Canadian retirees ought to look to play issues a bit safer as they enter a interval the place they won’t be as well-equipped to recuperate from these inevitable inventory market drawdowns, particularly the vicious ones. Certainly, a fast and simple option to verify to see if you happen to nonetheless have what it takes to be allotted in equities versus safer investments akin to bonds, GICs, money, or money equivalents is to ask your self what you’d do if the inventory market had been to plunge 5% tomorrow.

What if it’s down over 15% in per week or worse? Would you run to the hills in a panic or lose sleep over the potential for a pullback to get even worse? Or would you deal with the pullback as nothing greater than a chance to purchase extra of your favorite shares at decrease costs?

Certainly, it’s exhausting to know the way you’ll actually really feel and react when the second of panic-selling comes, however, for essentially the most half, I believe that buyers, together with these at or nearing retirement, ought to actually take a second to grasp their very own objectives and simply how a lot threat they’re prepared to tackle.

Additionally, taking a much bigger chunk out of the defensive dividend shares or lower-beta names would possibly entail higher sleep than a front-row seat to the most well liked AI chip inventory of the second. On the finish of the day, retirees shouldn’t draw back from shares at a time like this, when inflation is operating scorching and rates of interest on risk-free property aren’t all too nice.

After all, issues might change if the Financial institution of Canada had been to hike just a few instances going into 2027. However I wouldn’t wait round for increased risk-free yields, particularly contemplating the chance prices which can be increased with each step increased than inflation takes. Let’s check out two high-yield dividend shares that I believe would possibly provide a safer, extra steady journey than the market indices, most notably the S&P 500, which some are beginning to view as costly and even a bit underdiversified, given how influential mega-cap tech has develop into.

Fortis

Fortis (TSX:FTS) is likely to be the last word bond proxy inventory for retirees seeking to do higher than GICs or bonds, and are prepared to just accept the added dangers, which, I imagine, are value bearing contemplating the ample rewards of doing so. With shares of FTS buying and selling at simply over $80 per share, the identify yields 3.1%.

That’s modest on the subject of Fortis, which tends to boast a yield nearer to the 4% mark. That mentioned, the dividend progress is the primary attraction to the shares, as is the 0.43 beta, which entails much less choppiness on these actually tough days for the broader TSX Index. The 23.8 instances trailing price-to-earnings (P/E) ratio strikes me as a good value to pay for a dominant defensive enterprise with extremely predictable money flows.

TC Vitality

Shares of TC Vitality (TSX:TRP) are additionally pricier than historic averages, however the yield, at present at 3.71%, remains to be improbable for this local weather. And, what’s extra, the dividend is poised to develop steadily yearly because the pipeline agency seems to be to do its half to assist feed the huge demand for vitality throughout the continent.

At 28.1 instances trailing P/E, although, the identify goes for fairly a premium. Whereas I might be improper, I believe that the premium is value paying, given the swelling free money movement and earnings visibility.

The most recent tally of analyst opinions from the most important brokerage homes exhibits that among the many elements of the S&P 500 index, EQT is now the #187 analyst choose, transferring up by 1 spot.

This rank is fashioned by averaging the analyst opinions for every element from every dealer, after which rating the five hundred elements by these common opinion values.

Trying on the inventory value motion 12 months so far, EQT is displaying a acquire of 18.4%.

VIDEO: S&P 500 Analyst Strikes: EQT

The views and opinions expressed herein are the views and opinions of the creator and don’t essentially replicate these of Nasdaq, Inc.

The S&P 500 Index ($SPX) (SPY) on Thursday closed unchanged, the Dow Jones Industrial Common ($DOWI) (DIA) closed up +1.14%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed down -1.61%.  September E-mini S&P futures (ESU26) fell -0.25%, and September E-mini Nasdaq futures (NQU26) fell -1.82%. 

Inventory indexes erased early beneficial properties on Thursday and settled blended, with the S&P 500 posting a 2-week excessive and the Dow Jones Industrial Common hitting a brand new all-time excessive.  Chipmakers bought off for a second day on Thursday, weighing on the broader market and dragging the Nasdaq 100 sharply decrease.  Chipmakers opened decrease on Thursday after South Korea’s Kospi Index fell greater than -7% to a 3-week low, led by a plunge in SK Hynix and Samsung Electronics on renewed doubts over the sustainability of the AI buildout growth.  Chipmakers additionally had some damaging carryover from Wednesday, when Meta Platforms mentioned it plans to promote computing energy, elevating questions on extra AI capability.

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Shares initially opened increased on Thursday and located assist after a smaller-than-expected enhance in US nonfarm payrolls, which bolstered hypothesis that the Fed shall be unable to lift rates of interest anytime quickly.  US hiring slowed sharply in June and was revised decrease in Could even because the unemployment charge fell to a 1-year low.  Additionally, the smaller-than-expected decline within the Could manufacturing unit orders report was supportive of shares.

US Jun nonfarm payrolls rose +57,000, weaker than expectations of +113,000, and Could nonfarm payrolls have been revised decrease to +129,000 from the initially reported +172,000.  The Jun unemployment charge unexpectedly fell -0.1 to a 1-year low of 4.2%, signaling a stronger labor market than expectations of no change at 4.3%. 

US Jan common hourly earnings rose +0.3% m/m and +3.5% y/y, proper on expectations.

US weekly preliminary unemployment claims unexpectedly fell -1,000 to 215,000, exhibiting a stronger labor market than expectations of a rise to 218,000.

US Could manufacturing unit orders fell -1.3% m/m, a smaller decline than expectations of -2.0% m/m.  Additionally, Could manufacturing unit orders ex-transportation rose +1.9% m/m, stronger than expectations of +1.0% m/m and the most important enhance in additional than 4 years.

The outlook for sturdy Q2 earnings is a bullish issue for shares. Forecasts compiled by Bloomberg Intelligence counsel Q2 earnings could enhance by 23%, near Q1’s blowout earnings of 30%, which was greater than double the 12% analysts had anticipated.  AI spending is anticipated to account for many of earnings, with AI infrastructure shares set to contribute practically 60% of the S&P 500’s earnings-per-share progress in Q2.   

WTI crude oil (CLQ26) fell to a recent 4.25-month low on Thursday as international provides enhance.  The United Arab Emirates ramped up shipments of crude oil and condensates by 30% in June to greater than 3.9 million bpd, restoring its oil exports to pre-war ranges.  Additionally, a US official mentioned industrial delivery via the Strait of Hormuz has surged over the previous few weeks, with American navy assist serving to increase oil flows to greater than 10 million bpd.

The markets are discounting an 18% likelihood of a +25 bp charge hike on the subsequent FOMC assembly on July 28-29.

Abroad inventory markets settled increased on Thursday.  The Euro Stoxx 50 rallied to a brand new file excessive and closed up +1.24%.  China’s Shanghai Composite climbed to a 1-week excessive and closed up +0.4%.  Japan’s Nikkei-225 Inventory Common closed up +0.59%.

Curiosity Charges

September 10-year T-notes (ZNU6) on Thursday settled unchanged, and the 10-year T-note yield fell -0.2 bp to 4.477%.  Sep T-notes rebounded from a 1-week low on Thursday, and the 10-year T-note yield fell from a 1-week excessive of 4.501%. T-notes recovered from early losses on Thursday amid indicators of a slowdown within the US labor market after Jun nonfarm payrolls rose lower than anticipated and Could nonfarm payrolls have been revised decrease. T-notes additionally discovered assist on Thursday’s decline in WTI crude oil to a 4.25-month low, which lowers inflation expectations.

European authorities bond yields moved increased on Thursday.  The ten-year German bund yield rose to a 1-week excessive of two.929% and completed up +2.6 bp to 2.904%.  The ten-year UK gilt yield rose +1.9 bp to 4.776%.

Italy’s Could unemployment charge unexpectedly fell -0.1 to a file low of 5.0% (information from 2004), exhibiting a stronger labor market than expectations of no change at 5.1%.

BOE Governor Andrew Bailey mentioned rate of interest cuts are “off the desk in the intervening time,” as households have but to really feel the complete impact of the Iran conflict.

Swaps are discounting a 4% likelihood of a +25 bp ECB charge hike at its subsequent coverage assembly on July 23.

US Inventory Movers

Chipmakers and AI infrastructure shares retreated for a second session on Thursday, weighing on the broader market. The iShares Semiconductor ETF (SOXX) fell greater than -5%.  SanDisk (SNDK) closed down greater than -14% to steer losers within the S&P 500 and Nasdaq 100, and KLA Corp (KLAC) closed down greater than -12%.  Additionally, Marvell Know-how (MRVL) closed down extra than- 11%, and Lam Analysis (LRCX) and Seagate Know-how Holdings Plc (STX) closed down greater than -10%.  As well as, Western Digital (WDC) closed down by greater than -9%, Utilized Supplies (AMAT) closed down by greater than -8%, and ARM Holdings Plc (ARM) closed down greater than -6%.  Lastly, Micron Know-how (MU) and Intel (INTC) closed down greater than -5%, and Superior Micro Units (AMD), Microchip Know-how (MCHP), and ASML Holding NV (ASML) closed down greater than -4%. 

Software program shares rose for a second day on Thursday, a constructive for the general market.  Adobe (ADBE) closed up greater than +4% after HSBC upgraded the inventory to purchase from maintain with a value goal of $308.  Additionally, Autodesk (ADSK), Intuit (INTU), and Workday (WDAY) closed up greater than +3%, and Palantir Applied sciences (PLTR) closed up greater than +2% after DA Davidson upgraded the inventory to purchase from impartial with a value goal of $175.  As well as, Microsoft (MSFT) and Salesforce (CRM) closed up greater than +1%.

Mining shares rallied on Thursday amid a surge in gold and silver costs.  Coeur Mining (CDE), Hecla Mining (HL), Anglogold Ashanti (AU), Barrick Mining (B), and Newmont Corp (NEM) closed up greater than +4%, and Freeport McMoran (FCX) closed up +0.71%.

Jabil Inc (JBL) closed down by greater than -9% after asserting plans to supply a blended shelf of debt securities, although the scale of the providing was not disclosed. 

Tesla (TSLA) closed down greater than -7% after the corporate’s Q2 deliveries beat expectations however did not impress buyers.

Real Components (GPC) closed up greater than +12% to steer gainers within the S&P 500 on experiences that O’Reilly Automotive has put in a bid for the corporate.

AeroVironment (AVAV) closed up greater than +10% after being awarded a US Military contract valued at as much as $500 million for the procurement of commercial-unmanned aerial techniques and counter small-unmanned aerial techniques capabilities.   

Apple (AAPL) closed up greater than +4% to steer gainers within the Dow Jones Industrials after Nikkei reported the corporate advised its suppliers it plans to supply 10 million foldable iPhones this 12 months, up from an earlier forecast of seven million to eight million.

Robinhood Markets (HOOD) closed up greater than +3% after Mizuho Securities raised its value goal on the inventory to $130 from $115. 

Earnings Stories(7/6/2026)

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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially mirror these of Nasdaq, Inc.

A $100,000 Tax-Free Financial savings Account (TFSA) can really feel like a end line. It isn’t. It’s a milestone.

For Canadians who’ve been eligible because the TFSA launched in 2009, complete contribution room has reached $109,000 in 2026. That makes a six-figure TFSA attainable, particularly for buyers who contributed constantly and put the cash to work as an alternative of leaving it in money.

However right here’s the necessary half: being beneath $100,000 doesn’t imply you failed. Many Canadians used their TFSA for emergencies, a house down cost, faculty prices, job adjustments, or household bills. Others didn’t have the money to max it out. Some merely held an excessive amount of in financial savings accounts as a result of the phrase financial savings made the TFSA sound like a spot for money. The actual query is what occurs subsequent.

XUU

If you wish to begin closing the hole, one easy choice is iShares Core S&P U.S. Complete Market Index ETF (TSX:XUU). It’s a low-cost exchange-traded fund (ETF) that offers Canadian buyers broad publicity to the U.S. inventory market. As a substitute of making an attempt to choose the following profitable American inventory, buyers can personal hundreds of firms by way of one Canadian-listed ETF.

The U.S. market consists of most of the world’s strongest companies. XUU provides publicity to massive, medium, small, and micro-cap U.S. firms. Its holdings embrace leaders in know-how, healthcare, client manufacturers, financials, industrials, and communications.

The 2026 TFSA contribution restrict is $7,000. If an investor contributes that quantity and earns a mean annual return of seven%, that single contribution might develop to about $27,000 over 20 years. That’s not assured, after all. Markets received’t ship the identical return yearly. But it surely reveals why invested TFSA {dollars} can change into way more highly effective than parked money.

Suppose large

Now have a look at the larger image. If somebody has a $30,000 TFSA at present and provides $7,000 a 12 months for the following decade, the account might develop previous $150,000 at a 7% common annual return. Even at decrease returns, regular contributions and time can do numerous heavy lifting. In truth, even simply dividends from $30,000 can herald ample earnings for compounding.

COMPANYRECENT PRICENUMBER OF SHARESANNUAL DIVIDENDANNUAL TOTAL PAYOUTFREQUENCYTOTAL INVESTMENTXUU$77.05389$0.79$305.72Quarterly$29,972.45

That’s the purpose of the $100,000 milestone. It’s not meant to disgrace anybody. It’s a reminder that consistency, investing, and time can flip unused room into future flexibility. XUU suits that technique as a result of it’s easy. The ETF tracks the S&P Complete Market Index and is designed as a long-term core holding. It additionally has a low administration expense ratio, which helps preserve extra of the return contained in the investor’s account over time.

Trying forward

The TFSA makes that even higher. Capital positive aspects, dividends, and withdrawals are tax-free. So, if XUU grows over a few years, buyers don’t lose a part of the expansion to annual tax payments. They’ll promote later, withdraw the cash tax-free, or preserve compounding contained in the account.

There are dangers. XUU is absolutely invested in shares, so it will possibly fall sharply throughout bear markets. It additionally provides buyers heavy U.S. publicity, which implies Canadian buyers could possibly be affected by U.S. valuations, rates of interest, foreign money strikes, politics, and technology-sector swings. A broad ETF reduces single-company danger, however it doesn’t take away market danger.

That’s why XUU works finest for long-term cash, not emergency money. Buyers who might have the cash quickly needs to be cautious. However for TFSA {dollars} geared toward retirement or long-term wealth, the ETF is usually a sensible method to construct towards an even bigger stability.

Backside line

The best method to begin closing the hole isn’t dramatic. Contribute what you may. Make investments frequently. Reinvest distributions. Keep away from panic-selling throughout dips. Let time do its job.

A $100,000 TFSA might really feel distant at present. However with a gradual plan and a broad progress ETF similar to XUU, that hole can begin shrinking sooner than many buyers suppose.

Key Factors

• Costco’s most up-to-date particular dividend payouts had been in 2020 and 2024.

• In 2024, its particular dividend payout was $15 per share.

• Given its historical past and powerful steadiness sheet, some buyers are speculating one other payout might occur in 2026.

• 10 shares we like higher than Costco Wholesale ›

Over the past 5 years, Costco Wholesale (NASDAQ: COST) shareholders have been rewarded by a hovering inventory worth, which has climbed over 130% as of this writing. However they’ve additionally been rewarded by one thing else throughout that timeframe: a particular dividend payout.

In 2024, Costco paid a hefty particular dividend of $15 per share. There is not a transparent sample for when the corporate pays a particular dividend, however given its property and payout historical past, one other particular dividend might not be too far off.

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Picture supply: Getty Pictures.

Costco’s historical past of particular dividend payouts

Not like its present quarterly dividend, Costco’s particular dividend is extra sporadic.

Payable Date

Payout

12/18/2012

$7 per share

2/27/2015

$5 per share

5/26/2017

$7 per share

12/11/2020

$10 per share

1/12/2024

$15 per share

Supply: Costco investor relations.

After wanting on the payouts from the previous few years, some patterns emerge. The primary is that, exterior 2017, most particular dividends had been paid close to the beginning or finish of a 12 months.

The second is that these payouts have been made each two to 4 years. The quickest was two years, with a particular dividend paid in 2015 after which once more in 2017. The longest time between particular dividend payouts has been 4 years, when one was paid in 2020 and never once more till 2024.

None of those provides an actual timeframe for when Costco can pay one other particular dividend. However a payout in 2026 would match a part of that sample, as it could mark two years for the reason that final payout in 2024.

What’s additionally providing optimism is that the retailer is properly capitalized to make the payout. Costco is sitting on roughly $20 billion value of money, money equivalents, and short-term investments.

whole returns for Costco

When that particular dividend is paid out, it is a good reward for shareholders. For instance, in 2024, for anybody who owned 100 shares, that $15 payout per share gave them a particular dividend of $1,500.

That particular dividend, nevertheless, additionally factors to why it is useful to contemplate Costco as a long-term funding. There is no assure when a particular dividend will happen, so as a substitute of enjoying a guessing sport, buyers who imagine in Costco can simply maintain the shares and never fear about when one is likely to be paid out.

For a long-term shareholder, that particular dividend can even assist increase whole returns, which embrace Costco’s quarterly dividend payout and potential inventory worth appreciation.

Do you have to purchase inventory in Costco Wholesale proper now?

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*Inventory Advisor returns as of July 3, 2026.

Jack Delaney has no place in any of the shares talked about. The Motley Idiot has positions in and recommends Costco Wholesale. The Motley Idiot has a disclosure coverage.

The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.