ZWB.TO vs. BANK.TO

Last updated Jul 14, 2026

ZWB.TO (BMO Covered Call Canadian Banks ETF) and BANK.TO (Evolve Canadian Banks and Lifecos Enhanced Yield Index Fund) are both exchange-traded funds - ZWB.TO is a Financials Equities fund actively managed by BMO, while BANK.TO is a Derivative Income fund tracking the Solactive Canadian Core Financials Equal Weight Index. ZWB.TO is actively managed, while BANK.TO is passively managed. Over the past 3 years, ZWB.TO returned 29.12%/yr vs 35.74%/yr for BANK.TO. Their correlation of 0.89 suggests significant overlap in exposure. ZWB.TO charges 0.72%/yr vs 0.60%/yr for BANK.TO.

Performance

ZWB.TO vs. BANK.TO - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO Covered Call Canadian Banks ETF (ZWB.TO) and Evolve Canadian Banks and Lifecos Enhanced Yield Index Fund (BANK.TO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ZWB.TO achieves a 29.10% return, which is significantly lower than BANK.TO's 30.92% return.

ZWB.TO

• 1D: -0.32%
• 1M: 6.08%
• 6M: 27.42%
• YTD: 29.10%
• 1Y: 59.36%
• 3Y*: 29.12%
• 5Y*: 16.30%
• 10Y*: 13.30%

BANK.TO

• 1D: -0.67%
• 1M: 5.91%
• 6M: 28.92%
• YTD: 30.92%
• 1Y: 67.41%
• 3Y*: 35.74%
• 5Y*: —
• 10Y*: —

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

ZWB.TO vs. BANK.TO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022
ZWB.TO BMO Covered Call Canadian Banks ETF	29.10%	34.91%	19.41%	6.67%	-15.81%
BANK.TO Evolve Canadian Banks and Lifecos Enhanced Yield Index Fund	30.92%	41.00%	27.90%	16.23%	-20.47%

Correlation

The correlation between ZWB.TO and BANK.TO is 0.89, 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	0.89
Correlation (3Y) Calculated over the trailing 3-year period	0.88
Correlation (All Time) Calculated using the full available price history since Feb 2, 2022	0.89

The correlation between ZWB.TO and BANK.TO has been stable across timeframes, ranging from 0.88 to 0.89 - a consistent structural relationship.

ZWB.TO vs. BANK.TO - Sectors Allocation Comparison

Sectors	ZWB.TO	BANK.TO
Financial Services	100.0%	100.0%
Basic Materials	-	-
Communication Services	-	-
Consumer Cyclical	-	-
Consumer Defensive	-	-
Energy	-	-
Healthcare	-	-
Industrials	-	-
Real Estate	-	-
Technology	-	-
Utilities	-	-

Return for Risk

ZWB.TO vs. BANK.TO — Risk / Return Rank

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

ZWB.TO

ZWB.TO Risk / Return Rank: 97
ZWB.TO Sharpe Ratio Rank: 98
ZWB.TO Sortino Ratio Rank: 98
ZWB.TO Omega Ratio Rank: 98
ZWB.TO Calmar Ratio Rank: 96
ZWB.TO Martin Ratio Rank: 97

BANK.TO

BANK.TO Risk / Return Rank: 98
BANK.TO Sharpe Ratio Rank: 99
BANK.TO Sortino Ratio Rank: 98
BANK.TO Omega Ratio Rank: 98
BANK.TO Calmar Ratio Rank: 97
BANK.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.

ZWB.TO vs. BANK.TO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO Covered Call Canadian Banks ETF (ZWB.TO) and Evolve Canadian Banks and Lifecos Enhanced Yield Index Fund (BANK.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.

	ZWB.TO	BANK.TO	Difference
Sharpe ratio: Return per unit of total volatility	5.00	5.38	-0.38
Sortino ratio: Return per unit of downside risk	6.72	7.11	-0.39
Omega ratio: Gain probability vs. loss probability	1.92	1.98	-0.06
Calmar ratio: Return relative to maximum drawdown	7.63	8.19	-0.56
Martin ratio: Return relative to average drawdown	34.12	36.18	-2.06

ZWB.TO vs. BANK.TO - Sharpe Ratio Comparison

The current ZWB.TO Sharpe Ratio is 5.00, which is comparable to the BANK.TO Sharpe Ratio of 5.38. The chart below compares the historical Sharpe Ratios of ZWB.TO and BANK.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

ZWB.TO vs. BANK.TO - Drawdown Comparison

The maximum ZWB.TO drawdown since its inception was -39.36%, which is greater than BANK.TO's maximum drawdown of -29.03%. Use the drawdown chart below to compare losses from any high point for ZWB.TO and BANK.TO.

Drawdown Indicators

	ZWB.TO	BANK.TO	Difference
Max Drawdown Largest peak-to-trough decline	-39.36%	-29.03%	-10.33%
Max Drawdown (1Y) Largest decline over 1 year	-7.82%	-8.27%	+0.45%
Max Drawdown (3Y) Largest decline over 3 years	-14.05%	-15.49%	+1.44%
Max Drawdown (5Y) Largest decline over 5 years	-25.26%	—	—
Max Drawdown (10Y) Largest decline over 10 years	-39.36%	—	—
Current Drawdown Current decline from peak	-0.32%	-0.67%	+0.35%
Average Drawdown Average peak-to-trough decline	-5.52%	-8.60%	+3.08%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.75%	1.87%	-0.12%

Volatility

ZWB.TO vs. BANK.TO - Volatility Comparison

BMO Covered Call Canadian Banks ETF (ZWB.TO) and Evolve Canadian Banks and Lifecos Enhanced Yield Index Fund (BANK.TO) have volatilities of 3.72% and 3.73%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZWB.TO	BANK.TO	Difference
Volatility (1M) Calculated over the trailing 1-month period	3.72%	3.73%	-0.01%
Volatility (6M) Calculated over the trailing 6-month period	10.36%	10.92%	-0.56%
Volatility (1Y) Calculated over the trailing 1-year period	11.96%	12.62%	-0.66%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	12.70%	15.62%	-2.92%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	15.68%	15.62%	+0.06%

ZWB.TO vs. BANK.TO - Expense Ratio Comparison

ZWB.TO has a 0.72% expense ratio, which is higher than BANK.TO's 0.60% expense ratio.

Dividends

ZWB.TO vs. BANK.TO - Dividend Comparison

ZWB.TO's dividend yield for the trailing twelve months is around 4.67%, less than BANK.TO's 11.99% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
BANK.TO Evolve Canadian Banks and Lifecos Enhanced Yield Index Fund	11.99%	13.73%	15.28%	13.60%	10.52%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%
ZWB.TO BMO Covered Call Canadian Banks ETF	4.67%	5.38%	6.66%	7.62%	7.30%	5.46%	5.80%	5.53%	5.59%	4.80%	5.04%	5.64%

Frequently Asked Questions

Can I hold both ZWB.TO and BANK.TO in my portfolio?

ZWB.TO and BANK.TO have a correlation of 0.89, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ZWB.TO or BANK.TO?

On fees, BANK.TO is cheaper at 0.60% per year. The better choice depends on whether you care most about return, fees, risk, or income.

Which ETF is cheaper, ZWB.TO or BANK.TO?

BANK.TO is cheaper with a 0.60% expense ratio, compared with 0.72% for ZWB.TO.

What is the main difference between ZWB.TO and BANK.TO?

ZWB.TO is categorized as Financials Equities, while BANK.TO is Derivative Income. They also come from different issuers: BMO and Evolve. Their fees differ too: 0.72% for ZWB.TO and 0.60% for BANK.TO.