 1 1.22 TSE:BMO BMO Bank of Montreal Financial Services Banks - Diversified 0.57 99.86 50.51 13.22 13.22 7.55 0.0425 0.5616 4 4.24 0.0803 5 7 Tollbooth - Unregulated NO NO YES NO Canada 1 4.25 TSE:ABX ABX Barrick Gold Basic Materials Gold 0.42 30.44 42.62 14.10 14.10 2.16 0.0150 0.2116 4 0.36 0.0150 1 5 Intermediate NO NO NO NO Canada 1 1.50 TSE:TRI TRI Thompson Reuters Industrials Consulting Services 0.54 102.46 40.06 21.46 21.46 4.77 0.0188 0.4047 4 1.52 0.0364 3 7 Intermediate NO YES YES NO Canada 1 1.88 TSE:TRP TRP TC Energy Energy Oil & Gas Midstream 0.72 53.97 39.93 11.42 11.42 4.72 0.0600 0.6864 4 3.24 0.1304 6 9 Tollbooth - Unregulated NO YES YES NO Canada 1 6.00 TSE:CM CM CIBC Financial Services Banks - Diversified 0.61 112.51 39.38 13.68 13.68 8.22 0.0519 0.7105 4 5.84 0.1006 6 7 Tollbooth - Unregulated NO NO YES NO Canada 1 5.19 TSE:BCE BCE BCE Communication Services Telecommunication Services 0.61 55.26 39.33 21.92 21.92 2.52 0.0603 1.3214 4 3.33 0.1113 6 8 Tollbooth - Regulated NO YES YES NO Canada 1 6.03 TSE:QSR QSR Restaurant Brands International Inc. Consumer Cyclical Restaurants 0.61 81.53 38.22 34.86 34.86 2.34 0.0324 1.1288 4 2.08 0.6529 8 4 Consumable - Discretionary NO NO NO NO Canada 1 3.24 TSE:NTR NTR Nutrien Ltd Basic Materials Agricultural Inputs 0.29 65.37 37.21 307.31 307.31 0.21 0.0350 10.8846 4 1.80 0.0350 3 3 Intermediate NO NO NO NO Canada 1 3.50 TSE:MFC MFC Manulife Financial Services Insurance - Life 0.67 23.97 36.62 9.06 9.06 2.65 0.0467 0.4226 4 1.12 0.0719 5 7 Tollbooth - Unregulated NO NO YES NO Canada 1 4.67 TSE:CNQ CNQ Canadian Natural Resources Energy Oil & Gas E&P 0.56 34.14 31.76 0.00 0.00 -0.50 0.0498 1.0000 4 1.70 0.1574 7 7 Intermediate YES YES YES NO Canada 1 4.98 TSE:FNV FNV Franco-Nevada Corp Basic Materials Gold 0.52 162.86 31.08 93.05 93.05 1.75 0.0081 0.7547 4 1.04 0.0521 5 6 Intermediate YES YES YES NO Canada 1 0.81 TSE:SU SU Suncor Energy Oil & Gas Integrate 0.38 23.49 28.16 0.00 0.00 -4.24 0.0358 1.0000 4 0.84 0.1407 3 4 Consumable - Necessities NO NO NO NO Canada 1 3.58 TSE:SLF SLF Sun Life Financial Financial Services Insurance - Diversified 0.53 60.71 27.96 15.01 15.01 4.04 0.0362 0.5446 4 2.20 0.0747 5 5 Tollbooth - Unregulated NO NO YES NO Canada 1 3.62 TSE:WCN WCN Waste Connections Inc Industrials Waste Management 0.51 133.74 27.69 134.99 134.99 0.99 0.0078 1.0518 4 0.82 0.1695 8 4 Tollbooth - Unregulated NO NO NO NO Canada 1 0.78 TSE:T T Telus Communication Services Telecommunication Services 0.60 26.55 26.86 25.32 25.32 1.05 0.0469 1.1855 4 1.25 0.1166 7 7 Tollbooth - Regulated NO YES YES NO Canada 1 4.69 TSE:RCI.B RCI.B Rogers Communication Services Telecommunication Services 0.43 60.85 24.27 19.16 19.16 3.18 0.0329 0.6289 4 2.00 0.0466 2 4 Tollbooth - Regulated NO NO NO NO Canada 1 3.29 TSE:FTS FTS Fortis Utilities Utilities - Regulated Electric 0.70 51.17 23.77 19.24 19.24 2.66 0.0395 0.7594 4 2.02 0.0975 6 7 Tollbooth - Regulated NO YES YES NO Canada 1 3.95 TSE:MG MG Magna International Inc Consumer Cyclical Auto Parts 0.37 96.26 22.68 51.09 51.09 1.88 0.0211 1.0807 4 1.60 0.1181 4 2 Durable NO NO YES NO Canada 1 2.11 TSE:BIP.UN BIP.UN Brookfield Infrastructure Partners Utilities Utilities - Diversified 0.72 63.67 20.93 79.49 79.49 0.80 0.0429 3.4128 4 2.15 0.1349 8 7 Tollbooth - Regulated YES YES NO NO Canada 1 4.29 TSE:WPM WPM Wheaton Precious Metals Corp Basic Materials Gold 0.40 55.16 19.50 45.72 45.72 1.21 0.0092 0.4198 4 0.40 0.0765 3 4 Intermediate NO NO NO NO Canada 1 0.92 TSE:PPL PPL Pembina Pipeline Energy Oil & Gas Midstream 0.65 33.82 18.60 21.04 21.04 1.61 0.0745 1.5652 12 2.52 0.1168 7 8 Tollbooth - Unregulated NO NO YES NO Canada 1 7.45 TSE:AEM AEM Agnico Eagle Mines Basic Materials Gold 0.58 91.62 17.52 27.35 27.35 3.35 0.0194 0.5307 4 1.40 0.1338 5 5 Intermediate NO NO NO NO Canada 1 1.94 TSE:BEP.UN BEP.UN Brookfield Renewable Partners L.P. Utilities Utilities - Renewable 0.35 62.08 17.06 0.00 0.00 -0.68 0.0355 1.0000 4 1.74 0.0648 2 5 Tollbooth - Unregulated NO NO NO NO Canada 1 3.55 TSE:IMO IMO Imperial Oil Energy Oil & Gas Integrate 0.47 27.61 15.99 0.00 0.00 -0.61 0.0319 1.0000 4 0.88 0.1102 6 6 Consumable - Necessities NO YES YES NO Canada 1 3.19 TSE:BPY.UN BPY.UN Brookfield Property Partners Real Estate Real Estate Services 0.59 21.48 15.77 11.07 11.07 1.94 0.0786 0.8706 4 1.33 0.1349 6 5 Tollbooth - Unregulated NO NO NO NO Canada 1 7.86 TSE:CVE CVE Cenovus Energy Energy Oil & Gas - Integrated 0.09 8.35 13.17 0.00 0.00 -1.72 0.0000 0.0000 4 0.00 0.0000 1 0 Intermediate NO NO NO NO Canada 1 0.00 TSE:AQN AQN Algonquin Power & Utilitties Corp Utilities Utilities - Renewable 0.69 21.82 13.03 20.86 20.86 1.05 0.0361 0.7503 4 0.62 0.1228 7 8 Tollbooth - Unregulated NO NO YES NO Canada 1 3.61 TSE:OTEX OTEX Open Text Corporation Technology Software - Application 0.52 57.10 12.21 46.55 46.55 1.23 0.0179 0.8292 4 0.80 0.1207 6 3 Subscription NO NO YES NO Canada 1 1.79 TSE:TECK.B TECK.B Teck Resources Basic Materials Other Industrial Metals & Mining 0.13 24.86 10.42 0.00 0.00 -4.07 0.0080 1.0000 4 0.20 0.0080 1 1 Intermediate NO NO NO NO Canada 1 0.80 TSE:SJR.B SJR.B Shaw Communications Communication Services Telecommunication Services 0.49 22.95 9.36 17.41 17.41 1.32 0.0516 0.8977 12 1.19 0.0516 2 5 Tollbooth - Regulated NO NO NO NO Canada 1 5.16 TSE:RBA RBA Ritchie Bros Auctioneers Inc Industrials Specialty Business Services 0.54 87.74 7.56 44.02 44.02 1.99 0.0127 0.5615 4 0.88 0.0609 6 6 Intermediate NO YES YES NO Canada 1 1.27 TSE:PAAS PAAS Pan American Silver Corp Basic Materials Silver 0.20 45.03 7.44 246.69 246.69 0.18 0.0079 1.9753 4 0.28 0.0079 2 1 Intermediate NO NO NO NO Canada 1 0.79 TSE:CAE CAE CAE Inc Industrials Aerospace & Defense 0.19 34.42 7.20 154.72 154.72 0.22 0.0000 0.0000 4 0.00 0.0904 3 0 Intermediate NO NO NO NO Canada 1 0.00 TSE:CCO CCO Cameco Corp. Energy Uranium 0.09 18.15 5.67 0.00 0.00 -0.01 0.0044 1.0000 1 0.08 0.0044 0 2 Intermediate NO NO NO NO Canada 1 0.44 TSE:GIL GIL Gildan Activewear Inc. Consumer Cyclical Apparel Manufacturing 0.14 36.21 5.65 0.00 0.00 -1.67 0.0000 0.0000 4 0.00 0.2099 3 0 Consumable - Discretionary NO NO NO NO Canada 1 0.00 TSE:OVV OVV Ovintiv Energy Oil & Gas E&P 0.24 21.64 4.43 0.00 0.00 -24.01 0.0220 1.0000 4 0.38 0.0220 1 3 Intermediate NO NO NO NO Canada 1 2.20 TSE:STN STN Stantec Inc. Industrials Engineering & Construction 0.52 42.70 3.77 24.27 24.27 1.76 0.0145 0.3523 4 0.62 0.1028 5 6 Durable NO NO YES NO Canada 1 1.45 TSE:MX MX Methanex Corp Basic Materials Chemicals 0.29 58.24 3.49 40.66 40.66 1.43 0.0033 0.1350 4 0.15 0.0855 2 3 Intermediate NO NO NO NO Canada 1 0.33 TSE:MAXR MAXR Maxar Technologies Technology Communication Equipment 0.24 49.43 2.38 15.33 15.33 3.22 0.0010 0.0158 4 0.04 0.0010 1 3 Intermediate NO NO NO NO Canada 1 0.10 TSE:TA TA TransAlta Utilities Utilities - Independent Power Producers 0.15 10.60 2.31 0.00 0.00 -0.38 0.0160 1.0000 4 0.17 0.0160 0 3 Tollbooth - Unregulated NO NO NO NO Canada 1 1.60 TSE:CPG CPG Crescent Point Energy Energy Oil & Gas E&P 0.15 3.47 1.84 0.00 0.00 -6.41 0.0029 1.0000 4 0.01 0.0029 1 2 Intermediate NO NO NO NO Canada 1 0.29 TSE:UFS UFS Domtar Corp Basic Materials Paper & Paper Products 0.06 41.68 1.81 0.00 0.00 -2.32 0.0000 0.0000 4 0.00 0.0343 1 0 Intermediate NO NO NO NO Canada 1 0.00 TSE:VET VET Vermillion Energy Energy Oil & Gas E&P 0.13 6.71 1.06 0.00 0.00 -9.30 0.0000 0.0000 12 0.00 0.0136 2 0 Intermediate NO NO NO NO Canada 1 0.00 TSE:ERF ERF Enerplus Corporation Energy Oil & Gas E&P 0.24 4.52 0.79 0.00 0.00 -5.16 0.0265 1.0000 12 0.12 0.0265 1 4 Intermediate NO NO NO NO Canada 1 2.65
Join 90,000+ Monthly Investors & Build a Winning Portfolio DISCLOSURE: Please note that I may have a position in one or many of the holdings listed. For a complete list of my holdings, please see my Dividend Portfolio .
DISCLAIMER: Please note that this blog post represents my opinion and not an advice/recommendation. I am not a financial adviser, I am not qualified to give financial advice. Before you buy any stocks/funds consult with a qualified financial planner. Make your investment decisions at your own risk – see my full disclaimer for more details. Tags Master Investing , TSE:ABX , TSE:BAM.A , TSE:BCE , TSE:BIP.UN , TSE:BMO , TSE:BNS , TSE:BPY.UN , TSE:CAE , TSE:CM , TSE:CNQ , TSE:CNR , TSE:CP , TSE:CPG , TSE:CVE , TSE:ENB , TSE:FNV , TSE:FTS , TSE:GIL , TSE:IMO , TSE:MFC , TSE:MG , TSE:MX , TSE:OVV , TSE:PPL , TSE:RBA , TSE:RCI.B , TSE:RY , TSE:SJR.B , TSE:SLF , TSE:SU , TSE:T , TSE:TD , TSE:TECK.B , TSE:TRI , TSE:TRP , TSE:VET