E133 – Fighting Inflation with Dividends

BMO ETFs: Views from the Desk

Last week, the Fed raised its key interest rate by 75 basis points, prompting speculation that a similar move by the Bank of Canada may be on the horizon. In today’s episode, portfolio managers Matt Montemurro, Chris Heakes, and your host, Mark Raes, break down what that could mean for the fixed income market. They also discuss corporate bond spreads, dividend ETF strategies, volatility, and the utilities sector.

Read the episode summary.

Mark Raes is the Head of Product at BMO Global Asset Management. He is joined on the podcast by Matt Montemurro and Chris Heakes, Portfolio Managers and ETF Specialists at BMO Global Asset Management. The episode was recorded live on June 22, 2022.

ETFs mentioned in the podcast:

• BMO Ultra Short-Term Bond ETF (Ticker: ZST)
• BMO Short-Term US Treasury Bond Index ETF (Ticker: ZTS)
• BMO Short-Term Discount Bond ETF (Ticker: ZSDB)
• BMO Short-Term US IG Corporate Bond Hedged to CAD Index ETF (Ticker: ZSU)
• BMO Ultra Short-Term US Bond ETF (USD Units) (Ticker: ZUS.U)
• BMO Corporate Discount Bond ETF (Ticker: ZCDB)
• BMO High Quality Corporate Bond Index ETF (Ticker: ZQB)
• BMO Canadian High Dividend Covered Call ETF (Ticker: ZWC)
• BMO US High Dividend Covered Call ETF (Ticker: ZWH)
• BMO Europe High Dividend Covered Call ETF (Ticker: ZWP)
• BMO Global High Dividend Covered Call ETF (Ticker: ZWG)
• BMO Covered Call Canadian Banks ETF (Ticker: ZWB)
• BMO Covered Call Utilities ETF (Ticker: ZWU)
• BMO Equal Weight Utilities Index ETF (Ticker: ZUT)

Disclosure:

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 without any kind of notice. 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.

Commissions, management fees and expenses all may be associated with investments in exchange traded funds. Please read the ETF Facts or prospectus 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 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.

BMO Global Asset Management is a brand name that comprises BMO Asset Management Inc. and BMO Investments Inc.

®/™Registered trademarks/trademark of Bank of Montreal, used under licence.