ZHY.TO vs. HDIV.TO

Last updated Jun 5, 2026

ZHY.TO (BMO High Yield US Corporate Bond Hedged to CAD Index ETF) and HDIV.TO (Hamilton Enhanced Canadian Covered Call ETF) are both exchange-traded funds - ZHY.TO is a High Yield Bonds fund tracking the Bloomberg U.S. High Yield Very Liquid Index CAD Hedged, while HDIV.TO is a Derivative Income fund actively managed by Hamilton ETFs. ZHY.TO is passively managed, while HDIV.TO is actively managed. Over the past 3 years, ZHY.TO returned 7.06%/yr vs 28.06%/yr for HDIV.TO. At a 0.47 correlation, their price movements are largely independent. ZHY.TO charges 0.61%/yr vs 0.00%/yr for HDIV.TO.

Performance

ZHY.TO vs. HDIV.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO High Yield US Corporate Bond Hedged to CAD Index ETF (ZHY.TO) and Hamilton Enhanced Canadian Covered Call ETF (HDIV.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZHY.TO achieves a 0.71% return, which is significantly lower than HDIV.TO's 17.22% return.

ZHY.TO

• 1D: -0.09%
• 1M: -0.01%
• YTD: 0.71%
• 6M: 0.74%
• 1Y: 4.74%
• 3Y*: 7.06%
• 5Y*: 2.53%
• 10Y*: 3.77%

HDIV.TO

• 1D: 0.86%
• 1M: 6.14%
• YTD: 17.22%
• 6M: 17.73%
• 1Y: 47.51%
• 3Y*: 28.06%
• 5Y*: —
• 10Y*: —

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

ZHY.TO vs. HDIV.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021
ZHY.TO BMO High Yield US Corporate Bond Hedged to CAD Index ETF	0.71%	6.27%	6.04%	11.48%	-12.80%	1.70%
HDIV.TO Hamilton Enhanced Canadian Covered Call ETF	17.22%	33.87%	23.15%	13.91%	-2.52%	12.70%

Correlation

The correlation between ZHY.TO and HDIV.TO is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.40
Correlation (3Y) Calculated over the trailing 3-year period	0.50
Correlation (All Time) Calculated using the full available price history since Jul 19, 2021	0.47

The correlation between ZHY.TO and HDIV.TO shifts across timeframes, from 0.40 (1 year) to 0.50 (3 years), reflecting how their relationship changes across market environments.

ZHY.TO vs. HDIV.TO - Sectors Allocation Comparison

Sectors	ZHY.TO	HDIV.TO
Industrials	60.5%	3.0%
Consumer Cyclical	37.1%	2.5%
Energy	2.4%	18.4%
Basic Materials	-	13.4%
Communication Services	-	6.3%
Consumer Defensive	-	0.3%
Financial Services	-	39.8%
Healthcare	-	0.2%
Real Estate	-	2.1%
Technology	-	9.5%
Utilities	-	4.7%

Return for Risk

ZHY.TO vs. HDIV.TO — Risk / Return Rank

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

ZHY.TO

ZHY.TO Risk / Return Rank: 29
ZHY.TO Sharpe Ratio Rank: 25
ZHY.TO Sortino Ratio Rank: 24
ZHY.TO Omega Ratio Rank: 24
ZHY.TO Calmar Ratio Rank: 33
ZHY.TO Martin Ratio Rank: 39

HDIV.TO

HDIV.TO Risk / Return Rank: 93
HDIV.TO Sharpe Ratio Rank: 95
HDIV.TO Sortino Ratio Rank: 94
HDIV.TO Omega Ratio Rank: 95
HDIV.TO Calmar Ratio Rank: 90
HDIV.TO Martin Ratio Rank: 94

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.

ZHY.TO vs. HDIV.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO High Yield US Corporate Bond Hedged to CAD Index ETF (ZHY.TO) and Hamilton Enhanced Canadian Covered Call ETF (HDIV.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.

	ZHY.TO	HDIV.TO	Difference
Sharpe ratio: Return per unit of total volatility	0.87	3.83	-2.96
Sortino ratio: Return per unit of downside risk	1.28	4.88	-3.60
Omega ratio: Gain probability vs. loss probability	1.16	1.71	-0.55
Calmar ratio: Return relative to maximum drawdown	1.61	5.47	-3.86
Martin ratio: Return relative to average drawdown	6.01	26.51	-20.51
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ZHY.TO vs. HDIV.TO - Sharpe Ratio Comparison

The current ZHY.TO Sharpe Ratio is 0.87, which is lower than the HDIV.TO Sharpe Ratio of 3.83. The chart below compares the historical Sharpe Ratios of ZHY.TO and HDIV.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

	ZHY.TO	HDIV.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.87	3.83	-2.96
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.27	—	—
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.35	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.45	1.27	-0.82

Drawdowns

ZHY.TO vs. HDIV.TO - Drawdown Comparison

The maximum ZHY.TO drawdown since its inception was -28.44%, which is greater than HDIV.TO's maximum drawdown of -22.32%. Use the drawdown chart below to compare losses from any high point for ZHY.TO and HDIV.TO.

Drawdown Indicators

	ZHY.TO	HDIV.TO	Difference
Max Drawdown Largest peak-to-trough decline	-28.44%	-22.32%	-6.12%
Max Drawdown (1Y) Largest decline over 1 year	-2.96%	-8.73%	+5.77%
Max Drawdown (3Y) Largest decline over 3 years	-5.70%	-14.58%	+8.88%
Max Drawdown (5Y) Largest decline over 5 years	-17.11%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-28.44%	—	—
Current Drawdown Current decline from peak	-0.91%	0.00%	-0.91%
Average Drawdown Average peak-to-trough decline	-2.86%	-4.22%	+1.36%
Ulcer Index Depth and duration of drawdowns from previous peaks	0.79%	1.80%	-1.01%

Volatility

ZHY.TO vs. HDIV.TO - Volatility Comparison

The current volatility for BMO High Yield US Corporate Bond Hedged to CAD Index ETF (ZHY.TO) is 1.96%, while Hamilton Enhanced Canadian Covered Call ETF (HDIV.TO) has a volatility of 3.80%. This indicates that ZHY.TO experiences smaller price fluctuations and is considered to be less risky than HDIV.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZHY.TO	HDIV.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	1.96%	3.80%	-1.84%
Volatility (6M) Calculated over the trailing 6-month period	4.11%	10.31%	-6.20%
Volatility (1Y) Calculated over the trailing 1-year period	5.50%	12.49%	-6.99%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	9.51%	15.63%	-6.12%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	10.92%	15.63%	-4.71%

ZHY.TO vs. HDIV.TO - Expense Ratio Comparison

ZHY.TO has a 0.61% expense ratio, which is higher than HDIV.TO's 0.00% expense ratio.

Dividends

ZHY.TO vs. HDIV.TO - Dividend Comparison

ZHY.TO's dividend yield for the trailing twelve months is around 6.38%, less than HDIV.TO's 9.25% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
HDIV.TO Hamilton Enhanced Canadian Covered Call ETF	9.25%	10.09%	11.38%	10.41%	9.64%	3.39%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ZHY.TO BMO High Yield US Corporate Bond Hedged to CAD Index ETF	6.38%	6.10%	6.13%	6.43%	6.71%	5.49%	6.09%	6.50%	6.25%	6.10%	5.84%	7.12%

Frequently Asked Questions

Can I hold both ZHY.TO and HDIV.TO in my portfolio?

ZHY.TO and HDIV.TO have a correlation of 0.40, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ZHY.TO or HDIV.TO?

On fees, HDIV.TO is cheaper at 0.00% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ZHY.TO or HDIV.TO?

HDIV.TO is cheaper with a 0.00% expense ratio, compared with 0.61% for ZHY.TO.

What is the main difference between ZHY.TO and HDIV.TO?

ZHY.TO is categorized as High Yield Bonds, while HDIV.TO is Derivative Income. They also come from different issuers: BMO and Hamilton ETFs. Their fees differ too: 0.61% for ZHY.TO and 0.00% for HDIV.TO.