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iShares Core Canadian Short Term Bond Index ETF (XSB $26.85)
- $26.85 P/E (TTM): 14.52X Cap: $4.07B
- View XSB Profile
- View Questions on XSB
iShares Core Canadian Universe Bond Index ETF (XBB $28.09)
- $28.09 P/E (TTM): 11.34X Cap: $9.96B
- View XBB Profile
- View Questions on XBB

Q: Hi
I just saw a question regarding bonds. It is probably evident that I don[t understand bonds very well. But, I was wondering why you would recommend xbb rather than something like xsb. I know one is short term and one mid term, but I don't knowwhen to use each one
thanks

Asked by joseph on May 11, 2026

5i Research Answer:

Bonds are sensitive to interest rate moves. XBB is a more diversified fund, holding bonds of different maturities. If interest rates fall, its potential for gains increases, and will be more than a short term bond fund such as XSB. XSB is generally viewed more as a temporary, short term holding with less interest rate risk. With rates in Canada expected to fall, XBB should offer more potential. Longer term bonds also (usually) yield more.

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