Best cash-alternative ETFs 2025

By Michael McCullough on May 12, 2025
Estimated reading time: 1 minute

With rates, inflation and capital preservation on Canadian investors’ minds, it made sense to add a new category last year: best cash-alternative ETFs.

For an emergency fund, meant to deal with contingencies such as job loss or unexpected expenses such as a health crisis.
For money you could need at any time, such as a down payment for a first home.
For money you might need to use toward living expenses in the short term, for example as a bridge until pension income kicks in.

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MoneySense is an award-winning magazine, helping Canadians navigate money matters since 1999. Our editorial team of trained journalists works closely with leading personal finance experts in Canada. To help you find the best financial products, we compare the offerings from over 12 major institutions, including banks, credit unions and card issuers. Learn more about our advertising and trusted partners.

Best cash alternative ETFs 2025

ETF	Ticker	Management fee	MER	Holdings	Description
Global X High Interest Savings ETF	CASH	0.10%	0.11%	5	HISA holdings, trailing yield 3.85%, current yield 2.52% annualized
Purpose High Interest Savings ETF	PSA	0.15%	0.17%	5	Mix of HISA accounts and short term Bank of Canada Treasuries, 2.65% net yield
Global X Cash Maximizer Corporate Class ETF	HSAV	0.18%	0.20%	4	HISA fund that avoids taxable distributions for tax efficiency, 2.54% current yield
BMO Money Market Fund ETF	ZMMK	0.28%	0.13%	374	Invests in short term govt and corporate paper, 3.61% annualized distribution yield

Table of Contents: Best ETFs for Canadian Investors

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About Michael McCullough

Michael is a financial writer and editor in Duncan, B.C. He’s a former managing editor of Canadian Business and editorial director of Canada Wide Media. He also writes for The Globe and Mail and BCBusiness.

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