Top 3 Industries:

1. Financial services: approx. 31%
2. Energy: approx. 17%
3. Basic materials: approx. 13%

Top 3 Markets:

1. Canada: approx. 95%
2. USA: approx. 3%
3. International markets: approx. 2%

The iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) is heavily focused on the Canadian market as it tracks the S&P/TSX Composite Index, which includes the largest and most representative selection of stocks in Canada. The financial services industry dominates the index, followed by energy and basic materials, reflecting Canada's economic structure. The low international exposure indicates that the ETF mainly invests in Canadian companies.

iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) is an exchange-traded fund (ETF) and not a company that produces physical products.

This ETF is managed by BlackRock and invests in a broad range of Canadian companies included in the S&P/TSX Capped Composite Index. As it is a financial product, there are no production facilities or physical products. The ETF provides investors with the opportunity to invest in the Canadian stock market by tracking the performance of the underlying index.

Current Strategy: Passive Management
Focus: Tracking the S&P/TSX Capped Composite Index

iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) follows a passive investment strategy. The main goal of the ETF is to closely replicate the performance of the S&P/TSX Capped Composite Index. This index includes a broad selection of Canadian stocks that represent the Canadian stock market.

The ETF does not aim for active growth through individual company strategies, but rather benefits from the overall market performance and diversification within the index. Investors can thus participate in the performance of the entire Canadian market without relying on specific company strategies.

Future growth of the ETF therefore depends on the performance of the Canadian stock market as a whole, including economic factors that influence the market, such as commodity prices, interest rates, and the general economic situation in Canada.

Note: ETFs like the iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) invest in a variety of companies listed in the S&P/TSX Composite Index. The ETF itself does not import commodities or materials, but rather reflects the performance of the companies included in the index.

Since the ETF tracks the Canadian stock market, many of the companies included are active in the commodity and materials industry. Canada is known for its commodity production, including oil, gas, metals, and minerals.

Main commodities: Oil, natural gas, gold, nickel, copper, zinc, uranium.

Countries of origin for imports (generally for Canadian companies):

• Oil and gas: Canada is a major producer, but there are also imports from the USA.
• Metals and minerals: Canada produces many metals domestically, but there are imports from countries like Chile (copper), Australia (uranium), and Brazil (iron ore).

Companies in the ETF may import commodities from these and other countries to support their production. The exact origin of the commodities depends on the specific business activities of the individual companies included in the index.

Competitive Advantage: Difficult to quantify as it is an ETF.

The iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) is not a company, but an exchange-traded fund (ETF) that tracks the S&P/TSX Capped Composite Index. Therefore, it does not have a traditional competitive advantage like a company offering products or services.

Its "competitive advantage" lies in the structure and characteristics of the ETF itself. These include:

1. Diversification: The ETF provides broad diversification across the Canadian stock market, reducing risk for investors.

2. Cost Structure: ETFs generally have lower management fees compared to actively managed funds, making them attractive to cost-conscious investors.

3. Liquidity: Being a traded product, the ETF offers high liquidity, facilitating the buying and selling of shares.

These features make the iShares Core S&P/TSX Capped Composite Index ETF a popular choice for investors looking to invest in the Canadian market.

Institutional Investor Share: 65% (estimated, 2024)

Insider Buys/Sells: No significant transactions reported (2024)

The iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) is a popular ETF that tracks the Canadian stock market. The institutional investor share typically stands at around 65%, indicating the interest of pension funds, investment funds, and other large institutional investors looking to invest in the Canadian market.

Insider buys or sells are less relevant for ETFs, as they are passively managed investment instruments that track an index and are not directly influenced by company insiders. Therefore, there are usually no significant insider transactions to report.

Market share of iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC): approx. 25% (2025, estimated)

Top competitors and their market shares:

1. BMO S&P/TSX Capped Composite Index ETF (ZCN): approx. 20%
2. Vanguard FTSE Canada All Cap Index ETF (VCN): approx. 15%
3. Horizons S&P/TSX 60 Index ETF (HXT): approx. 10%
4. RBC Canadian Equity Index ETF (RCU): approx. 8%
5. TD Canadian Equity Index ETF (TTP): approx. 7%

The iShares Core S&P/TSX Capped Composite Index ETF holds a significant market share and is one of the leading ETFs in the Canadian market. Its moat mainly consists of the strong brand recognition of iShares and the broad diversification it offers. These factors make it attractive to investors seeking comprehensive coverage of the Canadian stock market.

Compared to its competitors, iShares has a long track record of success and a high level of trust among institutional and retail investors. However, competitors like BMO and Vanguard also have strong brands and similar diversification benefits, intensifying the competition.

Overall, iShares has a slight advantage due to its established market position and investor trust, but the difference from competitors is not so significant that one could speak of an insurmountable moat. The competition remains dynamic, and the differences in market shares are relatively small.

Total Expense Ratio (TER): 0.06% (2023)

Historical Return (5 years): 7.8% p.a. (until 2023)

The iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) is a popular ETF that tracks the Canadian stock market. With a very low Total Expense Ratio of 0.06%, it is cost-efficient and attractive for long-term investors.

Over the past five years, the ETF has achieved an average annual return of 7.8%, indicating a solid performance of the Canadian stock market. This historical return, combined with diversification across various sectors, makes the ETF a potentially good investment for investors interested in broad market coverage.

Additionally, the ETF offers diversification across many industries, reducing risk compared to individual stocks. However, investors should consider their individual investment goals and risk tolerance before investing.

Dividend Yield: 2.5% (estimated for 2025)

The iShares Core S&P/TSX Capped Composite Index ETF (TSX:XIC) is known for regularly distributing dividends. The dividend yield typically ranges from 2% to 3%, depending on the underlying stocks in the index and general market conditions.

The reliability of the distribution is high because the ETF invests in a broad range of Canadian stocks that themselves pay dividends. This diversification helps ensure the stability of dividend payments. Historically, the ETF has distributed its dividends regularly and without major interruptions.