The Best Canadian ETFs $1,000 Can Buy on the TSX Today

If you’re looking for ETFs that can turn $1,000 into strong cash flow, then these are the ones I’d go with.

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 May 7, 2025 9:30 pm EDT

Putting $1,000 to work on the TSX can be a great way to start, or grow, your investing journey. And what is one of the simplest ways to do it? Exchange-traded funds (ETFs). These handy investments spread your money across dozens or even hundreds of companies, all in one purchase. They’re affordable, low-maintenance, and many are built for the long haul. Three standout options for Canadians today are the Vanguard FTSE Global All Cap ex Canada Index ETF (TSX: VXC), Vanguard Growth ETF Portfolio (TSX: VGRO), and iShares S&P/TSX 60 Index ETF (TSX: XIU).

ETF stands for Exchange Traded Fund — Source: Getty Images

VXC

Let’s start with VXC. If you’ve already got Canadian stocks, or if you want to reduce your home bias, this ETF is built to give you the rest of the world. It holds stocks from the U.S., Europe, Asia, and emerging markets, covering thousands of companies in one shot. That includes household names like Apple, Nestlé, and Toyota. VXC is a great way to add global exposure without the headache of picking international stocks yourself.

As of writing, VXC is trading around $62 per unit and has delivered a one-year return of 8.7%. Its five-year return is even stronger at 70%! You’ll also pick up a modest dividend, currently around 1.4%. With over $2.2 billion in assets, it’s one of the largest global ETFs available to Canadians. It’s a quiet workhorse, nothing flashy, but a powerful way to build wealth over time.

VGRO

Then there’s VGRO, which many investors think of as the “set it and forget it” ETF. It’s built like a full portfolio in one fund. VGRO holds roughly 80% equities and 20% bonds, giving you a blend of growth potential and stability. It’s perfect for someone who wants a one-stop-shop investment they can leave alone for years. VGRO includes Canadian stocks, U.S. giants, global companies, and government and corporate bonds. In short, it’s balanced and broadly diversified.

As of writing, VGRO has posted an 8% return over the past year and 48% over the last five years. That’s solid performance considering it includes a fixed income component. With a price hovering near $37 and more than $6.5 billion in assets, it’s one of the most popular all-in-one ETFs on the TSX. If you’re not sure how to split your $1,000 across sectors or countries, VGRO does the thinking for you.

XIU

Last but not least is XIU. This one’s a Canadian classic. It tracks the S&P/TSX 60, which includes the 60 largest publicly traded companies in Canada. Think big banks like RBC and TD, pipeline giants like Enbridge, and top names in mining, telecom, and energy. XIU is known for its stability, and it pays a solid dividend to boot, currently yielding just under 3%.

As of writing, XIU is trading around $38 per unit and has returned 12% over the past year. Over three years, it returned 67%. With over $16 billion in assets, it’s one of the most widely held and liquid ETFs in the country. It’s a reliable backbone for any Canadian portfolio, especially if you like the idea of collecting dividends while you wait for your capital to grow.

Bottom line

Now, how do you use your $1,000? You could put it all into one ETF, maybe VGRO if you’re looking for a balanced approach. Or you could split it three ways, putting about $333 into each. That gives you international exposure with VXC, Canadian blue-chip strength with XIU, and a built-in mix of both in VGRO. Whichever route you choose, these ETFs all offer low fees, instant diversification, and strong long-term track records.

In the end, ETFs like VXC, VGRO, and XIU are ideal tools for Canadian investors. They give you exposure to thousands of companies, keep your costs low, and let you benefit from market growth without having to micromanage your portfolio. With $1,000, you can take a solid first step, or a smart next step, toward financial freedom. All it takes is one click, a bit of patience, and maybe a nice coffee to celebrate your investment savvy.