Is XEQT a good investment?

XEQT is one of the best all-in-one equity ETFs in Canada. With a 0.20% MER, global diversification across 9,000+ stocks, and automatic rebalancing, it is ideal for long-term investors with a high risk tolerance and 10+ year time horizon.

What is the difference between XEQT and VEQT?

Both are 100% equity all-in-one ETFs. XEQT (iShares) has a 0.20% MER and slightly different geographic weightings. VEQT (Vanguard) has a 0.24% MER. Performance is nearly identical. XEQT has slightly lower fees; VEQT has slightly more Canadian allocation.

Does XEQT pay dividends?

Yes. XEQT pays quarterly distributions, typically yielding 1.5-2.0% annually. Distributions include a mix of Canadian eligible dividends, foreign income, and capital gains.

Should I buy XEQT or individual ETFs?

For portfolios under $500K, XEQT is simpler and nearly as efficient. It auto-rebalances across Canadian, US, international, and emerging markets. Building a 4-ETF portfolio yourself might save 0.05–0.10% in fees but requires manual rebalancing. Most investors are better off buying XEQT and focusing on contributing more.

XEQT Review 2026: 0.20% MER, 9,000+ Stocks — iShares All-Equity ETF

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

XEQT at a Glance

Feature	Details
Full name	iShares Core Equity ETF Portfolio
Ticker	XEQT
Provider	BlackRock (iShares)
Inception	August 2019
MER	0.20%
Asset allocation	100% equities
Number of holdings	9,000+ (through underlying ETFs)
Distribution frequency	Quarterly
Distribution yield	~1.7%
Eligible accounts	TFSA, RRSP, RRIF, FHSA, RESP, non-registered
Exchange	TSX

Asset Allocation

That all-equity mix works best after you set risk capacity and timeline using asset allocation by age.

Region	Allocation	Underlying ETF
US equities	~46%	ITOT (iShares Core S&P Total US Stock Market)
Canadian equities	~24%	XIC (iShares Core S&P/TSX Capped Composite)
International developed	~22%	XEF (iShares Core MSCI EAFE IMI)
Emerging markets	~8%	IEMG (iShares Core MSCI Emerging Markets)

Performance

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

Returns are approximate and vary by period measured. Past performance does not guarantee future results.

Growth of $10,000

Time Horizon	At 8% Avg Return	At 10% Avg Return
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

Fee Component	Cost
MER	0.20%
Trading cost ratio	~0.01%
Total cost on $100,000	~$210/year

Fee Comparison

ETF	MER	Annual Cost on $100K
XEQT	0.20%	$200
VEQT	0.24%	$240
ZEQT (BMO)	0.20%	$200
Typical mutual fund	2.00%	$2,000
Robo-advisor (equity)	0.50-0.70%	$500-$700

XEQT vs VEQT

Feature	XEQT	VEQT
MER	0.20%	0.24%
Canadian allocation	~24%	~30%
US allocation	~46%	~42%
International	~22%	~20%
Emerging markets	~8%	~8%
Holdings	9,000+	13,000+
Provider	BlackRock	Vanguard
AUM	$7B+	$8B+
Performance	Nearly identical	Nearly identical

For a dedicated side-by-side breakdown, see XEQT vs VEQT.

Bottom line: Both are excellent. XEQT has slightly lower fees; VEQT has more Canadian exposure. The difference is negligible.

Who Should Buy XEQT

Investor Profile	Suitable?
Long-term investor (10+ years)	✅ Ideal
TFSA/RRSP growth portfolio	✅ Ideal
High risk tolerance	✅ Yes
Wants simplicity (one ETF)	✅ Yes
Moderate risk tolerance	⚠️ Consider XGRO or XBAL instead
Near retirement (5-10 years)	⚠️ May want bonds (XGRO/XBAL)
Need income now	❌ Low yield — consider VDY or ZWB
Short-term savings (under 5 years)	❌ Too volatile — use GIC or HISA

How to Buy XEQT

Step	Action
1	Open a brokerage account (Wealthsimple, Questrade, etc.)
2	Fund your account (TFSA, RRSP, or non-registered)
3	Search for ticker “XEQT”
4	Place a limit order at or near the current price
5	Set up recurring purchases if available

Best Platforms

Platform	Commission	Best For
Wealthsimple	$0	Beginners, recurring purchases
Questrade	$0 (ETF buys)	Cost-conscious investors
Interactive Brokers	~$1	Active investors, large accounts

Tax Efficiency

Account	Tax Treatment
TFSA	All growth and distributions tax-free
RRSP	Tax-deferred; taxed on withdrawal
FHSA	Tax-deductible + tax-free withdrawal for home
Non-registered	Dividends and capital gains taxed annually

Note: XEQT holds US-listed ETFs, meaning there is a layer of US withholding tax (15%) on US dividends in TFSA and non-registered. In RRSP, US withholding is recovered via tax treaty.

If you want the full account-location implications, read best account type for US stocks and ETFs in Canada and tax on US ETFs in Canada.

XEQT at a glance

Feature	Details
Full name	iShares Core Equity ETF Portfolio
Ticker	XEQT
Provider	BlackRock (iShares Canada)
MER	0.20%
Asset allocation	~100% equities (global)
Rebalancing	Automatic
Distribution frequency	Quarterly
Exchange	TSX (CAD)

Frequently asked questions

Is XEQT good for a TFSA? Yes. XEQT is one of the most popular TFSA holdings for long-term investors. The 100% equity allocation suits investors with a 10+ year horizon. The one drawback: US dividends inside XEQT held in a TFSA incur a 15% withholding tax that is not recoverable. In an RRSP, the treaty reduces this drag. For most TFSA investors, the convenience of XEQT outweighs the small withholding tax.

XEQT vs VEQT: which is better? Both are 100% equity global ETFs with similar exposures. XEQT has a slightly lower MER (0.20% vs 0.24%) and uses iShares underlying ETFs; VEQT uses Vanguard underlying ETFs. Performance will be nearly identical over time. The practical difference is which brokerage gives you commission-free trades on each.

What countries does XEQT invest in? XEQT holds four underlying ETFs: ~45% US equities, ~25% Canadian equities, ~25% international developed markets, and ~5% emerging markets. This gives exposure to thousands of companies across North America, Europe, Japan, Australia, and emerging economies like China and India.