Insights from the Latest N-PORT Filing for Q2 2024
Scotia Canadian Dividend Fund (Trades, Portfolio), known for its strategic investments in high-quality dividend-paying companies primarily in Canada, recently disclosed its N-PORT filing for the second quarter of 2024. The fund aims to generate a robust level of dividend income while also seeking long-term capital growth. It focuses on dividend-paying common shares and a variety of preferred shares from Canadian entities, leveraging the Canadian dividend tax credit to maximize after-tax income for non-registered accounts.
Summary of New Buys
The fund made significant new investments in the second quarter, adding a total of 7 stocks to its portfolio. Noteworthy additions include:
- Manulife Financial Corp (TSX:MFC, Financial), purchasing 6,936,000 shares, which now represent 1.95% of the portfolio, valued at C$252.68 million.
- Fairfax Financial Holdings Ltd (TSX:FFH, Financial), with 144,600 shares, making up about 1.74% of the portfolio, valued at C$225.05 million.
- Bank of Montreal (TSX:BMO, Financial), adding 1,831,500 shares, accounting for 1.63% of the portfolio, valued at C$210.31 million.
Key Position Increases
The fund also increased its stakes in 16 stocks, with significant boosts in:
- Suncor Energy Inc (TSX:SU, Financial), adding 2,080,600 shares, bringing the total to 10,193,546 shares. This adjustment increased the share count by 25.65%, impacting the portfolio by 0.84%, with a total value of C$531.59 million.
- Restaurant Brands International Inc (TSX:QSR, Financial), with an additional 769,400 shares, bringing the total to 2,205,400. This represents a 53.58% increase in share count, valued at C$212.60 million.
Summary of Sold Out Positions
The fund exited four holdings entirely in this quarter, including:
- Thermo Fisher Scientific Inc (TMO, Financial), where all 400,300 shares were sold, impacting the portfolio by -2.15%.
- BCE Inc (TSX:BCE, Financial), liquidating all 3,543,000 shares, which had a -1.41% impact on the portfolio.
Key Position Reductions
Reductions were made in 22 stocks, with significant cuts in:
- TC Energy Corp (TSX:TRP, Financial), reduced by 1,499,800 shares, a -22.7% decrease, impacting the portfolio by -0.59%. The stock traded at an average price of C$52.53 during the quarter and has returned 14.37% over the past 3 months and 20.19% year-to-date.
- American Tower Corp (AMT, Financial), reduced by 258,100 shares, a -27.68% reduction, impacting the portfolio by -0.56%. The stock traded at an average price of $192.95 during the quarter and has returned 15.99% over the past 3 months and 3.72% year-to-date.
Portfolio Overview
As of the second quarter of 2024, Scotia Canadian Dividend Fund (Trades, Portfolio)'s portfolio included 47 stocks. The top holdings were 5.81% in The Toronto-Dominion Bank (TSX:TD, Financial), 4.91% in Enbridge Inc (TSX:ENB, Financial), 4.85% in Canadian Natural Resources Ltd (TSX:CNQ, Financial), 4.63% in Microsoft Corp (MSFT, Financial), and 4.51% in Canadian National Railway Co (TSX:CNR, Financial). The holdings are mainly concentrated across 11 industries, reflecting a diverse and strategic allocation.
This article, generated by GuruFocus, is designed to provide general insights and is not tailored financial advice. Our commentary is rooted in historical data and analyst projections, utilizing an impartial methodology, and is not intended to serve as specific investment guidance. It does not formulate a recommendation to purchase or divest any stock and does not consider individual investment objectives or financial circumstances. Our objective is to deliver long-term, fundamental data-driven analysis. Be aware that our analysis might not incorporate the most recent, price-sensitive company announcements or qualitative information. GuruFocus holds no position in the stocks mentioned herein.
