ZEB.TO vs. ZMI.TO

Last updated Jun 13, 2026

ZEB.TO (BMO Equal Weight Banks Index ETF) and ZMI.TO (BMO Monthly Income ETF) are both exchange-traded funds - ZEB.TO is a Financials Equities fund tracking the Solactive Equal Weight Canada Banks Index, while ZMI.TO is a Diversified Portfolio fund actively managed by BMO. ZEB.TO is passively managed, while ZMI.TO is actively managed. Over the past 10 years, ZEB.TO returned 16.60%/yr vs 6.85%/yr for ZMI.TO. A 0.59 correlation means they provide meaningful diversification when combined. ZEB.TO charges 0.25%/yr vs 0.18%/yr for ZMI.TO.

Performance

ZEB.TO vs. ZMI.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO Equal Weight Banks Index ETF (ZEB.TO) and BMO Monthly Income ETF (ZMI.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZEB.TO achieves a 25.33% return, which is significantly higher than ZMI.TO's 9.27% return. Over the past 10 years, ZEB.TO has outperformed ZMI.TO with an annualized return of 16.60%, while ZMI.TO has yielded a comparatively lower 6.85% annualized return.

ZEB.TO

• 1D: 1.12%
• 1M: 9.87%
• YTD: 25.33%
• 6M: 26.07%
• 1Y: 67.94%
• 3Y*: 34.82%
• 5Y*: 19.53%
• 10Y*: 16.60%

ZMI.TO

• 1D: 0.35%
• 1M: 2.97%
• YTD: 9.27%
• 6M: 6.28%
• 1Y: 15.52%
• 3Y*: 12.55%
• 5Y*: 7.84%
• 10Y*: 6.85%

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

ZEB.TO vs. ZMI.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ZEB.TO BMO Equal Weight Banks Index ETF	25.33%	43.43%	24.58%	10.87%	-10.38%	39.38%	3.52%	16.06%	-8.85%	14.26%
ZMI.TO BMO Monthly Income ETF	9.27%	8.04%	13.60%	9.17%	-5.76%	11.38%	2.54%	13.52%	-2.39%	4.98%

Correlation

The correlation between ZEB.TO and ZMI.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	0.65
Correlation (5Y) Calculated over the trailing 5-year period	0.63
Correlation (10Y) Calculated over the trailing 10-year period	0.60
Correlation (All Time) Calculated using the full available price history since Feb 3, 2011	0.59

The correlation between ZEB.TO and ZMI.TO has been stable across timeframes, ranging from 0.59 to 0.65 - a consistent structural relationship.

ZEB.TO vs. ZMI.TO - Sectors Allocation Comparison

Sectors	ZEB.TO	ZMI.TO
Financial Services	100.0%	20.1%
Basic Materials	-	5.3%
Communication Services	-	7.4%
Consumer Cyclical	-	5.4%
Consumer Defensive	-	7.3%
Energy	-	13.4%
Healthcare	-	9.8%
Industrials	-	6.0%
Real Estate	-	3.1%
Technology	-	16.4%
Utilities	-	5.8%

Return for Risk

ZEB.TO vs. ZMI.TO — Risk / Return Rank

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

ZEB.TO

ZEB.TO Risk / Return Rank: 97
ZEB.TO Sharpe Ratio Rank: 98
ZEB.TO Sortino Ratio Rank: 98
ZEB.TO Omega Ratio Rank: 98
ZEB.TO Calmar Ratio Rank: 96
ZEB.TO Martin Ratio Rank: 97

ZMI.TO

ZMI.TO Risk / Return Rank: 75
ZMI.TO Sharpe Ratio Rank: 77
ZMI.TO Sortino Ratio Rank: 73
ZMI.TO Omega Ratio Rank: 84
ZMI.TO Calmar Ratio Rank: 73
ZMI.TO Martin Ratio Rank: 66

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.

ZEB.TO vs. ZMI.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO Equal Weight Banks Index ETF (ZEB.TO) and BMO Monthly Income ETF (ZMI.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.

	ZEB.TO	ZMI.TO	Difference
Sharpe ratio: Return per unit of total volatility	5.33	2.15	+3.18
Sortino ratio: Return per unit of downside risk	7.18	2.85	+4.33
Omega ratio: Gain probability vs. loss probability	1.99	1.44	+0.55
Calmar ratio: Return relative to maximum drawdown	8.09	3.28	+4.81
Martin ratio: Return relative to average drawdown	34.80	10.68	+24.12

ZEB.TO vs. ZMI.TO - Sharpe Ratio Comparison

The current ZEB.TO Sharpe Ratio is 5.33, which is higher than the ZMI.TO Sharpe Ratio of 2.15. The chart below compares the historical Sharpe Ratios of ZEB.TO and ZMI.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

ZEB.TO vs. ZMI.TO - Drawdown Comparison

The maximum ZEB.TO drawdown since its inception was -39.69%, which is greater than ZMI.TO's maximum drawdown of -26.64%. Use the drawdown chart below to compare losses from any high point for ZEB.TO and ZMI.TO.

Drawdown Indicators

	ZEB.TO	ZMI.TO	Difference
Max Drawdown Largest peak-to-trough decline	-39.69%	-26.64%	-13.05%
Max Drawdown (1Y) Largest decline over 1 year	-8.44%	-4.75%	-3.69%
Max Drawdown (3Y) Largest decline over 3 years	-14.80%	-8.80%	-6.00%
Max Drawdown (5Y) Largest decline over 5 years	-25.97%	-12.68%	-13.29%
Max Drawdown (10Y) Largest decline over 10 years	-39.69%	-26.64%	-13.05%
Current Drawdown Current decline from peak	0.00%	-0.10%	+0.10%
Average Drawdown Average peak-to-trough decline	-5.65%	-2.09%	-3.56%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.96%	1.46%	+0.50%

Volatility

ZEB.TO vs. ZMI.TO - Volatility Comparison

BMO Equal Weight Banks Index ETF (ZEB.TO) has a higher volatility of 4.52% compared to BMO Monthly Income ETF (ZMI.TO) at 2.63%. This indicates that ZEB.TO's price experiences larger fluctuations and is considered to be riskier than ZMI.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZEB.TO	ZMI.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.52%	2.63%	+1.89%
Volatility (6M) Calculated over the trailing 6-month period	11.13%	5.92%	+5.21%
Volatility (1Y) Calculated over the trailing 1-year period	12.81%	7.24%	+5.57%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	13.55%	7.45%	+6.10%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	16.90%	8.87%	+8.03%

ZEB.TO vs. ZMI.TO - Expense Ratio Comparison

ZEB.TO has a 0.25% expense ratio, which is higher than ZMI.TO's 0.18% expense ratio. However, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.

Dividends

ZEB.TO vs. ZMI.TO - Dividend Comparison

ZEB.TO's dividend yield for the trailing twelve months is around 2.41%, less than ZMI.TO's 3.99% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ZEB.TO BMO Equal Weight Banks Index ETF	2.41%	2.95%	3.98%	4.75%	4.29%	3.13%	4.15%	3.65%	3.64%	3.02%	3.19%	3.70%
ZMI.TO BMO Monthly Income ETF	3.99%	4.67%	4.82%	5.09%	4.63%	3.82%	4.34%	4.37%	4.72%	4.18%	4.01%	4.01%

Frequently Asked Questions

Can I hold both ZEB.TO and ZMI.TO in my portfolio?

ZEB.TO and ZMI.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, ZEB.TO or ZMI.TO?

On fees, ZMI.TO is cheaper at 0.18% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ZEB.TO or ZMI.TO?

ZMI.TO is cheaper with a 0.18% expense ratio, compared with 0.25% for ZEB.TO.

What is the main difference between ZEB.TO and ZMI.TO?

ZEB.TO is categorized as Financials Equities, while ZMI.TO is Diversified Portfolio. Their fees differ too: 0.25% for ZEB.TO and 0.18% for ZMI.TO.