ZSDB.TO vs. ZST.TO
ZSDB.TO (BMO Short-Term Discount Bond ETF) and ZST.TO (BMO Ultra Short-Term Bond ETF) are both exchange-traded funds - ZSDB.TO is a Short-Term Bond fund actively managed by BMO, while ZST.TO is a Canadian Government Bonds fund actively managed by BMO. Both are actively managed. Over the past 3 years, ZSDB.TO returned 4.81%/yr vs 3.84%/yr for ZST.TO. At a 0.23 correlation, their price movements are largely independent. ZSDB.TO charges 0.09%/yr vs 0.17%/yr for ZST.TO.
Performance
ZSDB.TO vs. ZST.TO - Performance Comparison
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Returns By Period
In the year-to-date period, ZSDB.TO achieves a 0.74% return, which is significantly lower than ZST.TO's 1.08% return.
ZSDB.TO
- 1D
- -0.03%
- 1M
- 0.86%
- YTD
- 0.74%
- 6M
- 0.77%
- 1Y
- 2.82%
- 3Y*
- 4.81%
- 5Y*
- —
- 10Y*
- —
ZST.TO
- 1D
- 0.02%
- 1M
- 0.25%
- YTD
- 1.08%
- 6M
- 0.26%
- 1Y
- 1.68%
- 3Y*
- 3.84%
- 5Y*
- 2.95%
- 10Y*
- 2.34%
ZSDB.TO vs. ZST.TO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | |
|---|---|---|---|---|---|
ZSDB.TO BMO Short-Term Discount Bond ETF | 0.74% | 3.93% | 5.94% | 4.67% | -2.83% |
ZST.TO BMO Ultra Short-Term Bond ETF | 1.08% | 2.03% | 5.16% | 5.33% | 1.26% |
Correlation
The correlation between ZSDB.TO and ZST.TO is 0.34, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.34 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.28 |
Correlation (All Time) Calculated using the full available price history since Jan 28, 2022 | 0.23 |
The correlation between ZSDB.TO and ZST.TO shifts across timeframes, from 0.23 (all time) to 0.34 (1 year), reflecting how their relationship changes across market environments.
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Return for Risk
ZSDB.TO vs. ZST.TO — Risk / Return Rank
ZSDB.TO
ZST.TO
ZSDB.TO vs. ZST.TO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for BMO Short-Term Discount Bond ETF (ZSDB.TO) and BMO Ultra Short-Term Bond ETF (ZST.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.
| ZSDB.TO | ZST.TO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -0.03 | ||
| Sortino ratioReturn per unit of downside risk | +0.47 | ||
| Omega ratioGain probability vs. loss probability | 1.29 | 1.83 | -0.53 |
| Calmar ratioReturn relative to maximum drawdown | 1.99 | 1.68 | +0.32 |
| Martin ratioReturn relative to average drawdown | 6.59 | 4.51 | +2.08 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
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Sharpe Ratios by Period
| ZSDB.TO | ZST.TO | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 1.53 | 1.56 | -0.03 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | — | 4.12 | — |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | — | 3.30 | — |
Sharpe Ratio (All Time)Calculated using the full available price history | 1.17 | 1.81 | -0.64 |
Drawdowns
ZSDB.TO vs. ZST.TO - Drawdown Comparison
The maximum ZSDB.TO drawdown since its inception was -4.88%, which is greater than ZST.TO's maximum drawdown of -1.06%. Use the drawdown chart below to compare losses from any high point for ZSDB.TO and ZST.TO.
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Drawdown Indicators
| ZSDB.TO | ZST.TO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -4.88% | -1.06% | -3.82% |
Max Drawdown (1Y)Largest decline over 1 year | -1.44% | -1.01% | -0.43% |
Max Drawdown (3Y)Largest decline over 3 years | -1.44% | -1.01% | -0.43% |
Max Drawdown (5Y)Largest decline over 5 years | — | -1.01% | — |
Max Drawdown (10Y)Largest decline over 10 years | — | -1.06% | — |
Current DrawdownCurrent decline from peak | -0.18% | -0.00% | -0.18% |
Average DrawdownAverage peak-to-trough decline | -0.72% | -0.13% | -0.59% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.43% | 0.37% | +0.06% |
Volatility
ZSDB.TO vs. ZST.TO - Volatility Comparison
BMO Short-Term Discount Bond ETF (ZSDB.TO) has a higher volatility of 0.63% compared to BMO Ultra Short-Term Bond ETF (ZST.TO) at 0.08%. This indicates that ZSDB.TO's price experiences larger fluctuations and is considered to be riskier than ZST.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| ZSDB.TO | ZST.TO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.63% | 0.08% | +0.55% |
Volatility (6M)Calculated over the trailing 6-month period | 1.58% | 1.05% | +0.53% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.89% | 1.08% | +0.81% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 3.52% | 0.72% | +2.80% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 3.52% | 0.71% | +2.81% |
ZSDB.TO vs. ZST.TO - Expense Ratio Comparison
ZSDB.TO has a 0.09% expense ratio, which is lower than ZST.TO's 0.17% expense ratio. Despite the difference, both funds are considered low-cost compared to the broader market, where average expense ratios usually range from 0.3% to 0.9%.
Dividends
ZSDB.TO vs. ZST.TO - Dividend Comparison
ZSDB.TO's dividend yield for the trailing twelve months is around 1.30%, less than ZST.TO's 2.55% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ZSDB.TO BMO Short-Term Discount Bond ETF | 1.30% | 1.28% | 1.35% | 1.77% | 1.77% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% | 0.00% |
ZST.TO BMO Ultra Short-Term Bond ETF | 2.55% | 2.82% | 4.65% | 4.79% | 2.75% | 2.29% | 2.65% | 2.82% | 3.43% | 4.05% | 3.92% | 3.90% |
Frequently Asked Questions
ZSDB.TO and ZST.TO have a correlation of 0.34, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
On fees, ZSDB.TO is cheaper at 0.09% per year. The better choice depends on whether you care most about return, fees, risk, or income.
ZSDB.TO is cheaper with a 0.09% expense ratio, compared with 0.17% for ZST.TO.
ZSDB.TO is categorized as Short-Term Bond, while ZST.TO is Canadian Government Bonds. Their fees differ too: 0.09% for ZSDB.TO and 0.17% for ZST.TO.
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