Fortis Mentioned as TFSA Advice Shifts Toward Income Strategies Before 2026
Monday at 9: 14 a. m. ET — In a pair of recent pieces by Chris MacDonald at The Motley Fool Canada, the author makes the case for using a TFSA as an income-generating vehicle and lays out three Canadian growth stock ideas for TFSA investors ahead of 2026; Fortis appears among the provided headlines. The timing: TFSA contribution mechanics and fresh 2025 performance figures push the discussion into the now.
Chris MacDonald’s case for the TFSA as an income engine
MacDonald argues that tax-free withdrawals are the TFSA’s defining advantage for income-focused savers. Dividends, interest and capital gains held inside a TFSA can be withdrawn with no tax hit, while RRSP distributions are taxable when taken out and provide a tax refund only at contribution time. He points to liquidity benefits: TFSA withdrawals are penalty-free and the account’s contribution room resets the next January 1st, giving investors flexibility that RRSPs do not.
That design matters for retirees who plan steady cash flows. MacDonald warns that taxable RRSP withdrawals can reduce net income substantially and may push retirees into higher tax brackets, and he notes that an RRSP withdrawal can factor into Old Age Security calculations in a way that could trigger benefit clawbacks. For investors prioritizing reliable, tax-free cash flow, MacDonald favors placing dividend payers, REITs or bonds inside a TFSA.
2025 performance figures and the growth-stock TFSA pitch
MacDonald pairs the income argument with growth ideas for TFSA holders heading into 2026. He highlights Shopify’s rebound potential, noting the company’s top-line revenue growth surged 30% in 2025 and that Shopify’s gross merchandise volume has tripled since 2020; the piece also states Shopify traded near $250 at its 2025 peaks and recently dropped around 40% to roughly the $150 level. Those specific 2025 and 2020 figures form the timing case for acting now.
The Motley Fool Canada piece also profiles The Metals Company as a speculative growth pick that has risen more than fivefold over the past year and is described as trading at a single-digit billion-dollar valuation; MacDonald highlights the firm’s deep-sea mining technology for battery minerals as the source of its upside. Kinaxis completes the trio: MacDonald points to its supply-chain RapidResponse platform and notes the stock has hit a new five-year low, framing it as a potential long-term TFSA candidate for capital appreciation.
Fortis appears alongside TFSA coverage in recent headline mix
Fortis shows up in the supplied headline list as “Fortis Bannerghatta Road Honours Women Community Leaders On Women’s Day, ” indicating the Fortis name is part of the broader set of recent coverage provided to readers. That headline sits beside the TFSA-focused pieces and underlines how MacDonald’s investment guidance and the 2026 stock picks are one strand of the current headline set.
MacDonald specifically recommends considering high-quality dividend payers such as Canadian banks, utilities or REITs inside a TFSA for those seeking tax-free retirement cash flow. He emphasizes that choosing the TFSA for income can preserve more of investors’ payouts by avoiding the taxes inherent to RRSP withdrawals.
Still, he writes that both vehicles have roles depending on individual circumstances: the TFSA’s tax-free withdrawals and recontribution mechanics make it attractive for income and liquidity, while RRSPs provide immediate tax relief at contribution. For investors evaluating placement decisions, MacDonald frames the TFSA-as-income strategy as compelling right now given contribution timing and the 2025 performance data he cites.
More details are expected when TFSA contribution room resets on January 1 at 12: 00 a. m. ET; if investors act before then, allocation choices between TFSA and RRSP will determine how much of those dividends and gains stay tax-free in retirement.
