With the Bank of Canada expected to keep interest rates on hold for the next little while, bonds are likely to remain a positive contributor to portfolio performance. This ETF is my top pick at the moment. It provides exposure to a diversified portfolio of Canadian government and investment grade corporate bonds. It is a high quality portfolio, with about 70% invested in government issues, and the balance in corporates. Its duration is fairly long, coming in at 7.42 years at the end of February. The higher the duration, the more sensitive it is to the movements in underlying interest rates. This is not a concern at the moment, but when rates start to move higher, it is likely to experience heightened volatility and the potential for some modest short term losses. But for now, with an MER of 0.33%, this is a great, low cost way to get high quality Canadian bond exposure.