Comments on: Exchange-Traded Funds from BMO Asset Management

By: More Exchange-Traded Funds from BMO | Canadian Capitalist

More Exchange-Traded Funds from BMO | Canadian Capitalist — Tue, 27 Oct 2009 03:56:45 +0000

[...] were already in the works, according to an initial prospectus filed with regulators (See post Exchange-Traded Funds from BMO). Of the remaining seven, four are devoted to fixed income and three to [...]

By: The Financial Blogger » Blog Archive » Financial Ramblings

The Financial Blogger » Blog Archive » Financial Ramblings — Sat, 28 Mar 2009 12:07:20 +0000

[...] you are looking for ETF’s, look at the BMO ETF’s by Canadian [...]

By: Revisiting BMO Exchange-Traded Funds | Income Trust | Personal Finance | Real Estate SEO

Tue, 24 Mar 2009 22:56:21 +0000

[...] goodness for eagle-eyed readers! My initial enthusiasm for a new clutch of ETFs from BMO has evaporated based on reader feedback to yesterday’s post. I initially thought the BMO US [...]

By: Revisiting BMO Exchange-Traded Funds

Revisiting BMO Exchange-Traded Funds — Tue, 24 Mar 2009 22:00:56 +0000

[...] Contact ← Exchange-Traded Funds from BMO Asset Management [...]

By: Canadian Capitalist

Canadian Capitalist — Tue, 24 Mar 2009 20:52:53 +0000

Dan: I wrote about US estate taxes here:

http://www.canadiancapitalist.com/2008/07/29/should-us-estate-taxes-affect-the-choice-of-investments

By: EconStudent

EconStudent — Tue, 24 Mar 2009 20:26:37 +0000

After thinking and analyzing things, I realize that maybe it isn’t the mutual fund salesperson who is greedy at all. In most cases, they are paid .25% trailing commission for money market, .50% trailing commission for bond fund, and 1% trailing commission for equity fund. In a proper portfolio, they get paid less than 1% of net assets especially considering the brokerage cut. On the other hand, fee based financial advisors will charge 1% or more of net assets for people with smaller accounts.

It might be that mutual fund companies like Fidelity Canada, Investor Group, etc, are the ones who are greedy. They are taking 1% for bond funds and 1.5% for equity funds after trailing commission is paid out. I know the DSC makes things a lot more complicated, so they should remove the DSC system and everyone should be happy with the trailing commissions.

I think BMO is being less greedy when launching these ETFs. I agree with others that BMO might not succeed. I would not recommend BMO etfs unless there are no iShares or Claymore equivalents.

Sid: Vanguard ETFs are equivalent to Vanguard index funds other than fund structure. Yes, Canadian can almost solely invest with Vanguard ETFs, but two important asset classes that are missing with Vanguard ETFs are Canadian bonds and Canadian equity. As a result, just use iShares or Claymore equivalents. I like iShares TSX Composite Index and Claymore 1- 5 year Corporate Bond Ladder in today’s economic situation.

By: Dan B

Dan B — Tue, 24 Mar 2009 18:49:13 +0000

Great to finally see a Cdn$ emerging markets ETF that goes beyond the BRIC countries.

CC, can you explain what you mean by “Canadian investors worried about US estate tax implications”?

By: Thicken My Wallet

Thicken My Wallet — Tue, 24 Mar 2009 16:10:11 +0000

I am interested to see the marketing of these products. TD has a stellar reputation for being a great retail bank and, if they could not sell this in any scale, I wonder how BMO, who has been losing market share in retail and has a bad reputation for customer service, will do?

By: mjw2005

mjw2005 — Tue, 24 Mar 2009 15:51:13 +0000

I wish BMO the best of luck….I am just glad to see more competition in the Canadian ETF market….

By: Doug

Doug — Tue, 24 Mar 2009 11:23:03 +0000

IF TD failed, will B of M succeed? If you invest in these ETFs, and B of M pulls out, you may be left with capital gains taxes.