For Canadian investors committed to maximum long-term capital growth, and those who are comfortable with the volatility that comes with it—the pursuit of the next generation of market-leading companies is paramount. This is where specialized, actively managed ETFs like the CI Global Alpha Innovation ETF (CINV) come into the spotlight.
If your portfolio is designed for an aggressive risk tolerance, driven by a long-term time horizon, CINV offers a targeted approach to global innovation and technology that merits a closer look.
What is CINV and Its Core Strategy?
CINV (TSX: CINV) is an actively managed Exchange Traded Fund from CI Global Asset Management. Unlike passive ETFs that simply track a major index, CINV aims to achieve maximum long-term capital growth by actively selecting equity and equity-related securities of companies worldwide that are poised to benefit from innovations and advancements in technology, products, processes, or services.
In simpler terms, it’s a high-conviction bet on the companies driving global disruption and growth.
Investing in CINV within a TFSA will ensure you gains are all tax free.
Key Characteristics of CINV:
| Feature | Details | Implications for Aggressive Portfolio |
| Management Style | Actively Managed | High Potential for Alpha: The portfolio managers aim to outperform the index by using their expertise to pick winners. |
| Core Focus | Global Innovation and Technology | Concentrated Growth: Heavily weighted towards high-growth sectors like Information Technology, Communication Services, and innovative companies globally. |
| Geographic Exposure | Global (Not limited to only U.S Equities) | Access to Global Tech Leaders: Provides strong exposure tech giants, but with the flexibility to invest in global innovators. |
| Risk Rating | Medium to High | Expect Volatility: Explicitly states a higher risk profile, consistent with an aggressive allocation strategy. |
| Expense Ratio (MER) | Notably higher (currently at 1.06%) | Justification in Performance: The higher fee is for the active management aiming to generate higher returns (alpha) than a cheaper, passive fund. |
CINV Historic Returns
CINV ETF has only been around since 2022 however the mutual fund version (CIG225) of this fund has been around for much longer.
YTD November 3rd 2025 – 17.9%
2024 – 52.56%
2023 – 49.12%
2022 – (39.96%)
2021 Mutual Fund – 16.12%
2020 Mutual Fund – 86.66%
2019 Mutual Fund – 28.31%
CINV’s Place in an Aggressive Portfolio
An aggressive portfolio is defined by a significant, often 90% or 100%, allocation to equities, prioritizing capital appreciation over income or stability. Within this structure, CINV can serve as a potent Satellite holding, designed to deliver outsized returns.
1. Concentrated Exposure to High-Conviction Growth
The ETF’s top holdings are typically a list of the world’s most influential technology and innovation companies—firms like NVIDIA, Microsoft, Alphabet, and Broadcom. For an aggressive Canadian investor, this provides a curated, high-growth slice of the global market.
Note: A look at the typical holdings reveals a heavy weighting toward the “Magnificent Seven” type stocks, meaning the ETF’s performance will be highly correlated with the performance of these mega-cap tech leaders.
2. The Active Advantage (The Pursuit of Alpha)
While core aggressive portfolios are often built on low-cost passive ETFs (like a total stock market index fund), CINV justifies its higher expense ratio with the promise of alpha. The active manager has the freedom to overweight sectors, find innovators outside of major indices, and dynamically adjust positions based on market opportunities, making it a compelling high-risk, high-reward component.
3. Enhancing Global Diversification (Beyond Just the S&P 500)
While its focus is growth, CINV is globally mandated. This allows it to capture innovation in markets outside the U.S., such as Asian semiconductor manufacturers or Canadian e-commerce disruptors like Shopify, adding an element of international flavour that complements a purely North American-focused core holding.
Key Considerations Before Investing
While CINV is built for the aggressive investor, it comes with important trade-offs that must be understood:
- High Volatility: The focus on innovation, technology, and high-growth stocks means the ETF is likely to have a higher Beta than a broad market index. Expect larger swings, both up and down, during market cycles. You must have the stomach to ride out significant drawdowns.
- Higher Costs: The Management Expense Ratio (MER) is significantly higher than passive alternatives. You are betting that the active management team’s stock-picking skills will consistently generate returns that more than compensate for this higher fee.
- Concentration Risk: Due to the focus on innovation, the portfolio is highly concentrated in the Information Technology and Communication Services sectors. A downturn in the fortunes of a few top holdings can have a disproportionate impact on the ETF’s performance.
Verdict: A Strong Satellite Holding
The CI Global Alpha Innovation ETF (CINV) is not a core replacement for a broadly diversified global equity fund in an aggressive portfolio.
Instead, it functions best as an aggressive satellite allocation—a tactical, high-conviction position designed to turbocharge overall portfolio growth by targeting the leading edge of global innovation.
If you are a Canadian investor with a long-time horizon and a high-risk tolerance, dedicating a specific, calculated percentage of your aggressive portfolio (e.g., 5%–15%) to CINV could be a way to capture the potentially superior growth of actively managed technology and innovation plays.
