The Swiss economy recovered well from the COVID-induced setback, with solid economic growth between 2021 and 2024. Inflation picked up after COVID, but has been quickly brought under control by the Swiss Central Bank.


Meanwhile, Switzerland has prospered with its export-oriented economy, but the country now faces a new challenge with very high tariffs being applied by the U.S.—a key export market for Swiss corporations.



Here is one ETF that provides exposure to the top Swiss public companies.

Smaller firms can sometimes generate higher returns than their larger counterparts, but they are often riskier, less liquid, and may underperform for long periods. One way to offset some of the risk is to focus on ETFs that hold top-quality small-capitalization companies.


Here’s a look at three ETFs that meet that criteria. Meantime, please see the Supplement on page 100 for more on small caps in general.

TD International Equity Index ETF $26.42 (Toronto symbol TPE; TSINetwork ETF Rating: Conservative; Market cap: $3.35 billion) tracks the Solactive Developed Markets Ex North America Index. That index includes large and medium listed companies in developed markets. Stocks are weighted based on their market values.


The geographical distribution of the portfolio assets is mostly to European Union countries (52% of assets), Japan (25%), and countries in Asia (12%).



Financial Services make up 24% of the portfolio, followed by Consumer Goods (15%), Industrials (17%), Healthcare (9%), and Technology (8%).

BMO Covered Call Canadian Banks ETF $22.49 (Toronto symbol ZWB) holds shares of Canada’s six largest banks (CIBC, TD Bank, Bank of Montreal, Bank of Nova Scotia, Royal Bank and National Bank).


The fund started up in January 2011. Its MER is a relatively high 0.71%.



BMO Canadian High Dividend Covered Call ETF yields a high 6.0%. However, the dividend income that the fund receives from its own portfolio is insufficient to cover the distribution to its unitholders. To make up the difference, it has to make a profit on trading its portfolio. The ETF also aims to raise its returns by writing call options on the portfolio’s securities.

As their name implies, value stocks trade lower than their fundamentals would suggest. Investors perceive them as undervalued with the potential to rise. Even so, it’s best for you to zero in on the shares of quality companies with a consistent history of sales and earnings (or the ETFs that hold them). A strong grasp on a growing clientele is another plus.


Here are two ETF buys. Each offers you to a portfolio of stocks selected for their low valuations. (See also the Supplement on page 99).

TECK RESOURCES LTD. $56 remains a buy. The company (Toronto symbol TECK.B; Conservative Growth Portfolio, Resources sector; Shares outstanding: 488.9 million; Market cap: $27.4 billion; Price-to-sales ratio: 2.8; Dividend yield: 0.9%; TSINetwork Rating: Extra Risk; www.teck.com) has agreed to merge with U.K.-based mining company Anglo American PLC (Over-the-counter symbol AAUKF) in an all-stock deal.

CIBC has made strong progress in improving the performance of its main operations in Canada. That includes better customer service and expanding the number of products the bank sells per customer. Those improvements have helped to lift the stock more than 30% in the past year.


While CIBC has the highest exposure to the domestic housing market among Canada’s Big Five banks, it cuts this risk by keeping the value of its mortgages and other loans well below the appraised value of those properties.



The bank also continues to cut its operating costs, particularly as more of its customers opt to use the Internet instead of physical branches. Those savings will let CIBC keep rewarding investors with higher dividends and share buybacks.

Shopping mall developer and landlord RioCan has a long history of adapting to changing market conditions. For instance, as consumers shifted to online shopping, RioCan sold most of its outdoor malls in smaller cities to focus on its more-promising properties in Canada’s six largest cities.


The REIT also recently decided to wind down its RioCan Living division, which builds upscale condominiums and rental apartment buildings. The operational shift was due to falling condo demand and prices. The cash from the related sales will help fund the company’s new developments.