The TFSA (Tax-Free Financial savings Account) is the perfect place for holding long-term investments. The TFSA protects you from paying any tax on the revenue (capital features, dividends, or curiosity) that you simply earn contained in the account. All of your base capital and earnings stick with you.
The TFSA permits the legal guidelines of compounding to work unabated. That’s the reason it’s excellent for shares that you simply intend to purchase and maintain for years and even many years. A serious a part of that compounding is selecting nice high quality shares which are value holding for these prolonged durations of time.
Listed below are three high dividend shares that ought to present a pleasant mixture of whole returns (dividends and capital features) for the years forward.
A diversified inventory for month-to-month TFSA revenue
Alternate Revenue Corp. (TSX:EIF) has delivered strong returns for affected person shareholders. Its inventory is up 118% up to now 5 years and 342% up to now 15 years. Nonetheless, for those who add in dividends reinvested, whole returns enhance respectively to 184% and 1,088%!
Over time, Alternate has constructed an aviation empire that caters to hard-to-reach locations in Canada’s north. It has experience in freight, passenger, medivac, firefighting, and surveillance/defence. It additionally has an air lease and finance enterprise, in addition to numerous industrial companies centered on entry options, manufacturing, and glass pane/window set up.
The corporate has been firing on all cylinders in 2025. All year long, it has been delivering document revenues, earnings, and free money movement. It simply raised its annual steering.
Alternate pays a month-to-month $0.22 per share dividend that equates to a 3.6% yield. It has raised its dividend 17 occasions over 20 years. It’s more likely to elevate its dividend once more given the nice outcomes. For a pleasant conglomerate of important corporations, that is a gorgeous long-term TFSA inventory.
A transport inventory with a superb document of returns
TFI Worldwide (TSX:TFII) is an ideal dividend inventory to carry for years in a TFSA. Actually, it hit a little bit of a highway bump in 2025, nevertheless it has been an incredible long-term performer.
Even after its 36% drawdown this 12 months, this inventory has delivered whole returns of 106% up to now 5 years and 1,603% up to now 15 years. TFI is going through a tricky freight setting. Nonetheless, issues may begin to enhance in 2026 and past.
TFI is working onerous to enhance its U.S. operations and right-size its value base. The corporate is shopping for again inventory and holding money for its subsequent massive acquisition. This inventory is down for now, nevertheless it received’t be endlessly.
It pays a 2.2% dividend yield. TFI has raised that dividend, which has risen by a ten% compounded annual progress fee over the previous 15 years.
A high Canadian financial institution for compounding TFSA returns
Most Canadians wouldn’t realize it, however the best-performing financial institution inventory in Canada is Nationwide Financial institution of Canada (TSX:NA). It has delivered a 185% whole return over the previous 5 years and an 800% whole return over the previous 15 years.
Whereas it’s the smallest of the Huge Six Banks, it used its specialty concentrate on Quebec and area of interest companies to dominate. By doing this, it has prevented competitors with its bigger friends. Its current merger into the Alberta market (via Canadian Western Financial institution) opens a complete new avenue of progress.
Nationwide Financial institution inventory yields 2.9% as we speak. Its dividend has risen by an 8% CAGR for 20 years. It is a strong enterprise to carry in your TFSA to gather a rising stream of revenue for years forward.
