5 Best Canadian ETFs

In this article, we discuss the 5 best Canadian ETFs. If you want to read our discussion on the Canadian economy, you can go directly to the 10 Best Canadian ETFs.

5. iShares Core S&P 500 Index ETF (XUS.TO)

5-Year Price Performance: 57.6%

Total Net Assets as of September 21, 2023: C$5.07 billion

Expense Ratio: 0.09%

Number of Holdings: 1

iShares Core S&P 500 Index ETF (XUS.TO) provides broad exposure to the US stock market and large-cap equities by investing directly in the iShares Core S&P 500 ETF (NYSEARCA:IVV). The ETF is managed by BlackRock’s Canadian iShares division along with Royal Bank of Canada (RBC). The ETF has an average daily trading volume of 103,320 shares. Apple Inc. (NASDAQ:AAPL), Microsoft Corporation (NASDAQ:MSFT), Amazon.com, Inc. (NASDAQ:AMZN), and NVIDIA Corporation (NASDAQ:NVDA) are the top four holdings of the underlying ETF with a combined weight of 20.3% of total assets.

Here’s what Baron Funds said about NVIDIA Corporation (NASDAQ:NVDA) in its Q2 2023 investor letter:

“NVIDIA Corporation (NASDAQ:NVDA) Corporation is a fabless semiconductor company focused on designing chips and software for gaming and accelerated computing. Shares continued their torrid first quarter rise, increasing 52.3% in the second quarter (now up 190% year-to-date), after the company reported a meaningful acceleration in demand for its data center GPUs, which drove a material guidance beat with revenues expected to increase from $7.2 billion to approximately $11 billion sequentially. This unprecedented acceleration is driven by growing demand for GenAI. We are at the tipping point of a new era of computing with NVIDIA at its epicenter. While the opportunity within the datacenter installed base is already large at approximately $1 trillion, the pace of innovation in AI in general, and GenAI in particular, should drive a significant expansion in the addressable market, as AI creates a new way for human-computer interaction through language, and as companies are better able to utilize their data for decision-making. We remain shareholders as we believe NVIDIA’s end-to-end AI platform and the ecosystem it has cultivated over the last 15 years will benefit the company for years to come.”