Welcome to episode 84 of The 5-Minute Investor Podcast, where Stockhouse columnists Jonathon Brown and me, Trevor Abes, each deliver a 2.5-minute profile on top stocks worth a spot on your radar.
This week, with consensus expectations overwhelmingly favouring a Bank of Canada interest rate hike from 2.25% to 2.5% at its October 28th meeting, driven by high energy prices and Canada’s ongoing trade war with the US, perceptive investors may be wondering if there are any companies out there that benefit from higher borrowing costs.
To shed a little light on this question, we’ll be analyzing a pair of companies at the top of Canada’s financial sector, each of which grows stronger with higher interest rates.
This article is a journalistic opinion piece on rate-proof stocks written based on independent research. It is intended to inform investors and should not be taken as a recommendation or financial advice.
Here are Jon’s show notes for episode 84:
- Jon’s rate-proof stock is Laurentian Bank of Canada (TSX:LB), which was founded in Montreal in 1846 and operates primarily in Quebec and Ontario.
- How could bank stocks benefit from a Bank of Canada rate hike?
- At the time of writing, Laurentian Bank of Canada stock last traded at C$40.44, adding 24.78% year-over-year, while giving back 0.93% since 2021.
Here are Trevor’s show notes:
- Trevor’s rate-proof stock is Fairfax Financial (TSX:FFH), a property and casualty insurance, reinsurance and investment management company founded by one of Canada’s most famous value investors.
- Fairfax declared Strategic Buyer in auction to acquire interest in IDBI Bank.
- Fairfax Financial’s Q2 2026 results.
- At the time of writing, Fairfax Financial stock last traded at C$2,468.15, adding 6.15% year-over-year and 386.81% since 2021.
Here’s our most recent trio of episodes:
- Episode 81: Must-watch Canadian mining stocks.
- Episode 82: Canadian stocks with European potential.
- Episode 83: High-quality dividend stocks.
Thanks for listening!
The 5-Minute Investor Podcast is on Spotify, YouTube, iHeartRadio, Stockhouse or wherever finer podcasts are found.
Join the discussion: Find out what investors are saying about these rate-proof stocks on the Laurentian Bank of Canada and Fairfax Financial Holdings Limited Bullboards and explore the rest of Stockhouse’s stock forums and message boards.