Daily Macro

Macro Notes - CAD Stocks vs. CAD Real Estate

August 14, 2025

Bipan Rai

Managing Director, Head of ETF & Alternatives Strategy

Assuming we gave you $100,000 at the turn of the century. The sole objective is to maximum return (so ignore liquidity needs and risk profiles), and your only options are Canadian real estate or an index fund that tracks Canadian equities.

Would you invest it Canadian equities or real estate?

For most of the past quarter century, your answer would have been the same. But now? The answer might surprise you (Chart 1).

Chart 1 – S&P TSX Total Return Index vs. House Price Composites

Source: Teranet, BMO GAM

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