That means you shouldn’t panic sell when the market pulls back, which is easier said than done for many newer investors. It also means that you shouldn’t sell stocks just because they are up and you want to book a profit.
Investing in itself does not have to be complicated. What is difficult is controlling your emotions. That’s why it’s important to understand these kinds of things in advance. That is also why doing good research is so important.
When you research a stock, it’s not just about deciding whether it’s worth buying or not. It is also to give yourself reasons to hold on to it.
For example, if the market is selling off, you can remind yourself that the underlying company is still strong or defensive, that its cash flow is solid, and that the dividend is sustainable. That perspective helps you remember that volatility is temporary and, in many cases, creates better buying opportunities.
The same applies if the shares are doing well. It is common for investors to want to sell when prices are rising, fearing that they will lose those gains if they do nothing. But if you can remind yourself why you bought the company in the first place and why it still has long-term potential, it will be much easier to stay invested.
That’s why the best stocks to buy are always the highest quality companies. They give you the confidence to prevail in different market environments.
The longer you own high-quality stocks, the more powerful the compound becomes and the faster your portfolio can grow. It’s why Warren Buffett famously said, “Our favorite holding period is forever.”
The best buy-and-hold stocks often have another important benefit: They pay you to stay invested.
So, with that in mind, if you’re looking for a smart Canadian stock that you can buy, hold, and own with confidence for years to come, here’s why Brookfield Infrastructure Partners (TSX:BIP.UN) fits that bill perfectly.
Why is Brookfield Infrastructure one of the best Canadian stocks to own for the long term?
What makes Brookfield Infrastructure such a strong buy-and-hold stock is that its business is built around assets the world simply can’t live without. However, unlike many other defensive stocks with essential activities, Brookfield also has above-average growth potential in the coming decades.
The stock owns critical infrastructure such as utilities, pipelines, data infrastructure, ports, railways and energy transmission assets across multiple continents.
These are businesses that are essential because this infrastructure is used every day, regardless of what is happening in the economy. That’s what allows Brookfield to generate predictable, recurring cash flow and what makes it such a reliable stock to buy and hold for the long term.
Furthermore, in addition to its portfolio of key infrastructure assets, its operations are also diversified around the world. This is critical because it helps reduce risk and improve performance over time. Especially if one region slows down, other regions can catch up.
Perhaps the biggest reason why Brookfield is one of the best Canadian stocks to buy and hold with confidence is its management team. It’s no secret that Brookfield has one of the best management teams in the world when it comes to operating and acquiring real estate assets.
The company has proven for years to be a disciplined buyer, focusing on long-term returns and consistently seeking opportunities to improve and expand the assets it already owns.
Furthermore, in addition to its business, Brookfield is also one of the best dividend growth stocks on the TSX.
It currently offers not only a yield north of 5%, but management is also targeting annual distribution growth of 5% to 9%.
Moreover, in addition to that attractive yield and increasing payout every year, infrastructure stocks generally benefit from falling interest rates. With interest rate cuts expected to continue into 2026, Brookfield shares are certainly trading at an attractive valuation today.
So if you’re looking for high-quality Canadian stocks that you can hold for years, Brookfield Infrastructure is undoubtedly one of the best choices.
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