ZLU.TO vs. ZLH.TO

Last updated Jul 15, 2026

ZLU.TO (BMO Low Volatility US Equity ETF (CAD)) and ZLH.TO (BMO Low Volatility US Equity Hedged to CAD ETF) are both Large Cap Blend Equities funds from BMO. Over the past 10 years, ZLU.TO returned 9.24%/yr vs 7.33%/yr for ZLH.TO. A 0.63 correlation means they provide meaningful diversification when combined. ZLU.TO charges 0.33%/yr vs 0.30%/yr for ZLH.TO.

Performance

ZLU.TO vs. ZLH.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO Low Volatility US Equity ETF (CAD) (ZLU.TO) and BMO Low Volatility US Equity Hedged to CAD ETF (ZLH.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZLU.TO achieves a 13.10% return, which is significantly higher than ZLH.TO's 9.02% return. Over the past 10 years, ZLU.TO has outperformed ZLH.TO with an annualized return of 9.24%, while ZLH.TO has yielded a comparatively lower 7.33% annualized return.

ZLU.TO

• 1D: -2.08%
• 1M: 0.95%
• 6M: 10.12%
• YTD: 13.10%
• 1Y: 13.73%
• 3Y*: 12.11%
• 5Y*: 9.95%
• 10Y*: 9.24%

ZLH.TO

• 1D: -1.52%
• 1M: 0.23%
• 6M: 7.96%
• YTD: 9.02%
• 1Y: 9.11%
• 3Y*: 8.51%
• 5Y*: 6.62%
• 10Y*: 7.33%

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

ZLU.TO vs. ZLH.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ZLU.TO BMO Low Volatility US Equity ETF (CAD)	13.10%	2.03%	21.63%	-3.26%	7.95%	20.72%	2.06%	20.48%	8.39%	5.06%
ZLH.TO BMO Low Volatility US Equity Hedged to CAD ETF	9.02%	5.90%	10.95%	-2.11%	0.20%	22.07%	2.34%	25.20%	-1.85%	11.93%

Correlation

The correlation between ZLU.TO and ZLH.TO is 0.84, indicating a strong positive relationship between their price movements. Combining them offers limited diversification - they tend to fall together during downturns.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.84
Correlation (3Y) Calculated over the trailing 3-year period	0.78
Correlation (5Y) Calculated over the trailing 5-year period	0.67
Correlation (10Y) Calculated over the trailing 10-year period	0.64
Correlation (All Time) Calculated using the full available price history since Feb 10, 2016	0.63

Over the past year, ZLU.TO and ZLH.TO have become more correlated (0.84) than their long-term average of 0.63, meaning their price movements have been converging.

ZLU.TO vs. ZLH.TO - Sectors Allocation Comparison

Sectors	ZLU.TO	ZLH.TO
Technology	20.4%	18.7%
Utilities	19.4%	20.7%
Healthcare	17.3%	17.8%
Consumer Defensive	11.3%	12.4%
Financial Services	10.6%	11.7%
Industrials	7.9%	6.3%
Communication Services	4.3%	3.0%
Real Estate	3.9%	3.4%
Consumer Cyclical	3.8%	3.2%
Basic Materials	0.7%	2.2%
Energy	0.4%	0.7%

Return for Risk

ZLU.TO vs. ZLH.TO — Risk / Return Rank

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

ZLU.TO

ZLU.TO Risk / Return Rank: 41
ZLU.TO Sharpe Ratio Rank: 43
ZLU.TO Sortino Ratio Rank: 38
ZLU.TO Omega Ratio Rank: 41
ZLU.TO Calmar Ratio Rank: 45
ZLU.TO Martin Ratio Rank: 37

ZLH.TO

ZLH.TO Risk / Return Rank: 28
ZLH.TO Sharpe Ratio Rank: 28
ZLH.TO Sortino Ratio Rank: 25
ZLH.TO Omega Ratio Rank: 28
ZLH.TO Calmar Ratio Rank: 30
ZLH.TO Martin Ratio Rank: 27

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.

ZLU.TO vs. ZLH.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO Low Volatility US Equity ETF (CAD) (ZLU.TO) and BMO Low Volatility US Equity Hedged to CAD ETF (ZLH.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.

	ZLU.TO	ZLH.TO	Difference
Sharpe ratio: Return per unit of total volatility	1.23	0.85	+0.38
Sortino ratio: Return per unit of downside risk	1.65	1.15	+0.50
Omega ratio: Gain probability vs. loss probability	1.22	1.16	+0.06
Calmar ratio: Return relative to maximum drawdown	1.84	1.25	+0.59
Martin ratio: Return relative to average drawdown	4.61	3.02	+1.60

ZLU.TO vs. ZLH.TO - Sharpe Ratio Comparison

The current ZLU.TO Sharpe Ratio is 1.23, which is higher than the ZLH.TO Sharpe Ratio of 0.85. The chart below compares the historical Sharpe Ratios of ZLU.TO and ZLH.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

ZLU.TO vs. ZLH.TO - Drawdown Comparison

The maximum ZLU.TO drawdown since its inception was -25.49%, smaller than the maximum ZLH.TO drawdown of -33.34%. Use the drawdown chart below to compare losses from any high point for ZLU.TO and ZLH.TO.

Drawdown Indicators

	ZLU.TO	ZLH.TO	Difference
Max Drawdown Largest peak-to-trough decline	-25.49%	-33.34%	+7.85%
Max Drawdown (1Y) Largest decline over 1 year	-7.52%	-7.35%	-0.17%
Max Drawdown (3Y) Largest decline over 3 years	-9.15%	-10.17%	+1.02%
Max Drawdown (5Y) Largest decline over 5 years	-10.30%	-14.66%	+4.36%
Max Drawdown (10Y) Largest decline over 10 years	-25.49%	-33.34%	+7.85%
Current Drawdown Current decline from peak	-3.75%	-2.18%	-1.57%
Average Drawdown Average peak-to-trough decline	-3.08%	-3.90%	+0.82%
Ulcer Index Depth and duration of drawdowns from previous peaks	2.98%	3.03%	-0.05%

Volatility

ZLU.TO vs. ZLH.TO - Volatility Comparison

BMO Low Volatility US Equity ETF (CAD) (ZLU.TO) has a higher volatility of 4.82% compared to BMO Low Volatility US Equity Hedged to CAD ETF (ZLH.TO) at 4.33%. This indicates that ZLU.TO's price experiences larger fluctuations and is considered to be riskier than ZLH.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZLU.TO	ZLH.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	4.82%	4.33%	+0.49%
Volatility (6M) Calculated over the trailing 6-month period	8.43%	7.78%	+0.65%
Volatility (1Y) Calculated over the trailing 1-year period	11.26%	10.79%	+0.47%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	11.51%	12.27%	-0.76%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	13.96%	13.84%	+0.12%

ZLU.TO vs. ZLH.TO - Expense Ratio Comparison

ZLU.TO has a 0.33% expense ratio, which is higher than ZLH.TO's 0.30% expense ratio.

Dividends

ZLU.TO vs. ZLH.TO - Dividend Comparison

ZLU.TO's dividend yield for the trailing twelve months is around 1.70%, less than ZLH.TO's 1.74% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ZLH.TO BMO Low Volatility US Equity Hedged to CAD ETF	1.74%	1.92%	2.25%	2.45%	2.12%	1.84%	1.95%	1.55%	2.00%	1.93%	2.02%	0.00%
ZLU.TO BMO Low Volatility US Equity ETF (CAD)	1.70%	1.95%	1.97%	2.39%	1.95%	1.76%	1.83%	1.57%	1.89%	2.00%	2.36%	1.80%

Frequently Asked Questions

Can I hold both ZLU.TO and ZLH.TO in my portfolio?

ZLU.TO and ZLH.TO have a correlation of 0.84, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ZLU.TO or ZLH.TO?

On fees, ZLH.TO is cheaper at 0.30% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ZLU.TO or ZLH.TO?

ZLH.TO is cheaper with a 0.30% expense ratio, compared with 0.33% for ZLU.TO.

What is the main difference between ZLU.TO and ZLH.TO?

Their fees differ too: 0.33% for ZLU.TO and 0.30% for ZLH.TO.