The iShares MSCI Canada ETF tracks Canadian mid- and large-cap stocks, with its top holdings in Royal Bank of Canada 7.2% and Toronto-Dominion Bank 6.3%. The ETF has a 0.48% expense ratio. Over the past month, EWC has gained 4.6%, but it is still down 0.5% year-to-date.
The First Trust Canada fund employs an “enhanced” indexing methodology that ranks stocks based on growth factors, sales to price and one year sales growth, along with value factors like book value to price, cash flow to price and return on assets. Consequently, the ETF leans toward mid-caps at 69.2% of the portfolio, compared to EWC’s 10.3%. FCAN is up 4.4% over the past month but down 1.7% year-to-date.
The enhanced indexing methodology, though, has helped FCAN outperform EWC over the past year, with the First Trust product rising 11.4%, compared to the iShares ETF’s 5.2% gain.
iShares MSCI Canada ETF
For more information on Canada, visit our Canada category.