How to invest in Canada using ETFs
How do I invest in Canadian stocks?
The easiest way to invest in the whole Canadian stock market is to invest in a broad market index. This can be done at low cost by using ETFs.
On the Canadian stock market you'll find 1 index which is tracked by ETFs.
Alternatively, you can invest in the North American stock market. Unfortunately, Canada is weighted with less than 5%.
Performance of Canadian stocks (MSCI Canada)
Indices in comparison
The best indices for ETFs on Canada
For an investment in the Canadian stock market, there is 1 index available which is tracked by 6 ETFs. On the MSCI Canada index there are 6 ETFs. The total expense ratio (TER) of ETFs on these indices is between 0.33% p.a. and 0.48% p.a..
Index | Investment focus | Number of ETFs | Number of constituents | Short description |
---|---|---|---|---|
MSCI Canada |
Canada | 6 ETFs | 89 (31/03/2021) |
The MSCI Canada index tracks the largest and most liquid Canadian stocks.
Index factsheet |
ETF ISIN |
Fund size in m CHF |
TER in % |
Use of profits | Fund domicile | Replication method | |
---|---|---|---|---|---|---|
UBS ETF (LU) MSCI Canada UCITS ETF (CAD) A-disLU0446734872 | 1,294 | 0.33% p.a. | Distributing | Luxembourg | Full replication | |
iShares MSCI Canada UCITS ETF (Acc)IE00B52SF786 | 928 | 0.48% p.a. | Accumulating | Ireland | Full replication | |
HSBC MSCI Canada UCITS ETF USDIE00B51B7Z02 | 616 | 0.35% p.a. | Distributing | Ireland | Full replication | |
Xtrackers MSCI Canada UCITS ETF 1CLU0476289540 | 320 | 0.35% p.a. | Accumulating | Luxembourg | Full replication | |
UBS ETF (LU) MSCI Canada UCITS ETF (CAD) A-accLU0950672807 | 213 | 0.33% p.a. | Accumulating | Luxembourg | Full replication | |
UBS ETF (LU) MSCI Canada UCITS ETF (CAD) A-UKdisLU1107559962 | 5 | 0.33% p.a. | Distributing | Luxembourg | Full replication |
Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
---|---|---|---|---|---|---|
MSCI Canada | 8.86% | 17.16% | 27.48% | 55.25% | 29.31% |
Index | 2021 in % |
2020 in % |
2019 in % |
2018 in % |
2017 in % |
|
---|---|---|---|---|---|---|
MSCI Canada | 16.48% | -3.83% | 24.51% | -16.39% | 11.36% |
Source: justETF.com; As of 31/03/2021; Calculations in CHF based on the largest ETF of the respective index.
The best Canada ETFs
by 1 year return
1 | Xtrackers MSCI Canada UCITS ETF 1C | 55.40% |
2 | iShares MSCI Canada UCITS ETF (Acc) | 55.35% |
3 | UBS ETF (LU) MSCI Canada UCITS ETF (CAD) A-dis | 55.25% |
The cheapest Canada ETFs
by total expense ratio (TER)
1 | UBS ETF (LU) MSCI Canada UCITS ETF (CAD) A-acc | 0.33% p.a. |
2 | UBS ETF (LU) MSCI Canada UCITS ETF (CAD) A-dis | 0.33% p.a. |
3 | UBS ETF (LU) MSCI Canada UCITS ETF (CAD) A-UKdis | 0.33% p.a. |
North American indices with a share of Canada
Besides Canadian ETFs you can consider ETFs on the North American stock market. In order to invest in North America there are 2 indices, which are tracked by 3 ETFs. However, Canada is weighted with less than 5% in these indices (as of 30/10/2020). The total expense ratio (TER) of ETFs on North America is between 0.10% p.a. and 0.40% p.a..
Index | Investment focus | Number of ETFs | Number of constituents | Short description |
---|---|---|---|---|
FTSE North America | North America
Canada: 4.02% (30/10/2020) |
1 ETF | 659 (31/03/2021) |
The FTSE North America index tracks stocks in USA and Canada.
Index factsheet |
MSCI North America | North America
Canada: 4.40% (30/10/2020) |
2 ETFs | 710 (31/03/2021) |
The MSCI North America index tracks stocks from developed North American countries (Canada and United States).
Index factsheet |
ETF ISIN |
Fund size in m CHF |
TER in % |
Use of profits | Fund domicile | Replication method | |
---|---|---|---|---|---|---|
Vanguard FTSE North America UCITS ETF DistributingIE00BKX55R35 | 1,370 | 0.10% p.a. | Distributing | Ireland | Full replication | |
iShares MSCI North America UCITS ETFIE00B14X4M10 | 1,118 | 0.40% p.a. | Distributing | Ireland | Optimized sampling | |
Lyxor MSCI North America UCITS ETFLU0392494992 | 130 | 0.25% p.a. | Distributing | Luxembourg | Unfunded swap |
Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
---|---|---|---|---|---|---|
FTSE North America | 8.28% | 13.44% | 22.14% | 54.66% | 56.54% | |
MSCI North America | 8.09% | 13.18% | 22.03% | 54.79% | 55.36% |
Index | 2021 in % |
2020 in % |
2019 in % |
2018 in % |
2017 in % |
|
---|---|---|---|---|---|---|
MSCI North America | 13.39% | 9.20% | 28.18% | -5.03% | 15.68% | |
FTSE North America | 13.65% | 9.08% | 28.61% | -4.69% | 16.18% |
Source: justETF.com; As of 31/03/2021; Calculations in CHF based on the largest ETF of the respective index.