Best HISA ETFs in Canada for 2026: Top options compared

A HISA ETF is an exchange-traded fund that holds deposits at major Canadian banks and pays out the interest as monthly distributions. They are designed for investors who want to park cash inside a brokerage account while earning a competitive, low-risk return.

With the Bank of Canada normalizing interest rates over the last two years, HISA ETFs have seen their yields adjust down from their peaks in 2023 and 2024. But they’re still a popular tool for Canadian investors looking for a low-risk place to park cash inside a brokerage account. These funds hold deposits at Schedule I Canadian banks, earn interest on those deposits, and pass the income directly to unit holders.

What is a HISA ETF? How they work in Canada

A high-interest savings account ETF functions like a standard savings account but trades on the Toronto Stock Exchange (TSX) like a stock. When you buy shares of a HISA ETF, the fund manager pools your money with millions of other investors to deposit massive blocks of cash into interest-bearing accounts at Canada’s largest banks. Because of this massive scale, the fund manager negotiates a higher interest rate than an individual retail investor could typically get on their own.

The fund collects this interest daily and distributes it to investors—usually at the very end of each month. Most HISA ETFs have a baseline net asset value (NAV) of $50 per share. Over the course of the month, as interest accrues, the share price ticks upward (e.g., to $50.10). After the monthly payout distribution is cut, the share price resets right back down to $50, starting the cycle over again.

Best HISA ETFs in Canada, compared

Top HISA ETFs in Canada for 2026

Deciding which HISA ETF is right for you depends on your account type and your specific goals.

1. Global X High Interest Savings ETF (CASH.TO)

• Best for: Registered accounts (TFSA, RRSP, FHSA) seeking the lowest costs.
• What you need to know: CASH is one of the largest and most liquid HISA ETFs in Canada, managing billions in net assets. It features a Management Expense Ratio (MER) of 0.11%, making it the cheapest option on the market. It pays distributions monthly and provides effortless daily liquidity inside registered accounts where tax treatment isn't an issue.

2. Global X Cash Maximizer ETF (HSAV.TO)

• Best for: Non-registered (taxable) accounts.
• What you need to know: HSAV stands out because it does not pay out monthly distributions. Instead, it automatically reinvests its interest earnings back into the fund's net asset value. This causes the share price to grow continuously over time. When you eventually sell your shares, your entire profit is taxed as a capital gain rather than regular interest income. For money held outside of a TFSA or RRSP, this unique setup slashes your tax bill significantly.
• Important Note: The fund manager permanently suspended new subscriptions for HSAV once it hit asset targets. Because of this, it frequently trades at a slight premium to its intrinsic net asset value. Investors should use limit orders when buying to avoid overpaying.

3. Purpose High Interest Savings ETF (PSA.TO)

• Best for: Reliable monthly income.
• What you need to know: As a true pioneer in the Canadian cash ETF space, PSA allocates its holdings across savings accounts at stable Schedule I banks and selectively utilizes short-term government debt instruments. It features an MER of 0.17% and offers stable, straightforward cash flow distributions at the end of every single month with zero lock-up restrictions.

4. CI High Interest Savings ETF (CSAV.TO)

• Best for: Institutional stability and conservative cash management.
• What you need to know: Managing a multi-billion-dollar asset base, CSAV has been a stable staple for Canadian investors since 2019. Backed by CI Global Asset Management, it carries an MER of 0.15%. It targets standard monthly payouts and is built for investors who want full, reliable daily liquidity paired with a highly conservative asset mix.

HISA ETFs vs. Neo Savings: Which earns more?

HISA ETFs were built for a specific purpose, and that purpose is not to replace your regular savings account. Tim Morris, Chief Banking Officer at Neo Financial, puts it this way: “HISA ETFs are helpful for anybody who has an investment account and wants to hold some kind of cash equivalent in that account. So it's more about convenience and simplicity for this specific use case."

When you compare net yields after fees, the picture becomes even clearer. In 2026, the four major HISA ETFs deliver net yields ranging from roughly 1.74% to 2.41%, and their management fees (MER) constantly take a small bite out of your total return. 

By contrast, the Neo Savings account offers an ongoing tiered interest rate of up to 2.75%¹. Here’s a closer look at how the interest rates grow with your balance:

• 2% on balances under $5,000
• 2.5% on balances from $5,000 to $19,999.99
• 2.75% on balances of $20,000 or more.

Not to mention, the Neo Savings account comes with $0 monthly fees and 0% management fees. Because there is no manager taking a cut, the advertised yield goes entirely into your pocket.

If your money is sitting inside an active self-directed trading account and you need it to stay there to execute an upcoming stock purchase or portfolio rebalancing, a HISA ETF is a convenient parking spot. It saves you the hassle of transferring funds out to an external bank and back again. But if your goal is purely to earn the absolute highest, most secure return on cash savings that you don't plan to trade with immediately, a dedicated digital savings account like Neo Savings will often beat a HISA ETF on pure yield.

---

From our sponsor

---

Are HISA ETFs safe?

HISA ETFs are generally considered low-risk investments because their underlying assets are deposits held with Canada's big banks. However, there is one crucial risk barrier every investor must understand: HISA ETFs lack protection from the Canada Deposit Insurance Corporation (CDIC).

CDIC protection provides a government-backed guarantee that keeps personal savings accounts up to $100,000 per insured category safe if a bank fails. Because an ETF is a market-traded investment security rather than a direct personal bank deposit, that $100,000 government safety net does not extend to ETF holdings.

Frequently asked questions

What is the best HISA ETF in Canada?

The "best" option depends on where you are holding it. For taxable, non-registered accounts, for instance, HSAV.TO is the top pick because its structural setup converts taxable interest distributions into capital gains.

Can I hold a HISA ETF in a TFSA or RRSP?

Yes. All major Canadian HISA ETFs are fully qualified and eligible to be held inside registered accounts like TFSAs, RRSPs, RRIFs, and FHSAs to allow your cash holdings to grow completely tax-sheltered.

What is the best HISA ETF for a TFSA or RRSP?

For tax-free or registered accounts like TFSAs, or RRSPs, CASH.TO is generally a solid choice. It has the lowest MER at 0.11%, and inside a TFSA or RRSP, the tax treatment of its monthly interest distributions is a non-issue—you don't need to optimize for capital gains treatment the way you would in a taxable account.

Do HISA ETFs have CDIC coverage?

No. HISA ETFs are investment products traded on an open exchange and do not qualify for CDIC government insurance, even though the underlying money is deposited at big Canadian banks.

What is the MER for HISA ETFs?

The Management Expense Ratio (MER) for Canadian HISA ETFs is incredibly low, generally ranging between 0.11% and 0.20%. This fee is automatically deducted from the fund's yield before the monthly interest payout is passed along to you.