Each month, we check in on the performance of the largest Canadian stock, bond, and active exchange-traded funds.
The Morningstar Canada Index rose 1.22% during August, while the Morningstar Canada Core Bond Index gained 0.53%. Over the past year, the Canadian stock market is up 19.63%, while the Canadian bond market has risen 7.77%.
The Morningstar US Market Index fell 0.24% during August and is up 26.04% over the past year. The Morningstar US Core Bond Index fell 1.04% last month and is up 6.80% over the past year.
In the global markets, stocks lost 0.10% during August, as measured by the Morningstar Global Markets Index. Bonds fell 0.18%, as measured by the Morningstar Global Core Bond Index. Over the past year, global stocks are up 22.78% and global bonds are are up 6.14%.
Largest Canadian Stock ETF Performance
Out of the 10 largest Canadian stock ETFs, the top performer last month was the C$10.1 billion iShares Core S&P 500 Index ETF (CAD-Hedged), which gained 2.23%. The bottom performer was the C$9 billion Vanguard US Total Market Index ETF, which lost 0.32%.
Here’s more about the performance of the largest Canadian stock ETFs.
BMO S&P 500 Index ETF
• Morningstar Medalist Rating: Gold
• Morningstar Category: US Equity
In August, the BMO S&P 500 Index ETF fell 0.05%, while the average US equity fund gained 0.42%. The fund placed in the 58th percentile for performance. The C$18.5 billion fund has climbed 26.35% over the past 12 months, outperforming the average fund in its category, which rose 23.27%. The BMO fund, which launched in November 2012, has climbed 11.43% over the past three years and gained 15.80% over the past five years.
Vanguard S&P 500 Index ETF
• Morningstar Medalist Rating: Gold
• Morningstar Category: US Equity
In August, the Vanguard S&P 500 Index ETF fell 0.06%, while the average US equity fund gained 0.42%. The fund placed in the 59th percentile for performance. The C$16.1 billion fund has climbed 26.35% over the past 12 months, outperforming the average fund in its category, which rose 23.27%. The Vanguard fund, which launched in November 2012, has climbed 11.44% over the past three years and gained 15.82% over the past five years.
iShares S&P/TSX 60 Index ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: Canadian Equity
The C$13 billion iShares S&P/TSX 60 Index ETF rose 1.65% in August. The gain on the fund beat the 0.82% gain on the average fund in the Canadian equity category, leaving it in the 17th percentile for performance. Over the past 12 months, the iShares fund rose 18.88%, while the average fund in its category rose 17.65%. The fund, which launched in September 1999, has climbed 7.67% over the past three years and gained 10.75% over the past five years.
iShares Core S&P/TSX Capped Composite Index ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: Canadian Equity
The C$12.7 billion iShares Core S&P/TSX Capped Composite Index ETF rose 1.21% in August. The gain on the fund beat the 0.82% gain on the average fund in the Canadian equity category, leaving it in the 33rd percentile for performance. Over the past 12 months, the iShares fund rose 18.66%, while the average fund in its category rose 17.65%. The fund, which launched in February 2001, has climbed 7.52% over the past three years and gained 10.60% over the past five years.
iShares Core S&P 500 Index ETF (CAD-Hedged)
• Morningstar Medalist Rating: Gold
• Morningstar Category: US Equity
In August, the iShares Core S&P 500 Index ETF (CAD-Hedged) rose 2.23%, while the average US equity fund gained 0.42%. The fund placed in the 10th percentile for performance. The C$10.1 billion fund has climbed 25.30% over the past 12 months, outperforming the average fund in its category, which rose 23.27%. The iShares fund, which launched in May 2001, has climbed 7.85% over the past three years and gained 14.18% over the past five years.
Largest Canadian Bond ETF Performance
Out of the 10 largest Canadian bond ETFs, the top performer last month was the C$4 billion RBC Core Plus Bond Pool, which gained 0.69%. The bottom performer was the C$3.1 billion BMO Mid-Term US IG Corporate Bond Index ETF, which lost 0.89%.
Here’s more about the performance of the largest Canadian bond ETFs.
PIMCO Monthly Income Fund (Canada)
• Morningstar Medalist Rating: Silver
• Morningstar Category: Multi-Fixed Income
The PIMCO Monthly Income Fund (Canada) gained 0.59% in August, underperforming the average fund in the multi-fixed income category, which rose 0.73%. The fund placed in the 74th percentile for performance and lagged its benchmark, the Bloomberg US Aggregate Bond Index, by 0.73 percentage points.
The C$27 billion fund has gained 8.63% over the past 12 months, while the average fund in its category is up 8.28%. The PIMCO fund, which launched in September 2017, has climbed 1.74% over the past three years and gained 2.76% over the past five years.
BMO Aggregate Bond Index ETF
• Morningstar Medalist Rating: Bronze
• Morningstar Category: Canadian Fixed Income
The C$10.2 billion BMO Aggregate Bond Index ETF rose 0.34% in August. The gain on the fund was roughly in line with the 0.33% gain on the average fund in the Canadian fixed income category, leaving it in the 49th percentile for performance. Over the past 12 months, the BMO fund rose 7.87%, while the average fund in its category rose 7.95%. The fund, which launched in January 2010, has dropped 1.25% over the past three years and lost 0.00% over the past five years.
iShares Core Canadian Universe Bond Index ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: Canadian Fixed Income
The iShares Core Canadian Universe Bond Index ETF gained 0.35% in August, outperforming the average fund in the Canadian fixed income category, which rose 0.33%. The C$7.8 billion fund has gained 7.79% over the past 12 months, while the average fund in its category is up 7.95%. The iShares fund, which launched in November 2000, has dropped 1.28% over the past three years and lost 0.02% over the past five years.
Vanguard Canadian Aggregate Bond Index ETF
• Morningstar Medalist Rating: Silver
• Morningstar Category: Canadian Fixed Income
The C$5 billion Vanguard Canadian Aggregate Bond Index ETF rose 0.34% in August. The gain on the fund was roughly in line with the 0.33% gain on the average fund in the Canadian fixed income category, leaving it in the 52nd percentile for performance. Over the past 12 months, the Vanguard fund rose 7.78%, while the average fund in its category rose 7.95%. The fund, which launched in November 2011, has dropped 1.29% over the past three years and lost 0.05% over the past five years.
RBC Core Bond Pool
• Morningstar Medalist Rating: None
• Morningstar Category: Global Fixed Income
The C$4.7 billion RBC Core Bond Pool rose 0.61% in August. The gain on the fund beat the 0.36% gain on the average fund in the global fixed income category, leaving it in the 51st percentile for performance. The fund beat its benchmark, the FTSE Canada Universe_CA Index, by 0.28 percentage points.
The C$4.7 billion fund was launched in March 2024.
Largest Canadian Active ETF Performance
While passive ETFs have portfolios where holdings are designed to track the performance of an index, active ETFs are managed by portfolio managers who make the decisions about which investments to own. Like index-tracking ETFs, active ETFs trade on an exchange and are typically lower-cost and more tax-efficient than traditional actively managed mutual funds.
Out of the 10 largest Canadian active ETFs, the top performer last month was the C$6 billion RBC North American Value Fund, which gained 0.70%. The bottom performer was the C$6.6 billion Fidelity Greater Canada Fund, which lost 4.17%.
Here’s more about the performance of the largest Canadian active ETFs.
Fidelity Canadian Large Cap Fund
• Morningstar Medalist Rating: Silver
• Morningstar Category: Canadian Focused Equity
In August, the Fidelity Canadian Large Cap Fund rose 0.20%, while the average Canadian focused equity fund gained 0.14%. The fund placed in the 60th percentile for performance. The C$8.1 billion fund has climbed 15.41% over the past 12 months, underperforming the average fund in its category, which rose 17.96%. The Fidelity International fund was launched in May 2023.
CI High Interest Savings ETF
• Morningstar Medalist Rating: None
• Morningstar Category: Canadian Money Market
In August, the CI High Interest Savings ETF rose 0.35%, while the average Canadian money market fund gained 0.29%. The fund placed in the 53rd percentile for performance. The C$7.1 billion fund has climbed 4.91% over the past 12 months, outperforming the average fund in its category, which rose 4.49%. The CI Investments fund, which launched in May 2019, has climbed 3.54% over the past three years and gained 2.52% over the past five years.
Fidelity Greater Canada Fund
• Morningstar Medalist Rating: Silver
• Morningstar Category: Canadian Focused Equity
The C$6.6 billion Fidelity Greater Canada Fund fell 4.17% in August. The loss on the fund was worse than the 0.14% gain on the average fund in the Canadian focused equity category, leaving it in the 98th percentile for performance. Over the past 12 months, the Fidelity International fund rose 10.75%, while the average fund in its category rose 17.96%. The fund was launched in May 2023.
RBC North American Value Fund
• Morningstar Medalist Rating: Gold
• Morningstar Category: Canadian Focused Equity
The RBC North American Value Fund gained 0.70% in August, outperforming the average fund in the Canadian focused equity category, which rose 0.14%. The C$6 billion fund has gained 19.68% over the past 12 months, while the average fund in its category is up 17.96%. The RBC fund was launched in March 2023.
Fidelity Tactical High Income Fund
• Morningstar Medalist Rating: None
• Morningstar Category: Tactical Balanced
The C$5.9 billion Fidelity Tactical High Income Fund fell 1.62% in August. The fund fell further than its benchmark, the S&P 500 Index, by 1.54 percentage points. The Fidelity International fund was launched in May 2024.
This article was generated with the help of automation and reviewed by Morningstar editors.
