In case you’re aiming to construct a supply of stress-free passive revenue for the following 20 years, take into account investing in high-quality dividend shares. Whereas no inventory can assure a 100% secure dividend, the highest Canadian shares have sustainable payout ratios, sturdy earnings, strong fundamentals, and a confirmed file of distribution and development, making them comparatively secure bets to earn a gentle passive revenue for many years.
In opposition to this background, listed here are dividend shares that may be relied upon for regular passive revenue over the following 20 years.
Fortis inventory
Fortis (TSX:FTS) is without doubt one of the most dependable dividend shares to personal for incomes passive revenue over the long run. This electrical and fuel utility firm runs a low-risk, regulated enterprise that generates predictable and rising money flows, supporting its distributions.
Almost nearly all of Fortis’s operations (93% to be actual) are tied to electrical energy and pure fuel transmission and distribution. This construction shields the corporate from dangers related to power technology and volatility in commodity costs, guaranteeing that its money flows stay constant in all market circumstances.
The utility large at present pays a quarterly dividend of $0.615 per share, which interprets right into a yield of over 3.6%. Whereas its yield might not appear excessive in comparison with different dividend-paying shares, Fortis’s true enchantment lies within the sustainability of its payouts and monitor file of constant will increase. This blue-chip firm has raised its dividend for 51 consecutive years. Furthermore, administration stated that dividend development will proceed sooner or later years, pushed by its increasing fee base and rising demand for electrical energy.
Fortis is increasing its regulated fee base via large-scale investments in infrastructure, which helps regular earnings development over time. Administration tasks a compound annual development fee (CAGR) of 6.5% in its fee base via 2029. That development, in flip, is anticipated to drive constant earnings growth and allow the corporate to extend its annual dividend by 4% to six% throughout that interval.
Fortis is well-positioned to capitalize on the rising power demand. Its investments in modernizing transmission techniques and upgrading infrastructure place it effectively to capitalize on the rising demand for electrical energy from energy-intensive sectors akin to information centres, manufacturing, and mining.
In brief, Fortis inventory is a dependable, low-risk method to generate passive revenue for the following 20 years.
Canadian Pure Assets inventory
Canadian Pure Assets (TSX:CNQ) is one other dependable dividend inventory to start out a passive revenue stream. The power large has by no means suspended or minimize its dividend over the many years. As an alternative, it has steadily raised its annual dividend funds, supported by its high-quality belongings, strong steadiness sheet, and resilient money flows, even throughout unstable commodity markets.
Notably, Canadian Pure has elevated its dividend for 25 straight years. Furthermore, CNQ’s dividend has grown at a CAGR of 21% throughout that interval, which may be very excessive. In 2025, the corporate had already returned about $4.6 billion to shareholders, together with $3.6 billion via dividends.
Wanting forward, its diversified portfolio of long-life, low-decline belongings will seemingly generate dependable money movement, supporting its payouts. Additional, with low alternative prices and environment friendly operations, CNQ will seemingly ship regular money movement even via commodity worth swings, offering a strong basis for dividend development.
Additional, CNQ’s development prospects stay sturdy, supported by a pipeline of low-risk, quick-to-execute tasks, and a big undeveloped land base that permits repeatable drilling packages and long-term worth creation.
Notably, the power firm maintains excessive possession and management over its belongings, which offers flexibility in growth timing and scale. This ensures capital effectivity and positions the corporate to reply shortly to market shifts.
General, CNQ’s high-quality belongings and resilient money movement place it effectively to pay and improve its dividend within the years to return.
