For bond products, it's the price, stupid: "The official names of the new Barclays bond ETFs are iUnits Government of Canada 5-Year Bond Fund (the iG5 Fund) and the iUnits Government of Canada 10-Year Bond Fund (the iG10 Fund).
Bond ETFs give small investors access to 'wholesale' bond pricing. While it's a no-brainer to pick these funds over the average bond mutual fund, the price advantage is less obvious against setting up 'ladders' of either government bonds or strip bonds. (Ladders are portfolios of bonds of different durations, set up so some mature each year.)
Direct cost comparisons are difficult because of the lack of transparency in bond pricing, says a do-it-yourself investor who posts on the Wealth forum at www.theboomer.com as 'Shakespeare.'"