BMO Asset Management Inc has launched 10 ETF listings, expanding its suite of ESG ETFs to include a climate-focused solution, continued income innovation, and a broadened asset allocation ETF suite.
“With the effects of climate change more palpable than ever, we wanted to expand our ESG offerings for clients who want to invest in the transition to a greener and more sustainable future. Our new climate-focused ETF concentrates on the ‘E’ in ESG and provides investors a solution to closely align their investments and environmental values,” says Mark Raes, Head of Product (Canada), BMO Global Asset Management.
“We continue to be leaders in innovative fixed income solutions with the launch of our new Discount Bond ETFs, where we have segmented the discount bond market into Short-Term and Corporate exposures, where the yield to maturity and coupon are more aligned for investors with taxable accounts,” says Raes. “We are also excited to bring an all-equity asset allocation ETF to market – building out our ETF line-up to provide investors diversified market exposure with automatic rebalancing, in one trade and at a low cost.”
The new ETFs and ETF series include:
Climate
• BMO MSCI ACWI Paris Aligned Climate Equity Index ETF (ZGRN): This ETF seeks to replicate the performance of MSCI ACWI Climate Paris Aligned Equity Index, a portfolio of global climate-focused equities.
Equity
• BMO Japan Index ETF (ZJPN/ZJPN.F): This ETF seeks to replicate the performance of the Solactive GBS Japan Large – Mid Cap Index.
Income
• BMO Corporate Discount Bond ETF (ZCDB): This ETF invests in corporate fixed income securities issued domestically in Canada that trade near or below par value with a remaining effective term to maturity between one and 10 years.
• BMO Short-Term Discount Bond ETF (ZSDB): This ETF invests in corporate and government short-term fixed income securities issued domestically in Canada that trade near or below par value with a remaining term to maturity between one and five years.
Asset Allocation
• BMO All-Equity ETF (ZEQT): This ETF invests in ETFs that provide exposure to a diversified portfolio of global equity securities; it is an expansion of our Asset Allocation ETF suite.
Additionally, BMO AM is expanding its currency options with the USD Unit extensions and adding a 6 per cent payout series with the T extension.
New Series
• BMO Covered Call Banks ETF USD Units (ZWB.U)
• BMO Laddered Preferred Share Index ETF USD Units (ZPR.U)
• BMO Monthly Income ETF USD Units (ZMI.U)
• BMO Balanced ETF T6 Payout Series (ZBAL.T)
