TCLB.TO vs. XSHG.TO

Last updated Jun 4, 2026

TCLB.TO (TD Canadian Long Term Federal Bond ETF) and XSHG.TO (iShares ESG Advanced 1-5 Year Canadian Corporate Bond Index ETF) are both Canadian Government Bonds funds - TCLB.TO tracks the FTSE Canada Long Term Federal Bond Index while XSHG.TO tracks the Morningstar Can 1-5Y Core Bd GR CAD. Both are passively managed. Over the past 3 years, TCLB.TO returned 0.46%/yr vs 5.72%/yr for XSHG.TO. At a 0.47 correlation, their price movements are largely independent. TCLB.TO charges 0.23%/yr vs 0.17%/yr for XSHG.TO.

Performance

TCLB.TO vs. XSHG.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in TD Canadian Long Term Federal Bond ETF (TCLB.TO) and iShares ESG Advanced 1-5 Year Canadian Corporate Bond Index ETF (XSHG.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, TCLB.TO achieves a 2.20% return, which is significantly higher than XSHG.TO's 1.14% return.

TCLB.TO

• 1D: -0.09%
• 1M: 3.04%
• YTD: 2.20%
• 6M: -0.22%
• 1Y: 0.25%
• 3Y*: 0.46%
• 5Y*: -2.53%
• 10Y*: —

XSHG.TO

• 1D: -0.03%
• 1M: 0.96%
• YTD: 1.14%
• 6M: 1.23%
• 1Y: 3.54%
• 3Y*: 5.72%
• 5Y*: —
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

TCLB.TO vs. XSHG.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
TCLB.TO TD Canadian Long Term Federal Bond ETF	2.20%	-3.46%	-1.09%	6.70%	-18.75%	-0.76%
XSHG.TO iShares ESG Advanced 1-5 Year Canadian Corporate Bond Index ETF	1.14%	4.53%	6.86%	6.41%	-4.26%	-0.58%

Correlation

The correlation between TCLB.TO and XSHG.TO is 0.51, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.52
Correlation (All Time) Calculated using the full available price history since Jul 28, 2021	0.47

The correlation between TCLB.TO and XSHG.TO has been stable across timeframes, ranging from 0.47 to 0.52 - a consistent structural relationship.

Return for Risk

TCLB.TO vs. XSHG.TO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

TCLB.TO

TCLB.TO Risk / Return Rank: 9
TCLB.TO Sharpe Ratio Rank: 9
TCLB.TO Sortino Ratio Rank: 9
TCLB.TO Omega Ratio Rank: 9
TCLB.TO Calmar Ratio Rank: 10
TCLB.TO Martin Ratio Rank: 9

XSHG.TO

XSHG.TO Risk / Return Rank: 59
XSHG.TO Sharpe Ratio Rank: 58
XSHG.TO Sortino Ratio Rank: 61
XSHG.TO Omega Ratio Rank: 70
XSHG.TO Calmar Ratio Rank: 50
XSHG.TO Martin Ratio Rank: 56

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

TCLB.TO vs. XSHG.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for TD Canadian Long Term Federal Bond ETF (TCLB.TO) and iShares ESG Advanced 1-5 Year Canadian Corporate Bond Index ETF (XSHG.TO). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	TCLB.TO	XSHG.TO	Difference
Sharpe ratio: Return per unit of total volatility	0.03	1.95	-1.92
Sortino ratio: Return per unit of downside risk	0.10	2.84	-2.74
Omega ratio: Gain probability vs. loss probability	1.01	1.42	-0.41
Calmar ratio: Return relative to maximum drawdown	0.05	2.47	-2.42
Martin ratio: Return relative to average drawdown	0.09	9.54	-9.46
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

TCLB.TO vs. XSHG.TO - Sharpe Ratio Comparison

The current TCLB.TO Sharpe Ratio is 0.03, which is lower than the XSHG.TO Sharpe Ratio of 1.95. The chart below compares the historical Sharpe Ratios of TCLB.TO and XSHG.TO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	TCLB.TO	XSHG.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.03	1.95	-1.92
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.22	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	-0.23	1.01	-1.24

Drawdowns

TCLB.TO vs. XSHG.TO - Drawdown Comparison

The maximum TCLB.TO drawdown since its inception was -36.66%, which is greater than XSHG.TO's maximum drawdown of -7.40%. Use the drawdown chart below to compare losses from any high point for TCLB.TO and XSHG.TO.

Drawdown Indicators

	TCLB.TO	XSHG.TO	Difference
Max Drawdown Largest peak-to-trough decline	-36.66%	-7.40%	-29.26%
Max Drawdown (1Y) Largest decline over 1 year	-5.57%	-1.44%	-4.13%
Max Drawdown (3Y) Largest decline over 3 years	-12.18%	-1.44%	-10.74%
Max Drawdown (5Y) Largest decline over 5 years	-28.32%	—	—
Current Drawdown Current decline from peak	-26.72%	-0.03%	-26.69%
Average Drawdown Average peak-to-trough decline	-24.85%	-1.84%	-23.01%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.43%	0.37%	+3.06%

Volatility

TCLB.TO vs. XSHG.TO - Volatility Comparison

TD Canadian Long Term Federal Bond ETF (TCLB.TO) has a higher volatility of 3.27% compared to iShares ESG Advanced 1-5 Year Canadian Corporate Bond Index ETF (XSHG.TO) at 0.68%. This indicates that TCLB.TO's price experiences larger fluctuations and is considered to be riskier than XSHG.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	TCLB.TO	XSHG.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.27%	0.68%	+2.59%
Volatility (6M) Calculated over the trailing 6-month period	6.91%	1.52%	+5.39%
Volatility (1Y) Calculated over the trailing 1-year period	9.48%	1.82%	+7.66%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	14.04%	2.79%	+11.25%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.10%	2.79%	+12.31%

TCLB.TO vs. XSHG.TO - Expense Ratio Comparison

TCLB.TO has a 0.23% expense ratio, which is higher than XSHG.TO's 0.17% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

TCLB.TO vs. XSHG.TO - Dividend Comparison

TCLB.TO's dividend yield for the trailing twelve months is around 3.26%, less than XSHG.TO's 3.72% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
TCLB.TO TD Canadian Long Term Federal Bond ETF	3.26%	3.25%	2.94%	2.33%	1.48%	0.16%	0.20%
XSHG.TO iShares ESG Advanced 1-5 Year Canadian Corporate Bond Index ETF	3.72%	3.64%	3.39%	2.87%	2.69%	0.81%	0.00%

Frequently Asked Questions

Can I hold both TCLB.TO and XSHG.TO in my portfolio?

TCLB.TO and XSHG.TO have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, TCLB.TO or XSHG.TO?

On fees, XSHG.TO is cheaper at 0.17% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, TCLB.TO or XSHG.TO?

XSHG.TO is cheaper with a 0.17% expense ratio, compared with 0.23% for TCLB.TO.

What is the main difference between TCLB.TO and XSHG.TO?

TCLB.TO tracks FTSE Canada Long Term Federal Bond Index, while XSHG.TO tracks Morningstar Can 1-5Y Core Bd GR CAD. They also come from different issuers: TD and iShares. Their fees differ too: 0.23% for TCLB.TO and 0.17% for XSHG.TO.