Compare BMO Discount Bond Index ETF (ZDB) vs BMO Aggregate Bond Index ETF (ZAG) to find the best fit for your portfolio. ZDB and ZAG provide the same top sector exposures: Sovereign, Municipal, and Finance. When evaluating costs, ZDB features a management fee (MER) of 0.09%, compared to 0.08% for ZAG. Performance-wise, ZDB has returned 1.06% year-to-date with +$248 M in net flows, whereas ZAG is at 0.87% with +$1 B. Use the comparison tool below to benchmark these funds across top 10 holdings, yield, sector weights and historical returns.
NAV Performance and Flows
Key Data
Compare
ZDB
ZAG
| AuM | $1,368.58 M | $13,101.17 M |
| Management Fees | 0.09% | 0.08% |
| Exp. ratio | 0.10% | 0.09% |
| Tracking Difference | - | - |
Historical performance and flows
As of September 10, 2026
| 1M | 3M | YTD | 1Y | 3Y | ||
|---|---|---|---|---|---|---|
| Perf. | ZDB | -1.12% | -2.09% | -1.06% | -1.18% | +11.97% |
ZAG | -1.12% | -2.03% | -0.87% | -0.86% | +12.48% | |
| Flows | ZDB | +$54 M | +$114 M | +$248 M | +$585 M | +$525 M |
ZAG | +$88 M | +$706 M | +$1,316 M | +$2,421 M | +$7,243 M |
ZDB vs ZAG exposure
Countries
ZDB
Canada
100.00%
ZAG
Canada
96.36%
Sectors
ZDB
Sovereign
33.15%
Municipal
31.50%
Finance
11.53%
Government Agencies
9.96%
Other
13.86%
ZAG
Sovereign
34.56%
Municipal
31.38%
Finance
11.84%
Government Agencies
9.39%
Other
12.84%
As of September 10, 2026
Top 10 Holdings
ZDB
Canada, Bond 0.5 1oct2030 10Y
18.46%
CMHC, 1.9% 15mar2031, CAD (100)
6.90%
Province of Quebec, 1.5% 1sep2031, CAD (B128)
5.47%
Canada, Bonds 2.25% 1dec2029, CAD
5.20%
Province of Ontario, 2.65% 2dec2050, CAD (DMTN242)
5.12%
Province of Ontario, 2.05% 2jun2030, CAD (DMTN243)
5.10%
Sun Life Financial, 2.06% 1oct2035, CAD (2020-2)
5.00%
Toronto-Dominion Bank, 1.896% 11sep2028, CAD
3.90%
Canada, Bonds 2% 1jun2032, CAD
3.11%
Pembina Pipeline Corporation, 3.31% 1feb2030, CAD (15)
2.63%
ZAG
Canada, Bonds 3% 1jun2034, CAD
4.29%
Canada, Bonds 2.5% 1nov2027, CAD
3.68%
Canada, Bond 2.25 1jun2029 10Y
2.89%
Canada Housing Trust, 1.1% 15mar2031, CAD (95)
2.68%
Province of Quebec, 3.5% 1dec2048, CAD (B117)
2.41%
Canada, Bonds 2.75% 1dec2055, CAD
2.32%
Canada Housing Trust, 3.55% 15sep2032, CAD (107)
2.23%
Bank of Montreal, 3.19% 1mar2028, CAD
2.21%
Province of Quebec, 2.75% 1sep2028, CAD (B124)
2.20%
Canada, Bonds 2.25% 1feb2028, CAD
2.19%
Diversification
ZDB
Total weight of top 10 holdings out of 48 total
60.88%
ZAG
Total weight of top 10 holdings out of 85 total
27.10%
Characteristics
Compare
ZDB
ZAG
| Provider | BMO | BMO |
| Management | Passively managed | Passively managed |
| Benchmark | FTSE Canada Universe Discount Bond Index - CAD | FTSE Canada Universe Bond TR Index - CAD |
| Replication Method | Direct (Physical) | Direct (Physical) |
| Asset Class | Fixed Income | Fixed Income |
| Dividend Policy | Distributing | Distributing |
| Trailing 12m distribution yield | 1.90% | 3.51% |
| Meets ESG criteria | No | No |
| Inception Date | February 10, 2014 | January 19, 2010 |
Frequently asked questions about ZDB and ZAG
Which ETF has performed better year to date: ZDB or ZAG?
As of September 10, 2026, ZDB has returned -1.06% year to date, while ZAG has returned -0.87%. ZAG is ahead on YTD performance.
Which ETF is larger by assets under management: ZDB or ZAG?
As of September 10, 2026, ZDB manages $1.37 B in assets, while ZAG manages $13.10 B. ZAG is the larger fund by AUM.
How are ZDB and ZAG managed?
ZDB is passively managed by BMO. It tracks the FTSE Canada Universe Discount Bond Index - CAD benchmark. ZAG is passively managed by BMO. It tracks the FTSE Canada Universe Bond TR Index - CAD benchmark.
What sectors do ZDB and ZAG emphasize?
ZDB is most exposed to Sovereign, Municipal, and Finance. ZAG is most exposed to Sovereign, Municipal, and Finance.
Which ETF is attracting more investor flows: ZDB or ZAG?
Year to date, ZDB has seen +$247.82 M in net flows, compared with +$1,316.46 M for ZAG. ZAG has attracted more net investor money so far.
How do the fees of ZDB and ZAG compare?
ZDB has an expense ratio of 0.10%, while ZAG has an expense ratio of 0.09%.
What are the top holdings of ZDB and ZAG?
ZDB's largest holdings include Canada, Bond 0.5 1oct2030 10Y, CMHC, 1.9% 15mar2031, CAD (100), and Province of Quebec, 1.5% 1sep2031, CAD (B128). ZAG's top holdings include Canada, Bonds 3% 1jun2034, CAD, Canada, Bonds 2.5% 1nov2027, CAD, and Canada, Bond 2.25 1jun2029 10Y.
Which ETF is more diversified: ZDB or ZAG?
ZDB holds 48 securities, while ZAG holds 85. On holdings count, ZAG is the more diversified portfolio.
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All content on the ETF Market Canada is for your general information use only, Cboe is not responsible for any use of content by you outside this scope. In particular, the content does not constitute any form of advice, recommendation, representation, endorsement or arrangement by Cboe and is not intended to be relied upon by users in making (or refraining from making) any specific investment or other decisions.