4 Best-Performing ETFs in Canada by Returns (October 2026)
The best-performing ETFs in Canada include XQQ.TO (Nasdaq-100, ~0.20% MER), ZSP.TO (S&P 500, ~0.09%), TEC.TO (global tech, ~0.35%), and HQU.TO (2x leveraged Nasdaq ETF). These ETFs have delivered strong returns but carry higher volatility, making them better suited for growth-focused TFSA or RRSP portfolios.
When investors search for the best-performing ETFs in Canada, they’re usually looking at funds that have delivered strong returns over recent years — often driven by exposure to high-growth sectors like technology and U.S. equities. ETFs like XQQ.TO and TEC.TO have benefited from the dominance of large-cap tech companies, while ZSP.TO tracks the S&P 500, one of the best-performing indices globally.
However, high performance often comes with higher risk. Leveraged ETFs like HQU.TO can amplify returns during bull markets, but also magnify losses during downturns. Even non-leveraged ETFs like XQQ.TO can be more volatile due to their heavy concentration in a single sector.
In this guide, we break down the best-performing ETFs in Canada, comparing returns, risk levels, and fees so you can decide which ETFs fit your TFSA, RRSP, or long-term growth strategy.
At a Glance: Quick Comparison
Side-by-side snapshot of fees, yield, and returns. Data updates daily.
| ETF | MER | AUM | Yield | YTD | 1Y |
|---|---|---|---|---|---|
Top XQQ.TO iShares NASDAQ 100 (CAD Hedged) | — | $5.7B | 0.22% | +19.25% | +23.22% |
ZSP.TO BMO S&P 500 Index ETF | — | $25.6B | 0.76% | +15.77% | +20.01% |
TEC.TO TD Global Technology Leaders Index ETF | — | $5.4B | 0.08% | +22.75% | +23.80% |
HQU.TO BetaPro NASDAQ-100® 2x Daily Bull ETF | — | $502M | — | -6.69% | +42.28% |
What Is an ETF?
A best-performing ETF in Canada typically refers to funds that have delivered strong historical returns, often by concentrating on high-growth sectors or markets. These ETFs usually track indices like the Nasdaq-100 or S&P 500, which have outperformed broader markets in recent years.
For example, XQQ.TO tracks the Nasdaq-100 with an MER around 0.20%, giving exposure to major tech companies like Apple, Microsoft, and Nvidia. TEC.TO offers a broader global technology basket with an MER of ~0.35%, while ZSP.TO tracks the S&P 500 at a low cost (~0.09% MER). HQU.TO is a leveraged ETF that aims to deliver 2x the daily return of the Nasdaq-100, significantly increasing both potential gains and losses.
These ETFs are commonly used in TFSAs and RRSPs for growth-focused portfolios, but they are less diversified than all-in-one ETFs and may experience higher volatility. Investors typically use them to boost returns rather than as a complete portfolio solution.
The 4 Best ETFs: Ranked & Reviewed
Detailed breakdown of each pick with live data.
iShares NASDAQ 100 (CAD Hedged)
$74.09
+19.25% YTD
Returns
YTD
+19.25%
1Y
+23.22%
3Y
+25.81%
5Y
+13.53%
BMO S&P 500 Index ETF
$119.35
+15.77% YTD
Returns
YTD
+15.77%
1Y
+20.01%
3Y
+24.61%
5Y
+15.49%
TD Global Technology Leaders Index ETF
$64.92
+22.75% YTD
NA
Returns
YTD
+22.75%
1Y
+23.80%
3Y
+32.47%
5Y
+17.32%
BetaPro NASDAQ-100® 2x Daily Bull ETF
$26.62
-6.69% YTD
Returns
YTD
-6.69%
1Y
+42.28%
3Y
+41.49%
5Y
+16.98%
Pros & Cons
Pros
- Strong historical returns driven by high-growth sectors like technology and U.S. equities
- Exposure to leading companies through ETFs like XQQ.TO and ZSP.TO
- Low MER options available (ZSP.TO ~0.09%, XQQ.TO ~0.20%)
- Potential to outperform broad-market ETFs in bull markets
Cons
- Higher volatility due to sector concentration (especially tech-heavy ETFs)
- Leveraged ETFs like HQU.TO significantly increase downside risk
- Not suitable as a standalone portfolio due to limited diversification
- Performance can reverse quickly during market downturns
Compare These ETFs Head-to-Head
Drill into a side-by-side breakdown of performance, AUM, and yield.
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Frequently Asked Questions
What is the best-performing ETF in Canada over the long term?
ETFs tracking U.S. equities and technology have historically delivered the strongest returns. XQQ.TO (Nasdaq-100, ~0.20% MER) and ZSP.TO (S&P 500, ~0.09%) are among the top performers due to exposure to large-cap growth stocks. However, past performance does not guarantee future returns, and these ETFs can be more volatile.
Are leveraged ETFs like HQU.TO a good way to boost returns?
HQU.TO aims to deliver 2x the daily return of the Nasdaq-100, which can significantly boost gains in strong markets. However, it also amplifies losses and is subject to compounding effects over time, making it unsuitable for long-term holding. Leveraged ETFs are generally better suited for short-term trading rather than core investing.
Can I hold high-performing ETFs like XQQ.TO in a TFSA?
Yes, ETFs like XQQ.TO and TEC.TO are commonly held in TFSAs because they offer strong growth potential and tax-free capital gains. However, since they hold U.S. stocks, dividends may be subject to foreign withholding tax. Despite this, many investors still use them as growth-focused holdings within a TFSA.