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Today, we’re going to look at some stocks I’m investing in. What’s more, I’ve been investing in these companies for a while — all because they have proven to be strong producers that, overall, pay me a whopping sum to keep investing in them. Through thick and thin, they’ve been there for me, and I for them. So, let’s get into why these could also belong in your portfolio.
VXC ETF
First up, we have not a stock, but an exchange-traded fund (ETF). Vanguard FTSE Global All Cap ex Canada Index ETF (TSX:VXC) has been a strong performer for me, with shares up an incredible 21% in the last year. So, in that time, my returns have climbed right along with it.
The VXC ETF focuses on emerging and developed countries, investing in large-, middle-, and small-cap stocks across the world. The only area it doesn’t invest in is Canada. For me, that’s a good thing, because I have a lot of Canadian investments, as do many other Canadians.
The investment allows me to take on growth on a global scale rather than focus on just a few sectors, assets or, indeed, even just different countries. Here, I get it all while also bringing in a dividend yield of 1.58% as of writing.
Royal Bank
Another stock that may have been the very first one I purchased is Royal Bank of Canada (TSX:RY). Again, this is one I haven’t sold, and I don’t plan to sell it anytime soon. That’s because it remains not just the largest of the Big Six banks; it’s also just the largest stock on the TSX.
While bigger isn’t always better, in this case, Royal Bank stock has proven that bigger means at least more prepared. That’s been the case through multiple economic downturns, including this one. Shares of Royal Bank stock are now up near 52-week highs once more, with shares climbing 5% in the last year alone.
Granted, my shares have gone up and down since I’ve owned it for so long. But I’m not worried, considering Royal Bank stock has also set up expansion plans through the purchase of HSBC Canada. So, with growth on the way, stability at present, and a dividend yield of 4.1%, this is one stock I’ll continue to hold onto.
Walmart
Finally, let’s go across the border. I’ve also picked up a few American companies in the last while, but of them all, Walmart (NYSE:WMT) continues to be a great option. This comes down to the company’s strong place as a company that does well even during a recession.
Simply put, even during recessions and downturns, consumers need essential items. Walmart stock provides those essential items and then some, with some of the best deals around. It’s why the stock has continued to do well even during this latest economic downturn — so well that it even increased its dividend recently.
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So, now, I get growth from this stock while also bringing in a 1.37% dividend yield. Shares are currently up near 52-week highs — up 26% in the last year alone! So, it’s yet another company I won’t be getting rid of.
Bottom line
Altogether, let’s say I had $1,000 in each of these stocks at the beginning of last year. This is what my passive income would look like over the next year from returns and dividends, along with monthly payments.
| COMPANY | April 2023 | NUMBER OF SHARES | DIVIDEND | TOTAL PAYOUT | FREQUENCY | PORTFOLIO TOTAL | 52-WEEK HIGHS | CURRENT PORTFOLIO TOTAL | TOTAL PASSIVE INCOME FROM RETURNS AND DIVIDENDS | MONTHLY PASSIVE INCOME |
| VXC | $46 | 22 | $0.90 | $19.80 | quarterly | $1,012 | $57 | $1,254 | $261.80 | $21.82 |
| RY | $127 | 8 | $5.52 | $44.16 | quarterly | $1,016 | $135 | $1,080 | $108.16 | $9 |
| WMT | $65 | 15 | $1.13 | $16.95 | quarterly | $975 | $82.88 | $1,243.20 | $284.95 | $23.75 |
In total, as you can see, I’d get monthly passive income of $54.57 from a $3,000 investment in these three companies.
