Image source: Getty Images
Investing in asset-light royalty companies can help shareholders generate stable dividend income at a low cost. One such TSX stock is Freehold Royalties (TSX:FRU), which offers you a tasty dividend yield of 7.4%.
Freehold Royalties manages one of the largest non-government portfolios of oil and gas royalties in Canada, with a sizeable land base south of the border. Its total land holdings consist of 6.4 million gross acres in Canada, which includes exposure to 0.9 million gross drilling acres in the United States. With interests in more than 18,000 producing wells, Freehold receives royalty income from over 380 industry operators, diversifying its portfolio and lowering overall risk.
Over the years, Freehold Royalties has focused on acquiring and managing royalties while providing a lower-risk income vehicle for investors. Similar to other royalty companies, Freehold Royalties is not exposed to costs…
