Especially for Tax Free Savings Accounts (TFSA) investors, monthly payers can accelerate accrual because income goes right back to work without a tax burden. It also helps smooth out market volatility. When prices fluctuate, that consistent deposit into your account will remind you why you invested in the first place. So let’s take a look at one monthly dividend stock to add to your watchlist.
Artis
Artis REIT (TSX:AX.UN) is a diversified real estate investment trust (REIT) with exposure to office, industrial and retail properties in Canada and the United States. Over the past year, unit prices have reflected broader pressure on REITs due to higher interest rates and investor skepticism toward office real estate. This pullback left AX.UN trading well below previous cycle levels, even as the underlying portfolio continues to generate cash. The market largely focused on industry-wide fear rather than company-specific execution.
Despite the weak sentiment, Artis has actively reformed its portfolio. Management reduced exposure to offices, focused on industrial and retail properties and focused on selling non-core properties to strengthen the balance sheet. This strategy has not made the headlines, but it is important for long-term stability. For patient investors, that gap between perception and progress is often where opportunities arise, especially in income-oriented stocks.
In income
From an earnings perspective, the key metrics for AX.UN have remained relatively stable. Operating funds, which measure a REIT’s ability to pay distributions, have continued to cover the monthly payout. Occupancy rates across the portfolio have held up better than many investors expected, and leasing activity has been focused on higher quality tenants. The cash flow allowed the trust to continue paying its distributions while also reducing leverage through asset sales.
Appreciation is where AX.UN really excels. Its dividend stocks are trading at a deep discount to net asset value, meaning the market values its real estate well below what it would likely be worth in a private transaction. That reduction reflects fears around interest rates and office demand rather than a collapse in cash flow. For income investors, buying a REIT at a deep discount can provide a margin of safety as long as the distribution remains supported.
Earn income
AX.UN sends cash to investors every month, and that consistency is the biggest draw. The distribution yield is high compared to many other Canadian REITs, and is backed by real assets that generate rent every day. Management showed a willingness to adapt, sell assets and focus on sustainability rather than chasing growth for its own sake. That discipline is much more important than short-term price movements when the goal is reliable income.
As a monthly payer, AX.UN fits well into a TFSA strategy aimed at stable cash flow. You’re not betting on a quick recovery or a hot real estate cycle. You collect revenue while management goes through a multi-year repositioning. The key risks to watch are interest rates, refinancing costs and the rate at which office exposure continues to decline. Yet those risks are already reflected in the price. And right now you can earn quite a lot. This is what $7,000 can make.
| COMPANY | RECENT PRICE | NUMBER OF SHARES | DIVIDEND | ANNUAL TOTAL PAYOUT | FREQUENCY | TOTAL INVESTMENT |
|---|---|---|---|---|---|---|
| AX.UN | $8.03 | 871 | $0.60 | $522.60 | Monthly | $6,994.13 |
In short
Ultimately, AX.UN is not about excitement. It’s about patience, income and buying real assets when sentiment is bad but cash flow is intact. For investors who want a dividend stock that quietly deposits money into their account every month, and who feels comfortable riding out a recovery rather than trying to time it, AX.UN offers a simple, income-focused opportunity that does exactly what it says on the tin.
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