For $500 in Annual Passive Income, Invest $8,000 in This TSX Stock

The economy's unpredictable nature has been demonstrated by the many sector-specific layoffs of employees in the past year. The economic downturn is not something that can be ignored by even the most powerful companies around the globe. This means your job isn't secure. You can create multiple income streams to help you build wealth over the long-term and accelerate your retirement. To buy a Toronto house and rent it out, you will need to borrow capital. Comparatively, you can earn a higher yield with a smaller amount of capital by investing in high-dividend stock trading on the TSX. TC Energy (TSX.TRP), one of the most valuable companies on the TSX is valued at $55 billion. It also has a storage capacity of 650 million cubic feet. TC Energy also owns a power and energy solution business, which generates 4,300 megawatts. TC Energy has generated immense wealth for its long-term shareholders. It has earned 11% per year between 2000 and 2022. This is well above inflation and the TSX Index. The dividends of the Canadian energy giant have increased by 5.2% per year over the past 23 years, despite these macro headwinds. TC Energy is a company with visible growth and plans to invest $34 billion in capital expenditures by 2028. $525 annually in dividends if you invest $8,000 in TC Energy stock Your dividends could increase by as much as 7% each year, which would mean that your payouts will double to more than $1,000 over the next ten years. Investors need to understand that dividend payments do not guarantee payment and can be suspended or canceled at any time. Investors are being alerted to a Canadian high-yield dividend stock, which is currently ridiculously low. Fool contributor Aditya Raghunath does not hold any position in any of these stocks. The Motley Fool does not hold any position in any of these stocks. The disclosure policy of the Motley Fool is available.
2023