ZUQ.TO vs. RY.TO

Last updated Jun 4, 2026

ZUQ.TO (BMO MSCI USA High Quality Index ETF) is Large Cap Blend Equities fund tracking the MSCI USA Quality Index, while RY.TO (Royal Bank of Canada) is a stock. Over the past 10 years, ZUQ.TO returned 16.38%/yr vs 17.23%/yr for RY.TO. At a 0.36 correlation, their price movements are largely independent.

Performance

ZUQ.TO vs. RY.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO MSCI USA High Quality Index ETF (ZUQ.TO) and Royal Bank of Canada (RY.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZUQ.TO achieves a 9.39% return, which is significantly lower than RY.TO's 15.19% return. Over the past 10 years, ZUQ.TO has underperformed RY.TO with an annualized return of 16.38%, while RY.TO has yielded a comparatively higher 17.23% annualized return.

ZUQ.TO

• 1D: 0.28%
• 1M: 5.91%
• YTD: 9.39%
• 6M: 3.18%
• 1Y: 19.10%
• 3Y*: 20.39%
• 5Y*: 15.26%
• 10Y*: 16.38%

RY.TO

• 1D: 0.47%
• 1M: 9.67%
• YTD: 15.19%
• 6M: 23.28%
• 1Y: 56.56%
• 3Y*: 33.65%
• 5Y*: 20.37%
• 10Y*: 17.23%

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

ZUQ.TO vs. RY.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ZUQ.TO BMO MSCI USA High Quality Index ETF	9.39%	5.78%	34.02%	33.24%	-18.33%	26.40%	19.92%	31.74%	4.70%	16.90%
RY.TO Royal Bank of Canada	15.19%	39.60%	34.37%	9.80%	-1.52%	33.09%	6.52%	14.33%	-5.50%	17.12%

Correlation

The correlation between ZUQ.TO and RY.TO is 0.51, 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	0.51
Correlation (3Y) Calculated over the trailing 3-year period	0.40
Correlation (5Y) Calculated over the trailing 5-year period	0.40
Correlation (10Y) Calculated over the trailing 10-year period	0.40
Correlation (All Time) Calculated using the full available price history since Nov 14, 2014	0.36

The correlation between ZUQ.TO and RY.TO shifts across timeframes, from 0.36 (all time) to 0.51 (1 year), reflecting how their relationship changes across market environments.

Return for Risk

ZUQ.TO vs. RY.TO — Risk / Return Rank

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

ZUQ.TO

ZUQ.TO Risk / Return Rank: 41
ZUQ.TO Sharpe Ratio Rank: 43
ZUQ.TO Sortino Ratio Rank: 42
ZUQ.TO Omega Ratio Rank: 46
ZUQ.TO Calmar Ratio Rank: 36
ZUQ.TO Martin Ratio Rank: 37

RY.TO

RY.TO Risk / Return Rank: 97
RY.TO Sharpe Ratio Rank: 97
RY.TO Sortino Ratio Rank: 99
RY.TO Omega Ratio Rank: 98
RY.TO Calmar Ratio Rank: 95
RY.TO Martin Ratio Rank: 97

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.

ZUQ.TO vs. RY.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO MSCI USA High Quality Index ETF (ZUQ.TO) and Royal Bank of Canada (RY.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.

	ZUQ.TO	RY.TO	Difference
Sharpe ratio: Return per unit of total volatility	1.56	4.15	-2.59
Sortino ratio: Return per unit of downside risk	2.15	5.98	-3.83
Omega ratio: Gain probability vs. loss probability	1.30	1.76	-0.46
Calmar ratio: Return relative to maximum drawdown	1.81	7.00	-5.18
Martin ratio: Return relative to average drawdown	5.87	25.96	-20.09
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ZUQ.TO vs. RY.TO - Sharpe Ratio Comparison

The current ZUQ.TO Sharpe Ratio is 1.56, which is lower than the RY.TO Sharpe Ratio of 4.15. The chart below compares the historical Sharpe Ratios of ZUQ.TO and RY.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

	ZUQ.TO	RY.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.56	4.15	-2.59
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.94	1.38	-0.44
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.94	1.00	-0.06
Sharpe Ratio (All Time) Calculated using the full available price history	0.94	0.45	+0.48

Drawdowns

ZUQ.TO vs. RY.TO - Drawdown Comparison

The maximum ZUQ.TO drawdown since its inception was -26.94%, smaller than the maximum RY.TO drawdown of -70.56%. Use the drawdown chart below to compare losses from any high point for ZUQ.TO and RY.TO.

Drawdown Indicators

	ZUQ.TO	RY.TO	Difference
Max Drawdown Largest peak-to-trough decline	-26.94%	-70.56%	+43.62%
Max Drawdown (1Y) Largest decline over 1 year	-10.57%	-8.12%	-2.45%
Max Drawdown (3Y) Largest decline over 3 years	-17.93%	-16.00%	-1.93%
Max Drawdown (5Y) Largest decline over 5 years	-26.94%	-21.21%	-5.73%
Max Drawdown (10Y) Largest decline over 10 years	-26.94%	-33.84%	+6.90%
Current Drawdown Current decline from peak	-0.10%	0.00%	-0.10%
Average Drawdown Average peak-to-trough decline	-4.60%	-20.93%	+16.33%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.26%	2.19%	+1.07%

Volatility

ZUQ.TO vs. RY.TO - Volatility Comparison

The current volatility for BMO MSCI USA High Quality Index ETF (ZUQ.TO) is 2.31%, while Royal Bank of Canada (RY.TO) has a volatility of 4.60%. This indicates that ZUQ.TO experiences smaller price fluctuations and is considered to be less risky than RY.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZUQ.TO	RY.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.31%	4.60%	-2.29%
Volatility (6M) Calculated over the trailing 6-month period	9.60%	10.56%	-0.96%
Volatility (1Y) Calculated over the trailing 1-year period	12.29%	13.70%	-1.41%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.35%	14.91%	+1.44%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.52%	17.26%	+0.26%

Dividends

ZUQ.TO vs. RY.TO - Dividend Comparison

ZUQ.TO's dividend yield for the trailing twelve months is around 0.43%, less than RY.TO's 2.39% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
RY.TO Royal Bank of Canada	2.39%	2.58%	3.23%	3.99%	3.90%	3.22%	4.10%	3.96%	4.03%	3.39%	3.57%	4.15%
ZUQ.TO BMO MSCI USA High Quality Index ETF	0.43%	0.46%	0.57%	0.86%	0.99%	0.80%	0.96%	0.96%	1.07%	1.16%	1.00%	0.88%

Frequently Asked Questions

Can I hold both ZUQ.TO and RY.TO in my portfolio?

ZUQ.TO and RY.TO have a correlation of 0.51, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.