ETFs are great ways to have an easily diversified portfolio.
Often times, ETFs track an underlying index of a certain subsection of the market. An exchange-traded fund is a basket of securities that trade on the market. There are great ETFs options for all kind of investors, but how can one decide which ETF to buy? That’s where Stockchase comes handy.
Good performing ETFs
There are hundreds of ETFs mentioned on Stockchase. We built a mega list of the latest ETFs mentioned on Stockchase since September 2019. Mose of these ETFs have been chosen as Top Picks by stock analysts.
How to choose what ETF to invest in?
JustETF has a great post about how to make the right ETF selection.
Do you want to invest in Canadian equities? Emerging Markets? Renewable Energy? REITs? Dividends focussed ETFs? You should first decide what you want to invest in and then have a look at our ETF mega post and pick some ETFs matching your desired asset allocation.
If this sounds too complex for you, you should have a look at All-In-One ETFs.
The ETFs Mega Post
The list below is exhaustive, if you prefer to start with the most popular options you might want to read our post about the most popular ETFs for your portfolio. If you prefer to go deeper into a specific kind of ETFs, read our Country-Specific ETFs, Emerging Markets ETFs or World Markets ETFs posts.
ETFs Mega List
Here’s our ETF mega list…
BMO Equal Weight US Banks Hedged to CAD ETF (ZUB-T)
An ETF of American banks. It was recently named a top pick by Keith Richards.
He likes US banks. He prefers ZBK-T, because it's the unhedged version and he expects the Canadian dollar to soften up this year. But it's a little riskier. Otherwise, buy the safer, hedged ZUB.
Harvest Equal Weight Global Utilities Income ETF (HUTL-T)
An income ETF that has holdings from outside of Canada, though there are some Canadian companies within the fund.
Likes it--it derives income outside Canada, though a few of the companies held here are Canadian like Enbridge. It's a well-managed ETF. The covered call increases the dividend
iShares MSCI Emerging Markets (XEC-T)
An ETF that follows a broad index in emerging markets. There are stocks from South Korea, Japan, Philippines and India amongst others.
The pain on this may not be over. The current tightening cycle of rising rates and a stronger US dollar will not be good for emerging markets. This if further complicated by lower oil prices, where many of these countries are oil exporters. Be careful. You could add some diversification, but it may continue to…
BMO Low Volatility Cdn Eqty ETF (ZLB-T)
A low beta ETF that is a good place to park cash. Mostly banks and utilities with virtually no energy stocks.
ZLB vs. ZUB These are low-volatility ETFs, and he isn't keen on low-vol. Low-vol means defensive sectors like utilities, and away from growth. He's slightly bullish the cyclical outlook. This is not a good entry point now, though otherwise both are good ETFs.
iShares Cdn Univer. Maple ETF (XSH-T)
A mostly bank paper ETF. A great place to park your money for short-term. Yield is around 2.8% that is paid monthly.
It doesn’t have a huge range of trading. Yield is okay at about 3%. Short-term pays you less than 1% on an after-tax basis, so this is not a bad place to park your money.
Purpose Behavioural Opportunities Fund (BHAV-T)
An ETF that takes advantage of trading errors made by investors and overreactions by the market. A fund based on behavioural economics.
It's about behavioural economics. The ETF is a year old and it looks at how to capitalize on mispricings based on human behaviour. Investors are irrational. Say there's an earnings announcement and a stock beats or loses by a nickel, but the stock jumps way up or down out of proportional. This is for high-freqency…
SmartBe Global Value Momentum Trend Index ETF (SBEA-NEO)
Another fund that is based on behavioural economics. This ETF covers stocks as well as bonds. A trend following fund that is good for reducing equity exposure in case there is a downturn.
Less than a year old. Doesn't trade a whole lot. It moves from one asset class to the other depending of trend. It's a trend following product. If you think the markets might be in for a choppy ride, this is the kind of product that will allow you to trim the equity exposure if…
BMO Ultra Short-Term Bond ETF (ZST.L-T)
A short-term cash product that is good for income. They reinvest the proceeds and is a slow and steady climber.
It reinvests the proceeds. The chart is a steady climb, rising 2.6% for the year, but it is sure and steady. Good for short-term cash. Fort he conservative income part of a portfolio. MER of 0.17%
US Vegan Climate ETF (VEGN-Q)
A new ETF this year. It replicates the S&P 500 index without companies that are involved with animal testing, cruelty or fossil-fuels.
It's brand new. It replicates the S&P minus companies involved in animal testing and cruelty as well as being fossil-fuel free. VEGN performs slightly better than the S&P. It's still exposed to large caps though.
VanEck Vectors Low-Carbon Energy ETF (SMOG-N)
A green technology ETF. Tesla is one of their largest holdings. This fund includes LED lights, cars, and other environmentally friendly tech companies.
A green tech ETF with Tesla as the largest holding. It is risky, though you're not betting a specific company or technology, but rather a wide range of companies and techs, like LED lights and e-cars.
Horizons Gold ETF (HUG-T)
A fund that holds gold itself. A good option to provide stability in a portfolio. It is future based.
Gold ETF. Non-leveraged ETF. You're basically buying Cdn$ version of the SPDR Gold ETF (GLD-N) and taking the exchange rate of the picture. If you like the commodity, this is a good way to play it.
Brompton European Dividend Growth (EDGF-T)
A fund that follows European dividend growers. Pays a 4.9% dividend. An actively managed ETF that is for income growth too.
ZWP-T vs. EDGF-T. We have high yielding stocks that generally have lower volatility and so have lower option premiums. The covered writing does not add much value.
Franklin LibertyQT U.S. Equity Index ETF (FLUS-T)
An ETF composed of trending value and momentum stocks. A very diversified fund with 250 holdings. Pays a 1.8% dividend. It is also considered recession proof.
Charges only 25 basis points. Contains value and momentum stocks that are trending. Diversified with 250 holdings and pays a 1.84% dividend yield. The underlying securities here can withstand a recession.
iShares Edge MSCI Min Vol USA ETF (USMV-N)
A low volatility ETF that protects against geopolitical risks and downside. A collection of lower volatility US stocks.
One of his current themes is to build in more portfolio resilience and protect on the downside. US stocks with lower volatility characteristics than S&P. Geopolitical risks are rising. Names inclue Visa, Coca-Cola, Verizon. Not an expensive MER.
Dynamic iShares Active U.S. Dividend ETF (DXU-T)
An actively managed ETF of US dividend paying companies. A bet on the rising of the US market. The funds holdings include Microsoft.
Play this for the upside on the US market. Holdings include Microsoft. Put a stop loss on the way up. There are liquidity issues.
BMO Low Volatility US Equity ETF (ZLU-T)
The US version of ZLB. A defensive play that focuses on stocks with low beta. Made of utilities, consumer staples and discretionary.
If you want to invest in the US, this would be his favourite vehicle. It has done quite well for him. It took quite a hit recently because of the stronger Cdn$, so the timing is pretty good. You are getting a participation in the market, but a part of the market that is not…
BMO Covered Call Utilities ETF (ZWU-T)
A utilities ETF with a great yield at over 6%. A good ETF to park your money for cash-flow. Very defensive.
The impact is going to be a big part on the pipeline component. Utility stocks have never been more expensive globally. It is fully valued. He would buy it at $12 or even close to $13 and would recommend it at those prices.
iShare Core MSCI World ex Canada (XAW-T)
A global ETF that gives foreign exposure outside of North America. The top holdings include 57% in US and 8% in Japan. A good diversification tool.
iShares DJ Medical Devices E.T.F. (IHI-N)
An ETF that follows the medical device industry. Medical device companies have done very well.
What comes screaming back is the previous leaders. There is persistence. Internet retail is the first one to break down and the first one to reverse. Basic materials are the area starting to make a turn. It would be complimentary to add some Canada.
Mrk Vectors Gold Miners ETF (GDX-N)
A hedge for gold. Seasonality for gold is from November to February. A real store of value in a low interest environment.
Gold mining shares have done very well this year on the back of a 20%+ rise on the price of bullion. Recently they have checked back quite a bit, and this is an attractive entry point. One of the challenging things with the miners is that gold shares have become a big part of some…
iShares DJ Home Construction ETF (ITB-N)
An ETF of home builders and building material companies. A bullish bet on the US housing market. Seasonal strength is from October to February.
(A Top Pick June 19/12. Up 64.01%.) Has Stops in place on this. If we are going to see a US market pullback, this one will come off.
SPDR S&P Dividend ETF (SDY-N)
An index of S&P dividend paying stocks. It yields more than fixed income. Seasonality is coming and once it starts outperforming the market, it is time to buy.
Rare to see equities yielding more than fixed income. So he wants to be exposed to those high dividend equities. You want to see it starting to outperform the market, which indicates the time to buy. A core holding in the period of seasonality ahead.
Vanguard Growth ETF Portfolio (VGRO-T)
An ETF that is 80% stocks nad 20% bonds. A good way to start investing. There is some international exposure, though it is mainly US.
Passively held balanced portfolio. This one is 80% equities, 20% fixed income which is pretty aggressive. Not a bad thing to have as a core part. But VBAL-T is better at this point in the cycle, with 60% equities, 40% fixed income.
Vanguard U.S. Aggregate Bond Index ETF (VBU-T)
A play on the US bond market. It is hedged to the Canadian dollar to decrease currency risk. A 2.5% yield.
Buy the hedged version to avoid foreign exchange risk. He prefers the US bond market to the Canadian one in the aggregate.
Vanguard FTSE Developed Europe Index (VE-T)
A European multinational equity ETF. Europe had a good quarter and money is coming back to Europe. A cheap way to play the space.
Europe is looking interesting on the back of this huge mass of QE that they are doing. It is something that he is looking at. However, it has run quite a bit, so he would wait and buy on market dips before getting into this.
iShares Mortgage Plus ETF (REM-N)
The ETF does not hold physical properties but rather borrows short and lends back long into mortgage backed securities. A big yield of 8.9%.
This is a US REIT that holds commercial and residential mortgage companies. There are 2 companies that hold about 38% of this. One is Annaly Capital (NLY-N) and the other is American Capital Agency (AGNC-Q). Huge yield of 11.89%, only because the share price has dropped from $60-$37 a few years ago. There is some…
iShares MSCI Europe Financial (EUFN-Q)
The ETF tracks financials in Europe which have been beaten down recently. Negative interest rates are also a headwind so the fund is cheap right now. There is good value and a move in fiscal policies will be a catalyst. 6% yield.
It was the banking crisis that we haven’t seen since the 20s that created the whole European mess. Areas that had strong banking systems, Canada and Australia, got through very well. In the US, the banks started to turn and the S&P 500 followed suit. He thinks the same thing will happen in Europe.
iShares MSCI SouthKorea E.T.F. (EWY-N)
A Sout Korea equities fund. South Korea has fallen out of favour due to the trade war, but it could bounce back with positive news on trade talks.
Chart shows good uptrend. South Korea has a lot of good things happening to it. North Korea looks like they are backing down from their nuclear stance.
Horizons Equal Weight Canada Banks Index ETF (HEWB-T)
Follows the big 6 Canadian banks. There is no dividend, so you can defer capital gains. Seasonality begins in October.
Which Canadian financials ETF to buy? Do you want income or equal weight? Defer capital gains? FIE-T pays a monthly income and include preferred shares, corporate bonds and banks stocks, so it's diversified. If you don't want this income and prefer exposure and a total return swap and defer the taxation, then he suggests HWEB-T.…
iShares Barclays 20+ Yr Treas Bond (TLT-Q)
A long US treasuries play. The best asset class to protect your portfolio during an economic recession. Bond portfolio will do well when equities fall.
US Long Bonds. TLT-Q is the benchmark for long bonds. He just bought some in all his portfolios. Trade the range. Buy on dips. This will be the best protection in the next global economic downtown. These bonds are always the flight to safety.
Franklin Liberty Canadian Investment Grade Corporate E (FLCI-T)
A medium risk corporate bonds ETF. Actively managed but with a low management fee. Good for income.
An actively managed bond ETF? It makes sense to have some of your bonds actively managed. He just spoke to the manager of this ETF and he's looking at the shape of the yield curve and managing expectations.
BMO Ultra Short-Term Bond (ZST-T)
A fund that buys bonds under 1-year maturity. You get the higher yield from when bonds had a higher coupon. You are earning yield to maturity with this ETF.
This has lagged, because basically you are holding T-bills and equal-end type instruments. When you’re starting at 1%, there is not much room for price appreciation. This is more of a cash alternative as opposed to a bond alternative.
iUnits S&P/TSX Capped Energy ETF (XEG-T)
An energy ETF with oil company holdings. There were announcements of more pipelines being reconsidered. It looks like there is a major bottom forming and if you are bullish, it could be considered.
Doesn’t think this is worth buying, as he doesn’t expect the price of oil is going to change much from its $50 range. Whenever the price gets high, the Americans turn on the taps and the price goes back down again.
BMO US High Dividend Covered Call ETF (ZWH-T)
A covered call overlay ETF. If you believe the market will remain flat, you get good income from this. Yield around 6%.
ZPW-T vs. ZWH-T If you can afford to stay in cash and wait for markets to correct, it is preferable. He uses ZPW-T and ZWH-T as well as ZLU-T to hold his exposure to the equity market. They will fall much less than the S&P. They are not risk free.
BMO Covered Call Cdn Banks ETF (ZWB-T)
A good fund for income. Pays 5% dividend, with possible capital gains. If you think banks will fall or go sideways, this is a good way to play the space.
He likes the Canadian Banks now. Recommends buying it together with BMO Covered Call Utilities ETF (ZWU-T) to provide stability to the portfolio.
Vanguard Mega Cap Value Index Fund ETF (MGV-N)
An ETF that holds lots of financials and healthcare. Major holdings include Berkshire Hathaway, JPM and Exxon as well as 300 other securities. A play on value stocks.
Has a lot of financials and healthcare including Berkshire Hathaway, JPM and Exxon among 300 names. 0.70% MER. A good way to play value stocks, and it does okay in a non-value environment. He bought it yesterday.
iShares MSCI All Country World Minimum Volatility (XMW-T)
The underlying stocks are characterized by being less vulnerable to the economic cycle. A good long-term diversification play.
Very low volatility but gives diversification globally. You are going to have a fair amount of US stocks in this.
Horizons Global Risk Parity ETF (HRA-T)
A risk balanced portfolio that you can buy and forget. It owns true global diversification with a US dollar hedge.
This is a good global balanced fund with low-risk, offering diversification for Canadian portfolios.
iShares MSCI Brazil ETF (EWZ-N)
An ETF of Brazilian companies where PMI is growing. Not without volatility but there is promise in the economy.
Brazil. Fundamentally, this country is much more self-contained than a lot of other export oriented countries. It is an exporter but there is plenty of domestic growth as well as self-sufficiency in energy. Have a couple of huge oil finds off their shores. Finances are in very good shape.
ProShares Pet Care ETF (PAWZ-Q)
A new ETF this year that focuses on pet owners and their expenses. It holds pet pharmaceuticals, food and supply companies.
More Americans own pets (68%) than have children (42%). It's a play for pet owners. It's a new ETF, and it spans pet pharmaceuticals, food and supplies.