Dividend cycles

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Dividend paying companies mostly pay dividends quarterly, although some pay monthly. Over the course of a year, there are three dividend cycles that occur. Companies that make their quarterly dividend payments in:

  • January, April, July and October
  • February, May, August and November
  • March, June, September and December.

Investors might use this information to structure their dividend income cash flow throughout the year.

The dividend cycles below are included for the convenience of investors, and are not meant as a recommendation. Also, some companies may switch from one month to another if the final day of one month or the first day of the next lies on a weekend or holiday.

The stock sector descriptions vary from source to source; those used are generally taken from the descriptions in iShares Core S&P/TSX Capped Composite Index ETF (XIC)[1] and are sometimes different from the sector descriptions used at the stock quotation source, the Toronto Stock Exchange. There are ten sectors defined in the Global Industry Classification Standard (GICS) system.[2]

Cycle 1: dividends paid in January, April, July, and October (JAJO)

Company Stock Symbol Sector Dividend currency
AGF Management Ltd. TSX: AGF.B Financials CAD
Algonquin Power TSX: AQN Utilities USD
Agrium TSX: AGU Materials USD[note 1]
Bank of Nova Scotia TSX: BNS Financials CAD
BCE TSX: BCE Telecommunications CAD
Cameco TSX: CCO Energy CAD
Canadian Natural Resources TSX: CNQ Energy CAD
Canadian Pacific Railway TSX: CP Industrials CAD
Capital Power TSX: CPX Utilities CAD
Canadian Imperial Bank Of Commerce (CIBC) TSX: CM Financials CAD
Empire TSX: EMP.a Consumer Staples CAD
George Weston TSX: WN Consumer Staples CAD
Gildan Activewear TSX: GIL Consumer Discretionary USD
IGM Financial TSX: IGM Financials CAD
Imperial Oil TSX: IMO Energy CAD[note 2]
Manitoba Telecom TSX: MBT Telecommunications CAD
North West Company TSX: NWC Consumer Staples CAD
Penn West Petroleum TSX: PWT Energy CAD
Rogers Communications TSX: RCI.ARCI.B Telecommunications CAD
Stantec TSX: STN Industrials CAD
Stella Jones TSX: SJ Industrials CAD
Sun Life TSX: SLF Financials CAD
TD Bank TSX: TD Financials CAD
Teck Resources TSX: TCK.aTCK.b Materials CAD
Telus TSX: T Telecommunications CAD
TransAlta TSX: TA Utilities CAD
TransCanada Corporation TSX: TRP Energy CAD
Valener Inc. TSX: VNR Energy CAD
Yamana Gold TSX: YRI Materials CAD

Cycle 2: dividends paid in February, May, August, and November (FMAN)

Company Stock Symbol Sector Dividend currency
Bank of Montreal TSX: BMO Financials CAD
Emera TSX: EMA Utilities CAD
Jean Coutu Group TSX: PJC.A Consumer Staples CAD
Laurentian Bank TSX: LB Financials CAD
National Bank TSX: NA Financials CAD
Power Financial TSX: PWF Financials CAD
Metro TSX: MRU Consumer Staples CAD
Potash Corp TSX: POT Materials USD
Royal Bank TSX: RY Financials CAD

Cycle 3: dividends paid in March, June, September, and December (MJSD)

Company Stock Symbol Sector Dividend currency
Agnico-Eagle Mines TSX: AEM Materials CAD
Alimentation Couche-Tard TSX: ATD.AATD.B Consumer Staples CAD
Atco Ltd. TSX: ACO.X Utilities CAD
Barrick Gold TSX: ABX Materials USD[note 3]
Brookfield Asset Management TSX: BAM.A Financials USD[note 4]
Brookfield Infrastructure L.P. TSX: BIP.UN Utilities USD[note 5]
Brookfield Renewable L.P. TSX: BEP.UN Utilities USD[note 6]
Calian Technologies TSX: CTY Information Technology CAD
Canadian Utilities TSX: CU Utilities CAD
Canadian National Railways TSX: CNR Industrials CAD
Canadian Tire Corp TSX: CTCCTC.a Consumer Discretionary CAD
Cenovus Energy TSX: CVE Energy CAD
Corby Spirit and Wine TSX: CSW.ACSW.B Consumer Discretionary CAD
D+H TSX: DH Financials CAD
Dollarama TSX: DOL Consumer Discretionary CAD
Dorel Industries TSX: DII.ADII.B Consumer Discretionary USD
Enbridge TSX: ENB Energy CAD
Encana TSX: ECA Energy USD
First Quantum Minerals TSX: FM Materials CAD
Fortis TSX: FTS Utilities CAD
Great West Lifeco TSX: GWO Financials CAD
Hydro One Limited TSX: H Utilities CAD
Industrial Alliance TSX: IAG Financials CAD
Just Energy TSX: JE Utilities CAD
Loblaw Companies TSX: L Consumer Staples CAD
Manulife TSX: MFC Financials CAD
Power Corp. TSX: POW Financials CAD
Saputo TSX: SAP Consumer Staples CAD
Silver Wheaton TSX: SLW Materials USD
SNC-Lavalin Group TSX: SNC Industrials CAD
Suncor Energy TSX: SU Energy CAD
Thomson Reuters TSX: TRI Consumer Discretionary USD

Monthly dividends

Company Stock Symbol Sector Dividend currency
Ag Growth TSX: AFN Industrials CAD
AltaGas TSX: ALA Energy CAD
ARC Resources TSX: ARX Energy CAD
Boardwalk REIT TSX: BEI.UN Financials CAD
Boyd Group Income Fund TSX: BYD.UN Industry CAD
Carfinco TSX: CFN.UN Financial CAD
Corus Entertainment TSX: CJR.B Consumer Discretionary CAD
Enbridge Income Fund TSX: ENF Energy CAD
Enerplus TSX: ERF Energy CAD
Goldcorp TSX: G Materials USD
H&R REIT TSX: HR.UN Financials CAD
HNZ Group TSX: HNZ.AHNZ.B Industry CAD
Inter Pipeline Fund TSX: IPL Energy CAD
Pembina Pipeline TSX: PPL Energy CAD
RioCan REIT TSX: REI.UN Financials CAD
Shaw Communications TSX: SJR.B Consumer Discretionary CAD
Veresen TSX: VSN Energy CAD

Dividend currency notes

  1. The quarterly dividends payable on common shares are declared in U.S. dollars. Beneficial shareholders (those who hold common shares through a financial intermediary) who are resident in Canada or the United States may opt to receive their dividends in either U.S. dollars or the Canadian dollar equivalent by contacting the financial intermediary with whom the common shares are held. Unless the Canadian dollar equivalent is requested, shareholders will receive dividends in U.S. dollars, which, as is often the case, the financial intermediary may convert to Canadian dollars. Registered shareholders receive dividend payments in the currency of residency.
    Source: Algonquin Power & Utilities Corp. Declares Third Quarter 2014 Dividends and Announces a 12.4% Common Share Dividend Increase, viewed December 3, 2014.
  2. Shareholders may choose to have their dividends paid in U.S. funds.
    Source: About Imperial Oil - Dividend & tax information, viewed December 3, 2014.
  3. Shareholders with an address in Canada will be paid in CAD; shareholders with an address in Australia will be paid in AUD; all other shareholders will be paid in USD. Dividend payments paid in CAD or AUD are converted from USD at the noon rate of exchange of the Bank of Canada on the record date for the relevant dividend payment.
    Source: Barrick Gold Corporation - Investors - Share Price & Dividend, viewed December 3, 2014.
  4. Please note that the quarterly dividend payable on Brookfield's Class A Limited Voting Shares is declared in US dollars. Registered shareholders who are U.S. residents receive their dividends in U.S. dollars, unless they request the Cdn. dollar equivalent. Registered shareholders who are Canadian residents receive their dividends in the Cdn. dollar equivalent, unless they request to receive dividends in U.S. dollars. The Canadian dollar equivalent of the quarterly dividend is based on the Bank of Canada noon exchange rate on the record date or, if this falls on a weekend or holiday, on the following business day.
    Source: Stock & Dividend Info | Common Shares | Brookfield Asset Management, viewed December 3, 2014.
  5. Beginning with the Q2 2015 distribution, registered unitholders and beneficial unitholders whose units are registered in the name of CDS or a name other than their own name (i.e., generally those holding their LP Units with a Canadian brokerage), may opt to receive their distributions in either U.S. dollars or the Canadian dollar equivalent. Unless they request the Canadian dollar equivalent, unitholders will continue to receive their distributions in U.S. dollars. The Canadian dollar equivalent of the quarterly distribution will be calculated based on the Bank of Canada noon exchange rate on the record date or, if the record date falls on a weekend or holiday, on the Bank of Canada noon exchange rate of the preceding business day.
    Source: Investor Relations | Distributions | Brookfield Infrastructure Partners L.P., viewed February 4, 2016.
  6. The quarterly distributions payable on L.P. Units of Brookfield Renewable Energy Partners are declared in U.S. dollars. Registered and beneficial shareholders who are resident in Canada or the United States may opt to receive their distributions in either U.S. dollars or the Canadian dollar equivalent. Unless they request the Canadian dollar equivalent, shareholders will continue to receive distributions in U.S. dollars (which may be converted for them by the broker or other intermediary, as may currently be the case). The Canadian dollar equivalent of the quarterly distribution will be based on the Bank of Canada noon exchange rate on the Record Date or, if the Record Date falls on a weekend or holiday, on the Bank of Canada noon exchange rate of the preceding business day.
    Source: Investor Relations | Distributions | Brookfield Renewable Energy Partners, viewed February 4, 2016.

Brokers and currency conversion

Most Canadian discount brokers now offer Canadian dollar and US dollar sub-accounts. When holding a USD paying dividend paying stock in a CAD denominated account, there is no consistent method of handling the USD-CAD conversion and the imbedded foreign exchange charge that results.[3] Your first step should be to understand how your broker handles the conversion and at what, if any, cost of conversion exist for stocks that pay their dividends in USD.[4] One method to eliminate the currency conversion cost is to hold stocks paying dividends in USD in the US dollar sub-account.

See also

References

  1. Blackrock, iShares Core S&P/TSX Capped Composite Index ETF | XIC, viewed January 8, 2016.
  2. Global Industry Classification Standard (GICS) - MSCI, viewed January 8, 2016.
  3. Financial Wisdom Forum topic: Canadian Stocks Paying $US Dividends, viewed January 12, 2016.
  4. Financial Wisdom Forum topic: TDDI U.S. Exchange Rate for U.S. dividends, viewed January 12, 2016.

Further reading

External links