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iShares Core S&P U.S. Total Market Index ETF (XUU)
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iShares U.S. Small Cap Index ETF (CAD-Hedged) (XSU)
Q: Hi 5iTeam,
May I please have your comments on the above ETFs. If you have to choice one out of these 2, which one would be your choice and why?
Also, in your opinion, are there better options on the market right now.
Thanks and deduct as many credits as you deem fit.
H
May I please have your comments on the above ETFs. If you have to choice one out of these 2, which one would be your choice and why?
Also, in your opinion, are there better options on the market right now.
Thanks and deduct as many credits as you deem fit.
H
5i Research Answer:
We think both are good options with XUU being the less risky option and XSU being the riskier, higher upside option. XUU has a strong history of outperformance and for a long-term hold we think XUU will do better. The fee is also significantly lower at 0.07% compared to XSU at 0.36%. We think that ZSML could be a better option as opposed to XSU because we prefer unhedged ETFs and it invests in the S&P 600 which has higher quality names vs the Russell 2000.
Authors of this answer, directors, partners and/or officers of 5i Research and/or affiliated companies have a financial or other interest in XSU.