ZST.TO vs. ZCB.TO
ZST.TO (BMO Ultra Short-Term Bond ETF) and ZCB.TO (BMO Corporate Bond Index ETF) are both exchange-traded funds - ZST.TO is a Canadian Government Bonds fund actively managed by BMO, while ZCB.TO is a Corporate Bonds fund tracking the FTSE Canada All Corporate Bond Index. ZST.TO is actively managed, while ZCB.TO is passively managed. Over the past 5 years, ZST.TO returned 2.98%/yr vs 2.00%/yr for ZCB.TO. At a 0.25 correlation, their price movements are largely independent. Both charge a 0.17% expense ratio.
Performance
ZST.TO vs. ZCB.TO - Performance Comparison
Loading charts...
Returns By Period
In the year-to-date period, ZST.TO achieves a 1.08% return, which is significantly lower than ZCB.TO's 1.42% return.
ZST.TO
- 1D
- 0.00%
- 1M
- 0.21%
- YTD
- 1.08%
- 6M
- 0.29%
- 1Y
- 1.70%
- 3Y*
- 3.86%
- 5Y*
- 2.98%
- 10Y*
- 2.37%
ZCB.TO
- 1D
- -0.29%
- 1M
- 0.25%
- YTD
- 1.42%
- 6M
- 1.88%
- 1Y
- 4.11%
- 3Y*
- 6.12%
- 5Y*
- 2.00%
- 10Y*
- —
ZST.TO vs. ZCB.TO - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | |
|---|---|---|---|---|---|---|---|---|---|
ZST.TO BMO Ultra Short-Term Bond ETF | 1.08% | 2.06% | 5.21% | 5.38% | 1.22% | 0.24% | 1.77% | 2.39% | 1.59% |
ZCB.TO BMO Corporate Bond Index ETF | 1.42% | 3.81% | 6.60% | 8.73% | -10.20% | -2.22% | 8.33% | 8.03% | 0.88% |
Correlation
The correlation between ZST.TO and ZCB.TO is 0.31, which is low. Their price movements are largely independent, making them effective diversification partners.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.31 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.30 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.31 |
Correlation (All Time) Calculated using the full available price history since Mar 19, 2018 | 0.25 |
Compare stocks, funds, or ETFs
Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.
Return for Risk
ZST.TO vs. ZCB.TO — Risk / Return Rank
ZST.TO
ZCB.TO
ZST.TO vs. ZCB.TO - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for BMO Ultra Short-Term Bond ETF (ZST.TO) and BMO Corporate Bond Index ETF (ZCB.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.
| ZST.TO | ZCB.TO | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | +0.46 | ||
| Sortino ratioReturn per unit of downside risk | +0.10 | ||
| Omega ratioGain probability vs. loss probability | 1.84 | 1.21 | +0.62 |
| Calmar ratioReturn relative to maximum drawdown | 1.70 | 1.62 | +0.08 |
| Martin ratioReturn relative to average drawdown | 4.56 | 4.80 | -0.24 |
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month. | |||
Loading charts...
Sharpe Ratios by Period
| ZST.TO | ZCB.TO | Difference | |
|---|---|---|---|
Sharpe Ratio (1Y)Calculated over the trailing 1-year period | 1.58 | 1.12 | +0.46 |
Sharpe Ratio (5Y)Calculated over the trailing 5-year period | 4.16 | 0.39 | +3.77 |
Sharpe Ratio (10Y)Calculated over the trailing 10-year period | 3.37 | — | — |
Sharpe Ratio (All Time)Calculated using the full available price history | 1.43 | 0.54 | +0.89 |
Drawdowns
ZST.TO vs. ZCB.TO - Drawdown Comparison
The maximum ZST.TO drawdown since its inception was -3.60%, smaller than the maximum ZCB.TO drawdown of -15.70%. Use the drawdown chart below to compare losses from any high point for ZST.TO and ZCB.TO.
Loading charts...
Drawdown Indicators
| ZST.TO | ZCB.TO | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -3.60% | -15.70% | +12.10% |
Max Drawdown (1Y)Largest decline over 1 year | -1.01% | -2.55% | +1.54% |
Max Drawdown (3Y)Largest decline over 3 years | -1.01% | -3.27% | +2.26% |
Max Drawdown (5Y)Largest decline over 5 years | -1.01% | -14.20% | +13.19% |
Max Drawdown (10Y)Largest decline over 10 years | -1.06% | — | — |
Current DrawdownCurrent decline from peak | -0.02% | -0.60% | +0.58% |
Average DrawdownAverage peak-to-trough decline | -0.58% | -3.70% | +3.12% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 0.37% | 0.86% | -0.49% |
Volatility
ZST.TO vs. ZCB.TO - Volatility Comparison
The current volatility for BMO Ultra Short-Term Bond ETF (ZST.TO) is 0.08%, while BMO Corporate Bond Index ETF (ZCB.TO) has a volatility of 1.41%. This indicates that ZST.TO experiences smaller price fluctuations and is considered to be less risky than ZCB.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
Loading charts...
Volatility by Period
| ZST.TO | ZCB.TO | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 0.08% | 1.41% | -1.33% |
Volatility (6M)Calculated over the trailing 6-month period | 1.05% | 3.01% | -1.96% |
Volatility (1Y)Calculated over the trailing 1-year period | 1.08% | 3.70% | -2.62% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 0.72% | 5.19% | -4.47% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 0.71% | 5.42% | -4.71% |
ZST.TO vs. ZCB.TO - Expense Ratio Comparison
Both ZST.TO and ZCB.TO have an expense ratio of 0.17%, making them cost-effective options compared to the broader market, where average expense ratios typically range from 0.3% to 0.9%.
Dividends
ZST.TO vs. ZCB.TO - Dividend Comparison
ZST.TO's dividend yield for the trailing twelve months is around 2.56%, less than ZCB.TO's 4.05% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
ZCB.TO BMO Corporate Bond Index ETF | 4.05% | 4.00% | 3.84% | 3.89% | 3.62% | 3.13% | 2.97% | 3.12% | 3.27% | 0.00% | 0.00% | 0.00% |
ZST.TO BMO Ultra Short-Term Bond ETF | 2.56% | 2.85% | 4.70% | 4.84% | 2.78% | 2.31% | 2.68% | 2.84% | 3.47% | 4.09% | 3.96% | 3.94% |
Frequently Asked Questions
ZST.TO and ZCB.TO have a correlation of 0.31, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
Both ETFs have the same 0.17% expense ratio. The better choice depends on whether you care most about return, fees, risk, or income.
ZST.TO and ZCB.TO have the same expense ratio: 0.17% per year.
ZST.TO is categorized as Canadian Government Bonds, while ZCB.TO is Corporate Bonds.
Find the right allocation for ZST.TO and ZCB.TO
Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.
Open Portfolio Optimizer