4 Rock-Ribbed Canadian Bank Stocks

BOSTON (TheStreet) -- U.S. investors seeking high-yielding stocks of companies with earnings not likely to be decimated by Europe's economic contagion need look no further than our neighbor to the north and Canadian bank stocks, the best of which have 10-year returns double that of the S&P 500.

The structure of the conservatively run Canadian banking system puts a lid on risk, and its largest banks are, in effect, given protected status by the barriers to entry put in place by the government.

As a result, the nation's six largest banks collectively hold almost 90% of that nation's banking assets, giving them significant competitive advantages in the world's 10th largest economy.

So Canadian banks have been able to put up good earnings numbers and increase their dividends, thanks to their nation's relative economic health, in turn thanks to their government's fiscal conservatism.

And that shows up in their long-term returns, as the four stocks summarized below have 10-year annualized returns that range from 13.5% to 16.3%, vs. the S&P 500's 7% for the period.