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The (Only!) Canadian Stock I’d Trust for the Next 10 Years

Alex Smith

Alex Smith

2 weeks ago

5 min read 👁 3 views
The (Only!) Canadian Stock I’d Trust for the Next 10 Years

A Canadian stock earns “trust for the next 10 years” when it keeps winning in three different markets: good times, bad times, and boring times. It needs a durable advantage, recurring revenue, and leadership that treats capital like it is precious. I also want a business that can grow without constantly issuing shares or taking on reckless debt. And I want a runway that does not depend on one fad, because a decade always includes at least one nasty surprise. So let’s look at one solid option.

BAM

Brookfield Asset Management (TSX:BAM) looks built for that kind of decade-long test as it makes money by managing other people’s capital across real assets and private markets. It manages strategies in infrastructure, renewable power and transition, private equity, real estate, and credit. It collects management fees and performance fees, so it can grow even when markets feel choppy, as long as clients keep allocating. In plain terms, it gets paid to find deals, manage assets, and exit investments at the right time.

Under the hood, the Canadian stock keeps building future revenue. In its Q3 2025 update, Brookfield reported record organic fundraising of $30 billion in the quarter and fee-bearing capital of $581 billion, up 8% year over year. It also disclosed $125 billion of uncalled fund commitments, with a chunk not yet earning fees but expected to generate meaningful fees once deployed. That backlog-like “dry powder” helps explain why long-term investors stay interested even when the stock takes a breather.

Into earnings

Earnings show the machine still works. In Q3 2025, Brookfield Asset Management reported fee-related earnings of US$754 million, or US$0.46 per share, up from US$644 million, or US$0.39 per share, a year earlier. Distributable earnings came in at US$661 million, or US$0.41 per share, versus US$619 million, or US$0.38 per share, the year before. Net income attributable to BAM was US$724 million in the quarter. Those are not small numbers and reflect exactly what you want from an asset manager: rising fee earnings and solid cash-style earnings.

The quarter also showed why the next few years could stay busy. Brookfield said it deployed $23 billion in the quarter and monetized assets valued at $25 billion, representing $15 billion of equity value. It also talked about launching more products into 2026, including a sixth vintage of its infrastructure flagship fund in early 2026 and an inaugural artificial intelligence (AI) Infrastructure fund. If capital continues flowing into private credit, infrastructure, and energy transition themes, Brookfield can grow fees without needing perfect stock markets.

Bottom line

If I had to pick one Canadian stock to trust for the next 10 years, BAM makes a strong case because it has scale, a deep product lineup, and multiple long-lived themes pushing capital toward its strategies. And right now, here’s what even $7,000 could bring in through dividends alone for reinvestment.

COMPANYRECENT PRICENUMBER OF SHARESANNUAL DIVIDENDANNUAL TOTAL PAYOUTFREQUENCYTOTAL INVESTMENTBAM$70.0899$2.40$237.60Quarterly$6,937.92

It also has visible fee engines, a huge pool of committed capital waiting to be deployed, and a 2026 pipeline that includes new flagship launches. It won’t move in a straight line, and it will occasionally frustrate you, but that is exactly why it can reward patient owners who care more about compounding than headlines.

The post The (Only!) Canadian Stock I’d Trust for the Next 10 Years appeared first on The Motley Fool Canada.

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Fool contributor Amy Legate-Wolfe has no position in any of the stocks mentioned. The Motley Fool recommends Brookfield Asset Management. The Motley Fool has a disclosure policy.

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