XDIV Overview
| Feature | Details |
|---|
| Full name | iShares Core MSCI Canadian Quality Dividend Index ETF |
| Ticker | XDIV |
| Exchange | TSX |
| MER | 0.10% |
| Inception date | 2017 |
| Distribution frequency | Monthly |
| Distribution yield | ~4.3–5.0% |
| Number of holdings | ~20 |
| Index tracked | MSCI Canada High Dividend Yield 10% Security Capped Quality Index |
| AUM | $1.5B+ |
| Eligible for TFSA/RRSP | Yes |
Top 10 Holdings
| Holding | Sector | Approximate Weight |
|---|
| Royal Bank of Canada | Financials | ~10% |
| Toronto-Dominion Bank | Financials | ~9% |
| Bank of Nova Scotia | Financials | ~8% |
| Enbridge | Energy | ~7% |
| Canadian Natural Resources | Energy | ~7% |
| TC Energy | Energy | ~6% |
| Manulife Financial | Financials | ~6% |
| Bank of Montreal | Financials | ~6% |
| CIBC | Financials | ~5% |
| Sun Life Financial | Financials | ~5% |
Sector Allocation
| Sector | Weight |
|---|
| Financials | ~55% |
| Energy | ~25% |
| Utilities | ~8% |
| Communications | ~7% |
| Real Estate | ~3% |
| Other | ~2% |
Performance History
| Period | XDIV Total Return | Annualized |
|---|
| 1 year | ~15% | 15% |
| 3 years | ~30% | ~9% |
| 5 years | ~55% | ~9% |
| Since inception (2017) | ~70% | ~8% |
Returns include reinvested distributions. Past performance does not guarantee future results.
XDIV vs Other Canadian Dividend ETFs
| ETF | MER | Yield | Holdings | Strategy |
|---|
| XDIV | 0.10% | ~4.5% | ~20 | Quality + high dividend screen |
| VDY | 0.22% | ~4.2% | ~40 | FTSE high dividend yield |
| XEI | 0.22% | ~5.0% | ~75 | S&P/TSX high dividend, capped |
| ZDV | 0.39% | ~4.5% | ~50 | S&P/TSX Canadian Dividend Aristocrats |
| CDZ | 0.67% | ~3.8% | ~90 | Dividend growers (S&P Aristocrats) |
| PDC | 0.60% | ~5.5% | ~30 | Canadian dividend + covered calls |
XDIV Strengths and Weaknesses
| Strengths | Weaknesses |
|---|
| Very low MER (0.10%) | Concentrated (~20 holdings) |
| Quality screen filters weak companies | Heavy financials/energy (sector risk) |
| Monthly distributions | Limited diversification |
| Eligible Canadian dividends (tax-efficient) | No international exposure |
| High yield (~4.5%) | Concentrated in large-caps only |
Tax Efficiency
| Account Type | Tax Treatment of XDIV Distributions |
|---|
| TFSA | Tax-free (no tax on distributions or capital gains) |
| RRSP | Tax-deferred (taxed as income on withdrawal) |
| Non-registered | Eligible dividends: grossed up 38%, then dividend tax credit applied; effective rate is 15–30% (lower than interest income) |
| FHSA | Tax-free |
XDIV is particularly tax-efficient in non-registered accounts because eligible Canadian dividends receive the dividend tax credit.
How Much Income from XDIV?
| Investment | Annual Distribution (~4.5%) | Monthly Income |
|---|
| $10,000 | $450 | $37.50 |
| $25,000 | $1,125 | $93.75 |
| $50,000 | $2,250 | $187.50 |
| $100,000 | $4,500 | $375.00 |
| $250,000 | $11,250 | $937.50 |
| $500,000 | $22,500 | $1,875.00 |
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