XCBG.TO vs. ZBBB.TO

Last updated Jun 4, 2026

XCBG.TO (iShares ESG Advanced Canadian Corporate Bond Index ETF) and ZBBB.TO (BMO BBB Corporate Bond Index ETF) are both Corporate Bonds funds - XCBG.TO tracks the Morningstar Can Corp Bd GR CAD while ZBBB.TO tracks the FTSE Canada 1-10 Year BBB Corporate Bond Index. Both are passively managed. Over the past 3 years, XCBG.TO returned 5.93%/yr vs 6.46%/yr for ZBBB.TO. At a 0.37 correlation, their price movements are largely independent. Both charge a 0.17% expense ratio.

Performance

XCBG.TO vs. ZBBB.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in iShares ESG Advanced Canadian Corporate Bond Index ETF (XCBG.TO) and BMO BBB Corporate Bond Index ETF (ZBBB.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

The year-to-date returns for both investments are quite close, with XCBG.TO having a 1.59% return and ZBBB.TO slightly higher at 1.60%.

XCBG.TO

• 1D: -0.08%
• 1M: 1.47%
• YTD: 1.59%
• 6M: 1.49%
• 1Y: 3.86%
• 3Y*: 5.93%
• 5Y*: —
• 10Y*: —

ZBBB.TO

• 1D: 0.00%
• 1M: 1.32%
• YTD: 1.60%
• 6M: 1.43%
• 1Y: 4.54%
• 3Y*: 6.46%
• 5Y*: 2.85%
• 10Y*: —

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

XCBG.TO vs. ZBBB.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
XCBG.TO iShares ESG Advanced Canadian Corporate Bond Index ETF	1.59%	4.21%	6.79%	7.45%	-7.40%	-1.10%
ZBBB.TO BMO BBB Corporate Bond Index ETF	1.60%	4.73%	8.00%	5.61%	-5.28%	-0.07%

Correlation

The correlation between XCBG.TO and ZBBB.TO is 0.60, 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	0.60
Correlation (3Y) Calculated over the trailing 3-year period	0.46
Correlation (All Time) Calculated using the full available price history since Jul 28, 2021	0.37

Over the past year, XCBG.TO and ZBBB.TO have become more correlated (0.60) than their long-term average of 0.37, meaning their price movements have been converging.

Return for Risk

XCBG.TO vs. ZBBB.TO — Risk / Return Rank

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

XCBG.TO

XCBG.TO Risk / Return Rank: 37
XCBG.TO Sharpe Ratio Rank: 36
XCBG.TO Sortino Ratio Rank: 36
XCBG.TO Omega Ratio Rank: 37
XCBG.TO Calmar Ratio Rank: 39
XCBG.TO Martin Ratio Rank: 38

ZBBB.TO

ZBBB.TO Risk / Return Rank: 47
ZBBB.TO Sharpe Ratio Rank: 42
ZBBB.TO Sortino Ratio Rank: 46
ZBBB.TO Omega Ratio Rank: 55
ZBBB.TO Calmar Ratio Rank: 49
ZBBB.TO Martin Ratio Rank: 41

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.

XCBG.TO vs. ZBBB.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares ESG Advanced Canadian Corporate Bond Index ETF (XCBG.TO) and BMO BBB Corporate Bond Index ETF (ZBBB.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.

	XCBG.TO	ZBBB.TO	Difference
Sharpe ratio: Return per unit of total volatility	1.31	1.46	-0.15
Sortino ratio: Return per unit of downside risk	1.88	2.26	-0.38
Omega ratio: Gain probability vs. loss probability	1.25	1.33	-0.09
Calmar ratio: Return relative to maximum drawdown	1.91	2.39	-0.48
Martin ratio: Return relative to average drawdown	5.93	6.43	-0.50
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XCBG.TO vs. ZBBB.TO - Sharpe Ratio Comparison

The current XCBG.TO Sharpe Ratio is 1.31, which is comparable to the ZBBB.TO Sharpe Ratio of 1.46. The chart below compares the historical Sharpe Ratios of XCBG.TO and ZBBB.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

	XCBG.TO	ZBBB.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.31	1.46	-0.15
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	—	0.65	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.53	0.54	0.00

Drawdowns

XCBG.TO vs. ZBBB.TO - Drawdown Comparison

The maximum XCBG.TO drawdown since its inception was -12.14%, which is greater than ZBBB.TO's maximum drawdown of -11.55%. Use the drawdown chart below to compare losses from any high point for XCBG.TO and ZBBB.TO.

Drawdown Indicators

	XCBG.TO	ZBBB.TO	Difference
Max Drawdown Largest peak-to-trough decline	-12.14%	-11.55%	-0.59%
Max Drawdown (1Y) Largest decline over 1 year	-2.03%	-1.91%	-0.12%
Max Drawdown (3Y) Largest decline over 3 years	-2.26%	-1.91%	-0.35%
Max Drawdown (5Y) Largest decline over 5 years	—	-11.23%	—
Current Drawdown Current decline from peak	-0.08%	-0.02%	-0.06%
Average Drawdown Average peak-to-trough decline	-3.53%	-2.93%	-0.60%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.65%	0.71%	-0.06%

Volatility

XCBG.TO vs. ZBBB.TO - Volatility Comparison

iShares ESG Advanced Canadian Corporate Bond Index ETF (XCBG.TO) has a higher volatility of 1.07% compared to BMO BBB Corporate Bond Index ETF (ZBBB.TO) at 1.01%. This indicates that XCBG.TO's price experiences larger fluctuations and is considered to be riskier than ZBBB.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	XCBG.TO	ZBBB.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.07%	1.01%	+0.06%
Volatility (6M) Calculated over the trailing 6-month period	2.37%	2.06%	+0.31%
Volatility (1Y) Calculated over the trailing 1-year period	2.95%	3.13%	-0.18%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.21%	4.39%	-0.18%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	4.21%	5.81%	-1.60%

XCBG.TO vs. ZBBB.TO - Expense Ratio Comparison

Both XCBG.TO and ZBBB.TO have an expense ratio of 0.17%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.

Dividends

XCBG.TO vs. ZBBB.TO - Dividend Comparison

XCBG.TO's dividend yield for the trailing twelve months is around 3.93%, less than ZBBB.TO's 4.19% yield.

Position	TTM	2025	2024	2023	2022	2021	2020
XCBG.TO iShares ESG Advanced Canadian Corporate Bond Index ETF	3.93%	3.84%	3.61%	3.19%	2.99%	0.87%	0.00%
ZBBB.TO BMO BBB Corporate Bond Index ETF	4.19%	4.12%	3.72%	3.47%	3.54%	3.23%	3.10%

Frequently Asked Questions

Can I hold both XCBG.TO and ZBBB.TO in my portfolio?

XCBG.TO and ZBBB.TO have a correlation of 0.60, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, XCBG.TO or ZBBB.TO?

Both ETFs have the same 0.17% expense ratio. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, XCBG.TO or ZBBB.TO?

XCBG.TO and ZBBB.TO have the same expense ratio: 0.17% per year.

What is the main difference between XCBG.TO and ZBBB.TO?

XCBG.TO tracks Morningstar Can Corp Bd GR CAD, while ZBBB.TO tracks FTSE Canada 1-10 Year BBB Corporate Bond Index. They also come from different issuers: iShares and BMO.