How the Largest ETFs in Canada Performed

Each month, we check in on the performance of the largest Canadian stock, bond, and active exchange-traded funds.

The Morningstar Canada Index rose 2.46% in May, while the Morningstar Canada Core Bond Index gained 1.42%. Over the past year, the Canadian stock market is up 36.20%, while the Canadian bond market has risen 2.80%.

The Morningstar US Market Index rose 6.44% during May and is up 29.71% over the past year. The Morningstar US Core Bond Index rose 1.51% last month and is up 5.34% over the past year.

In the global markets, stocks gained 6.29% in May, as measured by the Morningstar Global Markets Index. Bonds rose 1.57%, as measured by the Morningstar Global Core Bond Index. Over the past year, global stocks are up 31.05%, and global bonds are up 3.53%.

Largest Canadian Stock ETF Performance

When evaluating ETFs, investors should focus on long-term returns across multiple years and market cycles. However, short-term returns can provide valuable information about biases within strategies.

Of the 10 largest Canadian stock ETFs, the top performer last month was the C$33.3 billion Vanguard S&P 500 Index ETF VFV, which gained 6.85%. The bottom performer was the C$23.2 billion iShares S&P/TSX 60 Index ETF XIU, which gained 2.14%.

Here’s more about the performance of the largest stock ETFs.

Vanguard S&P 500 Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : US Equity

The C$33.3 billion Vanguard S&P 500 Index ETF rose 6.85% in May, beating the 5.51% gain on the average fund in the US equity category and leaving it in the 26th percentile for performance. Over the past 12 months, the Vanguard fund rose 30.20%, while the average fund in its category rose 24.17%. The fund, launched in November 2012, has climbed 23.87% over the past three years annualized and 16.86% annualized over the past five.

iShares Core S&P/TSX Capped Composite Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Canadian Equity

In May, the iShares Core S&P/TSX Capped Composite Index ETF rose 2.51%, while the average Canadian equity fund gained 2.12%. The fund placed in the 27th percentile for performance. The C$30.3 billion fund has climbed 35.95% over the past 12 months, outperforming the average fund in its category, which rose 27.80%. The BlackRock fund, launched in February 2001, has climbed 24.53% over the past three years annualized and 15.23% annualized over the past five.

BMO S&P 500 Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : US Equity

In May, the BMO S&P 500 Index ETF rose 6.83%, while the average US equity fund gained 5.51%. The fund placed in the 27th percentile for performance. The C$28.2 billion fund has climbed 30.05% over the past 12 months, outperforming the average fund in its category, which rose 24.17%. The BMO fund, launched in November 2012, has climbed 23.88% over the past three years annualized and 16.92% annualized over the past five.

iShares S&P/TSX 60 Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Canadian Equity

The C$23.2 billion iShares S&P/TSX 60 Index ETF rose 2.14% in May. That gain was roughly in line with the 2.12% gain on the average fund in the Canadian equity category, leaving it in the 51st percentile for performance. Over the past 12 months, the BlackRock fund rose 32.07%, while the average fund in its category rose 27.80%. The fund, which launched in September 1999, has climbed 23.25% over the past three years annualized and 14.65% annualized over the past five.

iShares Core MSCI EAFE IMI Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : International Equity

In May, the iShares Core MSCI EAFE IMI Index ETF rose 4.43%, while the average international equity fund gained 3.89%. The fund placed in the 28th percentile for performance. The C$21.6 billion fund has climbed 23.63% over the past 12 months, outperforming the average fund in its category, which rose 18.60%. The BlackRock fund, launched in April 2013, has climbed 18.70% over the past three years annualized and 11.24% annualized over the past five.

Largest Canadian Bond ETF Performance

Out of the 10 largest Canadian bond ETFs, the top performer last month was the C$4.6 billion BMO Core Plus Bond Fund ZCPB, which gained 1.44%. The bottom performer was the C$38.6 billion PIMCO Monthly Income Fund (Canada) PMIF, which gained 0.56%.

Here’s more about the performance of the largest bond ETFs.

PIMCO Monthly Income Fund (Canada)

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Multi-Fixed Income

In May, the PIMCO Monthly Income Fund (Canada) rose 0.56%, while the average multi-fixed income fund gained 0.82%. The fund placed in the 66th percentile for performance and beat its benchmark, the Bloomberg US Aggregate Bond Index, by 0.38 percentage points.

The C$38.6 billion fund has climbed 6.85% over the past 12 months, outperforming the average fund in its category, which rose 5.33%. The PIMCO fund, launched in September 2017, has climbed 6.61% over the past three years annualized and 3.23% annualized over the past five.

BMO Aggregate Bond Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Canadian Fixed Income

The C$12.8 billion BMO Aggregate Bond Index ETF rose 1.39% in May, beating the 1.31% gain on the average fund in the Canadian fixed income category, leaving it in the 33rd percentile for performance. Over the past 12 months, the BMO fund rose 2.90%, while the average fund in its category rose 3.03%. The fund, launched in January 2010, has climbed 4.19% over the past three years annualized and 0.81% annualized over the past five.

iShares Core Canadian Universe Bond Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Canadian Fixed Income

In May, the iShares Core Canadian Universe Bond Index ETF rose 1.38%, while the average Canadian fixed-income fund gained 1.31%. The fund placed in the 36th percentile for performance. The C$10 billion fund has climbed 2.91% over the past 12 months, performing roughly in line with the average fund in its category, which rose 3.03%. The BlackRock fund, launched in November 2000, has climbed 4.18% over the past three years annualized and 0.80% annualized over the past five.

Vanguard Canadian Aggregate Bond Index ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Canadian Fixed Income

The C$7.4 billion Vanguard Canadian Aggregate Bond Index ETF rose 1.37% in May. The gain on the fund was roughly in line with the 1.31% gain on the average fund in the Canadian fixed income category, leaving it in the 43rd percentile for performance. Over the past 12 months, the Vanguard fund rose 2.83%, while the average fund in its category rose 3.03%. The fund, which launched in November 2011, has climbed 4.07% over the past three years annualized and gained 0.74% annualized over the past five years.

RBC Core Bond Pool

• Morningstar Medalist Rating
  : Silver
• Morningstar Category
  : Global Core Plus Fixed Income

In May, the RBC Core Bond Pool rose 0.91%, while the average global core plus fixed income fund gained 0.87%. The fund placed in the 43rd percentile for performance and lagged its benchmark, the FTSE Canada Universe Index, by 0.45 percentage points.

The C$7 billion fund has climbed 4.29% over the past 12 months, outperforming the average fund in its category, which rose 3.86%. The RBC fund launched in March 2024.

Largest Canadian Active ETF Performance

While passive ETFs track an index, active ETFs have managers decide which investments to own. Like index-tracking ETFs, active ETFs trade on an exchange and are typically lower-cost than traditional actively managed mutual funds.

Out of the 10 largest Canadian active ETFs, the top performer last month was the C$10.4 billion Fidelity Global Equity+ Fund FGEP, which gained 5.68%. The bottom performer was the C$38.6 billion PIMCO Monthly Income Fund (Canada) PMIF, which gained 0.56%.

Here’s more about the performance of the largest active ETFs.

iShares Core Equity ETF Portfolio

• Morningstar Medalist Rating
  : Silver
• Morningstar Category
  : Global Equity

In May, the iShares Core Equity ETF Portfolio rose 4.88%, while the average global equity fund gained 4.90%. The fund placed in the 50th percentile for performance and beat its benchmark, the S&P/TSX Capped Composite Index, by 2.36 percentage points.

The C$18.8 billion fund has climbed 30.87% over the past 12 months, outperforming the average fund in its category, which rose 22.25%. The BlackRock fund, launched in August 2019, has climbed 22.66% over the past three years annualized and 14.18% annualized over the past five.

Vanguard All-Equity ETF Portfolio

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Global Equity

The C$15 billion Vanguard All-Equity ETF Portfolio rose 4.97% in May, roughly in line with the 4.90% gain on the average fund in the global equity category, leaving it in the 46th percentile for performance. The fund lagged its benchmark, the FTSE Global All Cap Index, by 1.24 percentage points.

Over the past 12 months, the Vanguard fund rose 31.99%, while the average fund in its category rose 22.25%. The fund, launched in January 2019, has climbed 22.91% over the past three years annualized and 14.16% annualized over the past five.

Fidelity Canadian Large Cap Fund

• Morningstar Medalist Rating
  : Silver
• Morningstar Category
  : Canadian Focused Equity

The Fidelity Canadian Large Cap Fund gained 2.97% in May, underperforming the average fund in the Canadian focused equity category, which rose 3.33%. The fund placed in the 45th percentile for performance and beat its benchmark, the S&P/TSX Composite Index, by 0.46 percentage points.

The C$12.9 billion fund has gained 10.82% over the past 12 months, while the average fund in its category is up 25.38%. The Fidelity International fund, launched in May 2023, has gained 13.25% over the past three years annualized.

Fidelity All-in-One Balanced ETF

• Morningstar Medalist Rating
  : Gold
• Morningstar Category
  : Global Neutral Balanced

The Fidelity All-in-One Balanced ETF gained 2.87% in May, performing roughly in line with the average fund in the global neutral balanced category, which rose 2.82%. The C$12.3 billion fund has gained 16.75% over the past 12 months, while the average fund in its category is up 14.72%. The Fidelity International fund, launched in January 2021, has climbed 16.49% over the past three years annualized and 10.33% annualized over the past five.

RBC North American Value Fund

• Morningstar Medalist Rating
  : Neutral
• Morningstar Category
  : Canadian Focused Equity

The RBC North American Value Fund gained 2.42% in May, underperforming the average fund in the Canadian focused equity category, which rose 3.33%. The C$11.1 billion fund has gained 25.53% over the past 12 months, while the average fund in its category is up 25.38%. The RBC fund, launched in March 2023, has gained 21.39% over the past three years annualized.