ZBBB.TO vs. PSB.TO

Last updated Jul 16, 2026

ZBBB.TO (BMO BBB Corporate Bond Index ETF) and PSB.TO (Invesco 1-5 Year Laddered Investment Grade Corporate Bond Index ETF) are both Corporate Bonds funds - ZBBB.TO tracks the FTSE Canada 1-10 Year BBB Corporate Bond Index while PSB.TO tracks the FTSE Canada Investment Grade 1-5 Year Laddered Corporate Bond Index. Both are passively managed. Over the past 5 years, ZBBB.TO returned 3.08%/yr vs 2.95%/yr for PSB.TO. At a 0.28 correlation, their price movements are largely independent. ZBBB.TO charges 0.17%/yr vs 0.28%/yr for PSB.TO.

Performance

ZBBB.TO vs. PSB.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO BBB Corporate Bond Index ETF (ZBBB.TO) and Invesco 1-5 Year Laddered Investment Grade Corporate Bond Index ETF (PSB.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZBBB.TO achieves a 1.74% return, which is significantly higher than PSB.TO's 1.60% return.

ZBBB.TO

• 1D: 0.00%
• 1M: 0.00%
• 6M: 1.22%
• YTD: 1.74%
• 1Y: 4.98%
• 3Y*: 6.94%
• 5Y*: 3.08%
• 10Y*: —

PSB.TO

• 1D: 0.11%
• 1M: -0.01%
• 6M: 1.04%
• YTD: 1.60%
• 1Y: 4.40%
• 3Y*: 6.06%
• 5Y*: 2.95%
• 10Y*: 2.71%

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

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

	2026 (YTD)	2025	2024	2023	2022	2021	2020
ZBBB.TO BMO BBB Corporate Bond Index ETF	1.74%	4.83%	8.00%	5.61%	-4.43%	-1.12%	6.72%
PSB.TO Invesco 1-5 Year Laddered Investment Grade Corporate Bond Index ETF	1.60%	4.68%	7.08%	6.44%	-3.89%	-0.97%	4.95%

Correlation

The correlation between ZBBB.TO and PSB.TO is 0.33, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.33
Correlation (3Y) Calculated over the trailing 3-year period	0.38
Correlation (5Y) Calculated over the trailing 5-year period	0.30
Correlation (All Time) Calculated using the full available price history since Feb 5, 2020	0.28

Return for Risk

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

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

ZBBB.TO

ZBBB.TO Risk / Return Rank: 59
ZBBB.TO Sharpe Ratio Rank: 54
ZBBB.TO Sortino Ratio Rank: 62
ZBBB.TO Omega Ratio Rank: 72
ZBBB.TO Calmar Ratio Rank: 58
ZBBB.TO Martin Ratio Rank: 49

PSB.TO

PSB.TO Risk / Return Rank: 64
PSB.TO Sharpe Ratio Rank: 58
PSB.TO Sortino Ratio Rank: 59
PSB.TO Omega Ratio Rank: 57
PSB.TO Calmar Ratio Rank: 77
PSB.TO Martin Ratio Rank: 67

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.

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

This table presents a comparison of risk-adjusted performance metrics for BMO BBB Corporate Bond Index ETF (ZBBB.TO) and Invesco 1-5 Year Laddered Investment Grade Corporate Bond Index ETF (PSB.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.

	ZBBB.TO	PSB.TO	Difference
Sharpe ratio: Return per unit of total volatility	1.52	1.61	-0.09
Sortino ratio: Return per unit of downside risk	2.36	2.28	+0.08
Omega ratio: Gain probability vs. loss probability	1.34	1.29	+0.05
Calmar ratio: Return relative to maximum drawdown	2.40	3.20	-0.80
Martin ratio: Return relative to average drawdown	6.77	9.77	-3.00

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

The current ZBBB.TO Sharpe Ratio is 1.52, which is comparable to the PSB.TO Sharpe Ratio of 1.61. The chart below compares the historical Sharpe Ratios of ZBBB.TO and PSB.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.

Drawdowns

ZBBB.TO vs. PSB.TO - Drawdown Comparison

The maximum ZBBB.TO drawdown since its inception was -11.55%, smaller than the maximum PSB.TO drawdown of -13.24%. Use the drawdown chart below to compare losses from any high point for ZBBB.TO and PSB.TO.

Drawdown Indicators

	ZBBB.TO	PSB.TO	Difference
Max Drawdown Largest peak-to-trough decline	-11.55%	-13.24%	+1.69%
Max Drawdown (1Y) Largest decline over 1 year	-1.97%	-1.38%	-0.59%
Max Drawdown (3Y) Largest decline over 3 years	-1.97%	-1.89%	-0.08%
Max Drawdown (5Y) Largest decline over 5 years	-11.23%	-7.93%	-3.30%
Max Drawdown (10Y) Largest decline over 10 years	—	-13.24%	—
Current Drawdown Current decline from peak	0.00%	-0.17%	+0.17%
Average Drawdown Average peak-to-trough decline	-2.65%	-1.00%	-1.65%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.70%	0.45%	+0.25%

Volatility

ZBBB.TO vs. PSB.TO - Volatility Comparison

BMO BBB Corporate Bond Index ETF (ZBBB.TO) and Invesco 1-5 Year Laddered Investment Grade Corporate Bond Index ETF (PSB.TO) have volatilities of 0.66% and 0.67%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZBBB.TO	PSB.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	0.66%	0.67%	-0.01%
Volatility (6M) Calculated over the trailing 6-month period	1.98%	1.96%	+0.02%
Volatility (1Y) Calculated over the trailing 1-year period	3.13%	2.76%	+0.37%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	4.51%	3.32%	+1.19%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	5.84%	4.85%	+0.99%

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

ZBBB.TO has a 0.17% expense ratio, which is lower than PSB.TO's 0.28% expense ratio.

Dividends

ZBBB.TO vs. PSB.TO - Dividend Comparison

ZBBB.TO's dividend yield for the trailing twelve months is around 3.18%, which matches PSB.TO's 3.20% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
PSB.TO Invesco 1-5 Year Laddered Investment Grade Corporate Bond Index ETF	3.20%	3.18%	3.12%	3.09%	3.13%	2.91%	2.74%	3.00%	3.37%	3.61%	4.01%	4.04%
ZBBB.TO BMO BBB Corporate Bond Index ETF	3.18%	4.11%	3.72%	3.47%	4.42%	3.23%	3.10%	0.00%	0.00%	0.00%	0.00%	0.00%

Frequently Asked Questions

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

ZBBB.TO and PSB.TO have a correlation of 0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

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

On fees, ZBBB.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, ZBBB.TO or PSB.TO?

ZBBB.TO is cheaper with a 0.17% expense ratio, compared with 0.28% for PSB.TO.

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

ZBBB.TO tracks FTSE Canada 1-10 Year BBB Corporate Bond Index, while PSB.TO tracks FTSE Canada Investment Grade 1-5 Year Laddered Corporate Bond Index. They also come from different issuers: BMO and Invesco. Their fees differ too: 0.17% for ZBBB.TO and 0.28% for PSB.TO.