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The Best Canadian ETFs $100 Can Buy on the TSX Today

Whether its dividends, quality stocks, or tech darlings, these ETFs offer growth in practically every area of the market!

Amy Legate-Wolfe

Author Bio Amy became interested in investing in 2018 after having her first daughter. After receiving a masters degree in journalism from Western University, she became frustrated that the finance industry remained a confusing place for Canadians like her: new parents, millennials, and other young people who needed to understand their finances. Now, Amy focuses on tech companies and renewable energy for growth opportunities, coupling that with long-term investing strategies and equities. She also provides investors with a daily newsletter, Canada Stock Digest, for daily market updates. Her work can also be found at Canada's National Observer, where she writes on the business side of climate action. Before joining Motley Fool Canada, Amy wrote for major news organizations including HuffPost, CTVNews.ca, and CBC. When she’s not researching investing strategies, Amy’s time is pretty much monopolized by her two wild daughters, but in what little spare time she has she loves to do yoga, go on walks with her dog, and travel with her husband. Social Media Follow Amy on LinkedIn and Canada Stock Digest. Favorite Investment Quote “October: This is one of the particularly dangerous months to speculate in stocks. The others are July, January, September, April, November, May, March, June, December, August and February.” – Mark Twain

Published June 27, 2024 9:45 pm EDT

Whether you’re after steady dividends, broad market exposure, or tech-driven growth, these exchange-traded funds (ETFs) offer compelling opportunities. With their unique strengths and promising outlooks, each can add a touch of Canadian excellence to your investment portfolio. These ETFs offer unique advantages, from robust dividend income to global tech exposure, making them solid choices for a variety of investment strategies.

Dynamic Active Canadian Dividend ETF

Dynamic Active Canadian Dividend ETF (TSX: DXC) holds an impressive yield of 2.53% and a one-year return of 5.81%. This ETF focuses on high dividend-paying Canadian companies, providing both steady income and potential for capital growth.

Historically, dividend stocks have been a reliable source of income, especially during market volatility. DXC is actively managed, meaning expert portfolio managers are continually on the lookout for the best dividend opportunities in Canada. This proactive approach can lead to better performance compared to passive index funds, particularly in a market that requires agility and expertise.

Looking ahead, the stability of Canadian dividend-paying companies, combined with active management, positions DXC as a resilient investment. It’s perfect for those who want to enjoy regular income without sacrificing the potential for growth.

iShares Core Equity ETF Portfolio

If you’re seeking an investment as vast and diverse as Canada itself, iShares Core Equity ETF Portfolio (TSX: XEQT) might be your best bet. This ETF provides broad exposure to over 10,000 securities worldwide, making it a one-stop shop for global equity investment. With a low management expense ratio (MER) of 0.2%, XEQT is not just a convenient choice but also a cost-effective one.

Historically, diversified portfolios hold reduced risk while capturing the growth potential of global markets. XEQT leverages this principle by holding four major ETFs that track the U.S. market, the Canadian market, developed international markets, and emerging markets.

This comprehensive approach allows investors to benefit from the growth of multiple economies and sectors. It currently holds a dividend yield of 1.9%. Looking to the future, XEQT should capitalize on global economic recovery and growth. Its diversified nature means it’s less vulnerable to the performance of any single market.

TD Global Technology Leaders Index ETF

For those who want to ride the tech wave, TD Global Technology Leaders Index ET (TSX: TEC) is an exciting choice. This ETF focuses on the giants of the technology sector, offering exposure to companies like Apple, Microsoft, Amazon, and Canadian tech star Shopify. With a MER of 0.39%, TEC provides a cost-effective way to tap into the tech boom. Yet it still has just enough for a dividend yield of 0.15%, with returns surging 26% year to date.

Historically, technology stocks have been the rocket fuel for growth portfolios. TEC captures this momentum by investing in mid- and large-cap tech companies globally. Over recent years, tech companies have demonstrated robust growth, significantly outpacing other sectors. This trend should continue as technological advancements drive economic progress.

Looking forward, the tech sector should keep thriving. This is powered by innovations in artificial intelligence, cloud computing, and digital transformation. TEC positions investors to benefit from these advancements.