The TSX is more than just a list of tired old dividend stocks. It’s a surprisingly diverse market that includes all sorts of income-paying investments: split shares, preferreds, real estate investment trusts, royalty trusts, closed-end funds, and a wide array of exchange-traded funds (ETFs).
But if you don’t feel like digging into each of these categories to figure out what fits your needs, there’s a simpler option. You can just buy a low-cost ETF that captures almost the entire Canadian market in one shot.
For that, I personally turn to TD Canadian Equity Index ETF (TSX:TTP). Here’s why it’s my go-to pick for broad, hands-off exposure to the TSX.
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It’s broader than the S&P/TSX 60
Most Canadian investors are familiar with the S&P/TSX 60. It’s the benchmark index that tracks 60 of the largest companies listed on the TSX. It’s widely used, but it has one big drawback: it only covers large-cap stocks.
That leaves out a huge chunk of the Canadian market, especially mid- and small-cap companies that might offer higher growth potential. TT, however, tracks the Solactive Canada Broad Market Index, which includes 287 stocks. This is nearly five times as many as the S&P/TSX 60. This gives you exposure to a much wider range of companies across different market caps.
That said, the biggest names still dominate the portfolio because it’s market cap weighted. So, yes, the top holdings look familiar. it’s the usual major banks, energy producers, and railways, but you’re also getting the broader Canadian economy under the hood. That makes TTP a smarter long-term bet for full-market exposure.
It’s cheaper than competitor ETFs
The most popular ETF for tracking the S&P/TSX 60 charges a 0.18% management expense ratio (MER). That’s not outrageous, but by 2025 standards, it’s overpriced for plain-vanilla Canadian equity exposure. In contrast, TTP comes in at a rock-bottom 0.04% MER.
On a $10,000 investment, that’s the difference between paying $18 versus $4 in annual fees. And while that might sound small, the gap compounds over time, especially if you’re investing more money every year. Paying less to own essentially the same companies just makes sense.
It’s commission-free on TD EasyTrade
One more reason I like TTP is that you can buy it commission-free on TD EasyTrade. Big bank brokerages aren’t exactly known for low fees, but TD’s platform is a rare exception. All TD ETFs, including TTP, are available with unlimited zero-commission trades.
So, if you want to automate purchases, reinvest dividends, or just dollar cost average into the Canadian market without worrying about trading costs, this is a simple, no-fee way to do it. TD also offers similar low-cost ETFs for U.S. and international stocks, so it’s easy to build a full portfolio without paying commissions.
