The Canadian financial services stocks on our list have five-year dividend growth rates 15% greater than the industry average of 1.3%
SmallCapPower | May 8, 2018: While Canadian banks continue to raise their dividend on record profits, other financial services companies are following suit. The Canadian financial services stocks on our list today have superior dividend growth rates compared with the industry average.
Canadian General Investments Ltd. (TSX:CGI) – $23.50
Closed End Funds
Canadian General Investments Ltd., part of the Morgan Meighen & Associates Ltd group, is a closed-end investment fund, with a focus on North American equities. CGI employs a medium to long-term, bottom-up investment approach to preserve and grow client capital. As of May 4, 2018, its stock price was trading at a 30% discount to Net Asset Value (NAV).
- Market Cap: $490.2 Million
- Dividend Growth Hist 5 YR: 17.6%
- Dividend Yield 5 YR Avg: 2.9%
- Dividend Payout Ratio: 12.8%
Economic Investment Trust Ltd. (TSX:EVT) – $114.50
Closed End Funds
Economic Investment Trust is Canada’s oldest closed-end investment trust. Founded in 1927, EVT invests primarily in North American equities using a disciplined value strategy to achieve an above average return. Its shares trade at a 15% to 40% discount to NAV.
- Market Cap: $643.0 Million
- Dividend Growth Hist 5 YR: 41.0%
- Dividend Yield 5 YR Avg: 0.7%
- Dividend Payout Ratio: 15.6%
Guardian Capital Group Ltd. (TSX:GCG) – $24.25
Investment Management & Fund Operators
Guardian Capital Group, through its subsidiaries, is an investment management company catering to institutional and high net worth investors. GCG invests in equities and fixed income securities around the world, with a focus on Canadian markets. It operates asset management, retail mutual funds, financial advisory and a suite of banking services. As of 2017, GCG’s investment and advisory segments had Assets Under Management (AUM) of $27B and Assets Under Advisory (AUA) of $17B.
- Market Cap: $701.0 Million
- Dividend Growth Hist 5 YR: 18.7%
- Dividend Yield 5 YR Avg: 1.5%
- Dividend Payout Ratio: 11.8%
Disclosure: Neither the author nor his family own shares in any of the companies mentioned above.
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