If you are looking for the ETFs that have performed best since the beginning of 2026, you are in the right place. In this article, I review the 10 best-performing ETFs — 5 listed in the United States and 5 listed in Canada — based on their year-to-date (YTD) performance. Whether you manage a TFSA, an RRSP, or a non-registered account, this ranking gives you a clear picture of the sectors dominating the markets in 2026.
Why Semiconductors and Energy Are Dominating in 2026
Two major themes clearly stand out from this ranking: semiconductors powered by artificial intelligence, and Canadian energy. Semiconductors are benefiting from structural demand driven by AI data centers, while the Canadian oil and gas sector is benefiting from the rebound in crude oil prices and a favorable geopolitical environment. These are not short-term trends — they are megatrends redefining sector allocation in portfolios in 2026.
Top 5 Best-Performing U.S. ETFs Since the Beginning of 2026
1. PSI — Invesco Semiconductors ETF (+83.3% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | Invesco |
| Current price | 148.32 USD |
| Assets under management | 2.5B USD |
| Expense ratio | 0.56% |
| Dividend | 0.83% |
PSI is one of the best U.S.-listed semiconductor ETFs in 2026. Unlike SMH or SOXX, which overweight giants like NVIDIA and TSMC, Invesco’s PSI tracks an index based on the Dorsey Wright methodology, which selects stocks according to their relative momentum. The result: a more dynamic composition that better captures rotations within the sector.
Who is it for? The investor who wants semiconductor exposure with a momentum bias rather than simple market-cap weighting.
2. FTXL — First Trust Nasdaq Semiconductor ETF (+76.9% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | First Trust |
| Current price | 234.54 USD |
| Assets under management | 2.35B USD |
| Expense ratio | 0.60% |
| Dividend | 0.43% |
FTXL tracks the Nasdaq Semiconductor Index with a selection process based on fundamental criteria: sales growth, cash flow, and return on assets. This qualitative approach allowed it to outperform several peers in the first half of 2026. It is a solid ETF for investors who want semiconductor exposure with a rigorous fundamental filter.
3. DRAM — Roundhill Memory ETF (+74.5% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | Roundhill |
| Current price | 51.10 USD |
| Assets under management | 10.4B USD |
| Expense ratio | 0.65% |
| Dividend | 0.85% |
DRAM is a thematic ETF focused on memory companies — DRAM, NAND flash, and HBM (High Bandwidth Memory). This subsector is directly powered by demand for generative AI: high-bandwidth memory chips have become essential for powering NVIDIA GPUs, creating massive buying pressure on companies such as Micron, SK Hynix, and Samsung. DRAM captures this dynamic precisely.
Point to watch: this is a concentrated and thematic ETF. Volatility is high, and it is not suitable for a conservative profile.
4. SMH — VanEck Semiconductor ETF (+50.8% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | VanEck |
| Current price | 556.34 USD |
| Assets under management | 65.6B USD |
| Expense ratio | 0.35% |
| Dividend | 1.25% |
SMH is the benchmark semiconductor ETF for most investors. With more than 65 billion USD in assets under management, it offers exceptional liquidity and concentration in the 25 largest global companies in the sector. NVIDIA, TSMC, and ASML are among its dominant holdings. Its YTD outperformance confirms that the AI wave still has fuel in 2026.
Who is it for? The investor who wants stable, liquid semiconductor exposure with a reasonable MER of 0.35%.
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5. USO — United States Oil Fund (+116.6% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | USCF |
| Current price | 148.23 USD |
| Assets under management | 1.92B USD |
| Expense ratio | 0.60% |
| Dividend | 0.59% |
USO tracks WTI crude oil futures contracts. Its exceptional return of +116.6% since the beginning of 2026 reflects the sharp rebound in crude oil prices, driven by geopolitical tensions, OPEC+ production cuts, and robust global demand. It is a tactical tool, not a core portfolio holding — the rolling of futures contracts creates an implicit cost that erodes returns over the long term.
Point to watch: USO is suitable for investors who want direct exposure to crude oil over a short- to medium-term horizon. It is not an ETF to hold indefinitely.
Top 5 Best-Performing Canadian ETFs Since the Beginning of 2026
1. XCHP — iShares Semiconductor Index ETF (+65.7% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | iShares (BlackRock) |
| Current price | 121.61 CAD |
| Assets under management | 202.1M CAD |
| Expense ratio | 1.46% |
| Dividend | 0.40% |
XCHP is the benchmark semiconductor ETF for Canadian investors who want to avoid USD currency risk. It replicates a global semiconductor index and offers exposure similar to the U.S.-listed SMH, but in Canadian dollars. Its YTD return of +65.7% makes it, unsurprisingly, one of the best-performing ETFs on the Toronto Stock Exchange in 2026.
Tax advantage: held in a TFSA or RRSP, XCHP does not trigger withholding tax on dividends, unlike its U.S. equivalent SMH when held in a TFSA.
2. CHPS — Global X Artificial Intelligence Semiconductor Index ETF (+37.4% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | Global X |
| Current price | 78.59 CAD |
| Assets under management | 311.3M CAD |
| Expense ratio | 1.45% |
| Dividend | 0.73% |
Global X’s CHPS specifically targets semiconductors linked to artificial intelligence, giving it a portfolio more concentrated on players in the AI value chain: chip design, advanced manufacturing, and equipment makers. Compared with XCHP, CHPS has a more pronounced AI thematic angle, which can amplify returns during periods of strong AI adoption — as is the case in 2026.
3. XEG — iShares S&P/TSX Capped Energy Index ETF (+46.3% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | iShares (BlackRock) |
| Current price | 28.07 CAD |
| Assets under management | 2.33B CAD |
| Expense ratio | 0.61% |
| Dividend | 0.90% |
XEG is the largest Canadian energy ETF by assets under management, with 2.33 billion dollars. It replicates the S&P/TSX Capped Energy Index, dominated by major Canadian oil companies: Canadian Natural Resources, Cenovus, Suncor, and Imperial Oil. Its high liquidity makes it the natural choice for Canadian investors who want exposure to the TSX oil and gas sector.
Who is it for? The Canadian investor who wants the most liquid and most diversified energy ETF on the TSX.
4. ZEO — BMO Equal Weight Oil & Gas Index ETF (+38.1% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | BMO |
| Current price | 110.21 CAD |
| Assets under management | 354.9M CAD |
| Expense ratio | 0.61% |
| Dividend | 0.84% |
BMO’s ZEO differs from XEG through its equal-weight methodology. Rather than overweighting CNR or Suncor based on market capitalization, ZEO allocates a similar weight to each stock in the Canadian oil and gas index. This approach reduces concentration and can outperform during periods when mid-cap stocks catch up. Its YTD return of +38.1% confirms the strength of the Canadian energy sector in 2026.
5. NNRG — Ninepoint Energy Fund (+50.1% YTD)
| Characteristic | Detail |
|---|---|
| Issuer | Ninepoint Partners |
| Current price | 87.78 CAD |
| Assets under management | 438.2M CAD |
| Expense ratio | 1.12% |
| Dividend | 2.95% |
NNRG is actively managed within the energy sector, allowing it to adjust dynamically to market conditions, unlike passive index ETFs. Its YTD return of +50.1% — higher than XEG and ZEO — illustrates the potential added value of active management in a sector as cyclical as energy. Its dividend of 2.95% is also one of the most generous in the group.
Point to watch: active management involves a higher MER and dependence on the manager’s decisions. Past performance does not guarantee future results.
Comparison Table: The 10 Best ETFs of 2026
| Rank | Ticker | Market | Sector | YTD Return | MER |
|---|---|---|---|---|---|
| 1 | USO | 🇺🇸 | Crude oil | +116.6% | 0.60% |
| 2 | PSI | 🇺🇸 | Semiconductors | +83.3% | 0.56% |
| 3 | FTXL | 🇺🇸 | Semiconductors | +76.9% | 0.60% |
| 4 | DRAM | 🇺🇸 | Memory / AI | +74.5% | 0.65% |
| 5 | XCHP | 🇨🇦 | Semiconductors | +65.7% | 1.46% |
| 6 | SMH | 🇺🇸 | Semiconductors | +50.8% | 0.35% |
| 7 | NNRG | 🇨🇦 | Energy | +50.1% | 1.12% |
| 8 | XEG | 🇨🇦 | Energy | +46.3% | 0.61% |
| 9 | ZEO | 🇨🇦 | Oil and gas | +38.1% | 0.61% |
| 10 | CHPS | 🇨🇦 | AI semiconductors | +37.4% | 1.45% |
What These Performances Tell Us About 2026
Semiconductors Remain the Engine of Growth
Four of the five U.S. ETFs in this ranking are linked to semiconductors. Demand for chips used in generative AI, data centers, and electric vehicles remains structurally high. Companies such as NVIDIA, TSMC, Micron, and ASML continue to benefit from strong order books and expanding margins.
Canadian Energy Is Making a Strong Comeback
Three of the five Canadian ETFs are in the energy sector. The rebound in WTI crude oil and the solid fundamentals of Canadian oil companies — low production costs, rising dividends, share buybacks — have propelled XEG, ZEO, and NNRG to the top of the ranking. For Canadian investors, it is also a natural exposure in Canadian dollars without currency risk.
Beware the Volatility of Thematic ETFs
The returns presented in this article are exceptional and do not represent typical annual performance. Thematic ETFs such as DRAM or CHPS can experience significant corrections if sentiment around AI reverses or if the technology sector pulls back. These ETFs are suitable for a satellite portion of a diversified portfolio, not its core.
How to Integrate These ETFs Into Your Portfolio
Growth Profile (5+ Year Horizon)
Allocate 5% to 10% of your portfolio to semiconductors through XCHP or SMH, and 5% to energy through XEG. Avoid leveraged ETFs such as SOXL or TQQQ unless you have a high risk tolerance and a clearly defined short-term horizon.
Tactical Profile (AI Thesis)
DRAM and CHPS are satellite positions for investors convinced by the short-term AI memory thesis. A maximum allocation of 3% to 5% is reasonable.
Which Account Should You Use?
For U.S. ETFs such as SMH, USO, or PSI, the RRSP is the preferred account for Canadians — it eliminates the 15% withholding tax on U.S. dividends. The TFSA is optimal for Canadian ETFs such as XEG, ZEO, and XCHP.
Conclusion
The 10 ETFs in this ranking illustrate two major investment theses dominating 2026: artificial intelligence through semiconductors, and the revival of the Canadian energy sector. While these performances are impressive, remember that they reflect a particular market environment and that diversification remains the best protection against concentration risk.
Before investing in any of these ETFs, make sure it fits into your overall strategy, investment horizon, and risk tolerance.