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iShares S&P/TSX Canadian Dividend Aristocrats Index ETF (CDZ $41.66)
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Vanguard FTSE Canadian High Dividend Yield Index ETF (VDY $62.73)
Q: I bought VDY, primarily for the dividend, but capital appreciation has been much better than expected. Now I'm looking for a Canadian complement. I note that CDZ also contains financials and energy, but at fairly low percentages, and it seems to cover other sectors well, perhaps a bit better than VDY. Do you think CDZ would be the best complement, or is there another Canadian ETF that would fit nicely beside VDY. Again, the dividend is appreciated, but capital appreciation and low down-side risk would also be very welcome, in addition to sector balance. Thank you for all your great service.
5i Research Answer:
We do think CDZ makes an excellent complement to VDY.