BMO S&P/TSX Capped Composite Index ETF.ZCN.TOCOMMENTJan 06, 2020Stock price when the opinion was issued
As of Jun 04, 2026. Market Open.
ZDV has no covered writing, nothing fancy. Financials are ~41%, energy ~18%. In a correction, generally the dividend stocks do better because they have the cash yields attached to them. Also because it usually has a greater weighting in utilities (these still provide needs, not wants, in a downturn).
ZCN has less exposure to financials or to the dividend side of the equation. Has fewer utilities. More oil & gas, gold, metals, materials. In a resource boom, and with all the things tied to AI, this one will do better.
When you buy an ETF from a BMO or Blackrock, it will be well-capitalized. Don't worry about bid/ask spreads or liquidity. ZCN is the Canadian benchmark. Don't worry about capitalization. ZCN is a plain vanilla product. He prefers an inverse ETF (see top picks).