The Canadian government is investing more in its own infrastructure, and that's creating some great, domestic opportunities for companies. For Canadian investors, there is a way to capitalize on that, by investing in stocks that are involved in the industrial sector.
One top exchange-traded fund that gives investors broad exposure to industrials and which has been doing well this year is the BMO Equal Weight Industrials Index ETF (TSX:ZIN), which is perfectly positioned for a massive, multi-year tailwind. Currently, it's up over 20% already in 2026.
By utilizing a smart equal-weighted strategy, the fund effectively lessens security-specific risk, minimizing exposure to any single investment, and it provides investors with highly diversified exposure to some of Canada’s most crucial industrial companies. Among the stocks in the list are Bird Construction, Mullen Group, Air Canada, Bombardier, and many others. There are 36 holdings in total. It invests in construction and engineering companies, oil and gas equipment and services, aerospace and defense, rail transportation, and other sectors. There's a lot of diversification here even though there don't appear to be a large number of stocks within the fund.
The industrial fund currently manages over $60 million in total net assets and has a moderate management expense ratio of 0.62%. While that may seem a bit high for some investors, it more than covers that as it pays out a steady quarterly distribution with an annualized yield of 0.71%.
Overall, for long-term investors who want to take advantage of Canada's domestic growth strategy, this can be a solid ETF to hold on to right now. Even though it's doing well this year, there's still room for it to rise even higher.