Vanguard FTSE Canada All Cap Index ETF (TSE: VCN)
From Vanguard Canada's website, VCN "seeks to track, to the extent reasonably possible and before fees and expenses, the performance of a broad Canadian equity index that measures the investment return of large, mid- and small-capitalization, publicly traded securities in the Canadian market." The ETF currently holds 221 companies' stocks, has a P/E of 28.5X, a 1.9X P/B ratio, and a 11.6% ROE. The ETF's top three holdings are Royal Bank, TD Bank and Bank of Nova Scotia. The fund's top 10 holdings account for 39.1% of its net assets. The fund's management expense ratio is 0.06%.
Vanguard FTSE All-World Ex Canada Index ETF (TSE: VXC)
Also from Vanguard Canada's website, VXC "seeks to track, to the extent reasonably possible and before fees and expenses, the performance of a broad global equity index that focuses on developed and emerging markets, excluding Canada." The ETF currently holds 9781 companies' stocks, has a P/E of 22.7X, a 2.1X P/B ratio, and a 15.6% ROE. The ETF's top three holdings are Apple, Microsoft, and Exxon Mobil. The fund's top 10 holdings account for 8.3% of its net assets. The fund's management expense ratio is 0.27%.
In order to bring the two positions in-line, I bought 44 additional shares of VCN compared to 37 shares of VXC. The total transaction costs were $20. I will rebalance the portfolio when I make the 2018 RESP contribution. I continue to feel that an all equity portfolio diversified across the world meets the risk profile and investment objectives of my son who has a 15 year time horizon before he needs to start withdrawing the funds for college or university.
My Investment Holdings page is updated to reflect the additional shares of VCN and VXC I purchased for my son's RESP.
Do you own any index ETFs or index funds?