TORONTO, Feb. 12, 2025 /CNW/ - BMO Asset Management Inc. ("BMOAM Inc."), as the manager of the BMO ETFs set out in the table below (each, a "Terminating ETF" and collectively, the "Terminating ETFs"), and BMO Investments Inc. ("BMOII"), as the manager of the BMO Mutual Funds set out in the table below (each, a "Terminating Fund" and collectively, the "Terminating Funds"), today announced that it will terminate the Terminating ETFs and the Terminating Funds, respectively, on or about April 25, 2025 (the "Termination Date"):
Terminating ETFs
Terminating Funds
BMO ESG High Yield US Corporate Bond Index ETF (TSX: ESGH/ESGH.F)
BMO U.S. Equity Growth MFR Fund
BMO US TIPS Index ETF (TSX: TIPS/TIPS.F/TIPS.U)
BMO U.S. Equity Value MFR Fund
BMO Canadian Banks Accelerator ETF (Cboe Canada: ZEBA)
BMO US Equity Accelerator Hedged to CAD ETF (Cboe Canada: ZUEA)
Effective today, no further direct subscriptions for units of the Terminating ETFs or the Terminating Funds will be accepted by BMOAM Inc. and BMOII, respectively. The rights of unitholders of the Terminating ETFs and the Terminating Funds to exchange or redeem units of the Terminating ETFs or the Terminating Funds will cease as of the Termination Date. All units of the Terminating ETFs and the Terminating Funds held by investors after such date will be subject to a mandatory redemption as of the Termination Date.
On or about the Termination Date, each of BMOAM Inc. and BMOII will convert each Terminating ETF's and each Terminating Fund's portfolio to cash, to the extent practicable. Upon the Termination Date, the Terminating ETF's and the Terminating Fund's property remaining after paying or providing for the relevant fund's liabilities and obligations will be distributed pro rata among the Terminating ETF's and Terminating Fund's respective unitholders based on the net asset value per unit of the applicable Terminating ETF or the applicable Terminating Fund.
BMOAM Inc. will request to voluntarily de-list units of ESGH, ESGH.F, TIPS, TIPS.F, and TIPS.U from the Toronto Stock Exchange (the "TSX") on or about April 21, 2025. Until such date, units of those Terminating ETFs will continue to be listed and traded on the TSX until the Termination Date.
BMOAM Inc. will request to voluntarily de-list units of ZEBA and ZUEA from Cboe Canada Inc. ("Cboe Canada") on or about April 21, 2025. Until such date, units of those Terminating ETFs will continue to be listed and traded on Cboe Canada until the Termination Date.
BMOII will request to voluntarily de-list ETF Series units of BMO U.S. Equity Growth MFR Fund (TSX: ZUGE) and BMO U.S. Equity Value MFR Fund (TSX: ZUVE) from the TSX on or about April 21, 2025. Until such date, units of ZUGE and ZUVE will continue to be listed and traded on the TSX until the Termination Date.
BMOAM Inc. and BMOII will each issue an additional press release on or about the Termination Date confirming the final details of each Terminating ETF and Terminating Fund, respectively. Further details of the terminations will be mailed to unitholders of record of the Terminating ETFs and Terminating Funds at least 60 days prior to the Termination Date.
For more information on BMO ETFs and BMO Mutual Funds, please visit www.bmogam.com.
Commissions, management fees and expenses may be associated with investments in mutual funds and exchange traded funds (ETFs). Trailing commissions may be associated with investments in mutual funds. Please read the Fund Facts, ETF Facts and simplified prospectus of the relevant mutual fund or ETF before investing. Mutual funds and ETFs are not guaranteed, their values change frequently and past performance may not be repeated.
BMO ETFs and ETF Series units of the BMO Mutual Funds trade like stocks, fluctuate in market value and may trade at a discount to their net asset value, which may increase the risk of loss. Distributions are not guaranteed and are subject to change and/or elimination.
BMO Mutual Funds are managed by BMO Investments Inc., a financial services firm and separate entity from Bank of Montreal. BMO ETFs are managed by BMO Asset Management Inc., an investment fund manager and portfolio manager and separate legal entity from Bank of Montreal.
An investor that purchases units of BMO Canadian Banks Accelerator ETF or BMO US Equity Accelerator Hedged to CAD ETF (each, a "Fund") other than on the first day of a Target Outcome Period (as defined in the Fund's simplified prospectus) and/or redeems or sells units of the Fund prior to the end of a Target Outcome Period may experience results that are very different from the target outcomes sought by the Fund for that Target Outcome Period. To achieve the intended target outcomes sought by the Fund for a Target Outcome Period, an investor must hold units of the Fund for that entire Target Outcome Period. Please refer to the Funds' website (www.bmogam.com/ca-en/products/structured-outcomes) for important information about the Target Outcome Period start and end dates and the applicable cap.
BMO ESG High Yield US Corporate Bond Index ETF is not sponsored, endorsed, or promoted by MSCI or Bloomberg and they each bear no liability with respect to any such ETF or any index on which such ETF is based. The ETF's simplified prospectus contains a more detailed description of the limited relationship MSCI or Bloomberg have with BMOAM Inc. and any related ETF.
"BLOOMBERG®" and the Bloomberg US Treasury Inflation-Linked Bond Index (Series-L) (the "Index") are service marks of Bloomberg Finance L.P. and its affiliates, including Bloomberg Index Services Limited ("BISL"), the administrator of the Index (collectively, "Bloomberg") and have been licensed for use for certain purposes by BMO Asset Management Inc. (the "Licensee") and BMO US TIPS Index ETF (the "ETF"). Bloomberg is not affiliated with the Licensee, and Bloomberg does not approve, endorse, review, or recommend the ETF. Bloomberg does not guarantee the timeliness, accuracy, or completeness of any data or information relating to the ETF.
"BMO (M-bar roundel symbol)" is a registered trademark of Bank of Montreal, used under licence.
About BMO Financial Group BMO Financial Group is the eighth largest bank in North America by assets, with total assets of $1.41 trillion as of October 31, 2024. Serving customers for 200 years and counting, BMO is a diverse team of highly engaged employees providing a broad range of personal and commercial banking, wealth management, global markets and investment banking products and services to over 13 million customers across Canada, the United States, and in select markets globally. Driven by a single purpose, to Boldly Grow the Good in business and life, BMO is committed to driving positive change in the world, and making progress for a thriving economy, sustainable future, and inclusive society.
