BMO Investments launches 2 fund series, reduces fees

BMO Investments has announced mutual fund series launches and fee reductions across its lineup.

First, BMO Investments has added Series F4 to five of the BMO ETF Portfolios. It has also added Series F to certain index funds, and Series F and Advisor Series to the BMO Risk Reduction Funds.

Fee changes

Effective on or about April 24, BMO Investments reduced management fees by up to 45 basis points on certain Series A, D, F, T5 and Advisor Series of 12 BMO Mutual Funds.

Here are the details:

Also, effective on or about April 24, BMO Investments reduced the administration fee across 9 BMO Mutual Funds, as indicated in this chart:

As well, effective on or about April 24, BMO Investments reduced the trailing commission or service fee across the BMO Target Education Portfolios, as indicated in this chart:

Risk Rating Changes

The risk rating for the following funds has been changed, effective April 24, 2017, to reflect the shift in the funds’ investments as they approach their respective target end date.

• the BMO LifeStage Plus 2017 rating has been changed from low to medium to low; and
• the MO LifeStage Plus 2020 rating has been changed from low to medium to low.

BMO Investments also notes that the BMO LifeStage Plus 2017 Fund is approaching its June 30, 2017 target maturity date. Upon maturity, the fund will be merged into the BMO Money Market Fund on a tax deferred basis, effective after the close of business on or about June 30, 2017. Securityholders of BMO LSP 2017 will receive securities of BMO Money Market Fund, determined on a dollar-for-dollar basis, and BMO LSP 2017 will be wound up as soon as possible following the merger.

Read: When and how to replace a fund in a portfolio

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.