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Contributing To Your RRSP? Why Not Consider ETFs?


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Published in Business and Finance on Thursday, February 17th 2011 at 3:21 GMT by Market Wire   Print publication without navigation


TORONTO, ONTARIO--(Marketwire - Feb. 17, 2011) - As the Registered Retirement Savings Plan (RRSP) deadline looms, and Canadians continue to make contributions, BMO Financial Group is reminding investors that Exchange Traded Funds (ETFs) offer numerous benefits to investors, including diversification, flexibility and low fees.

BMO is the only bank to offer globally diversified ETF portfolio solutions which accommodate various investor risk profiles. These portfolios make an ideal addition to an existing portfolio or as a centerpiece to a newly opened RRSP.

For example:

  • For investors who are approaching retirement, the BMO Security ETF Portfolio is a low-risk option that focuses on capital preservation. The investments within this portfolio are made up of lower-risk asset classes, such as fixed income, and have a lower level of volatility.
  • Those still a few years away from retirement should consider the BMO Balanced ETF Portfolio. The portfolio provides a balance of lower and higher-risk investments which exhibit a moderate level of volatility.
  • Younger investors who are several years from retirement should look for long-term capital appreciation. The BMO Aggressive Growth ETF Portfolio is the right choice for this group. It invests primarily in equity securities, allowing for a higher level of volatility, but also a higher potential for return.

"Once you've identified your investment objectives, risk tolerance and investment time horizon, ETFs can be an ideal compliment to your portfolio regardless of your life stage," says Kevin Gopaul, Chief Investment Officer, BMO ETFs. "Investors who are looking for tax efficiency, liquidity and transparency should be investigating ETF options as a means of enhancing their portfolios."

BMO Financial Group has recently expanded its ETF line up and now includes a total of 40 funds, including the most comprehensive suite of yield products and the most precise collection of commodity funds.

To learn more about BMO ETFs please visit: [ www.bmo.com/etfs ].



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