Canadian Portfolio Managers Pick Dividend Stocks on July 8, 2026

Two prominent Canadian portfolio managers released their top stock picks on July 8, 2026, as markets grapple with elevated valuations and emerging geopolitical risks. Rebecca Teltscher of Newhaven Asset Management and Ernest Wong of Baskin Wealth Management both identified energy and infrastructure stocks as attractive opportunities, with Tourmaline Oil appearing on both lists. The picks reflect a disciplined approach to capital allocation in an environment where valuations leave little room for error.

Why dividend stocks appeal now

Canadian and U.S. equity markets trade at historically elevated valuation levels, leaving little margin for error, according to Teltscher’s market outlook. Economic growth and corporate earnings have remained steady this year, but underlying momentum is weakening. Inflationary pressures have re-emerged, prompting markets to consider additional interest rate increases. Against this backdrop, dividend-paying stocks offer both income and stability for selective investors.

Tourmaline Oil leads both managers’ picks

Tourmaline Oil (TOU) pulled back more than 10 per cent from recent highs, making it attractive to Teltscher, who initiated a position after Shell’s acquisition of ARC Resources to maintain exposure to Canada’s natural gas sector. Wong, head of research at Baskin Wealth Management, called Tourmaline Oil the largest natural gas driller in Canada and noted that North American natural gas pricing has not risen despite Middle East issues. Both managers see long-term growth opportunities in the sector.

Brookfield and BCE round out the picks

Teltscher selected BCE for its dividend yield and stability in the telecom sector. Wong favored Brookfield Corp (BN), which trades at approximately 20 per cent net asset value discount to Brookfield Asset Management (BAM) and offers capital allocation upside. Wong expects strong inflows to BAM over the next few years in the credit space and from newly launched AI-related funds. Teltscher also picked Canadian Natural Resources (CNQ) to round out her energy exposure.

Market backdrop: AI concentration and trade risks

The S&P 500’s concentration in AI-related companies has reached record levels, with over half the index now concentrated in AI stocks, according to Wong’s outlook. Meanwhile, Canada remains in a technical recession, though the Toronto Stock Exchange has benefitted from strong performance in banks and energy. Wong flagged trade risks, noting the U.S. has declined to extend the Canada-United States-Mexico Agreement (CUSMA), which he expects will drive more volatility in negotiations. This environment rewards investors who focus on undervalued, non-AI sectors with strong financial reports.

Final Thoughts

With both managers favoring energy and infrastructure plays, the data points to selective opportunity in dividend-paying stocks. Tourmaline Oil’s pullback and Brookfield’s valuation discount appeal to disciplined investors seeking income amid elevated market valuations and geopolitical uncertainty.

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