ZUQ.TO vs. ZEA.TO

Last updated Jun 4, 2026

ZUQ.TO (BMO MSCI USA High Quality Index ETF) and ZEA.TO (BMO MSCI EAFE Index ETF) are both exchange-traded funds - ZUQ.TO is a Large Cap Blend Equities fund tracking the MSCI USA Quality Index, while ZEA.TO is a Global Equities fund tracking the MSCI EAFE Index. Both are passively managed. Over the past 10 years, ZUQ.TO returned 16.38%/yr vs 9.78%/yr for ZEA.TO. A 0.64 correlation means they provide meaningful diversification when combined. ZUQ.TO charges 0.33%/yr vs 0.22%/yr for ZEA.TO.

Performance

ZUQ.TO vs. ZEA.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 BMO MSCI EAFE Index ETF (ZEA.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 ZEA.TO's 10.01% return. Over the past 10 years, ZUQ.TO has outperformed ZEA.TO with an annualized return of 16.38%, while ZEA.TO has yielded a comparatively lower 9.78% 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%

ZEA.TO

• 1D: -0.45%
• 1M: 5.71%
• YTD: 10.01%
• 6M: 10.15%
• 1Y: 22.06%
• 3Y*: 17.46%
• 5Y*: 11.02%
• 10Y*: 9.78%

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

ZUQ.TO vs. ZEA.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%
ZEA.TO BMO MSCI EAFE Index ETF	10.01%	24.28%	11.56%	16.02%	-8.51%	10.64%	5.13%	16.71%	-6.24%	16.77%

Correlation

The correlation between ZUQ.TO and ZEA.TO is 0.68, 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	0.68
Correlation (3Y) Calculated over the trailing 3-year period	0.62
Correlation (5Y) Calculated over the trailing 5-year period	0.64
Correlation (10Y) Calculated over the trailing 10-year period	0.65
Correlation (All Time) Calculated using the full available price history since Nov 14, 2014	0.64

The correlation between ZUQ.TO and ZEA.TO has been stable across timeframes, ranging from 0.62 to 0.68 - a consistent structural relationship.

ZUQ.TO vs. ZEA.TO - Sectors Allocation Comparison

Sectors	ZUQ.TO	ZEA.TO
Technology	33.8%	10.5%
Healthcare	14.8%	10.5%
Communication Services	14.5%	4.6%
Consumer Defensive	11.1%	6.8%
Industrials	11.0%	20.0%
Financial Services	10.1%	24.4%
Consumer Cyclical	2.8%	7.6%
Basic Materials	1.7%	6.0%
Energy	0.2%	3.9%
Utilities	0.1%	3.9%
Real Estate	-	1.9%

Return for Risk

ZUQ.TO vs. ZEA.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

ZEA.TO

ZEA.TO Risk / Return Rank: 44
ZEA.TO Sharpe Ratio Rank: 45
ZEA.TO Sortino Ratio Rank: 45
ZEA.TO Omega Ratio Rank: 46
ZEA.TO Calmar Ratio Rank: 40
ZEA.TO Martin Ratio Rank: 47

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. ZEA.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 BMO MSCI EAFE Index ETF (ZEA.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	ZEA.TO	Difference
Sharpe ratio: Return per unit of total volatility	1.56	1.59	-0.03
Sortino ratio: Return per unit of downside risk	2.15	2.28	-0.14
Omega ratio: Gain probability vs. loss probability	1.30	1.30	0.00
Calmar ratio: Return relative to maximum drawdown	1.81	2.03	-0.22
Martin ratio: Return relative to average drawdown	5.87	7.92	-2.05
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. ZEA.TO - Sharpe Ratio Comparison

The current ZUQ.TO Sharpe Ratio is 1.56, which is comparable to the ZEA.TO Sharpe Ratio of 1.59. The chart below compares the historical Sharpe Ratios of ZUQ.TO and ZEA.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	ZEA.TO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	1.56	1.59	-0.03
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.94	0.82	+0.12
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.94	0.66	+0.28
Sharpe Ratio (All Time) Calculated using the full available price history	0.94	0.59	+0.34

Drawdowns

ZUQ.TO vs. ZEA.TO - Drawdown Comparison

The maximum ZUQ.TO drawdown since its inception was -26.94%, roughly equal to the maximum ZEA.TO drawdown of -27.80%. Use the drawdown chart below to compare losses from any high point for ZUQ.TO and ZEA.TO.

Drawdown Indicators

	ZUQ.TO	ZEA.TO	Difference
Max Drawdown Largest peak-to-trough decline	-26.94%	-27.80%	+0.86%
Max Drawdown (1Y) Largest decline over 1 year	-10.57%	-10.91%	+0.34%
Max Drawdown (3Y) Largest decline over 3 years	-17.93%	-14.11%	-3.82%
Max Drawdown (5Y) Largest decline over 5 years	-26.94%	-23.67%	-3.27%
Max Drawdown (10Y) Largest decline over 10 years	-26.94%	-27.80%	+0.86%
Current Drawdown Current decline from peak	-0.10%	-2.13%	+2.03%
Average Drawdown Average peak-to-trough decline	-4.60%	-4.63%	+0.03%
Ulcer Index Depth and duration of drawdowns from previous peaks	3.26%	2.79%	+0.47%

Volatility

ZUQ.TO vs. ZEA.TO - Volatility Comparison

The current volatility for BMO MSCI USA High Quality Index ETF (ZUQ.TO) is 2.31%, while BMO MSCI EAFE Index ETF (ZEA.TO) has a volatility of 5.70%. This indicates that ZUQ.TO experiences smaller price fluctuations and is considered to be less risky than ZEA.TO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZUQ.TO	ZEA.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.31%	5.70%	-3.39%
Volatility (6M) Calculated over the trailing 6-month period	9.60%	11.68%	-2.08%
Volatility (1Y) Calculated over the trailing 1-year period	12.29%	13.94%	-1.65%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	16.35%	13.51%	+2.84%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	17.52%	14.92%	+2.60%

ZUQ.TO vs. ZEA.TO - Expense Ratio Comparison

ZUQ.TO has a 0.33% expense ratio, which is higher than ZEA.TO's 0.22% expense ratio.

Dividends

ZUQ.TO vs. ZEA.TO - Dividend Comparison

ZUQ.TO's dividend yield for the trailing twelve months is around 0.43%, less than ZEA.TO's 1.94% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ZEA.TO BMO MSCI EAFE Index ETF	1.94%	2.17%	2.77%	3.00%	3.06%	2.48%	2.72%	2.93%	3.03%	2.39%	2.78%	2.42%
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 ZEA.TO in my portfolio?

ZUQ.TO and ZEA.TO have a correlation of 0.68, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ZUQ.TO or ZEA.TO?

On fees, ZEA.TO is cheaper at 0.22% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ZUQ.TO or ZEA.TO?

ZEA.TO is cheaper with a 0.22% expense ratio, compared with 0.33% for ZUQ.TO.

What is the main difference between ZUQ.TO and ZEA.TO?

ZUQ.TO is categorized as Large Cap Blend Equities, while ZEA.TO is Global Equities. ZUQ.TO tracks MSCI USA Quality Index, while ZEA.TO tracks MSCI EAFE Index. Their fees differ too: 0.33% for ZUQ.TO and 0.22% for ZEA.TO.