E220 – A Divergence in Economic Strength

BMO ETFs: Views from the Desk

As the economy shows more signs of weakness, will the Bank of Canada be the first to cut rates? In today’s episode, Portfolio Managers Chris McHaney, Chris Heakes, and your host, Mckenzie Box, examine the economic divergence between Canada and the U.S., and potential paths forward. They also discuss currency exposure, a large federal investment in artificial intelligence, and commodities.

The episode was recorded live on Thursday, April 11, 2024.

ETFs mentioned in the podcast:

• BMO Short Corporate Bond Index ETF (Ticker: ZCS)
• BMO S&P 500 Index ETF (Ticker: ZSP)
• BMO S&P 500 Hedged to CAD Index ETF (Ticker: ZUE)
• BMO NASDAQ 100 Equity Index ETF (Ticker: ZNQ)
• BMO NASDAQ 100 Equity Hedged to CAD Index ETF (Ticker: ZQQ)
• BMO Covered Call Technology ETF (Ticker: ZWT)
• BMO Global Communications Index ETF (Ticker: COMM)
• BMO Global Infrastructure Index ETF (Ticker: ZGI)
• BMO Gold Bullion ETF (Ticker: ZGLD)
• BMO Equal Weight Global Base Metals Hedged to CAD Index ETF (Ticker: ZMT)
• BMO Equal Weight Oil & Gas Index ETF (Ticker: ZEO)
• BMO Covered Call Energy ETF (Ticker: ZWEN)

Price of gold: Bloomberg, as of April 11, 2024.

ZSP, total returns as at 2024/03/28: 1yr: 26.69%, 3yr: 13.94%, 5yr: 14.97%, 10yr: 14.83%, SI: 17.39%

ZEO, total returns as at 2024/03/28: 1yr: 26.25%, 3yr: 30.46%, 5yr: 14.94%, 10yr: 1.41%, SI: 1.65%

ZWEN, total returns as at 2024/03/28: 1yr: 20.57%

Disclaimers:

The viewpoints expressed by the Portfolio Manager represent their assessment of the markets at the time of publication. Those views are subject to change without notice at any time. The information contained herein is not, and should not be construed as, investment, tax or legal advice to any party. Investments should be evaluated relative to the individual’s investment objectives and professional advice should be obtained with respect to any circumstance. Any statement that necessarily depends on future events may be a forward-looking statement. Forward-looking statements are not guarantees of performance.

Any statement that necessarily depends on future events may be a forward-looking statement. Forward-looking statements are not guarantees of performance. They involve risks, uncertainties and assumptions. Although such statements are based on assumptions that are believed to be reasonable, there can be no assurance that actual results will not differ materially from expectations. Investors are cautioned not to rely unduly on any forward-looking statements. In connection with any forward-looking statements, investors should carefully consider the areas of risk described in the most recent prospectus.

Commissions, management fees and expenses all may be associated with investments in exchange traded funds. Please read the ETF Facts or prospectus of the BMO ETFs before investing. Exchange traded funds are not guaranteed, their values change frequently and past performance may not be repeated.

For a summary of the risks of an investment in the BMO ETFs, please see the specific risks set out in the BMO ETF’s prospectus. BMO ETFs 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 ETFs are managed by BMO Asset Management Inc., which is an investment fund manager and a portfolio manager, and a separate legal entity from Bank of Montreal.

This podcast is for information purposes. The information contained herein is not, and should not be construed as, investment, tax or legal advice to any party. Particular investments and/or trading strategies should be evaluated relative to the individual’s investment objectives and professional advice should be obtained with respect to any circumstance.

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