Q: Good day, Your humble opinion on this CDN. bank etf. Thanks again
5i Research Answer:
The TD Canadian Bank Dividend ETF (TBNK) has a small AUM of $23.4M, a decent MER of 0.25%, and a distribution yield of 4.3%. It seeks to track the large Canadian banks, and places a higher weighting towards those with higher dividend growth rates. Currently it has a large weighting towards NA, TD, and RY. Over the past 10 years it has performed very closely with the BMO Equal Weight Banks ETF (ZEB), which has a much better AUM of $3.7B.
We think the concept of TBNK is interesting, but largely, given the similar performances, we would prefer ZEB.