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XFN.TO vs. XQQ.TO
Performance
Return for Risk
Drawdowns
Volatility
Dividends

XFN.TO vs. XQQ.TO

Last updated Jun 4, 2026

XFN.TO (iShares S&P/TSX Capped Financials Index ETF) and XQQ.TO (iShares NASDAQ 100 Index ETF (CAD-Hedged)) are both exchange-traded funds - XFN.TO is a Financials Equities fund tracking the Morningstar Gbl Fin Svc GR CAD, while XQQ.TO is a Nasdaq-100 fund tracking the Morningstar US Market TR CAD. Both are passively managed. Over the past 10 years, XFN.TO returned 14.38%/yr vs 19.70%/yr for XQQ.TO. A 0.50 correlation means they provide meaningful diversification when combined. XFN.TO charges 0.61%/yr vs 0.39%/yr for XQQ.TO.

Performance

XFN.TO vs. XQQ.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in iShares S&P/TSX Capped Financials Index ETF (XFN.TO) and iShares NASDAQ 100 Index ETF (CAD-Hedged) (XQQ.TO). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, XFN.TO achieves a 12.51% return, which is significantly lower than XQQ.TO's 19.81% return. Over the past 10 years, XFN.TO has underperformed XQQ.TO with an annualized return of 14.38%, while XQQ.TO has yielded a comparatively higher 19.70% annualized return.

XFN.TO

1D
-0.55%
1M
5.10%
YTD
12.51%
6M
17.66%
1Y
41.54%
3Y*
29.67%
5Y*
16.93%
10Y*
14.38%

XQQ.TO

1D
-0.27%
1M
10.58%
YTD
19.81%
6M
18.06%
1Y
38.49%
3Y*
26.43%
5Y*
15.31%
10Y*
19.70%
*Multi-year figures are annualized to reflect compound growth (CAGR)

XFN.TO vs. XQQ.TO - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
XFN.TO
iShares S&P/TSX Capped Financials Index ETF		12.51%34.40%29.32%13.09%-9.92%35.57%0.99%20.66%-9.76%12.54%
XQQ.TO
iShares NASDAQ 100 Index ETF (CAD-Hedged)		19.81%18.38%24.23%52.23%-33.67%22.29%45.23%37.48%-2.33%31.83%

Correlation

The correlation between XFN.TO and XQQ.TO is 0.57, 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

0.57

Correlation (3Y)
Calculated over the trailing 3-year period

0.52

Correlation (5Y)
Calculated over the trailing 5-year period

0.56

Correlation (10Y)
Calculated over the trailing 10-year period

0.51

Correlation (All Time)
Calculated using the full available price history since May 11, 2011

0.50

The correlation between XFN.TO and XQQ.TO has been stable across timeframes, ranging from 0.50 to 0.57 - a consistent structural relationship.

XFN.TO vs. XQQ.TO - Sectors Allocation Comparison

Sectors
XFN.TO
XQQ.TO

Financial Services

100.0%
0.2%

Basic Materials

-

1.1%

Communication Services

-

15.8%

Consumer Cyclical

-

12.2%

Consumer Defensive

-

7.7%

Energy

-

0.6%

Healthcare

-

4.2%

Industrials

-

3.1%

Real Estate

-

0.1%

Technology

-

53.7%

Utilities

-

1.4%

Financial Services

XFN.TO
100.0%
XQQ.TO
0.2%

Basic Materials

XFN.TO

-

XQQ.TO
1.1%

Communication Services

XFN.TO

-

XQQ.TO
15.8%

Consumer Cyclical

XFN.TO

-

XQQ.TO
12.2%

Consumer Defensive

XFN.TO

-

XQQ.TO
7.7%

Energy

XFN.TO

-

XQQ.TO
0.6%

Healthcare

XFN.TO

-

XQQ.TO
4.2%

Industrials

XFN.TO

-

XQQ.TO
3.1%

Real Estate

XFN.TO

-

XQQ.TO
0.1%

Technology

XFN.TO

-

XQQ.TO
53.7%

Utilities

XFN.TO

-

XQQ.TO
1.4%

Compare stocks, funds, or ETFs

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iShares S&P/TSX Capped Financials Index ETF

iShares NASDAQ 100 Index ETF (CAD-Hedged)

Often compared with XFN.TO:
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Often compared with XQQ.TO:
XQQ.TO vs. QQC.TOXQQ.TO vs. VFV.TOXQQ.TO vs. HXQ.TOXQQ.TO vs. XQQU.TOXQQ.TO vs. QQQXQQ.TO vs. ZQQ.TOXQQ.TO vs. TEC.TO

Return for Risk

XFN.TO vs. XQQ.TO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
XFN.TO
XFN.TO Risk / Return Rank: 9191
Overall Rank
XFN.TO Sharpe Ratio Rank: 9292
Sharpe Ratio Rank
XFN.TO Sortino Ratio Rank: 9494
Sortino Ratio Rank
XFN.TO Omega Ratio Rank: 9191
Omega Ratio Rank
XFN.TO Calmar Ratio Rank: 8989
Calmar Ratio Rank
XFN.TO Martin Ratio Rank: 9090
Martin Ratio Rank
XQQ.TO
XQQ.TO Risk / Return Rank: 6666
Overall Rank
XQQ.TO Sharpe Ratio Rank: 7373
Sharpe Ratio Rank
XQQ.TO Sortino Ratio Rank: 6969
Sortino Ratio Rank
XQQ.TO Omega Ratio Rank: 6868
Omega Ratio Rank
XQQ.TO Calmar Ratio Rank: 6060
Calmar Ratio Rank
XQQ.TO Martin Ratio Rank: 6262
Martin Ratio Rank
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.

XFN.TO vs. XQQ.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares S&P/TSX Capped Financials Index ETF (XFN.TO) and iShares NASDAQ 100 Index ETF (CAD-Hedged) (XQQ.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.

XFN.TOXQQ.TODifference
Sharpe ratioReturn per unit of total volatility
3.46
2.45

+1.01

Sortino ratioReturn per unit of downside risk
4.85
3.20

+1.65

Omega ratioGain probability vs. loss probability

1.61

1.42

+0.19

Calmar ratioReturn relative to maximum drawdown

5.35

3.03

+2.32

Martin ratioReturn relative to average drawdown

21.60

11.31

+10.29

Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

XFN.TO vs. XQQ.TO - Sharpe Ratio Comparison

The current XFN.TO Sharpe Ratio is 3.46, which is higher than the XQQ.TO Sharpe Ratio of 2.45. The chart below compares the historical Sharpe Ratios of XFN.TO and XQQ.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.

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Sharpe Ratios by Period

XFN.TOXQQ.TODifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

3.46

2.45

+1.01

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

1.26

0.68

+0.58

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.87

0.89

-0.01

Sharpe Ratio (All Time)

Calculated using the full available price history

0.64

0.86

-0.22

Drawdowns

XFN.TO vs. XQQ.TO - Drawdown Comparison

The maximum XFN.TO drawdown since its inception was -56.55%, which is greater than XQQ.TO's maximum drawdown of -38.55%. Use the drawdown chart below to compare losses from any high point for XFN.TO and XQQ.TO.

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Drawdown Indicators

XFN.TOXQQ.TODifference

Max Drawdown

Largest peak-to-trough decline

-56.55%

-38.55%

-18.00%

Max Drawdown (1Y)

Largest decline over 1 year

-7.80%

-12.76%

+4.96%

Max Drawdown (3Y)

Largest decline over 3 years

-12.37%

-22.72%

+10.35%

Max Drawdown (5Y)

Largest decline over 5 years

-21.90%

-38.55%

+16.65%

Max Drawdown (10Y)

Largest decline over 10 years

-39.93%

-38.55%

-1.38%

Current Drawdown

Current decline from peak

-1.39%

-0.27%

-1.12%

Average Drawdown

Average peak-to-trough decline

-6.60%

-5.92%

-0.68%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.93%

3.41%

-1.48%

Volatility

XFN.TO vs. XQQ.TO - Volatility Comparison

The current volatility for iShares S&P/TSX Capped Financials Index ETF (XFN.TO) is 4.19%, while iShares NASDAQ 100 Index ETF (CAD-Hedged) (XQQ.TO) has a volatility of 4.48%. This indicates that XFN.TO experiences smaller price fluctuations and is considered to be less risky than XQQ.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

XFN.TOXQQ.TODifference

Volatility (1M)

Calculated over the trailing 1-month period

4.19%

4.48%

-0.29%

Volatility (6M)

Calculated over the trailing 6-month period

10.10%

12.00%

-1.90%

Volatility (1Y)

Calculated over the trailing 1-year period

12.07%

15.82%

-3.75%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

13.47%

22.52%

-9.05%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

16.53%

22.34%

-5.81%

XFN.TO vs. XQQ.TO - Expense Ratio Comparison

XFN.TO has a 0.61% expense ratio, which is higher than XQQ.TO's 0.39% expense ratio.

Dividends

XFN.TO vs. XQQ.TO - Dividend Comparison

XFN.TO's dividend yield for the trailing twelve months is around 2.17%, more than XQQ.TO's 0.21% yield.

PositionTTM20252024202320222021202020192018201720162015
XFN.TO
iShares S&P/TSX Capped Financials Index ETF		2.17%2.39%3.16%3.60%3.48%2.67%3.35%3.00%3.43%2.73%2.83%3.17%
XQQ.TO
iShares NASDAQ 100 Index ETF (CAD-Hedged)		0.21%0.25%0.32%0.31%0.43%0.17%0.26%0.46%0.52%0.53%0.76%0.62%

Frequently Asked Questions

XFN.TO and XQQ.TO have a correlation of 0.57, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

On fees, XQQ.TO is cheaper at 0.39% per year. The better choice depends on whether you care most about return, fees, risk, or income.

XQQ.TO is cheaper with a 0.39% expense ratio, compared with 0.61% for XFN.TO.

XFN.TO is categorized as Financials Equities, while XQQ.TO is Nasdaq-100. XFN.TO tracks Morningstar Gbl Fin Svc GR CAD, while XQQ.TO tracks Morningstar US Market TR CAD. Their fees differ too: 0.61% for XFN.TO and 0.39% for XQQ.TO.

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