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XSE.TO vs. VDY.TO
Performance
Return for Risk
Drawdowns
Volatility
Dividends

XSE.TO vs. VDY.TO

Last updated Jun 5, 2026

XSE.TO (iShares Conservative Strategic Fixed Income ETF) and VDY.TO (Vanguard FTSE Canadian High Dividend Yield Index ETF) are both exchange-traded funds - XSE.TO is a Intermediate Core Bond fund actively managed by iShares, while VDY.TO is a Dividend fund tracking the FTSE Canada High Dividend Yield Index. XSE.TO is actively managed, while VDY.TO is passively managed. Over the past 10 years, XSE.TO returned 1.70%/yr vs 14.08%/yr for VDY.TO. At a 0.03 correlation, their price movements are largely independent. XSE.TO charges 0.55%/yr vs 0.22%/yr for VDY.TO.

Performance

XSE.TO vs. VDY.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in iShares Conservative Strategic Fixed Income ETF (XSE.TO) and Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY.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, XSE.TO achieves a 0.34% return, which is significantly lower than VDY.TO's 22.00% return. Over the past 10 years, XSE.TO has underperformed VDY.TO with an annualized return of 1.70%, while VDY.TO has yielded a comparatively higher 14.08% annualized return.

XSE.TO

1D
0.06%
1M
0.72%
YTD
0.34%
6M
0.04%
1Y
2.09%
3Y*
3.75%
5Y*
0.26%
10Y*
1.70%

VDY.TO

1D
1.17%
1M
5.04%
YTD
22.00%
6M
22.35%
1Y
48.66%
3Y*
26.84%
5Y*
17.48%
10Y*
14.08%
*Multi-year figures are annualized to reflect compound growth (CAGR)

XSE.TO vs. VDY.TO - Yearly Performance Comparison

2026 (YTD)202520242023202220212020201920182017
XSE.TO
iShares Conservative Strategic Fixed Income ETF		0.34%3.06%2.99%6.75%-11.99%-2.79%7.95%8.26%-0.52%4.13%
VDY.TO
Vanguard FTSE Canadian High Dividend Yield Index ETF		22.00%29.20%20.71%8.40%-0.23%36.78%-1.37%21.43%-10.09%8.75%

Correlation

The correlation between XSE.TO and VDY.TO is 0.13, which is low. Their price movements are largely independent, making them effective diversification partners.

Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.13

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

0.20

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

0.14

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

0.02

Correlation (All Time)
Calculated using the full available price history since Sep 15, 2015

0.03

The correlation between XSE.TO and VDY.TO shifts across timeframes, from 0.02 (10 years) to 0.20 (3 years), reflecting how their relationship changes across market environments.

XSE.TO vs. VDY.TO - Sectors Allocation Comparison

Sectors
XSE.TO
VDY.TO

Energy

66.7%
30.8%

Real Estate

33.3%

-

Basic Materials

-

2.2%

Communication Services

-

2.8%

Consumer Cyclical

-

3.0%

Consumer Defensive

-

0.4%

Financial Services

-

56.0%

Healthcare

-

0.1%

Industrials

-

0.2%

Technology

-

0.4%

Utilities

-

4.1%

Energy

XSE.TO
66.7%
VDY.TO
30.8%

Real Estate

XSE.TO
33.3%
VDY.TO

-

Basic Materials

XSE.TO

-

VDY.TO
2.2%

Communication Services

XSE.TO

-

VDY.TO
2.8%

Consumer Cyclical

XSE.TO

-

VDY.TO
3.0%

Consumer Defensive

XSE.TO

-

VDY.TO
0.4%

Financial Services

XSE.TO

-

VDY.TO
56.0%

Healthcare

XSE.TO

-

VDY.TO
0.1%

Industrials

XSE.TO

-

VDY.TO
0.2%

Technology

XSE.TO

-

VDY.TO
0.4%

Utilities

XSE.TO

-

VDY.TO
4.1%

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.

iShares Conservative Strategic Fixed Income ETF

Vanguard FTSE Canadian High Dividend Yield Index ETF

Often compared with XSE.TO:
XSE.TO vs. ZFL.TOXSE.TO vs. VFV.TOXSE.TO vs. XSTP.TOXSE.TO vs. XSC.TOXSE.TO vs. PMIF.TOXSE.TO vs. ZST.TOXSE.TO vs. XLB.TO
Often compared with VDY.TO:
VDY.TO vs. XEI.TOVDY.TO vs. XDIV.TOVDY.TO vs. VCN.TOVDY.TO vs. SCHDVDY.TO vs. XIC.TOVDY.TO vs. VCE.TOVDY.TO vs. ZDV.TO

Return for Risk

XSE.TO vs. VDY.TO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.
XSE.TO
XSE.TO Risk / Return Rank: 1919
Overall Rank
XSE.TO Sharpe Ratio Rank: 2020
Sharpe Ratio Rank
XSE.TO Sortino Ratio Rank: 1818
Sortino Ratio Rank
XSE.TO Omega Ratio Rank: 1818
Omega Ratio Rank
XSE.TO Calmar Ratio Rank: 2020
Calmar Ratio Rank
XSE.TO Martin Ratio Rank: 2020
Martin Ratio Rank
VDY.TO
VDY.TO Risk / Return Rank: 9898
Overall Rank
VDY.TO Sharpe Ratio Rank: 9898
Sharpe Ratio Rank
VDY.TO Sortino Ratio Rank: 9898
Sortino Ratio Rank
VDY.TO Omega Ratio Rank: 9898
Omega Ratio Rank
VDY.TO Calmar Ratio Rank: 9898
Calmar Ratio Rank
VDY.TO Martin Ratio Rank: 9898
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.

XSE.TO vs. VDY.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for iShares Conservative Strategic Fixed Income ETF (XSE.TO) and Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY.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.

XSE.TOVDY.TODifference
Sharpe ratioReturn per unit of total volatility
0.63
5.93

-5.30

Sortino ratioReturn per unit of downside risk
0.90
8.55

-7.66

Omega ratioGain probability vs. loss probability

1.11

2.21

-1.10

Calmar ratioReturn relative to maximum drawdown

0.87

15.68

-14.82

Martin ratioReturn relative to average drawdown

2.15

64.02

-61.87

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

XSE.TO vs. VDY.TO - Sharpe Ratio Comparison

The current XSE.TO Sharpe Ratio is 0.63, which is lower than the VDY.TO Sharpe Ratio of 5.93. The chart below compares the historical Sharpe Ratios of XSE.TO and VDY.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

XSE.TOVDY.TODifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

0.63

5.93

-5.30

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.05

1.52

-1.47

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.20

0.89

-0.69

Sharpe Ratio (All Time)

Calculated using the full available price history

0.24

0.85

-0.61

Drawdowns

XSE.TO vs. VDY.TO - Drawdown Comparison

The maximum XSE.TO drawdown since its inception was -22.43%, smaller than the maximum VDY.TO drawdown of -39.21%. Use the drawdown chart below to compare losses from any high point for XSE.TO and VDY.TO.

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Drawdown Indicators

XSE.TOVDY.TODifference

Max Drawdown

Largest peak-to-trough decline

-22.43%

-39.21%

+16.78%

Max Drawdown (1Y)

Largest decline over 1 year

-2.62%

-3.12%

+0.50%

Max Drawdown (3Y)

Largest decline over 3 years

-4.73%

-10.87%

+6.14%

Max Drawdown (5Y)

Largest decline over 5 years

-15.86%

-16.18%

+0.32%

Max Drawdown (10Y)

Largest decline over 10 years

-22.43%

-39.21%

+16.78%

Current Drawdown

Current decline from peak

-2.93%

0.00%

-2.93%

Average Drawdown

Average peak-to-trough decline

-4.72%

-4.61%

-0.11%

Ulcer Index

Depth and duration of drawdowns from previous peaks

1.02%

0.76%

+0.26%

Volatility

XSE.TO vs. VDY.TO - Volatility Comparison

The current volatility for iShares Conservative Strategic Fixed Income ETF (XSE.TO) is 1.33%, while Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY.TO) has a volatility of 3.42%. This indicates that XSE.TO experiences smaller price fluctuations and is considered to be less risky than VDY.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

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Volatility by Period

XSE.TOVDY.TODifference

Volatility (1M)

Calculated over the trailing 1-month period

1.33%

3.42%

-2.09%

Volatility (6M)

Calculated over the trailing 6-month period

2.59%

6.95%

-4.36%

Volatility (1Y)

Calculated over the trailing 1-year period

3.62%

8.27%

-4.65%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

5.70%

11.57%

-5.87%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

9.13%

15.96%

-6.83%

XSE.TO vs. VDY.TO - Expense Ratio Comparison

XSE.TO has a 0.55% expense ratio, which is higher than VDY.TO's 0.22% expense ratio.

Dividends

XSE.TO vs. VDY.TO - Dividend Comparison

XSE.TO's dividend yield for the trailing twelve months is around 4.34%, more than VDY.TO's 2.87% yield.

PositionTTM20252024202320222021202020192018201720162015
VDY.TO
Vanguard FTSE Canadian High Dividend Yield Index ETF		2.87%3.59%4.40%4.64%4.42%3.58%4.59%4.25%4.43%3.82%3.25%4.11%
XSE.TO
iShares Conservative Strategic Fixed Income ETF		4.34%4.24%3.66%3.36%2.67%2.63%2.62%2.82%2.89%3.62%3.95%1.39%

Frequently Asked Questions

XSE.TO and VDY.TO have a correlation of 0.13, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

On fees, VDY.TO is cheaper at 0.22% per year. The better choice depends on whether you care most about return, fees, risk, or income.

VDY.TO is cheaper with a 0.22% expense ratio, compared with 0.55% for XSE.TO.

XSE.TO is categorized as Intermediate Core Bond, while VDY.TO is Dividend. They also come from different issuers: iShares and Vanguard. Their fees differ too: 0.55% for XSE.TO and 0.22% for VDY.TO.

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