Description

The BMO Discount Bond Index ETF is structured to replicate, as closely as practicable and net of its operating expenses, the returns of the FTSE Canada Universe Discount Bond Index. This fund primarily allocates capital to a diverse range of debt instruments, concentrating on those with maturities exceeding one year. A specific investment criterion requires that the coupon rate of its holdings does not surpass 1.4 times the bond's yield to maturity. The underlying index itself represents a broad spectrum of the Canadian investment-grade fixed income market, incorporating federal government, provincial government, and corporate debt securities.