The Franklin FTSE Canada ETF (FLCA) tracks an index of large and mid-size companies in Canada. Why Canada? Some popular developed markets funds exclude Canada, and investors might use country-specific funds like FLCA to fill that gap. As of June 2020, FLIY’s management fee is one of the lowest for the segment but it continues to trail rivals in assets and liquidity. The iShares MSCI Canada ETF (EWC), one of the oldest single-country ETFs on the market, is significantly more expensive than FLCA.
The Franklin FTSE Canada ETF (FLCA) tracks an index of large and mid-size companies in Canada. Why Canada? Some popular developed markets funds exclude Canada, and investors might use country-specific funds like FLCA to fill that gap. As of June 2020, FLIY’s management fee is one of the lowest for the segment but it continues to trail rivals in assets and liquidity. The iShares MSCI Canada ETF (EWC), one of the oldest single-country ETFs on the market, is significantly more expensive than FLCA.
For liquid Canadian equity exposure at a reasonable price, investors and traders may prefer the JPMorgan BetaBuilders Canada ETF (BBCA). The JPMorgan fund launched in 2018, but quickly outstripped its rivals in assets and liquidity. Moreover, while not as cheap as FLCA, BBCA is still significantly less expensive than EWC.
FLCA is part of a series of single-country ETFs that Franklin Templeton began rolling out in 2017. The funds debuted with significantly lower management fees than rival iShares funds, which have long dominated the single-country ETF space. Many of the stocks in the fund’s portfolio are likely to be found in diversified international ETFs and investors should be careful not to take on an unintentional overweight.