Best Monthly Canadian Dividend Stocks: Build Passive Income

Dividend Earner

Dividend Earner

Updated on

2 min read Affiliate Disclosure

Are you looking for monthly dividend income? To start with, don’t be fooled by all the monthly income products such as BMO Monthly Income Fund or TD Monthly Income Funds.

A lot of your money is spent on the MER (Management Expense Ratio) when you buy these products. You are already behind before you invest…

Monthly dividend stocks are your best bet for a solid and dependable monthly income with REITs as an alternative option but not without its risks.

Even then, not all monthly income stocks are equal. Many of those stocks were income trusts and have switched to corporations and continued with monthly dividend payments.

Complete List of Monthly Income Stocks

Before we jump into the best Canadian companies that pay a monthly dividend income, let’s review the full list. The best options available do not always mean they fit your portfolio.

When you look across the TSX, there aren’t many companies outside REITs that pay a monthly dividend. However, I did some of the leg work and below is the list of Canadian monthly dividend-paying stocks tracked with the Dividend Snapshot Screener.

As a side note, as the companies mature, many move to quarterly dividends. If you want monthly income from a large corporation, you can look into the best dividend ETFs to generate income in the range of 4% to 6%.

Best Monthly Dividend Stocks

Considering the limited options, I picked the top 5 stocks outside REITs that can provide both stock appreciation and dividend growth. The best REITs require a different analysis.

As a rule of thumb, for monthly income, I am staying away from energy stocks as stability isn’t clear with the state of fossil fuel versus renewable energy. The first adjustment an energy company might make is to switch to quarterly income once there are challenges.

Note that screening stocks for income requires unique dividend data. Not many screeners focus on dividend data and dividend strength. You should consider a screener such as Dividend Snapshot Screeners.


Pembina Pipeline

tse:ppl | Energy | Oil & Gas Midstream


Savaria Corporation

tse:sis | Industrials | Specialty Industrial Machinery


Exchange Income Fund

tse:eif | Industrials | Airlines


Keyera Corp

tse:key | Energy | Oil & Gas Midstream


Whitecap Resources

tse:wcp | Energy | Oil & Gas E&P