Q: you recently answered question re XIC vs CDZ like this:
we would prefer XIC as it has a lower MER at 0.06%, vs. CDZ at 0.66%
I've gone with CDZ in the past because of its lower holdings in financials. Does XiC's lower MER make up for the higher allocation?
we would prefer XIC as it has a lower MER at 0.06%, vs. CDZ at 0.66%
I've gone with CDZ in the past because of its lower holdings in financials. Does XiC's lower MER make up for the higher allocation?
5i Research Answer:
They really have different focus. CDZ is specifically targetting dividend growth companies and XIC is a capped index designed to replicate the general Canadian market. Holdings will be different. XIC has 25% financials, CDZ 21%, so the difference is not huge, and both are lower than the TSX at 30%. The original question wanted 'growth' which led us to side with XIC.