Five new Canada-domiciled exchange-traded funds from Toronto-based Vanguard Investments Canada Inc. will begin trading Tuesday morning on Toronto Stock Exchange.

The three equity and two bond ETFs bring to 21 the number of ETFs offered by the firm. The five new ETFs feature annual management fees ranging from 0.20% to 0.35%.

Four of the new ETFs — Vanguard FTSE All-World ex Canada Index ETF (TSX:VXC), Vanguard FTSE Developed Asia Pacific Index ETF (TSX:VA), Vanguard U.S. Aggregate Bond Index ETF (CAD-hedged) (TSX: VBU) and Vanguard Global ex-U.S. Aggregate Bond Index ETF (CAD-hedged) (TSX:VBG) — each offer first-of-a-kind market exposures among Canada-domiciled ETFs.

VXC is the first to track the performance of a broad global equity index that focuses on developed and emerging markets, excluding Canada.

VA is the first to track the performance of a broad Asia Pacific equity index that focuses on developed Asia Pacific markets.

VBU and VBG are the first to offer exposure to U.S. and international government bonds with currency hedging, in addition to other fixed-income securities.

To complement these four ETFs, Vanguard has also launched Vanguard FTSE Developed Europe Index ETF (TSX:VE).

“Our new broad market global and international index ETFs will better enable individual investors, financial advisors and institutions to obtain broader diversification and lower risk to their overall portfolios,” says Atul Tiwari, managing director of Vanguard Investments Canada Inc.

“Our research shows that investors display a persistent and significant home bias, and Canadian investors should consider allocating assets to international securities.”

Vanguard research demonstrates that investors, regardless of country of residence, favour domestic holdings at the expense of foreign securities. This home bias often conflicts with the principles of broad global diversification.