ZDH.TO vs. VGH.TO

Last updated Jun 4, 2026

ZDH.TO (BMO International Dividend Hedged to CAD ETF) and VGH.TO (Vanguard U.S. Dividend Appreciation Index ETF CAD-Hedged) are both exchange-traded funds - ZDH.TO is a Global Equity Income fund managed by BMO, while VGH.TO is a Dividend fund tracking the S&P U.S. Dividend Growers Index (CAD-hedged). Over the past 10 years, ZDH.TO returned 10.52%/yr vs 11.43%/yr for VGH.TO. A 0.58 correlation means they provide meaningful diversification when combined. ZDH.TO charges 0.40%/yr vs 0.31%/yr for VGH.TO.

Performance

ZDH.TO vs. VGH.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO International Dividend Hedged to CAD ETF (ZDH.TO) and Vanguard U.S. Dividend Appreciation Index ETF CAD-Hedged (VGH.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZDH.TO achieves a 9.85% return, which is significantly higher than VGH.TO's 6.70% return. Over the past 10 years, ZDH.TO has underperformed VGH.TO with an annualized return of 10.52%, while VGH.TO has yielded a comparatively higher 11.43% annualized return.

ZDH.TO

• 1D: -0.38%
• 1M: 2.56%
• YTD: 9.85%
• 6M: 12.97%
• 1Y: 24.11%
• 3Y*: 16.23%
• 5Y*: 13.52%
• 10Y*: 10.52%

VGH.TO

• 1D: 0.07%
• 1M: 4.04%
• YTD: 6.70%
• 6M: 5.84%
• 1Y: 17.06%
• 3Y*: 14.24%
• 5Y*: 8.84%
• 10Y*: 11.43%

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

ZDH.TO vs. VGH.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ZDH.TO BMO International Dividend Hedged to CAD ETF	9.85%	21.88%	10.74%	17.42%	3.42%	19.82%	-9.45%	19.91%	-9.16%	13.02%
VGH.TO Vanguard U.S. Dividend Appreciation Index ETF CAD-Hedged	6.70%	11.44%	15.35%	12.77%	-11.08%	22.47%	12.97%	27.74%	-4.59%	21.46%

Correlation

The correlation between ZDH.TO and VGH.TO is 0.64, 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	0.64
Correlation (3Y) Calculated over the trailing 3-year period	0.58
Correlation (5Y) Calculated over the trailing 5-year period	0.58
Correlation (10Y) Calculated over the trailing 10-year period	0.60
Correlation (All Time) Calculated using the full available price history since Sep 10, 2015	0.58

The correlation between ZDH.TO and VGH.TO has been stable across timeframes, ranging from 0.58 to 0.64 - a consistent structural relationship.

ZDH.TO vs. VGH.TO - Sectors Allocation Comparison

Sectors	ZDH.TO	VGH.TO
Financial Services	24.1%	20.6%
Industrials	18.6%	11.8%
Healthcare	8.9%	16.5%
Consumer Defensive	8.2%	10.1%
Energy	7.9%	3.5%
Communication Services	7.5%	0.5%
Utilities	6.6%	3.2%
Consumer Cyclical	6.4%	4.7%
Basic Materials	4.6%	3.5%
Technology	4.4%	26.2%
Real Estate	2.8%	-

Return for Risk

ZDH.TO vs. VGH.TO — Risk / Return Rank

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

ZDH.TO

ZDH.TO Risk / Return Rank: 63
ZDH.TO Sharpe Ratio Rank: 64
ZDH.TO Sortino Ratio Rank: 65
ZDH.TO Omega Ratio Rank: 65
ZDH.TO Calmar Ratio Rank: 56
ZDH.TO Martin Ratio Rank: 63

VGH.TO

VGH.TO Risk / Return Rank: 47
VGH.TO Sharpe Ratio Rank: 49
VGH.TO Sortino Ratio Rank: 51
VGH.TO Omega Ratio Rank: 47
VGH.TO Calmar Ratio Rank: 41
VGH.TO Martin Ratio Rank: 49

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.

ZDH.TO vs. VGH.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO International Dividend Hedged to CAD ETF (ZDH.TO) and Vanguard U.S. Dividend Appreciation Index ETF CAD-Hedged (VGH.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.

	ZDH.TO	VGH.TO	Difference
Sharpe ratio: Return per unit of total volatility	2.10	1.68	+0.42
Sortino ratio: Return per unit of downside risk	2.97	2.46	+0.51
Omega ratio: Gain probability vs. loss probability	1.39	1.30	+0.09
Calmar ratio: Return relative to maximum drawdown	2.72	2.03	+0.68
Martin ratio: Return relative to average drawdown	11.24	8.05	+3.19
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ZDH.TO vs. VGH.TO - Sharpe Ratio Comparison

The current ZDH.TO Sharpe Ratio is 2.10, which is comparable to the VGH.TO Sharpe Ratio of 1.68. The chart below compares the historical Sharpe Ratios of ZDH.TO and VGH.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

	ZDH.TO	VGH.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	2.10	1.68	+0.42
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.02	0.63	+0.40
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.64	0.73	-0.09
Sharpe Ratio (All Time) Calculated using the full available price history	0.59	0.72	-0.14

Drawdowns

ZDH.TO vs. VGH.TO - Drawdown Comparison

The maximum ZDH.TO drawdown since its inception was -37.62%, which is greater than VGH.TO's maximum drawdown of -32.82%. Use the drawdown chart below to compare losses from any high point for ZDH.TO and VGH.TO.

Drawdown Indicators

	ZDH.TO	VGH.TO	Difference
Max Drawdown Largest peak-to-trough decline	-37.62%	-32.82%	-4.80%
Max Drawdown (1Y) Largest decline over 1 year	-8.92%	-8.42%	-0.50%
Max Drawdown (3Y) Largest decline over 3 years	-13.74%	-15.16%	+1.42%
Max Drawdown (5Y) Largest decline over 5 years	-13.74%	-21.34%	+7.60%
Max Drawdown (10Y) Largest decline over 10 years	-37.62%	-32.82%	-4.80%
Current Drawdown Current decline from peak	-1.93%	0.00%	-1.93%
Average Drawdown Average peak-to-trough decline	-4.07%	-3.67%	-0.40%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.15%	2.12%	+0.03%

Volatility

ZDH.TO vs. VGH.TO - Volatility Comparison

BMO International Dividend Hedged to CAD ETF (ZDH.TO) has a higher volatility of 4.04% compared to Vanguard U.S. Dividend Appreciation Index ETF CAD-Hedged (VGH.TO) at 2.19%. This indicates that ZDH.TO's price experiences larger fluctuations and is considered to be riskier than VGH.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZDH.TO	VGH.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.04%	2.19%	+1.85%
Volatility (6M) Calculated over the trailing 6-month period	9.12%	7.56%	+1.56%
Volatility (1Y) Calculated over the trailing 1-year period	11.57%	10.22%	+1.35%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.30%	14.21%	-0.91%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.49%	15.75%	+0.74%

ZDH.TO vs. VGH.TO - Expense Ratio Comparison

ZDH.TO has a 0.40% expense ratio, which is higher than VGH.TO's 0.31% expense ratio.

Dividends

ZDH.TO vs. VGH.TO - Dividend Comparison

ZDH.TO's dividend yield for the trailing twelve months is around 2.79%, more than VGH.TO's 1.04% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
VGH.TO Vanguard U.S. Dividend Appreciation Index ETF CAD-Hedged	1.04%	1.15%	1.28%	1.34%	1.39%	1.22%	1.21%	1.23%	1.58%	1.39%	1.63%	1.81%
ZDH.TO BMO International Dividend Hedged to CAD ETF	2.79%	3.09%	4.01%	4.23%	4.04%	3.70%	5.34%	4.87%	5.36%	4.41%	4.37%	1.66%

Frequently Asked Questions

Can I hold both ZDH.TO and VGH.TO in my portfolio?

ZDH.TO and VGH.TO have a correlation of 0.64, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ZDH.TO or VGH.TO?

On fees, VGH.TO is cheaper at 0.31% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ZDH.TO or VGH.TO?

VGH.TO is cheaper with a 0.31% expense ratio, compared with 0.40% for ZDH.TO.

What is the main difference between ZDH.TO and VGH.TO?

ZDH.TO is categorized as Global Equity Income, while VGH.TO is Dividend. They also come from different issuers: BMO and Vanguard. Their fees differ too: 0.40% for ZDH.TO and 0.31% for VGH.TO.