10 Best Canadian ETFs to Buy

6. Vanguard FTSE Canada All Cap Index ETF (TSX:VCN)

5-year Share Price Performance as of December 9, 2024: 53.67%

The Vanguard FTSE Canada All Cap Index ETF (TSX:VCN) provides investors with exposure to a broad spectrum of Canadian companies, ranging from large-cap blue-chip stocks to smaller, high-growth firms. Designed to track the FTSE Canada All Cap Domestic Index, VCN offers diversified exposure across key Canadian industries, including financials, energy, and technology. In 2024, the ETF delivered an impressive return of 29.8%, driven by strong performance in Canada’s financial and energy sectors. Its quarterly dividends, yielding 2.47% most recently, further enhance its appeal to passive income investors.

One of the fund’s top holdings is Brookfield Corporation (NYSE:BN), a financial services company specializing in alternative asset management and real estate investment management. In the third quarter of 2024, Brookfield Corporation (NYSE:BN) reported record distributable earnings of $1.3 billion, a 19% increase year-over-year. The company also completed over $17 billion in asset monetizations and committed $20 billion to new investments. Additionally, its Wealth Solutions business is projected to generate $2 billion in annualized earnings, contributing significantly to its strong financial position.

On November 15, BMO Capital Markets raised its price target for Brookfield Corporation (NYSE:BN) from $50 to $62 while maintaining an Outperform rating. The firm cited favorable conditions for asset monetizations, carry realizations, and benefits from lower yields as key drivers of its optimism.