Description

The BMO Monthly Income ETF is engineered to mirror the performance of a carefully selected group of BMO ETFs known for their higher yields. Eligibility for these underlying funds requires them to surpass the yield of either the BMO S&P/TSX Capped Composite Index ETF (ZCN), representing the equity market, or the BMO Aggregate Bond Index ETF (ZAG), which tracks the fixed income market. The portfolio's construction emphasizes income, maintaining an even 50% split between equity and fixed income assets, with no single holding exceeding a 20% allocation. This ETF undergoes semi-annual rebalancing and reconstitution in July and January. Moreover, given its fund-of-funds design, the management fees applied to ZMI are reduced by any fees already accounted for within its constituent funds.