- iShares S&P/TSX Canadian Dividend Aristocrats Index ETF (CDZ)
- Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY)
- CI Canada Quality Dividend Growth Index ETF (DGRC)
Q: I am nearing retirement and planning to rebalance my taxable portfolio towards Canadian dividend stocks and ETFs, so that I can live off CPP and eligible dividends in retirement. What are your favorite Canadian ETFs where all distributions are treated as eligible dividends? You recommended CDZ many times, is it still your favorite?
5i Research Answer:
We like CDZ, but DGRC has outperformed it marginally over five years (9.73% vs 9.58%) and has lower fees as well. VDY is high dividend (as opposed to dividend growth) and has done even better (12.16%) but it is a bit different overall. It shows as having 0.50% US exposure today.