VS
BMO Short Federal Bond Index ETF (ZFS) and iShares Core S&P/TSX Capped Composite Index ETF (XIC) offer distinct profiles for Canadian ETF investors. A direct comparison shows that ZFS focuses its top 3 sector exposures on Sovereign and Government agencies, while XIC leans towards Finance, Non-Energy Materials, and Energy. When evaluating costs, ZFS features a management fee (MER) of 0.2%, compared to 0.05% for XIC. Performance-wise, ZFS has returned 0.9% year-to-date with +$544 M in net flows, whereas XIC is at 12.5% with +$7 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
ZFS
XIC
| AuM | $904.52 M | $31,310.89 M |
| Management Fees | 0.20% | 0.05% |
| Exp. ratio | 0.21% | 0.06% |
| Tracking Difference | - | -0.10% |
Historical performance and flows
As of July 17, 2026
| 1M | 3M | YTD | 1Y | 3Y | ||
|---|---|---|---|---|---|---|
| Perf. | ZFS | +0.02% | +0.35% | +0.90% | +2.69% | +12.54% |
XIC | +0.59% | +3.22% | +12.50% | +31.70% | +89.28% | |
| Flows | ZFS | +$13 M | +$84 M | +$544 M | +$455 M | -$139 M |
XIC | +$820 M | +$1,912 M | +$6,530 M | +$7,821 M | +$12,618 M |
ZFS vs XIC exposure
Countries
ZFS
Canada
71.37%
Other
28.63%
XIC
Canada
96.41%
Sectors
ZFS
Sovereign
46.96%
Other
28.63%
Government agencies
24.41%
XIC
Finance
39.60%
Non-Energy Materials
18.18%
Energy
16.99%
Industrials
8.23%
Other
16.99%
As of July 17, 2026
Top 10 Holdings
ZFS
CA135087T388
10.70%
Canada, Bonds 3.25% 1sep2028, CAD
8.74%
Canada, Bonds 4% 1mar2029, CAD
8.17%
Canada, Bonds 2.75% 1mar2030, CAD
7.16%
Canada, Bonds 3.5% 1sep2029, CAD
6.61%
Canada, Bonds 3.5% 1mar2028, CAD
5.85%
CA135087T461
5.77%
Canada, Bond 1.25 1jun2030 10Y
5.39%
Canada Housing Trust, 3.6% 15dec2027, CAD (110)
4.39%
CA135087T792
4.27%
XIC
Royal Bank of Canada
7.42%
The Toronto-Dominion Bank
5.32%
Shopify, Inc.
4.05%
Enbridge, Inc.
3.32%
Bank of Montreal
3.18%
Canadian Imperial Bank of Commerce
2.81%
Brookfield Corp.
2.78%
The Bank of Nova Scotia
2.74%
Canadian Natural Resources Ltd.
2.62%
Agnico Eagle Mines Ltd.
2.55%
Diversification
ZFS
Total weight of top 10 holdings out of 22 total
67.06%
XIC
Total weight of top 10 holdings out of 220 total
36.78%
Characteristics
Compare
ZFS
XIC
| Provider | BMO | iShares |
| Management | Passively managed | Passively managed |
| Benchmark | FTSE TMX Canada Short Term Federal Bond Index - CAD | S&P/TSX Capped Composite Total Return Index - CAD |
| Replication Method | Direct (Physical) | Direct (Physical) |
| Asset Class | Fixed Income | Equity |
| Dividend Policy | Distributing | Distributing |
| Trailing 12m distribution yield | 2.55% | 2.00% |
| Meets ESG criteria | No | No |
| Inception Date | October 20, 2009 | February 16, 2001 |
Frequently asked questions about ZFS and XIC
Which ETF has performed better year to date: ZFS or XIC?
As of July 17, 2026, ZFS has returned 0.90% year to date, while XIC has returned 12.50%. XIC is ahead on YTD performance.
Which ETF is larger by assets under management: ZFS or XIC?
As of July 17, 2026, ZFS manages $904.52 M in assets, while XIC manages $31.31 B. XIC is the larger fund by AUM.
How are ZFS and XIC managed?
ZFS is passively managed by BMO. It tracks the FTSE TMX Canada Short Term Federal Bond Index - CAD benchmark. XIC is passively managed by iShares. It tracks the S&P/TSX Capped Composite Total Return Index - CAD benchmark.
What sectors do ZFS and XIC emphasize?
ZFS is most exposed to Sovereign and Government agencies. XIC is most exposed to Finance, Non-Energy Materials, and Energy.
Which ETF is attracting more investor flows: ZFS or XIC?
Year to date, ZFS has seen +$544.44 M in net flows, compared with +$6,530.40 M for XIC. XIC has attracted more net investor money so far.
How do the fees of ZFS and XIC compare?
ZFS has an expense ratio of 0.21%, while XIC has an expense ratio of 0.06%.
What are the top holdings of ZFS and XIC?
ZFS's largest holdings include Canada, Bonds 3.25% 1sep2028, CAD and Canada, Bonds 4% 1mar2029, CAD. XIC's top holdings include Royal Bank of Canada, The Toronto-Dominion Bank, and Shopify, Inc..
Which ETF is more diversified: ZFS or XIC?
ZFS holds 17 securities, while XIC holds 220. On holdings count, XIC is the more diversified portfolio.
Recent articles about ZFS and XIC
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