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I’m pleased to highlight the Smaller Stable Dividend Portfolio this week along with updates to a variety of popular portfolios below. The portfolios are all based on stock screens of differing levels of complexity that I’ve described in detail in separate articles. For instance, you can follow the links to learn more about the Stable Dividend Portfolio, the Frugal Dividend Portfolio, and the Dividend Monster Portfolio. The latest addition is the Smaller Stable Dividend Portfolio. It seeks low-volatility dividend stocks that are too small for the regular Stable Dividend Portfolio.

Small Stable Dividend Portfolio

Small low-volatility dividend stocks

Name PriceYieldVolatilityP/E
Acadian TimberAND-T15.177.621.428.4
AGF ManagementAGF.B-T6.696.033.17.9
Atrium Mortgage InvestmentAI-T10.878.322.511.8
Bird ConstructionBDT-T7.095.529.18.4
BMTC GroupGBT-T11.553.131.06.8
Corby Spirit and WineCSW-A-T16.985.218.418.6
Dexterra GroupDXT-T5.416.532.233.4
Diversified RoyaltyDIV-T3.067.726.014.6
Doman Building MaterialsDBM-T5.709.835.35.8
Exco TechnologiesXTC-T7.755.426.416.2
Firm Capital MortgageFC-T10.978.518.612.1
Information ServicesISV-T23.343.934.310.9
K-Bro LinenKBL-T29.064.129.452.2
Magellan AerospaceMAL-T7.081.430.9
MCAN MortgageMKP-T15.029.622.29.4
Pizza Pizza RoyaltyPZA-T13.646.222.416.5
TerraVest IndustriesTVK-T25.241.628.18.8
TWC EnterprisesTWC-T17.111.220.412.2
Yellow PagesY-T14.

Stable Dividend Portfolio

Low-volatility dividend stocks

Name PriceYieldVolatilityP/E
Bank of Nova ScotiaBNS-T68.686.019.28.0
Canadian UtilitiesCU-T37.324.816.213.4
Capital PowerCPX-T49.304.719.715.5
Hydro OneH-T37.283.016.322.0
Intact FinancialIFC-T203.972.019.014.9
Power CorpPOW-T33.006.019.613.9
Rogers SugarRSI-T5.806.215.626.1
Royal Bank of CanadaRY-T130.914.017.611.9
Sun Life FinancialSLF-T63.254.619.311.2
Thomson ReutersTRI-T156.921.518.976.5
Timbercreek FinancialTF-T7.579.117.517.8
TMX GroupX-T138.042.419.521.0

Frugal Dividend Portfolio

Cheap and stable dividend payers

Name PriceYieldVolatilityP/E
Algoma CentralALC-T16.704.121.28.2
Bank of MontrealBMO-T126.164.520.99.4
Bank of Nova ScotiaBNS-T68.686.019.28.0
Cogeco CommunicationsCCA-T75.
First National FinancialFN-T35.486.824.511.0
Great-West LifecoGWO-T30.456.420.21.4
National Bank of CanadaNA-T95.
TD BankTD-T90.404.219.810.3

Dividend Monster Portfolio

High-yield stocks with momentum

Name PriceYield12 Month ReturnP/E
ARC ResourcesARX-T17.803.460.76.2
Canadian Natural ResourcesCNQ-T74.654.648.87.4
Cardinal EnergyCJ-T7.279.967.720.8
Freehold RoyaltiesFRU-T15.876.849.67.5
Lundin GoldLUG-T13.953.747.916.8
Pason SystemsPSI-T15.793.055.415.8
Peyto ExplorationPEY-T13.679.748.07.1
Pine Cliff EnergyPNE-T1.618.1182.04.0
PrairieSky RoyaltyPSK-T21.124.555.317.4
Surge EnergySGY-T8.485.0104.04.2

Source: Bloomberg

Notes: Data from Bloomberg as of the close of Dec. 9, 2022. Norman has an interest in some of the stocks shown. Yield = indicated dividend yield, Volatility = annualized volatility over the past 260 days, P/E = price-to-earnings over the last four quarters, 12 month return = total return over the last 12 months including reinvested dividends.

A customary caution

Use our portfolios and stock screens as a starting point for further research. Be sure to improve your understanding of each company by studying it and its industry in more detail.

Watch your step with stocks that trade infrequently, and those with very low share prices, because they may be difficult to buy or sell in a cost-effective manner.

Before dashing off to the market, recognize the built-in limitations of quantitative methods such as ours, because less tangible factors can be important. For instance, the quality of a company’s management can sometimes help – or hinder – a business.

And while we hope our portfolios achieve similar returns to those in the back-tests, the market isn’t that predictable. Even in the best circumstances, we expect results to be bumpy and some individual stocks will disappoint. We would be pleased indeed for the portfolios to outperform the market over the course of a few decades.

Norman Rothery, PhD, CFA, is the founder of

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