As we close the books on 2025, the numbers confirm what disciplined investors experienced firsthand: staying invested worked. Broad global equities delivered strong gains, and diversified all-in-one ETF portfolios captured that upside efficiently.
It is important to add context. A single strong year does not change long-term expected returns. Markets remain volatile. Investors should expect both positive and negative calendar years over time. But 2025 reinforces a central principle of passive investing—broad exposure, low costs and discipline tend to outperform prediction.
Below are calendar-year total returns for widely held Canadian-listed ETFs that form the backbone of many DIY portfolios.
| ETF | 2025 Total Return (Calendar Year) |
|---|---|
| Vanguard All-Equity ETF Portfolio (VEQT) | ≈ 20.45% |
| Vanguard Growth ETF Portfolio (VGRO) | ≈ 16.86% |
| Vanguard Balanced ETF Portfolio (VBAL) | ≈ 13.35% |
| Vanguard Conservative ETF Portfolio (VCNS) | ≈ 9.73% |
These funds combine Canadian, U.S. and international equities—with bonds layered in depending on risk level—into single-ticket core holdings. Their 2025 performance reflects broad equity strength across developed markets.
| ETF | 2025 Total Return (Calendar Year) |
|---|---|
| iShares Core Equity ETF Portfolio (XEQT) | ≈ 20.45% |
| iShares Core Growth ETF Portfolio (XGRO) | ≈ 16.96% |
| iShares Core Balanced ETF Portfolio (XBAL) | ≈ 13.33% |
| iShares Core Conservative Balanced ETF Portfolio (XCNS) | ≈ 10.25% |
Performance between Vanguard and iShares one-fund portfolios was nearly identical in 2025. That is structural, not coincidental. Both providers track similar underlying global indexes with minor allocation differences. Over long horizons, diversified index exposure tends to move together.
This is exactly why cost and behaviour matter more than brand.
Gold-related ETFs posted unusually strong gains in 2025 as prices rallied amid geopolitical uncertainty and shifting rate expectations.
iShares Gold Bullion ETF (CGL): ≈ 72.68%
Purpose Gold Bullion Fund ETF: ≈ 68.32%
Context matters. Gold does not generate earnings or dividends, and years like 2025 are not typical. Gold’s long-term role in a portfolio is diversification and volatility dampening—not primary growth.
Investors considering gold should treat it as a small allocation aligned with risk tolerance, not a performance chase.
Investors holding globally diversified ETFs captured broad equity gains without needing to predict which region or sector would outperform. That is the structural advantage of index investing.
All-equity portfolios delivered returns north of 20%. That reinforces a basic reality: equity volatility is the price paid for long-term growth.
Trying to jump in and out of markets risks missing those gains.
Even balanced allocations posted double-digit returns. Investors who reduced equity exposure to match their risk tolerance were still rewarded, without taking full equity volatility.
That is how proper asset allocation functions over time.
For investors with modest gold allocations, 2025 was supportive. However, gold should complement a diversified strategy—not replace one.
2025 did not reward clever market timing or stock picking. It rewarded staying invested.
All-in-one ETF portfolios delivered:
Low double-digit returns in balanced allocations
High teens to low 20% returns in all-equity strategies
Nearly identical performance across providers
Broad participation without complexity
For investors following a disciplined, low-cost, globally diversified approach, 2025 reaffirmed the core Northern Nest Egg philosophy:
Own the market. Keep costs low. Stay invested—even when it feels unnecessary.
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