ZWC.TO vs. XYLD

Last updated Jun 14, 2026

ZWC.TO (BMO CA High Dividend Covered Call ETF) and XYLD (Global X S&P 500 Covered Call ETF) are both Derivative Income funds. ZWC.TO is actively managed, while XYLD is passively managed. Over the past 5 years, ZWC.TO returned 11.38%/yr vs 10.77%/yr for XYLD. At a 0.43 correlation, their price movements are largely independent. ZWC.TO charges 0.91%/yr vs 0.60%/yr for XYLD.

Performance

ZWC.TO vs. XYLD - Performance Comparison

The chart below illustrates the hypothetical performance of a CA$10,000 investment in BMO CA High Dividend Covered Call ETF (ZWC.TO) and Global X S&P 500 Covered Call ETF (XYLD). The values are adjusted to include any dividend payments, if applicable.

Different Trading Currencies

ZWC.TO is traded in CAD, while XYLD is traded in USD. To make them comparable, the XYLD values have been converted to CAD using the latest available exchange rates.

Returns By Period

In the year-to-date period, ZWC.TO achieves a 12.66% return, which is significantly higher than XYLD's 6.95% return.

ZWC.TO

• 1D: 0.76%
• 1M: 3.01%
• YTD: 12.66%
• 6M: 13.79%
• 1Y: 29.42%
• 3Y*: 17.73%
• 5Y*: 11.38%
• 10Y*: —

XYLD

• 1D: 0.75%
• 1M: 3.24%
• YTD: 6.95%
• 6M: 7.52%
• 1Y: 20.24%
• 3Y*: 12.66%
• 5Y*: 10.77%
• 10Y*: 9.28%

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

ZWC.TO vs. XYLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ZWC.TO BMO CA High Dividend Covered Call ETF	12.66%	22.79%	12.00%	7.54%	-3.53%	25.39%	-6.92%	17.32%	-10.05%	7.34%
XYLD Global X S&P 500 Covered Call ETF	6.95%	3.08%	29.61%	8.46%	-6.48%	19.53%	-2.92%	16.40%	1.80%	7.93%

Correlation

The correlation between ZWC.TO and XYLD is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.40
Correlation (3Y) Calculated over the trailing 3-year period	0.37
Correlation (5Y) Calculated over the trailing 5-year period	0.41
Correlation (All Time) Calculated using the full available price history since Feb 10, 2017	0.43

ZWC.TO vs. XYLD - Sectors Allocation Comparison

Sectors	ZWC.TO	XYLD
Financial Services	38.7%	11.1%
Energy	22.9%	3.2%
Basic Materials	12.7%	1.7%
Utilities	8.9%	2.1%
Communication Services	6.4%	10.6%
Industrials	4.9%	7.8%
Consumer Cyclical	4.1%	9.9%
Consumer Defensive	1.5%	4.5%
Healthcare	-	8.3%
Real Estate	-	1.8%
Technology	-	39.0%

Return for Risk

ZWC.TO vs. XYLD — Risk / Return Rank

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

ZWC.TO

ZWC.TO Risk / Return Rank: 94
ZWC.TO Sharpe Ratio Rank: 96
ZWC.TO Sortino Ratio Rank: 96
ZWC.TO Omega Ratio Rank: 95
ZWC.TO Calmar Ratio Rank: 90
ZWC.TO Martin Ratio Rank: 94

XYLD

XYLD Risk / Return Rank: 85
XYLD Sharpe Ratio Rank: 87
XYLD Sortino Ratio Rank: 88
XYLD Omega Ratio Rank: 93
XYLD Calmar Ratio Rank: 72
XYLD Martin Ratio Rank: 88

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.

ZWC.TO vs. XYLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for BMO CA High Dividend Covered Call ETF (ZWC.TO) and Global X S&P 500 Covered Call ETF (XYLD). 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.

	ZWC.TO	XYLD	Difference
Sharpe ratio: Return per unit of total volatility	3.67	2.48	+1.19
Sortino ratio: Return per unit of downside risk	5.16	3.75	+1.41
Omega ratio: Gain probability vs. loss probability	1.70	1.48	+0.22
Calmar ratio: Return relative to maximum drawdown	4.92	4.53	+0.39
Martin ratio: Return relative to average drawdown	24.13	17.86	+6.28

ZWC.TO vs. XYLD - Sharpe Ratio Comparison

The current ZWC.TO Sharpe Ratio is 3.67, which is higher than the XYLD Sharpe Ratio of 2.48. The chart below compares the historical Sharpe Ratios of ZWC.TO and XYLD, 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

ZWC.TO vs. XYLD - Drawdown Comparison

The maximum ZWC.TO drawdown since its inception was -40.57%, which is greater than XYLD's maximum drawdown of -27.60%. Use the drawdown chart below to compare losses from any high point for ZWC.TO and XYLD.

Drawdown Indicators

	ZWC.TO	XYLD	Difference
Max Drawdown Largest peak-to-trough decline	-40.57%	-27.60%	-12.97%
Max Drawdown (1Y) Largest decline over 1 year	-5.99%	-4.27%	-1.72%
Max Drawdown (3Y) Largest decline over 3 years	-9.09%	-16.88%	+7.79%
Max Drawdown (5Y) Largest decline over 5 years	-16.43%	-16.88%	+0.45%
Max Drawdown (10Y) Largest decline over 10 years	—	-27.60%	—
Current Drawdown Current decline from peak	0.00%	0.00%	0.00%
Average Drawdown Average peak-to-trough decline	-4.68%	-3.64%	-1.04%
Ulcer Index Depth and duration of drawdowns from previous peaks	1.22%	1.08%	+0.14%

Volatility

ZWC.TO vs. XYLD - Volatility Comparison

BMO CA High Dividend Covered Call ETF (ZWC.TO) has a higher volatility of 2.75% compared to Global X S&P 500 Covered Call ETF (XYLD) at 2.38%. This indicates that ZWC.TO's price experiences larger fluctuations and is considered to be riskier than XYLD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ZWC.TO	XYLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	2.75%	2.38%	+0.37%
Volatility (6M) Calculated over the trailing 6-month period	6.98%	6.48%	+0.50%
Volatility (1Y) Calculated over the trailing 1-year period	8.03%	7.78%	+0.25%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	10.16%	12.71%	-2.55%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	14.92%	15.52%	-0.60%

ZWC.TO vs. XYLD - Expense Ratio Comparison

ZWC.TO has a 0.91% expense ratio, which is higher than XYLD's 0.60% expense ratio.

Dividends

ZWC.TO vs. XYLD - Dividend Comparison

ZWC.TO's dividend yield for the trailing twelve months is around 5.56%, less than XYLD's 10.53% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
XYLD Global X S&P 500 Covered Call ETF	10.53%	10.51%	11.54%	10.51%	13.43%	9.07%	7.93%	5.76%	7.12%	5.18%	3.23%	4.65%
ZWC.TO BMO CA High Dividend Covered Call ETF	5.56%	5.92%	6.73%	7.62%	7.01%	6.60%	8.15%	6.92%	7.11%	5.46%	0.00%	0.00%

Frequently Asked Questions

Can I hold both ZWC.TO and XYLD in my portfolio?

ZWC.TO and XYLD have a correlation of 0.40, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which ETF is better, ZWC.TO or XYLD?

On fees, XYLD 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, ZWC.TO or XYLD?

XYLD is cheaper with a 0.60% expense ratio, compared with 0.91% for ZWC.TO.

What is the main difference between ZWC.TO and XYLD?

They also come from different issuers: BMO and Global X. Their fees differ too: 0.91% for ZWC.TO and 0.60% for XYLD.