XETM.TO vs. ZSP.TO

Last updated Jun 24, 2026

XETM.TO (iShares S&P/TSX Energy Transition Materials Index ETF) and ZSP.TO (BMO S&P 500 Index ETF) are both exchange-traded funds - XETM.TO is a Materials fund tracking the S&P/TSX Energy Transition Materials Index, while ZSP.TO is a S&P 500 fund tracking the S&P 500 Index. Both are passively managed. A 0.54 correlation means they provide meaningful diversification when combined. XETM.TO charges 0.59%/yr vs 0.09%/yr for ZSP.TO.

Performance

XETM.TO vs. ZSP.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in iShares S&P/TSX Energy Transition Materials Index ETF (XETM.TO) and BMO S&P 500 Index ETF (ZSP.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

XETM.TO

• 1D: -4.74%
• 1M: -2.13%
• YTD: —
• 6M: —
• 1Y: —
• 3Y*: —
• 5Y*: —
• 10Y*: —

ZSP.TO

• 1D: -1.05%
• 1M: 1.44%
• YTD: 11.86%
• 6M: 11.16%
• 1Y: 27.73%
• 3Y*: 23.52%
• 5Y*: 16.07%
• 10Y*: 16.28%

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

XETM.TO vs. ZSP.TO - Yearly Performance Comparison

	2026 (YTD)
XETM.TO iShares S&P/TSX Energy Transition Materials Index ETF	-4.36%
ZSP.TO BMO S&P 500 Index ETF	10.54%

Correlation

The correlation between XETM.TO and ZSP.TO is 0.54, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (All Time) Calculated using the full available price history since Jan 20, 2026	0.54

Return for Risk

XETM.TO vs. ZSP.TO — Risk / Return Rank

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

XETM.TO

Risk / return metrics aren't available yet — we need at least 12 months of trading data to calculate them.

ZSP.TO

ZSP.TO Risk / Return Rank: 72
ZSP.TO Sharpe Ratio Rank: 75
ZSP.TO Sortino Ratio Rank: 73
ZSP.TO Omega Ratio Rank: 75
ZSP.TO Calmar Ratio Rank: 67
ZSP.TO Martin Ratio Rank: 68

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.

XETM.TO vs. ZSP.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares S&P/TSX Energy Transition Materials Index ETF (XETM.TO) and BMO S&P 500 Index ETF (ZSP.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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	XETM.TO	ZSP.TO	Difference
Sharpe ratio: Return per unit of total volatility	—	2.31	—
Sortino ratio: Return per unit of downside risk	—	3.13	—
Omega ratio: Gain probability vs. loss probability	—	1.42	—
Calmar ratio: Return relative to maximum drawdown	—	3.23	—
Martin ratio: Return relative to average drawdown	—	12.03	—

Drawdowns

XETM.TO vs. ZSP.TO - Drawdown Comparison

The maximum XETM.TO drawdown since its inception was -25.13%, smaller than the maximum ZSP.TO drawdown of -26.94%. Use the drawdown chart below to compare losses from any high point for XETM.TO and ZSP.TO.

Drawdown Indicators

	XETM.TO	ZSP.TO	Difference
Max Drawdown Largest peak-to-trough decline	-25.13%	-26.94%	+1.81%
Max Drawdown (1Y) Largest decline over 1 year	—	-8.61%	—
Max Drawdown (3Y) Largest decline over 3 years	—	-18.95%	—
Max Drawdown (5Y) Largest decline over 5 years	—	-22.25%	—
Max Drawdown (10Y) Largest decline over 10 years	—	-26.94%	—
Current Drawdown Current decline from peak	-14.50%	-1.63%	-12.87%
Average Drawdown Average peak-to-trough decline	-9.20%	-3.33%	-5.87%
Ulcer Index Depth and duration of drawdowns from previous peaks	—	2.31%	—

Volatility

Volatility by Period

	XETM.TO	ZSP.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	—	4.63%	—
Volatility (6M) Calculated over the trailing 6-month period	—	9.45%	—
Volatility (1Y) Calculated over the trailing 1-year period	50.11%	12.10%	+38.01%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	50.11%	15.07%	+35.04%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	50.11%	16.40%	+33.71%

XETM.TO vs. ZSP.TO - Expense Ratio Comparison

XETM.TO has a 0.59% expense ratio, which is higher than ZSP.TO's 0.09% expense ratio.

Dividends

XETM.TO vs. ZSP.TO - Dividend Comparison

XETM.TO has not paid dividends to shareholders, while ZSP.TO's dividend yield for the trailing twelve months is around 0.75%.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
XETM.TO iShares S&P/TSX Energy Transition Materials Index ETF	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ZSP.TO BMO S&P 500 Index ETF	0.75%	0.82%	0.94%	1.33%	1.44%	1.15%	1.45%	1.48%	1.68%	1.68%	2.23%	1.60%

Frequently Asked Questions

Can I hold both XETM.TO and ZSP.TO in my portfolio?

XETM.TO and ZSP.TO have a correlation of 0.54, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, XETM.TO or ZSP.TO?

On fees, ZSP.TO is cheaper at 0.09% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, XETM.TO or ZSP.TO?

ZSP.TO is cheaper with a 0.09% expense ratio, compared with 0.59% for XETM.TO.

What is the main difference between XETM.TO and ZSP.TO?

XETM.TO is categorized as Materials, while ZSP.TO is S&P 500. XETM.TO tracks S&P/TSX Energy Transition Materials Index, while ZSP.TO tracks S&P 500 Index. They also come from different issuers: iShares and BMO. Their fees differ too: 0.59% for XETM.TO and 0.09% for ZSP.TO.