iShares Canadian Growth Index ETF
XCG.TO (TSX)
The iShares Canadian Growth Index ETF (XCG) targets large and mid-sized Canadian companies with strong earnings growth, making it a compelling choice for growth-oriented investors. With a one-year return of 11.79% and a five-year return of 64.24%, it showcases robust performance, though it does carry a management expense ratio of 0.55%. Additionally, the fund offers a modest dividend yield of 0.44%, appealing to those seeking both growth and income.
Pros:
- Diversified exposure to Canadian growth stocks
- Strong historical performance
Cons:
- High management expense ratio
- Market risk associated with growth stocks
The iShares Canadian Growth Index ETF (XCG.TO) may be suitable for growth-focused investors looking to capitalize on the strong performance of large and mid-sized Canadian companies, particularly those who prioritize capital appreciation over income, given its modest dividend yield. While the fund has demonstrated impressive returns over both one and five years, potential investors should consider the management expense ratio and their individual investment objectives before proceeding.