Invest in the Best Canadian Stocks With This Diversified ETF

If you’re looking for a good, diversified exchange-traded fund (ETF) to put your money into, the iShares S&P/TSX 60 Index (TSX:XIU) is one of the better options out there to consider. The fund gives you access to top Canadian stocks such as Royal Bank of Canada (TSX:RY)(NYSE:RY), Shopify (TSX:SHOP)(NYSE:SHOP), and Suncor Energy (TSX:SU)(NYSE:SU).

Through just a single investment, you can have exposure to a wide range of stocks and sectors, making the ETF an attractive option to consider. It has a modest management expense ratio of 0.18%, and it’s important to keep that low as that will ensure that fees won’t chip away at your returns from the investment over the years.

The ETF is a fairly safe one as financial stocks account make up the largest portion of its holdings at 37%, followed by energy at 17%, and industrials at 11%.

Over the past 12 months, the ETF has risen by more than 18% and over five years its gains are up around 45%. And this doesn’t even include the impact of its dividend as the fund’s 2.9% yield is one of the more attractive reasons to hold this ETF in your portfolio. With many financial stocks and high-yielding dividend stocks, it has the potential to be a great source of recurring income for your portfolio for years to come.

If you’re not sure about which stocks to invest in right now, this ETF can be a great option to put into your portfolio today for both its dividend and overall diversification.