News Releases
TORONTO, October 10, 2008 – BMO Investments Inc. has filed a preliminary prospectus for the new BMO LifeStage Plus 2017 Fund and intends to launch the fund in mid-November 2008*. This addition to the LifeStage Plus family of lifecycle funds is in response to strong demand for target end date products with a Guaranteed Maturity Amount�. BMO LifeStage Plus Funds provide investors with downside protection during volatile market conditions by locking in the highest daily unit price that the fund achieves prior to its target end date. With a wide range of options, investors will be able to match their investment needs and time horizons with an appropriate target end date (2017, 2020, 2025 or 2030) whether their goals include saving for a child's education or their own retirement.
In response to significant declines in the global markets, BMO LifeStage Plus 2015 Fund changed its portfolio allocation from a “conservative” to a “protected” asset mix on October 6, 2008, with a corresponding management fee reduction to 1.05%. The portfolio will now consist entirely of fixed income investments (including provincial and corporate bonds) and cash equivalents until its target end date. In keeping with the fund's investment strategies, this reallocation to a fixed income portfolio is intended to ensure that the fund has sufficient assets at maturity to pay investors the Guaranteed Maturity Amount. Unitholders are currently entitled to receive $10.1716 at maturity. Given the shift to a protected portfolio, BMO LifeStage Plus 2015 Fund will be closed to all new purchases effective October 10, 2008.
About BMO Investments Inc.
BMO Investments Inc. is a member of the BMO Financial Group and part of the organization's Private Client Group. The Private Client Group provides integrated wealth management services in Canada and the United States and had total assets under management and administration and term investments of $286 billion as at April 30, 2008.
* Preliminary prospectuses containing important information relating to these securities have been filed with securities commissions or similar authorities in certain jurisdictions of Canada. The preliminary prospectuses are still subject to completion or amendment. Copies of the preliminary prospectuses may be obtained by calling BMO Investments Inc. at 1 800 665 7700 or on the internet at www.sedar.com. There will not be any sale or any acceptance of an offer to buy the securities until receipts for the final prospectuses have been issued.
� In order to receive the highest daily locked-in value (the “Guaranteed Maturity Amount”), investors must remain invested in the fund until the fund's target end date. If an investor redeems any of his or her units of the fund prior to the target end date, the investor will receive the price per unit based on the fund's net asset value next determined after BMO Investments Inc. receives the redemption request, which may be less than the Guaranteed Maturity Amount. Please read the Fund's prospectus before investing and for important information regarding the Guaranteed Maturity Amount.
Commissions, trailing commissions, management fees and expenses may be associated with mutual fund investments. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated.
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