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VEQT Review 2026 | Vanguard All-Equity ETF Portfolio

Updated

If you want the broader shortlist before picking a specific fund, start with best all-in-one ETFs in Canada.

VEQT at a Glance

FeatureDetails
Full nameVanguard All-Equity ETF Portfolio
TickerVEQT
ProviderVanguard Canada
InceptionJanuary 2019
MER0.24%
Asset allocation100% equities
Number of holdings13,000+ (through underlying ETFs)
Distribution frequencyQuarterly
Distribution yield~1.7%
Eligible accountsTFSA, RRSP, RRIF, FHSA, RESP, non-registered
ExchangeTSX

Asset Allocation

That 100% stock mix only makes sense if it matches your timeline and risk tolerance, which we break down in asset allocation by age.

RegionAllocationUnderlying ETF
US equities~42%VUN (Vanguard US Total Market)
Canadian equities~30%VCN (Vanguard FTSE Canada All Cap)
International developed~20%VIU (Vanguard FTSE Developed All Cap ex NA)
Emerging markets~8%VEE (Vanguard FTSE Emerging Markets)

Performance

PeriodVEQT Return
1 year~18-22%*
3 years (annualized)~8-10%*
5 years (annualized)~9-11%*
Since inception (2019)~10-12%*

Returns are approximate. Past performance does not guarantee future results.

Growth of $10,000

Time HorizonAt 8%At 10%
5 years$14,693$16,105
10 years$21,589$25,937
20 years$46,610$67,275
30 years$100,627$174,494

Fees Comparison

ETFMERCost on $100K/Year
XEQT0.20%$200
VEQT0.24%$240
ZEQT0.20%$200
Avg mutual fund2.00%$2,000

The $40/year difference between VEQT and XEQT on $100K is negligible.

VEQT vs Alternatives

FeatureVEQTXEQTVGROXGRO
Equities100%100%80%80%
Bonds0%0%20%20%
MER0.24%0.20%0.24%0.20%
Canadian allocation30%24%24%19%
Best forAggressive growthAggressive growthBalanced growthBalanced growth

If you are comparing the two all-equity options directly, use XEQT vs VEQT.

Top Holdings (Through Underlying ETFs)

CompanyApproximate Weight
Apple~3.5%
Microsoft~3.3%
NVIDIA~2.5%
Amazon~2.0%
Royal Bank of Canada~1.5%
Toronto-Dominion Bank~1.2%
Shopify~0.7%
Alphabet (Google)~1.5%
Meta~1.0%
Broadcom~0.8%

Who Should Buy VEQT

ProfileSuitable?
Long-term growth (10+ years)✅ Ideal
Want more Canadian exposure✅ Better than XEQT (30% vs 24%)
High risk tolerance✅ Yes
One-ETF portfolio✅ Yes
Moderate risk⚠️ Consider VGRO (80/20)
Near retirement⚠️ Consider VBAL (60/40)
Short-term savings❌ Use HISA or GICs

How to Buy VEQT

PlatformCommissionNotes
Wealthsimple$0Easiest, recurring buys
Questrade$0 (ETF buys)Best for larger accounts
Interactive Brokers~$1Lowest margin rates
TD Direct Investing$9.99Free with certain accounts

Tax Considerations

AccountTreatment
TFSATax-free growth and withdrawals
RRSPTax-deferred; US withholding tax recovered
Non-registeredDividends taxed annually; capital gains on sale

RRSP advantage: US dividends in VEQT benefit from the Canada-US tax treaty, recovering the 15% withholding tax. This doesn’t apply in TFSA.

For the withholding-tax details behind that tradeoff, see tax on US ETFs in Canada.

VEQT pros and cons

Pros:

  • Instant global diversification across 13,000+ stocks in one fund
  • Low 0.24% MER for what is effectively four ETFs in one
  • 100% equity — no return-diluting bonds for long-term investors
  • Available at every major Canadian brokerage
  • Quarterly distributions; eligible for DRIP

Cons:

  • No bonds — 100% equity means 40–50%+ drawdowns in major crashes (2020, 2022)
  • Canada overweight (~30%) relative to Canada’s 3% of global markets
  • 0.24% MER is slightly higher than XEQT (0.20%)
  • Unhedged currency exposure (USD, EUR, GBP, JPY, etc.)

Best for: Long-term investors with a 10+ year time horizon who want maximum simplicity and global diversification without ever rebalancing.

Frequently asked questions

VEQT or XEQT: which is better? Both are excellent one-fund equity ETFs. XEQT (0.20% MER) is slightly cheaper and has a marginally different regional weighting (less Canada, more US). VEQT costs 0.24% but has broader coverage through Vanguard’’s underlying funds. The difference in cost over 20 years on $100,000 is approximately $2,000 — meaningful but not critical. Most investors should just pick one and hold it consistently.

Can I hold VEQT forever? Yes — many passive investors do exactly this. The portfolio rebalances automatically as global market caps shift. You never need to manually rebalance or add new funds. The only time you would change is if your risk tolerance or time horizon changes (e.g., approaching retirement and wanting to add bonds).

Is VEQT good for a TFSA? Yes. VEQT in a TFSA means all growth — including US and international dividends — compounds tax-free. There is a small withholding tax drag (~0.20–0.30%) on the US and international components, but this is embedded in the fund and is a minor cost versus the tax-free growth benefit.