# Canadian ETF's that track the Dow Jones Industrial Average in the US?



## lyl (Apr 1, 2017)

Hi - I thought this would be easy to find but not so, is anyone aware of a Canadian ETF that tracks the Dow? I am not sure if I want one that is currency hedged or not so if you can suggest one that is both in US and CAD (if available) it would be greatly appreciated.


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## AltaRed (Jun 8, 2009)

Why the Dow Jones Industrial average? It is perhaps the worst 'broad' index in the world. Based on 30 industrials? Really now.... 

The S&P500 is the real US index.


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## jargey3000 (Jan 25, 2011)

AltaRed said:


> Why the Dow Jones Industrial average? It is perhaps the worst 'broad' index in the world. Based on 30 industrials? Really now....
> 
> The S&P500 is the real US index.


OK.... what do people think is /are the "best ETF(s)" -in your opinions - to track the S&P500, GOING FORWARD, as they say.
I'd be interested in seeing both C$ and US$ ETFs. thanks
(sorry if I'm hijacking your thread , lyl...)


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## lyl (Apr 1, 2017)

Thanks for the reply, I have my reasons for wanting to track the Dow, and choosing it over other indexes.


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## off.by.10 (Mar 16, 2014)

BMO has ZDJ which is hedged. I find the MER a bit high at 0.26% but it's not that bad in absolute terms. For reference, their S&P 500 hedged fund, ZUE, is at 0.11%. I don't know of any canadian dow fund which is not currency hedged but it was a few years ago that I looked into that. I no longer have any because of the combination of higher MER, too few stocks in it and little difference from the S&P 500 in practice (I had both).


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## jargey3000 (Jan 25, 2011)

lyl said:


> Thanks for the reply, I have my reasons for wanting to track the Dow, and choosing it over other indexes.


oops...maybe i should butt out then?


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## redsgomarching (Mar 6, 2016)

lyl said:


> Thanks for the reply, I have my reasons for wanting to track the Dow, and choosing it over other indexes.


then do your own research using your own reasons.


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## lyl (Apr 1, 2017)

off.by.10 said:


> BMO has ZDJ which is hedged. I find the MER a bit high at 0.26% but it's not that bad in absolute terms. For reference, their S&P 500 hedged fund, ZUE, is at 0.11%. I don't know of any canadian dow fund which is not currency hedged but it was a few years ago that I looked into that. I no longer have any because of the combination of higher MER, too few stocks in it and little difference from the S&P 500 in practice (I had both).


Thanks for this, exactly what I was looking for.


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## lyl (Apr 1, 2017)

jargey3000 said:


> OK.... what do people think is /are the "best ETF(s)" -in your opinions - to track the S&P500, GOING FORWARD, as they say.
> I'd be interested in seeing both C$ and US$ ETFs. thanks
> (sorry if I'm hijacking your thread , lyl...)


When I looked into this last time I came across these three choices in order of preference:

Vanguard S&P 500 ETF (VOO) 
iShares Core S&P 500 ETF (IVV) 
SPDR® S&P 500 (SPY) 

However at that time I was looking for holding in US funds, I am not sure what is available in CAD at the moment other than ZUE which was already mentioned in this thread. I guess it comes down to your strategy and if you wish to have a currency play at the same time.


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## AltaRed (Jun 8, 2009)

There are a dozen or more of non-hedged CAD denominated ETFS that invest in the S&P500, which is the dominant index. The Dow Jones is good for lazy media headlines only.

Just look at the Wikipedia list (likely out of date or incomplete) as an example. https://en.wikipedia.org/wiki/List_of_Canadian_exchange-traded_funds


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## lyl (Apr 1, 2017)

AltaRed said:


> There are a dozen or more of non-hedged CAD denominated ETFS that invest in the S&P500, which is the dominant index. The Dow Jones is good for lazy media headlines only.
> 
> Just look at the Wikipedia list (likely out of date or incomplete) as an example. https://en.wikipedia.org/wiki/List_of_Canadian_exchange-traded_funds


Great list!


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## AltaRed (Jun 8, 2009)

lyl said:


> Great list!


Just recognize it is not complete. TD and RBC have each launched, or will launch, their own series of ETFS as well. FWIW though, it is best not to invest in 'new' ETFs. It takes awhile for them to become effective and efficient and minimize tracking errors. BlackRock, BMO and Vanguard are the main players to date. I don't even read about the other players....but you may wish to do so.


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## jargey3000 (Jan 25, 2011)

AltaRed said:


> Just recognize it is not complete. TD and RBC have each launched, or will launch, their own series of ETFS as well. FWIW though, it is best not to invest in 'new' ETFs. It takes awhile for them to become effective and efficient and minimize tracking errors. BlackRock, BMO and Vanguard are the main players to date. I don't even read about the other players....but you may wish to do so.


...remember, a few years back, when the big news was: "Vanguard's Coming to Canada!".....


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## AltaRed (Jun 8, 2009)

jargey3000 said:


> ...remember, a few years back, when the big news was: "Vanguard's Coming to Canada!".....


Indeed..... The field is getting too crowded now. I suspect the TD and RBC offerings are more about them setting up their own robo-advisory business than for DIY retail customers at large. There is no real reason to try and make almost 'exact' copies of what can get from the established 3 players.


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## jargey3000 (Jan 25, 2011)

re upthread comments....
seems to me people like to discredit...or look down on... the DJIA.....why?????


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## AltaRed (Jun 8, 2009)

The Dow Jones average is an algorithm based on 30 stocks. Can 30 stocks represent the entire US stock market by sector and weighting? http://money.cnn.com/data/dow30/


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## jargey3000 (Jan 25, 2011)

AltaRed said:


> The Dow Jones average is an algorithm based on 30 stocks. Can 30 stocks represent the entire US stock market by sector and weighting? http://money.cnn.com/data/dow30/


no....no, they can't... so what?
but, they're a _nice _ bunch of grand old stock names that i wish _I_ had owned for the last 25 years or so.

edit: I'm sure sure someone'll bring up a chart in realtion to above comment LOL!


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## jargey3000 (Jan 25, 2011)

jargey3000 said:


> no....no, they can't... so what?
> but, they're a _nice _ bunch of grand old stock names that i wish _I_ had owned for the last 25 years or so.
> 
> edit: I'm sure sure someone'll bring up a chart in realtion to above comment LOL!


LOL- here it is: it'd be worth $320 million today? can that be right? is my math right?
Not too shabby!!

https://dqydj.com/dow-jones-return-calculator/


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## kelaa (Apr 5, 2016)

I have a bit of the TD's Dow e-series fund. MER of 0.33% is not too bad. I think we originally divided it up as 60% S&P500 / 25% DOW and 15% NASDAQ 100. I wanted to overweight large cap and tech than the base S&P500. The NASDAQ has a higher MER of around 0.5%, which makes me inclined to move out of eventually. The Dow and NASDAQ have incidentally done better in this timeframe.


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## fatcat (Nov 11, 2009)

in google finance i get DIA outperforming SPY since 2000 and it has a higher yield ...


DIAMONDS Trust Series I252.72 USD174.61%
SPDR S&P 500 Trust ETF273.42 USD122.98%




the dow has some kind of magic attached to it .... i owned DIA a few years back because i liked the sector mix and the companies in it


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## lonewolf :) (Sep 13, 2016)

Historians love the DJI can back test a lot of years.

Looks like we could be getting another 29 style bubble where international money will invest in the DJI again.


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## fatcat (Nov 11, 2009)

look at the current sector mix of DIA, it complements something like XIU perfectly


Industrials 23.61%Information Technology 17.16%Financials 16.12%Consumer Discretionary 14.72%Health Care 12.52%Consumer Staples 6.52%Energy 5.87%Materials 2.05%Telecommunication Services 1.43%


all the stuff we are overloaded on up here: energy, telecom, materials and staples (though i prefer the us staples) are at the bottom of the holdings whereas the stuff we need up here like info tech, consumer discretionary, health care and to a lesser extent, industrials are represented at the top

if i was looking for a single etf going forward i would go with IVV or SPY but DIA has a place for some investors


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