BMO Prospectus ENG 2015 04-13 (PP) Draft 2015-04-15 5:46 PM … Mutual Funds... · 2015-04-20 · BMO Target Education 2030 Portfolio (series A and D) BMO Target Education 2035 Portfolio

The BMO Mutual Funds in this simplified prospectus are offered by BMO Investments Inc.

Offering series A securities, series T5 securities, series T6 securities, series T8 securities, series F securities, series D securities, series I securities, series O securities, series L securities, series M securities,series N securities, series NBA securities, series NBF securities, Advisor Series securities and/or Classic Series securities, as noted.

No securities regulatory authority has expressed an opinion about these securities. It is an offence to claim otherwise.

The funds and the securities of the funds offered under this simplified prospectus are not registered with the United States Securities and Exchange Commission and they are sold in theUnited States only in reliance on exemptions from registration.

Simplified Prospectus

BMO Security FundsBMO Money Market Fund

(series A, F, I, M and Advisor Series)

BMO Income FundsBMO Balanced Yield Plus ETF Portfolio

(formerly, BMO Target Enhanced Yield ETF Portfolio)(series A, T6, F, D, I and Advisor Series)

BMO Bond Fund (series A, F, D, I, NBA, NBF and Advisor Series)BMO Canadian Diversified Monthly Income Fund

(series T5, T8, F, I and Advisor Series)BMO Core Bond Fund (series A, F, D, I and Advisor Series)BMO Core Plus Bond Fund (series A, F, D, I and Advisor Series)BMO Diversified Income Portfolio (series A, T6 and I)BMO Emerging Markets Bond Fund

(series A, F, D, I and Advisor Series)BMO Fixed Income Yield Plus ETF Portfolio

(formerly, BMO Target Yield ETF Portfolio)(series A, T6, F, D, I and Advisor Series)

BMO Floating Rate Income Fund (series A, F, D, I and Advisor Series)

BMO Global Diversified Fund (series T5, F and Advisor Series)BMO Global Monthly Income Fund (series A, T6 and I)BMO Global Strategic Bond Fund

(series A, F, D, I and Advisor Series)BMO Growth & Income Fund

(series T5, T8, F, Advisor Series and Classic Series)BMO High Yield Bond Fund (series F, I and Advisor Series)BMO Laddered Corporate Bond Fund

(series A, F, I and Advisor Series)BMO Monthly Dividend Fund Ltd.*

(series F, Advisor Series and Classic Series)BMO Monthly High Income Fund II

(series A, T5, T8, F, D, I and Advisor Series)BMO Monthly Income Fund (series A, T6, F, D and I)BMO Mortgage and Short-Term Income Fund

(series A, F, I and Advisor Series)BMO Preferred Share Fund (series A, F, D, I, BMO Private

Preferred Share Fund Series O and Advisor Series)BMO Tactical Global Bond ETF Fund

(series A, F, D, I and Advisor Series)BMO U.S. High Yield Bond Fund (series A, F, D, I, BMO Private

U.S. High Yield Bond Fund Series O and Advisor Series)BMO World Bond Fund (series A, F, I and Advisor Series)

BMO Growth FundsBMO Asian Growth and Income Fund

(series A, F, D, I and Advisor Series)BMO Asset Allocation Fund

(series A, T5, F, D, I, NBA and Advisor Series)BMO Canadian Equity ETF Fund (series A, D and I)BMO Canadian Equity Fund (series A, F, D and I)BMO Canadian Large Cap Equity Fund

(series A, T5, F, I and Advisor Series)BMO Canadian Stock Selection Fund

(series A, F, D, I, NBA, NBF and Advisor Series)BMO Dividend Fund (series A, T5, F, D, I and Advisor Series)BMO Enhanced Equity Income Fund

(series A, F, D, I and Advisor Series)BMO European Fund (series A, F, D, I and Advisor Series)

BMO Global Balanced Fund (series A, F, D, I and Advisor Series)BMO Global Dividend Fund (series A, F, D, I and Advisor Series)BMO Global Equity Fund (series A, F, D, I and Advisor Series)BMO Global Growth & Income Fund

(series T5, F, I and Advisor Series)BMO Global Infrastructure Fund (series A, F, D, I and Advisor Series)BMO Growth Opportunities Fund (series A, F, D, I and Advisor Series)BMO International Equity ETF Fund (series A, D and I)BMO International Value Fund

(series A, F, D, I, N, NBA, NBF and Advisor Series)BMO North American Dividend Fund

(series A, F, I and Advisor Series)BMO Tactical Balanced ETF Fund

(series A, F, D, I, L and Advisor Series)BMO Tactical Dividend ETF Fund

(series A, F, D, I, L and Advisor Series)BMO Tactical Global Equity ETF Fund

(series A, F, D, I and Advisor Series)BMO U.S. Dividend Fund (series A, F, D, I and Advisor Series)BMO U.S. Equity ETF Fund (series A, D and I)BMO U.S. Equity Fund

(series A, F, D, I, N, NBA, NBF and Advisor Series)BMO U.S. Equity Plus Fund (series A, F, D, I and Advisor Series)

BMO Equity Growth FundsBMO Canadian Small Cap Equity Fund

(series A, F, D, I and Advisor Series)BMO Emerging Markets Fund

(series A, F, D, I and Advisor Series)BMO Global Small Cap Fund (series A, F, I and Advisor Series)BMO Precious Metals Fund (series A, F, I and Advisor Series)BMO Resource Fund (series A, F, I and Advisor Series)

BMO ETF PortfoliosBMO Fixed Income ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Income ETF Portfolio (formerly, BMO Security ETF Portfolio)

(series A, T6, F, D, I and Advisor Series)BMO Conservative ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Balanced ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Growth ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Equity Growth ETF Portfolio

(series A, T6, F, D, I and Advisor Series)

BMO U.S. Dollar FundsBMO U.S. Dollar Balanced Fund (series A, F, I and Advisor Series)BMO U.S. Dollar Dividend Fund (series A, F, I and Advisor Series)BMO U.S. Dollar Equity Index Fund (series A and I)BMO U.S. Dollar Money Market Fund

(series A and Advisor Series)BMO U.S. Dollar Monthly Income Fund

(series A, T5, T6, F, I and Advisor Series)

BMO Global Tax Advantage Funds±

BMO Asian Growth and Income Class (series F and Advisor Series)BMO Canadian Equity Class (series A, F, I and Advisor Series)BMO Canadian Tactical ETF Class

(series A, T6, F, I and Advisor Series)BMO Dividend Class (series A, I and Advisor Series)BMO Global Dividend Class (series A, T5, F, I and Advisor Series)

BMO Global Energy Class (series A, F, I and Advisor Series)BMO Global Equity Class (series A, F, I and Advisor Series)BMO Global Tactical ETF Class (series A, T6, F, I and Advisor Series)BMO Greater China Class (series A, F, I and Advisor Series)BMO International Value Class (series A, F, I and Advisor Series)BMO LifeStage 2017 Class (series A, I and Advisor Series)BMO LifeStage 2020 Class (series A, I and Advisor Series)BMO LifeStage 2025 Class (series A, I and Advisor Series)BMO LifeStage 2030 Class (series A, I and Advisor Series)BMO LifeStage 2035 Class (series A, I and Advisor Series)BMO LifeStage 2040 Class (series A, I and Advisor Series)BMO Short-Term Income Class (series A, I and Advisor Series)BMO U.S. Equity Class (series F, I and Advisor Series)BMO SelectClass® Income Portfolio

(formerly, BMO SelectClass® Security Portfolio)(series A, T6, I and Advisor Series)

BMO SelectClass® Balanced Portfolio (series A, T6, I and Advisor Series)

BMO SelectClass® Growth Portfolio (series A, T6, I and Advisor Series)

BMO SelectClass® Equity Growth Portfolio (series A, T6, I and Advisor Series)

BMO Income ETF Portfolio Class (formerly, BMO Security ETFPortfolio Class) (series A, T6, F and Advisor Series)

BMO Balanced ETF Portfolio Class (series A, T6, F and Advisor Series)

BMO Growth ETF Portfolio Class (series A, T6, F and Advisor Series)

BMO Equity Growth ETF Portfolio Class (series A, T6, F and Advisor Series)

BMO LifeStage Plus FundsBMO LifeStage Plus 2022 Fund (series A and Advisor Series)BMO LifeStage Plus 2025 Fund (series A and Advisor Series)BMO LifeStage Plus 2026 Fund (series A and Advisor Series)BMO LifeStage Plus 2030 Fund (series A and Advisor Series)

BMO FundSelect® PortfoliosBMO FundSelect® Income Portfolio

(formerly, BMO FundSelect® Security Portfolio) (series A)BMO FundSelect® Balanced Portfolio (series A and NBA)BMO FundSelect® Growth Portfolio (series A and NBA)BMO FundSelect® Equity Growth Portfolio (series A and NBA)

BMO SelectTrust™ PortfoliosBMO SelectTrust™ Fixed Income Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Income Portfolio (formerly, BMO SelectTrust™

Security Portfolio) (series A, T6, I and Advisor Series)BMO SelectTrust™ Conservative Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Balanced Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Growth Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Equity Growth Portfolio

(series A, T6, I and Advisor Series)

BMO Target Education PortfoliosBMO Target Education Income Portfolio (series A and D)BMO Target Education 2020 Portfolio (series A and D)BMO Target Education 2025 Portfolio (series A and D)BMO Target Education 2030 Portfolio (series A and D)BMO Target Education 2035 Portfolio (series A and D)

April 13, 2015

* A mutual fund corporation offering shares.± Each fund within this category is a class of BMO Global Tax Advantage Funds Inc., a mutual fund corporation.

BMO_Prospectus ENG 2015_04-13 (PP)_Draft 2015-04-15 5:46 PM Page 1

Introduction 1

Fund-specific informationA guide to using the fund descriptions 2

BMO Security FundsBMO Money Market Fund 7

BMO Income FundsBMO Balanced Yield Plus ETF Portfolio 9BMO Bond Fund 12BMO Canadian Diversified Monthly Income Fund 14BMO Core Bond Fund 17BMO Core Plus Bond Fund 19BMO Diversified Income Portfolio 21BMO Emerging Markets Bond Fund 23BMO Fixed Income Yield Plus ETF Portfolio 25BMO Floating Rate Income Fund 27BMO Global Diversified Fund 29BMO Global Monthly Income Fund 31BMO Global Strategic Bond Fund 33BMO Growth & Income Fund 36BMO High Yield Bond Fund 38BMO Laddered Corporate Bond Fund 40BMO Monthly Dividend Fund Ltd. 42BMO Monthly High Income Fund II 44BMO Monthly Income Fund 46BMO Mortgage and Short-Term Income Fund 49BMO Preferred Share Fund 51BMO Tactical Global Bond ETF Fund 53BMO U.S. High Yield Bond Fund 55BMO World Bond Fund 57

BMO Growth FundsBMO Asian Growth and Income Fund 59BMO Asset Allocation Fund 61BMO Canadian Equity ETF Fund 64BMO Canadian Equity Fund 66BMO Canadian Large Cap Equity Fund 68BMO Canadian Stock Selection Fund 70BMO Dividend Fund 72BMO Enhanced Equity Income Fund 74BMO European Fund 76BMO Global Balanced Fund 78BMO Global Dividend Fund 80BMO Global Equity Fund 82BMO Global Growth & Income Fund 84BMO Global Infrastructure Fund 86BMO Growth Opportunities Fund 88BMO International Equity ETF Fund 90BMO International Value Fund 92BMO North American Dividend Fund 94BMO Tactical Balanced ETF Fund 96BMO Tactical Dividend ETF Fund 98

BMO Tactical Global Equity ETF Fund 100BMO U.S. Dividend Fund 102BMO U.S. Equity ETF Fund 104BMO U.S. Equity Fund 106BMO U.S. Equity Plus Fund 108

BMO Equity Growth FundsBMO Canadian Small Cap Equity Fund 110BMO Emerging Markets Fund 112BMO Global Small Cap Fund 114BMO Precious Metals Fund 116BMO Resource Fund 118

BMO ETF PortfoliosBMO Fixed Income ETF Portfolio 120BMO Income ETF Portfolio 122BMO Conservative ETF Portfolio 124BMO Balanced ETF Portfolio 126BMO Growth ETF Portfolio 128BMO Equity Growth ETF Portfolio 130

BMO U.S. Dollar FundsBMO U.S. Dollar Balanced Fund 132BMO U.S. Dollar Dividend Fund 134BMO U.S. Dollar Equity Index Fund 136BMO U.S. Dollar Money Market Fund 138BMO U.S. Dollar Monthly Income Fund 139

BMO Global Tax Advantage FundsBMO Asian Growth and Income Class 142BMO Canadian Equity Class 144BMO Canadian Tactical ETF Class 146BMO Dividend Class 148BMO Global Dividend Class 150BMO Global Energy Class 152BMO Global Equity Class 154BMO Global Tactical ETF Class 156BMO Greater China Class 158BMO International Value Class 160BMO LifeStage 2017 Class 162BMO LifeStage 2020 Class 164BMO LifeStage 2025 Class 166BMO LifeStage 2030 Class 168BMO LifeStage 2035 Class 170BMO LifeStage 2040 Class 172BMO Short-Term Income Class 174BMO U.S. Equity Class 176BMO SelectClass® Income Portfolio 178BMO SelectClass® Balanced Portfolio 180BMO SelectClass® Growth Portfolio 182BMO SelectClass® Equity Growth Portfolio 184BMO Income ETF Portfolio Class 186BMO Balanced ETF Portfolio Class 188BMO Growth ETF Portfolio Class 190BMO Equity Growth ETF Portfolio Class 192


BMO LifeStage Plus FundsBMO LifeStage Plus 2022 Fund 194BMO LifeStage Plus 2025 Fund 196BMO LifeStage Plus 2026 Fund 198BMO LifeStage Plus 2030 Fund 200

BMO FundSelect® PortfoliosBMO FundSelect® Income Portfolio 202BMO FundSelect® Balanced Portfolio 204BMO FundSelect® Growth Portfolio 206BMO FundSelect® Equity Growth Portfolio 208

BMO SelectTrust™ PortfoliosBMO SelectTrust™ Fixed Income Portfolio 210BMO SelectTrust™ Income Portfolio 212BMO SelectTrust™ Conservative Portfolio 214BMO SelectTrust™ Balanced Portfolio 216BMO SelectTrust™ Growth Portfolio 218BMO SelectTrust™ Equity Growth Portfolio 220

BMO Target Education PortfoliosBMO Target Education Income Portfolio 222BMO Target Education 2020 Portfolio 224BMO Target Education 2025 Portfolio 226BMO Target Education 2030 Portfolio 228BMO Target Education 2035 Portfolio 230

What is a mutual fund and what are the risks of investing in a mutual fund? 232

Organization and management of BMO Mutual Funds 239

Purchases, switches and redemptions 244

Optional services 254

Fees and expenses 257

Dealer compensation 263

Dealer compensation from management fees 266

Income tax considerations for investors 267

What are your legal rights? 270

Additional information 270



This simplified prospectus contains selected importantinformation to help you make an informed investmentdecision and understand your rights as an investor. It’sdivided into two parts. Pages 2 to 231 contain specificinformation about each fund and pages 232 to 271contain general information about the funds.

You’ll find more information about each fund in thefollowing documents:• the annual information form• the most recently filed fund facts• the most recently filed annual financial statements• any interim financial report filed after those financial

statements• the most recently filed annual management report of

fund performance• any interim management report of fund performance

filed after that annual management report of fundperformance

These documents are incorporated by reference into thissimplified prospectus. That means they legally form partof this simplified prospectus just as if they were printedin it.

There’s no charge for these documents. You’ll also findcopies of them, and other information about the funds,on the internet at www.sedar.com.

If you would like a copy of these documents and youpurchased your securities at a BMO Bank of Montrealbranch, through the BMO Investment Centre, bytelephone or through the internet, for more informationabout BMO Mutual Funds, please call toll free at 1-800-665-7700 or visit our website:

In English: www.bmo.com/mutualfunds

En français: www.bmo.com/fonds

If you would like a copy of these documents and youpurchased your securities through a dealer, for moreinformation about BMO Mutual Funds, please call toll freeat 1-800-668-7327 or visit our website:

In English: www.bmomutualfunds.com/advisor

En français: www.bmofonds.com/conseiller

Introduction 1

In this document, “we”, “us” and “our” refer toBMO Investments Inc. We refer to all of the mutual fundswe offer as “BMO Mutual Funds”. We refer to the fundsoffered under this simplified prospectus as “fund” or“funds”. We refer to a unit or the units of the funds as“unit” or “units” and a share or the shares as “share” or“shares”. We also refer to units or shares as “securities”and holders of shares or units as “securityholders”.

When you invest in BMO Monthly Dividend Fund Ltd. or in aBMO Mutual Fund that is part of BMO Global Tax AdvantageFunds Inc., you are buying shares of BMO MonthlyDividend Fund Ltd. or of a class of BMO Global TaxAdvantage Funds Inc., respectively, each of which is acorporation, and you become a “shareholder”. We refer

to the funds that are part of BMO Global Tax AdvantageFunds Inc., as “BMO Global Tax Advantage Funds”. Whenyou invest in any of the other funds listed on the front cover,you are buying units of a trust and become a “unitholder”.We refer to these trust funds as “BMO Trust Funds”.

In this document, if the name of a series includes thewords “Series O”, we refer to those series as “Series O”securities of the fund. If the name of a fund includes theword “SelectClass®”, it is one of the “BMO SelectClass®

Portfolios”. If the name of a fund includes the words“LifeStage Plus”, it is one of the “BMO LifeStage PlusFunds” and if the name of the fund includes only theword “LifeStage”, it is one of the “BMO LifeStage Funds”.


2

A guide to using the fund descriptionsYou’ll find all the key information about each fundin one place—the fund descriptions. They begin onpage 7. Each fund description is organized intosections to make it easier for you to compare funds.Below is a short guide to what you’ll find in eachsection of the fund descriptions.

Fund detailsThe Fund details section provides an overview ofsome basic information about the fund, like whatkind of fund it is, when it was started and what typeof securities it offers.

A mutual fund can be set up as a trust or as acorporation. We offer both kinds of mutual fundsunder this simplified prospectus. BMO MonthlyDividend Fund Ltd. is a corporation. BMO GlobalTax Advantage Funds are classes of BMO GlobalTax Advantage Funds Inc., which is also acorporation. When you invest in a BMO Global TaxAdvantage Fund, you are buying shares of a class ofBMO Global Tax Advantage Funds Inc. and whenyou invest in BMO Monthly Dividend Fund Ltd.,you are also buying shares of a corporation. BMOTrust Funds are organized as trusts. When youinvest in a BMO Trust Fund, you are buying units ofa trust. The funds may offer more than one series ofsecurities. Each series is intended for a differentkind of investor and may have a differentmanagement fee.

The Fund details section tells you if the fund is aqualified investment for registered retirementsavings plans (“RRSPs”), registered retirementincome funds (“RRIFs”), registered educationsavings plans (“RESPs”), deferred profit sharingplans (“DPSPs”), registered disability savings plans(“RDSPs”) and tax-free savings accounts (“TFSAs”)(collectively, the “registered plans” and each a“registered plan”). You should consult your own taxadvisor to determine whether an investment in afund would be a prohibited investment for yourregistered plan.

This section shows the maximum management feethat we may charge for the series of securities of thefunds. For each series, we may, from time to time atour discretion, waive a portion or the entire amountof the management fee chargeable at any given time.

1

This section includes information about theadministration fee of some of the funds and thename of the portfolio manager—the company thatmakes the day-to-day decisions about fundinvestments.

What does the fund invest in?This section tells you the Investment objectives andInvestment strategies of the fund.

Investment objectivesThese are the goals of the fund. You’ll find detailsabout the kinds of securities the fund invests in, aswell as any special focus, like concentrating on aparticular country or industry.

Investment strategiesThis section tells you how the portfolio managertries to achieve the fund’s objectives. Each of thefunds follows the standard investment restrictionsand practices established by Canadian securitieslegislation, unless Canadian securities regulatorshave given the fund approval to vary from theserestrictions. If we and/or the fund have obtainedsuch an approval, we may discuss it here or underAdditional information and we also discuss it in theannual information form.

As permitted by Canadian securities legislation, theIndependent Review Committee (the “IRC”) of thefunds has provided us with approval to enable thefunds to engage in certain transactions with, andpurchase securities of, certain related parties.Additional information is available in the funds’annual information form and under Additionalinformation on page 270.

Each fund may hold cash as a defensive strategy orwhile waiting to invest in other securities. A fundmay also buy short-term fixed income securitiesand money market instruments.

A fund may purchase securities of other mutualfunds (or obtain exposure to other mutual funds byentering into derivative transactions), includingmutual funds or exchange traded funds that aremanaged by us or our affiliates or associates.

In some cases, the investment strategies section of afund may indicate that the fund has percentage orother restrictions on its investment in certain types

2

Specific information about each of the mutual funds described in this document


Who should invest in this fund?Consider this fund if:• you want an income-producing investment• you are looking for exposure to Canadian

securities for your portfolio• you are comfortable with medium investment

you are willing to accept fluctuations inthe market value of your investment).

securities are suitable forinvestors holding securities outside of a registeredplan and wishing to receive monthly distributions.

Please see Fund risk classification 4 for adescription of how we determined the classification

level.

Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders fromtime to time. Any net capital gains are distributed

December. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us that you prefer to receive cashdistributions.

Fsecurities, the fund distributes monthly any

income and/or ROC. The amount of themonthly distribution is set at the beginning of each

outlook.

T8 securities, the fund willmake monthly distributions of an amountcomprised of any net income and/or ROC based on5% and 8%, respectively, of the net asset value persecurity of the applicable series as determined on

year.

If the cash distributions to you are greater thanthe net increase in the value of your investments

T8 securities, thesedistributions will erode the value of your originalinvestments.

A ROC does not necessarily reflect the fund’sinvestment performance and should not beconfused with “yield” or “income”. You should notdraw any conclusions about the fund’s investmentperformance from the amount of this distribution.

A ROC will reduce the amount of your originalinvestment and may result in the return to you ofthe entire amount of your original investment.

ROC made to you is not immediately taxable inyour hands but will reduce the ACB of the relatedsecurities. You should consult your tax advisorregarding the tax implications of receiving a ROCon your securities. Please see page 267 for moreinformation.

Fund expenses indirectly borne by investorsSee Fund expenses indirectly borne by investors on

5 for the assumptions we’re required to use inthis table. The assumptions do not reflect the actual

fund.

Fees and expenses One Three Five Ten(per $1,000) payable over Year Years Years Years

73.19200.82130.3771.32$5T seireS

43.28240.42177.0754.22$8T seireS

96.6984.2432.4296.7$F seireS

Advisor Series $ 22.55 71.09 124.60 283.63

Classic Series $ 15.68 49.44 86.66 197.25

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Fund details

Growth & Income Fund

What does the fund invest in?

Investment objectivesThis fund’s objective is to generate a high level ofmonthly distributions with moderate volatility byinvesting primarily in a portfolio of trust units,equity securities and fixed income securities.

The fundamental investment objectives may onlybe changed with the approval of a majority of thevotes cast at a meeting of unitholders called for thatpurpose.

Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• investing in trust units, such as royalty trust units

and real estate investment trusts from varioussectors of the economy

• may also invest in common equities, typicallydemonstrating large market capitalizations andabove average dividend yields

• may invest in fixed income securities, primarilyconsisting of Canadian government andcorporate issues of any maturity or credit rating

• may invest up to 20% of the fund’s assets inforeign securities.

The portfolio manager may frequently buy and sellinvestments for the fund. This can increase tradingcosts, which may lower the fund’s returns. It alsoincreases the chance that you may receive adistribution in the year. If you hold the fund in anon-registered account, distributions are generallytaxable. For more information please see Incometax considerations for investors on page 267.

The fund may enter into securities lending,repurchase and reverse repurchase transactions toearn additional income. These transactions will beused in conjunction with the other investmentstrategies in a manner considered appropriate toachieving the fund’s investment objectives. Pleasesee Securities lending, repurchase and reversepurchase transactions risk on page 237.

What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• capital depletion risk• credit risk• equity risk• foreign investment risk• interest rate risk• large transaction risk• securities lending, repurchase and

reverse repurchase transactions risk• series risk.

Type of fund

Date started

Securitiesoffered

Eligible forregisteredplans

Managementfee

Portfoliomanager

Canadian dividend

Series T5: January 4, 2010Series T8: January 8, 2008Series F: January 2, 2001Advisor Series: October 21, 1996Classic Series: October 21, 1996

Units of a mutual fund trust

Qualified investment

Series T5: 1.85%Series T8: 1.85%Series F: 0.50%Advisor Series: 1.85%Classic Series: 1.25%

Fees and expenses also includetaxes and other fund costs. SeeFees and expenses on page 257for details.

Guardian Capital LPToronto, Ontario

(Portfolio Manager since October 1996)

3

Mutual funds can use derivatives for purposesother than hedging only if the fund has enough cashor securities to cover its positions.

A mutual fund can only use derivatives aspermitted by the Canadian securities regulators,and only if their use is consistent with the fund’sinvestment objectives.

Currency hedging strategiesCertain funds buy securities denominated inforeign currencies. The value of these securitieswill vary with changes in the value of the Canadiandollar. To protect against variations in exchangerates, these funds may buy or sell forward currencycontracts or currency futures contracts.

Each fund that engages in currency hedging willexchange currency on a spot basis at prevailingrates or through forward contracts of one year orless. We enter into currency hedging contracts onlyup to the market value of the assets a fund holds inthat currency. We may adjust the contracts fromtime to time.

Securities lending, repurchase and reverse repurchase transactionsAll of the funds may engage in securities lending,repurchase and reverse repurchase transactions asdescribed under General investment risks.

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of securities. In these cases, if the restriction isadhered to at the time of investment and then laterthe market value of the investment, the rating of theinvestment, or the value of the fund, changes in amanner that causes the restriction to be exceeded, itis not a violation of the restriction.

How the funds use derivativesA derivative is an investment whose value is basedon the value of another investment—called theunderlying investment. There are many differentkinds of derivatives, but they usually take the formof a contract to buy or sell a stock, currency,commodity, market index or mutual fund.

Some common types of derivatives a fund may useinclude:• Futures or forward contracts: these are

agreements made today to buy or sell a particularcurrency, security or market index on a specificday in the future at a specified price

• Options contracts: these are agreements that givethe buyer the right, but not the obligation, to buyor sell certain securities within a certain timeperiod, at a specified price

• Swap agreements: these are negotiated contractsbetween parties agreeing to exchange periodicpayments in the future based on returns ofdifferent investments. Swaps are generallyequivalent to a series of forward contractspackaged together


4

Short selling strategiesCertain of the funds may engage in short selling inorder to manage volatility or enhance the fund’sperformance in declining or volatile markets.

A “short sale” is where a fund borrows securitiesfrom a borrowing agent (generally a custodian ordealer) and then sells the borrowed securities in theopen market. At a later date, the same number andtype of securities are repurchased by the fund andreturned to the borrowing agent. In the interim, theproceeds from the first sale are deposited with theborrowing agent and the fund pays interest to theborrowing agent. If the value of the securitiesdeclines between the time that the fund borrowsthe securities and the time it repurchases andreturns the securities, the fund makes a profit forthe difference (less any interest the fund must payto the borrowing agent).

A mutual fund will only engage in short sales aspermitted by Canadian securities regulators, andonly if the strategy is consistent with the fund’sinvestment objectives.

What are the risks of investing in the fund?When you’re deciding which funds to invest in, riskis one of the things you should think about. Thissection tells you the specific risks of investing in thefund. You’ll find a description of each risk underGeneral investment risks.

Who should invest in this fund?This section tells you the kind of investor the fundmay be suitable for and how the fund could fit intoyour portfolio. When you’re choosing a fund to investin, you need to ask yourself what you’re expectingfrom your investments, how long you’re planning toput your money away, and how much risk you’rewilling to accept. You should also think about howthe fund will work with your other investments. Forexample, an equity growth fund, like BMO CanadianSmall Cap Equity Fund, may be too risky if it’s youronly investment, but a small amount might be away to boost the growth potential of your portfoliowithout adding too much overall risk.

4

3

Fund risk classificationWe assign an investment risk rating to each fund toprovide you with further information to help youdetermine whether the fund is appropriate for you.The methodology we use to determine the riskratings of the funds for purposes of disclosure in thissimplified prospectus is based on the methodologyrecommended by the Investment Funds Institute ofCanada (“IFIC”). IFIC concluded that the most easilyunderstood form of risk in this context is historicalvolatility risk as measured by the standarddeviation of fund performance. However IFICrecognizes that other types of risk, both measurableand non-measurable, may exist. It is also importantto note that a fund’s historical volatility may not beindicative of its future volatility.

Using this methodology, we will generally assign arisk rating based on a fund’s historical rolling threeand five-year standard deviation in one of thefollowing categories:• Low – generally includes money market funds

and Canadian fixed income funds;• Low to medium – generally includes balanced

and asset allocation funds;• Medium – generally includes large-cap equity

funds investing in developed markets;• Medium to high – generally includes equity

funds investing in small/mid-cap issuers, or inspecific countries or larger sectors; and

• High – generally includes equity funds investingin emerging markets or narrower sectors.

In certain instances, this method may produce aresult that we believe may not be indicative of afund’s future volatility. As a result, in addition tousing the methodology recommended by IFIC, wemay take into account other qualitative factors,including, but not limited to, economic climate,portfolio management styles, sector concentrationand types of investments made by a fund and theliquidity of those investments, in making our finaldetermination of each fund’s risk rating. Inaddition, if a fund does not have at least three yearsof monthly return history, the benchmark indexthat most closely resembles the investmentmandate or strategy of the fund may be used as a

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Fund expenses indirectly borne by investorsThis section gives you a hypothetical example tohelp you compare the indirect cost of investing inthe fund with the indirect cost of investing in othermutual funds. These costs are paid out of a fund’sassets. While you don’t pay them directly, they havethe effect of lowering the fund’s returns. Theinformation in the chart is for the series of the fundthat are charged management fees, have beenissued to investors and have completed a financialyear. See Fees and expenses for more informationabout the cost of investing in the funds.

The example shows the expenses you would pay if:• you invested $1,000 in the fund for the time

periods shown;• the fund earned 5% each year (the fund’s actual

performance will likely be different); and• the fund’s management expense ratio was the same

in all periods as it was in its last financial year.

A word about special termsWhile we’ve made the fund descriptions easy tounderstand, you’ll come across a few investmentterms. Here’s what they mean.

Capital Gain: Generally, the amount an investmenthas risen in value since it was bought. A capitalgain is realized when the investment is sold. Netcapital gains are capital gains after deductingcapital losses.

Capitalization: Market capitalization is the value ofa company, generally measured by multiplying theprice of its common equity shares by the number ofshares outstanding.

Derivatives: Specialized investments like forwardcontracts, futures, options and swaps whose valueis based on the value of another investment calledan underlying investment. See page 3 for moreinformation.

Fixed Income Component: The component of aBMO LifeStage Plus Fund’s portfolio that isinvested in fixed income securities issued byCanadian federal or provincial governments andcorporations and cash equivalents.

7proxy. We would then assign a risk classification tosuch a fund based on our expectation of the riskfactors that are likely to be relevant. This riskclassification may change once the fund hassufficient performance history. The investment riskrating for each fund is reviewed at least annually aswell as if there is a material change in a fund’sinvestment objectives or investment strategies.

These risk ratings do not necessarily correspond toan investor’s risk tolerance assessment; pleaseconsult your financial advisor for advice regardingyour personal circumstances.

Details about the method that we use to determinethe investment risk level of each fund are availableon request, at no cost to you. If you purchased yoursecurities at a BMO Bank of Montreal branch orthrough the BMO Investment Centre, you may callus toll free at 1-800-665-7700, write to BMOInvestments Inc. at 100 King Street West, 43rd Floor,Toronto, Ontario M5X 1A1 or email us [email protected]. If you purchased yoursecurities through a dealer, you may call us toll freeat 1-800-668-7327, write to BMO Investments Inc. at250 Yonge Street, 9th Floor, Toronto, Ontario M5B 2M8or email us at [email protected].

Distribution policyThis section tells you when you might receivedistributions from a fund and the character of thedistribution. However, due to tax loss restriction rulesa BMO Trust Fund may make other distributionsfrom time to time. Distributions from BMO MoneyMarket Fund, BMO U.S. Dollar Money Market Fund,BMO LifeStage Plus Funds and all funds held inBMO registered plans are always reinvested inadditional securities of the same series of the fundyou hold. Distributions from all other funds, includingfunds held outside BMO registered plans, arereinvested in additional securities of the sameseries of the fund, unless you tell us in writing thatyou prefer cash. Given the nature of Series T5,Series T6 and Series T8 securities, we recommendthat you request cash distributions. You’ll findinformation about the taxation of distributions and dividends under Income tax considerations for investors.

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Fixed Income Securities: Investments that pay afixed rate of interest. They’re usually corporate andgovernment bonds.

Guaranteed Maturity Amount: If units of a BMOLifeStage Plus Fund are held to the Target End Date,the greater of the following two values is paid to you:(i) $10.00 (the net asset value per unit on the startdate of the fund); or (ii) the highest net asset value perunit of the fund during the period from the start dateof the fund up to and including the Target End Date.

Hedging: A transaction intended to offset risk.

Liquidity: How easy it is for a fund to buy and sell asecurity, like a stock or a bond. The easier it is, themore liquid the investment.

Maturity: The day on which investments like bondsor derivative contracts come due for payment.

Mutual Fund Component: The component of aBMO LifeStage Plus Fund’s portfolio that isinvested in securities of other mutual funds andcash equivalents.

Net Income: The net income of a fund is interest,dividends and other investment income earnedafter deducting all expenses. It does not includecapital gains or capital losses.

Return of Capital (“ROC”): A fund can generallychoose to make a distribution that is a ROC. Also, amutual fund trust will be considered to distribute aROC if it distributes more than its net income and netrealized capital gains. In any case, a ROC distributionis not included in your income, but instead reducesthe adjusted cost base (“ACB”) of the securities onwhich it was paid. When you eventually redeem thesecurities, you may realize a larger capital gain. Ifthe ACB of your securities is reduced to less thanzero while you continue to hold them, you will bedeemed to realize an immediate capital gain equal tothe negative amount and your ACB will be increasedto zero. A ROC distribution should not be confusedwith return on investment or “yield”. You shouldnot draw any conclusions about a fund’s investmentperformance from the amount of ROC it distributes.

Target End Date: The scheduled termination datefor a BMO LifeStage Plus Fund or the date that thefund combines with one of our money market funds.

Yield: The annual income distributed from aninvestment expressed as a percentage of theinvestment’s current value. For example, a moneymarket instrument that pays $30 in interest with acurrent value of $1,000 has a yield of 3%.

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DBMOFund details

Money Market Fund


Investment objectivesThis fund’s objectives are:• to preserve the value of your investment• to provide a high level of liquidity and interest

income.

As part of its investment objectives, the fund investsprimarily in high-quality money market instrumentsissued by governments and corporations in Canada,like treasury bills, bankers’ acceptances, andcommercial paper.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objectives:• invests only in securities rated R-1 or higher by

DBRS or the equivalent rating as defined by otherrecognized rating agencies

• maintains a unit price of $1.00 by creditingincome daily and distributing it monthly


What are the risks of investing in the fund?These strategies may involve the following risks:• the yield of the fund varies with short-term

interest rates• the unit price of the fund may rise or fall,

although we try to keep it fixed at $1.00.

The investment strategies may also involve thefollowing risks, which we explain starting onpage 232:• credit risk• interest rate risk• large transaction risk• series risk.

Who should invest in this fund?Consider this fund if:• you want a more secure investment with low

investment risk• you are looking for a short-term investment.

Series M securities are suitable for investors whohave at least $150,000 to invest in the series.

Please see Fund risk classification on page 4 for adescription of how we determined the classificationof this fund’s risk level.

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian money market

Series A: May 2, 1988Series F: November 11, 2009Series I: May 10, 2010Series M: April 16, 2012Advisor Series: November 11, 2009



Series A: 1.00%Series F: 0.30%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)

Series M: 0.35%Advisor Series: 1.00%

0.12%Series M: 0.05%(for Series I, separate fees andexpenses are negotiated andpaid by each Series I investor)(1)


BMO Asset Management Inc.Toronto, Ontario

(Portfolio Manager since May 1989)

(1) The combined management and administrative fees for Series I will not exceedthe management fee charged for Advisor Series or Series A.


Distribution policyAny net income is accrued daily and distributedmonthly. Any net capital gains are distributed inDecember. Distributions are automatically reinvestedin additional units of the fund. Please see page 267for more information.

Fund expenses indirectly borne by investorsSee Fund expenses indirectly borne by investors onpage 5 for the assumptions we are required to use inthis table. The assumptions do not reflect the actualperformance of the fund.


Series A $ 11.17 35.22 61.74 140.53

Series F $ 5.02 15.83 27.75 63.17

Series M $ 4.51 14.22 24.92 56.73

Advisor Series $ 11.17 35.22 61.74 140.53

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Investment objectivesThis fund’s objective is to provide a regulardistribution by investing primarily in exchangetraded funds and/or other mutual funds that investin fixed income and equity securities. The fundmay also invest directly in fixed income or equitysecurities, and cash or cash equivalents.

The fundamental investment objectives may onlybe changed with the approval of a majority of thevotes cast at a meeting of unitholders called forthat purpose.

Investment strategiesThese are the strategies the portfolio manager usesto try and achieve the fund’s objective:• invests up to 100% of the fund’s assets in

securities of exchange traded funds and/or othermutual funds, including mutual funds that aremanaged by us or one of our affiliates orassociates

• may invest directly in fixed income and equitysecurities and cash or cash equivalents

• the underlying funds selected by the portfoliomanager will invest primarily in Canadian andforeign fixed income and equity securities, andwill be selected on the basis that they help thefund to achieve the same strategies that it useswhen investing directly in those securities

• allocates assets among the underlying exchangetraded funds and other mutual funds based oneach underlying fund’s investment objectives andstrategies, among other factors. The underlyingfunds as well as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time

• may invest up to 45% of the fund’s assets inforeign securities

• the underlying funds may temporarily departfrom their investment objectives by holding aportion of their assets in cash or short-termmoney market instruments and/or high qualityfixed income securities while seeking investmentopportunities or for defensive purposes to reflecteconomic and market conditions

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global balanced income

Series A: April 16, 2012Series T6: August 1, 2012Series F: June 24, 2013Series D: April 3, 2014Series I: April 16, 2012Advisor Series: June 1, 2012



Series A: 1.40%Series T6: 1.40%Series F: 0.55%Series D: 0.75%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)

Advisor Series: 1.40%There will be no duplication ofmanagement fees between thefund and the underlying funds

0.15%(for Series I, separate fees andexpenses are negotiated andpaid by each Series I investor)(1)



(Portfolio Managersince March 2012)

Fund details

BMOBalanced Yield Plus ETF Portfolio

(formerly, BMO Target Enhanced Yield ETF Portfolio)



• the fund or its underlying funds may usederivatives to implement the investment strategy.Derivatives, such as options, futures, forwardcontracts, swaps and other derivativeinstruments may be used for both hedging andnon-hedging purposes, or to, among other things:- protect the fund against potential losses. For

example, the portfolio manager may be concernedabout the impact that rising interest rates mayhave on the fund. The portfolio manager mayattempt to reduce the impact of security pricefluctuations by using interest rate swaps

- reduce the impact of volatility on the fund. Forexample, the portfolio manager may attempt toreduce the impact of any adverse changes inexchange rates by buying currency futures

- gain exposure to securities without buying thesecurities directly.

The fund will only use derivatives as permitted byCanadian securities regulators.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want regular monthly cash flow with the

potential for capital gains• you are comfortable with low to medium

investment risk (i.e., you are willing to acceptsome fluctuations in the market value of yourinvestment)

• you plan to hold this investment for the mediumto long term.

Series T6 securities are suitable for investorsholding securities outside of a registered plan andwishing to receive monthly distributions.


Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders fromtime to time. Any net capital gains are distributed inDecember. Distributions are automatically reinvestedin additional securities of the fund, unless you tellus that you prefer to receive cash distributions.

For Series A, Series F, Series D and Series I securities,the fund distributes monthly any net income and/orROC. The amount of the monthly distribution is setat the beginning of each calendar year based on themarket outlook.

For Series T6 securities, the fund will makemonthly distributions of an amount comprised ofany net income and/or ROC based on 6% of the netasset value per security of the series as determinedon December 31 of the prior year.

If the cash distributions to you are greater thanthe net increase in the value of your investmentsin Series T6 securities, these distributions willerode the value of your original investments.

A ROC does not necessarily reflect the fund’sinvestment performance and should not beconfused with “yield” or “income”. You should notdraw conclusions about the fund’s investmentperformance from the amount of this distribution.

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A ROC will reduce the amount of your originalinvestment and may result in the return to you ofthe entire amount of your original investment. AROC made to you is not immediately taxable inyour hands but will reduce the ACB of the relatedsecurities. You should consult your tax advisorregarding the tax implications of receiving a ROCon your securities. Please see page 267 for moreinformation.

Fund expenses indirectly borne by investorsSee Fund expenses indirectly borne by investors onpage 5 for the assumptions we’re required to use inthis table. The assumptions do not reflect the actualperformance of the fund.


Series A $ 17.43 54.93 96.28 219.17

Series T6 $ 17.43 54.93 96.28 219.17

Series F $ 7.69 24.23 42.48 96.69

Series D $ 10.76 33.93 59.47 135.37

Advisor Series $ 17.84 56.22 98.55 224.33


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D BMOFund details

Bond FundWhat does the fund invest in?

Investment objectivesThis fund’s objectives are:• to provide a high level of interest income• to provide some opportunity for growth in the

value of your investment.

As part of its investment objectives, the fund investsprimarily in high quality fixed income securitiesthat are issued by governments and corporations inCanada and that mature in more than one year.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objectives:• examines economic indicators like growth,

inflation and monetary policy to provide aframework for selecting appropriate securities

• chooses a variety of investment terms based onthe interest rate outlook

• changes the average term to maturity of theinvestments in the portfolio based on the outlookfor interest rates

• analyzes credit ratings of various issuers todetermine the best potential investments forthe portfolio

• allocates investments among government andcorporate securities to diversify the fund’s holdings

• invests primarily in securities rated BBB orhigher at the time of investment by Standard &Poor’s Rating Service or the equivalent rating asdefined by other recognized rating agencies

• may invest up to 10% of the fund’s assets in non-investment grade fixed income securities


Type of fund

Date started

Securities offered


Managementfee

Administrationfee

Portfoliomanager

Canadian bond

Series A: May 2, 1988Series F: November 3, 2008Series D: April 3, 2014Series I: March 5, 2008Series NBA: December 15, 2013Series NBF: December 15, 2013Advisor Series: November 11, 2009



Series A: 1.30%Series F: 0.45%Series D: 0.50%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor(1)

Series NBA: 0.65%Series NBF: 0.25%Advisor Series: 1.30%


(for Series NBA and NBF, investorspay operating expenses directlysubject to a capped amount)






• the fund may use derivatives to implement theinvestment strategy. Derivatives, such as options,futures, forward contracts, swaps and otherderivative instruments may be used for bothhedging and non-hedging purposes, or to, amongother things:- protect the fund against potential losses. For

example, the portfolio manager may beconcerned about the impact that rising interestrates may have on the fund. The portfoliomanager may attempt to reduce the impact ofprice fluctuations by using interest rate swaps




The fund may invest up to 30% of the market valueof its net assets in securities of other mutual fundsor exchange traded funds managed by us or othermutual fund managers including our affiliates orassociates.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Income Portfolio and BMO SelectTrust™Income Portfolio each held 33.11% and 13.68%, respectively, of the securities ofthe fund.

Who should invest in this fund?Consider this fund if:• you are looking for a core Canadian fixed income

fund for your portfolio• you want the potential for higher income from

longer term bonds, which form part of the fund’sportfolio

• you are comfortable with low investment risk(i.e., you are willing to accept some fluctuationsin the market value of your investment over theshort-term).


Distribution policyThe fund distributes any net income monthly andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions. Please seepage 267 for more information.

Fund expenses indirectly borne by investorsSee Fund expenses indirectly borne by investors onpage 5 for the assumptions we are required to use inthis table. The assumptions do not reflect the actualperformance of the fund.


Series A $ 16.40 51.70 90.62 206.28

Series F $ 6.66 21.00 36.81 83.80

Series D $ 7.69 24.23 42.48 96.69

Series NBA $ 8.00 25.20 44.18 100.56

Series NBF $ 5.43 17.13 30.02 68.33

Advisor Series $ 16.30 51.38 90.05 204.99

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Investment objectivesThis fund’s objective is to generate a high level oftax efficient income with moderate volatility byinvesting primarily in a diversified portfolio of highquality preferred shares of Canadian corporations,income trust units, Canadian and U.S. equities withan above average dividend yield, high yield bondsand debentures issued by Canadian governmentsand corporations, U.S. dollar Canadian corporatebonds and convertible debentures.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equity securities through a bottom-up

selection process which emphasizes a higherdividend yield when compared to that of thelargest Canadian companies by marketcapitalization from time to time, as well asgrowth in earnings and dividend payouts, whilealso taking into account the valuation of thecompanies so chosen

• invests in high yield bonds and debentures issued by Canadian and U.S. governments andcorporations

• invests in high yield securities rated below “BBB”at the time of investment by Standard & Poor’sRating Service, or an equivalent rating as definedby other recognized rating agencies

• invests in exchangeable fixed/floating rate,floating rate or retractable preferred shares oflarge capitalization Canadian corporations ratedP1 through P3 by DBRS, or equivalent

• invests in income trust units, such as royalty trustunits and real estate investment trusts

• seeks to identify equity securities with marketvaluations that do not reflect their underlyingvalues or anticipate favourable changes incircumstances affecting the corporations ortheir industry


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Fund details

Canadian DiversifiedMonthly Income Fund

Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Canadian balanced income

Series T5: January 8, 2008Series T8: January 8, 2008Series F: August 25, 2003Series I: July 7, 2004Advisor Series: August 25, 2003



Series T5: 1.85%Series T8: 1.85%Series F: 0.45%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)

Advisor Series: 1.85%


Guardian Capital LPToronto, OntarioBMO Asset Management Inc.Toronto, Ontario

(Portfolio Managers sinceAugust 2003)

Monegy, Inc.Toronto, Ontario

(Portfolio Manager since February 2015)

(1) The management fee for Series I will not exceed the management fee chargedfor Advisor Series.








The fund has received an exemption from theCanadian securities regulators allowing it, subjectto certain conditions, to purchase from, or sell to,related dealers that are principal dealers in theCanadian debt securities market, non-governmentdebt securities or government debt securities insecondary market.


What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for regular income from a broad

spectrum of securities having an overall low levelof volatility

• you are comfortable with low to mediuminvestment risk (i.e., you are willing to acceptsome fluctuations in the market value of yourinvestment).

Series T5 and Series T8 securities are suitable forinvestors holding securities outside of a registeredplan and wishing to receive monthly distributions.


Distribution policyThe fund distributes a fixed amount per security permonth. The amount of the monthly distribution maybe adjusted without notice throughout the year asmarket conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders from timeto time. Any net capital gains are distributed inDecember. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us in writing that you prefer toreceive cash distributions.

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For Advisor Series, Series F and Series I securities,the fund distributes monthly any net income and/orROC. The amount of the monthly distribution is setat the beginning of each calendar year based on themarket outlook.

For Series T5 and Series T8 securities, the fund willmake monthly distributions of an amount comprisedof any net income and/or ROC based on 5% and8%, respectively, of the net asset value per securityof the applicable series as determined on December 31of the prior year.

If the cash distributions to you are greater thanthe net increase in the value of your investmentsin Series T5 and Series T8 securities, thesedistributions will erode the value of your originalinvestments.


A ROC will reduce the amount of your originalinvestment and may result in the return to you ofthe entire amount of your original investment.A ROC made to you is not immediately taxable inyour hands but will reduce the ACB of the relatedsecurities. You should consult your tax advisorregarding the tax implications of receiving a ROCon your securities. Please see page 267 for moreinformation.



Series T5 $ 22.65 71.41 125.17 284.92

Series T8 $ 22.65 71.41 125.17 284.92

Series F $ 7.07 22.30 39.08 88.96

Advisor Series $ 22.86 72.06 126.30 287.50

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Fund details

Core Bond Fund


Investment objectivesThis fund’s objective is to provide a high level ofinterest income along with some opportunity forgrowth by investing primarily in Canadian dollardenominated investment grade debt instruments.

The fundamental investment objectives may onlybe changed with the approval of a majority of thevotes cast at a meeting of unitholders called for that purpose.

Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• the fund invests primarily in Canadian dollar

denominated investment grade debt instrumentssuch as debt securities issued or guaranteed byCanadian federal and provincial governments orissued by Canadian corporations

• the fund will typically invest no more than 30%of its net assets in foreign fixed income securities

• the fund may also invest in non-investment gradedebt instruments to add value and enhance thefund’s total return

• the portfolio manager utilizes fundamentalresearch, employing an active investment style toidentify overvalued and undervalued sectors ofthe fixed income market

• credit quality and security selection, along withactive yield-curve management are emphasizedwhen allocating the fund’s net assets acrosssectors

• the fund may use derivatives to implement theinvestment strategy. Derivatives, such as options,futures, forward contracts, swaps and otherderivative instruments may be used for bothhedging and non-hedging purposes, or to, amongother things:

− - protect the fund against potential losses. Forexample, the portfolio manager may be concernedabout the impact that rising interest rates mayhave on the fund. The portfolio manager mayattempt to reduce the impact of security pricefluctuations by using interest rate swaps

− - reduce the impact of volatility on the fund. Forexample, the portfolio manager may attempt toreduce the impact of any adverse changes inexchange rates by buying currency futures

− - gain exposure to securities without buying thesecurities directly.



The fund may enter into securities lending,repurchase and reverse repurchase transactions toearn additional income. These transactions will beused in conjunction with the other investment

Type of fund

Date started

Securities offered


Managementfee

Administrationfee

Portfoliomanager

Canadian bond

Series A: November 13, 2014Series F: November 13, 2014Series D: November 13, 2014Series I: November 13, 2014Advisor Series: November 5, 2014








(Portfolio Manager since November 2014)



strategies in a manner considered appropriate toachieving the fund’s investment objectives. Pleasesee Securities lending, repurchase and reversepurchase transactions risk on page 237.

The fund may engage in short selling in order tomanage volatility or enhance the fund’s performancein declining or volatile markets. In compliance withits investment objectives, the fund will engage in shortsales by borrowing securities which the portfoliomanager believes are overvalued and selling themin the open market. The securities will then berepurchased by the fund at a later date and returnedto the lender. The fund will only engage in short salesas permitted by Canadian securities regulators.

What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• securities lending, repurchase and

reverse repurchase transactions risk• series risk• short selling risk.

* As at March 18, 2015, BMO SelectClass® Income Portfolio, BMO SelectTrust™Income Portfolio, and BMO SelectTrust™ Conservative Portfolio each held 55.44%,21.37% and 10.57%, respectively, of the securities of the fund.


fund for your portfolio• you want the potential for income from

government and corporate bonds, which formpart of the fund’s portfolio



Distribution policyThe fund distributes any net income monthly andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash. Please see page 267 for moreinformation.

Fund expenses indirectly borne by investorsThis information is not available because the fundis less than one year old and its expenses are notyet known.

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Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• the fund invests primarily in Canadian dollar

denominated investment grade fixed incomeinstruments such as debt securities issued orguaranteed by Canadian federal and provincialgovernments or issued by Canadian corporationsand in non-investment grade debt instruments,loans and any other debt obligations theportfolio manager believes will enhance thefund’s total return

• the fund will typically invest no more than 40%of its net assets in foreign fixed income securities

• the portfolio manager utilizes fundamentalresearch, employing an active investment styleto identify overvalued and undervalued sectorsof the fixed income market

• credit quality and security selection, along withactive yield-curve management are emphasizedwhen allocating the fund’s net assets across sectors

• the fund may use derivatives to implement theinvestment strategy. Derivatives, such asoptions, futures, forward contracts, swaps andother derivative instruments may be used forboth hedging and non-hedging purposes, or to,among other things:






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Core Plus Bond Fund

Type of fund

Date started

Securities offered


Managementfee

Administrationfee

Portfoliomanager

Canadian bond











Investment objectivesThis fund’s objective is to provide a high level ofinterest income along with the opportunity forgrowth by investing primarily in Canadian dollardenominated investment grade and non-investmentgrade debt instruments.





What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Balanced Portfolio, BMO SelectTrust™Balanced Portfolio, and BMO SelectTrust™ Growth Portfolio each held 43.09%, 33.56%and 12.33%, respectively, of the securities of the fund.


fund for your portfolio with a focus on total return• you want the potential for income from

government and corporate bonds, which formpart of the fund’s portfolio





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Fund details

Diversified IncomePortfolio


Investment objectivesThis fund’s objective is to provide a fixed monthlydistribution by investing primarily in Canadian andforeign fixed income and equity securities, incometrust securities, as well as mutual fund securities.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests directly in Canadian equity securities and

fixed income securities issued by the federalgovernment, provincial governments,government agencies and corporations

• may invest up to 100% of the fund’s assets insecurities of other mutual funds or exchange-traded funds, which may include mutual fundsthat are managed by us or our affiliates

• the fund’s underlying mutual funds selected bythe portfolio manager will invest primarily inglobal equity securities and fixed incomesecurities of issuers around the world, includingthose rated below BBB at the time of investmentby Standard & Poor’s Rating Service or theequivalent rating as defined by other recognizedrating agencies

• allocates assets among the underlying mutualfunds based on each mutual fund’s investmentobjectives and strategies, among other factors.The mutual funds as well as the percentageholding in each fund, will be changed from timeto time


example, the portfolio manager may beconcerned about the impact that rising interestrates may have on the fund. The portfoliomanager may attempt to reduce the impact ofsecurity price fluctuations by using interestrate swaps




The fund has obtained exemptive relief fromCanadian securities regulators to enable the fund topurchase mortgages from, or sell mortgages to,certain related parties, including Bank of Montreal,in accordance with certain conditions imposed bythe regulators. Additional information is disclosedin the annual information form.

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


Series A: June 1, 2006Series T6: April 1, 2013Series I: May 10, 2010



Series A: 1.75%Series T6: 1.75%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)




(Portfolio Managersince June 2006)

(1) The combined management and administrative fees for Series I will not exceedthe management fee charged for Series A.



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and








Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distribution mayalso be distributed to securityholders from time to

time. Any net capital gains are distributed inDecember. Distributions are automatically reinvestedin additional units of the fund, unless you tell us inwriting that you prefer to receive cash distributions.

For Series A and Series I securities, the funddistributes monthly any net income and/or ROC.The amount of the monthly distribution for eachseries is set at the beginning of each calendar yearbased on the market outlook.


If the cash distributions to you are greater thanthe net increase in the value of your investment inSeries T6 securities, these distributions will erodethe value of your original investment.





Series A $ 22.76 71.74 125.74 286.21

Series T6 $ 23.06 72.70 127.43 290.08

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Fund details

Emerging MarketsBond Fund


Investment objectivesThis fund’s objective is to earn income as well asprovide the potential for capital appreciation byinvesting primarily in fixed income securitiesissued in or by, or have economic exposure to,emerging market countries, and that are denominatedin U.S. dollars, other leading trading currencies orlocal currencies.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in a diversified pool of fixed income

securities, such as bonds and debentures issuedby governments and corporations or obtainsexposure to such securities

• employs a research-driven, relative value processfocused on regional selection, sector selections,security selection and yield curve positioningwhile also considering the fund’s overallduration positioning

• seeks opportunities in both local currencies andU.S. dollar investments

• selects fixed income securities and otherinstruments that are economically tied to anemerging market country, organize or operate inthe country, derive a majority of their incomefrom operations within the country, or benefitfrom exposure to such markets




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Emerging markets bond

Series A: August 12, 2013Series F: August 12, 2013Series D: April 3, 2014Series I: August 12, 2013Advisor Series: August 12, 2013



Series A: 1.35%Series F: 0.65%Series D: 0.80%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)





Taplin, Canida & Habacht, LLCMiami, Florida

(Sub-advisor since August 2013)





The Fund will only use derivatives as permitted byCanadian securities regulators.

The fund may invest up to 30% of the market valueof its net assets in securities of other mutual fundsand/or exchange traded funds managed by us orother mutual fund managers including our affiliatesor associates.


What are the risks of investing in the fund?Because the fund’s investments are concentrated indeveloping countries, the value of the fund may bemore sensitive to stock market, economic andpolitical trends, and currency exchange rates thanfunds that invest in developed countries.

These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Balanced Portfolio, BMO SelectTrust™Balanced Portfolio, and BMO SelectTrust™ Conservative Portfolio each held 37.88%,35.98% and 13.96%, respectively, of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you are looking to diversify your portfolio

geographically with an emerging markets bond fund

• you are comfortable with low to mediuminvestment risk (i.e., you are willing to acceptsome fluctuations in the value of yourinvestment).





Series A $ 18.86 59.46 104.21 237.22

Series F $ 10.25 32.31 56.64 128.92

Series D $ 13.33 42.01 73.63 167.60

Advisor Series $ 18.96 59.78 104.78 238.51

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Fund details


Investment objectivesThis fund’s objective is to provide a regulardistribution by investing primarily in exchangetraded funds and/or other mutual funds that investin fixed income securities. The fund may also

invest directly in fixed income securities, and cashor cash equivalents.

The fundamental investment objectives may only bechanged with the approval of a majority of the votescast at a meeting of unitholders called for that purpose.

Investment strategiesThese are the strategies the portfolio manager usesto try and achieve the fund’s objective:• invests up to 100% of the fund’s assets in

securities of exchange traded funds and/or othermutual funds, including funds that are managedby us or one of our affiliates or associates

• may invest directly in fixed income securities incash or cash equivalents

• the underlying funds selected by the portfoliomanager will invest primarily in Canadian andforeign fixed income securities, and will beselected on the basis that they help the fund toachieve the same strategies that it uses wheninvesting directly in those securities

• allocates assets among the underlying exchangetraded funds and other mutual funds based oneach underlying fund’s investment objectives andstrategies, among other factors. The underlyingfunds as well as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time

• may invest up to 45% of the fund’s assets inforeign fixed income securities





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian bond

Series A: April 16, 2012Series T6: August 1, 2012Series F: June 24, 2013Series D: April 3, 2014Series I: April 16, 2012Advisor Series: June 1, 2012








(Portfolio Manager since April 2012)

BMOFixed Income Yield Plus ETF Portfolio

(formerly, BMO Target Yield ETF Portfolio)






What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and



potential for capital gains• you are comfortable with low investment risk

(i.e., you are willing to accept some fluctuationsin the market value of your investment).



Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distribution

may also be distributed to securityholders fromtime to time. Any net capital gains are distributed inDecember. Distributions are automatically reinvestedin additional securities of the fund, unless you tellus that you prefer to receive cash distributions.

For Series A, Series F, Series D, Series I and AdvisorSeries securities, the fund distributes monthly anynet income and/or ROC. The amount of themonthly distribution is set at the beginning of eachcalendar year based on the market outlook.







Series A $ 16.20 51.05 89.49 203.70

Series T6 $ 16.20 51.05 89.49 203.70

Series F $ 6.66 21.00 36.81 83.80

Series D $ 8.71 27.47 48.14 109.58

Advisor Series $ 16.20 51.05 89.49 203.70

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DBMOFund details

Floating RateIncome Fund


Investment objectivesThis fund’s objective is to generate a high level ofcurrent income by investing primarily in floatingrate loans and other floating rate debt securitiesissued by domestic and foreign companies.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in debt securities that have a

floating or variable rate, including floating ratenotes, high yield bonds and debentures issued by

Canadian governments and corporations, U.S.dollar Canadian corporate bonds and U.S.corporate bonds, convertible debentures andincome trusts

• may use financial instruments such as interestrate swaps, forwards and other financialderivatives to transform the income from theseinvestments into income equivalent to or greaterthan that generated by short-term floating rateinstruments with a duration of less than 365 days

• invests primarily in securities rated “BB” orhigher by Standard & Poor’s Rating Service orcarrying an equivalent rating from otherrecognized rating agencies

• attempts to add value by purchasing bonds thatare mispriced relative to their creditfundamentals and which may be upgraded, andwhere the sustainability of the interest paymentsor income flows is greater than reflected by theinstrument’s credit rating

• may invest up to 100% of the fund’s assets in U.S.fixed income securities

• may invest up to 30% of the fund’s assets insecurities of other mutual funds or exchangetraded funds which are managed by us or othermutual fund managers including our affiliates orassociates

• the portfolio manager will select the underlyingfunds on the basis that they help the fund toachieve the same strategies that it uses wheninvesting directly in those securities






Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Floating rate debt

Series A: April 1, 2013Series F: August 16, 2005Series D: April 3, 2014Series I: July 5, 2006Advisor Series: August 16, 2005








(1) The management fee for Series I will not exceed the management fee chargedfor Advisor Series or Series A.


The fund has obtained approval from securitiesauthorities:• to enter into interest rate swaps and credit default

swaps with a remaining term to maturity greaterthan 3 years

• to the extent that cash cover is required in respectof specified derivatives, to cover specifiedderivative positions with:- any bonds, debentures, notes or other evidences

of indebtedness that are liquid having aremaining term to maturity of 365 days or lessand an “approved credit rating” as defined inNational Instrument 81-102; or

- certain floating rate evidences of indebtednesswhich are a “conventional floating rate debtinstrument” as defined in NationalInstrument 81-102 with principal amountshaving a market value of approximately par atthe time of each change in the rate to be paid ifcertain conditions as to the issuing body, resetperiods and credit ratings are met

• to use as cover, in addition to the usual coverwhen the fund has a long position in a debt-likesecurity that has a component that is a long positionin a forward contract, or in a standardized futureor forward contract, or when the fund has aninterest rate swap position and during the periodswhen the fund is entitled to receive paymentsunder the swap, a right or obligation to sell anequivalent quantity of the underlying interest ofthe standardized future, forward or swap.

For more detailed information on this exemption,see the fund’s annual information form.


What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk

• floating rate note risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want an income-producing investment that is

linked to interest rate changes• you want to diversify a fixed income portfolio• you are comfortable with low to medium


• you are planning to own other types ofinvestments to diversify your portfolio.


Distribution policyThe fund distributes monthly any net income, andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions. Please seepage 267 for more information.



Series A $ 16.71 52.67 92.32 210.15

Series F $ 8.30 26.17 45.88 104.43

Series D $ 15.79 49.76 87.22 198.54

Advisor Series $ 17.12 53.96 94.58 215.30

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DBMOFund details

Global Diversified Fund


Investment objectivesThis fund’s objective is to provide a competitivetotal rate of return, comprised of capital gains andincome from interest and dividends, whilemaintaining a lower level of volatility than pureequity funds by investing primarily in a diversifiedportfolio of both Canadian and foreign equity andfixed income securities with no restrictions on thecapitalization of the issuers.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests the fund’s assets in a balance of equities,

income trusts and fixed income securities issuedby Canadian and foreign issuers

• typically maintains the fund’s asset allocation of75% equities, including income trusts, and 25%fixed income securities, although the allocationwill vary over time

• invests in equities chosen using a bottom-upinvestment process that is designed to identifycompanies that are attractively valued relative totheir industry comparisons or companies thatpotentially offer strong growth in earnings

• invests in fixed income securities that areprimarily a mix of corporate and governmentbonds rated “A” or better, as well as global realestate securities






The fund may invest up to 30% of the market valueof its net assets in securities of other mutual fundsor exchange traded funds managed by us or othermutual fund managers including our affiliates or associates.

The fund has received an exemption from theCanadian securities regulators allowing it, subjectto certain conditions, to purchase from, or sell to,related dealers that are principal dealers in theCanadian debt securities market, non-governmentdebt securities or government debt securities insecondary markets.

Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Sub-advisor


Series T5: January 22, 2007Series F: February 27, 2006Advisor Series: February 27, 2006



Series T5: 2.00%Series F: 0.60%Advisor Series: 2.00%


BMO Asset Management Inc.Toronto, OntarioGuardian Capital LPToronto, Ontario

(Portfolio Managers sinceFebruary 2006)

Matthews International CapitalManagement LLCSan Francisco, California

(Sub-advisor since February 2006)



What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want a balanced mix of Canadian and foreign

equities and fixed income investments• you are comfortable with low to medium


• you are willing to hold the fund for the mediumto long term.



Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders from

time to time. Any net capital gains are distributed inDecember. Distributions are automatically reinvestedin additional units of the fund, unless you tell us inwriting that you prefer to receive cash distributions.

For Series F and Advisor Series securities the funddistributes monthly any net income and/or ROC.The amount of the monthly distribution is set at thebeginning of each calendar year based on themarket outlook.



A ROC does not necessarily reflect the fund’sinvestment performance and should not be confusedwith “yield” or “income”. You should not drawany conclusions about the fund’s investmentperformance from the amount of this distribution.




Series T5 $ 25.22 79.49 139.33 317.15

Series F $ 9.02 28.44 49.84 113.45

Advisor Series $ 25.11 79.17 138.76 315.86

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Fund details

Global MonthlyIncome Fund


Investment objectivesThis fund’s objective is to provide a fixed monthlydistribution by investing primarily, directly orindirectly, in foreign equities and foreign fixedincome securities.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• may invest up to 100% of the fund’s assets in

securities of other mutual funds and/or exchangetraded funds, which may include funds that aremanaged by us or one of our affiliates or associates

• the underlying funds selected by the portfoliomanager will invest primarily in foreign equities,foreign fixed income securities or both, and willbe selected on the basis that they help theportfolio to achieve the same strategies that ituses when investing directly in those securities

• allocates assets among the underlying mutualfunds and exchange traded funds based on eachunderlying fund’s investment objectives andstrategies, among other factors. The underlyingfunds, as well as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time

• may invest directly in foreign and Canadian fixedincome and equity securities and cash or cashequivalents

• may invest in high quality preferred shares,equity units of foreign companies, foreign realestate investment trusts (“REITs”), as well asCanadian REITs and property companiesdenominated in foreign currencies or holdingforeign properties

• the fund or its underlying funds may use derivativesto implement the investment strategy. Derivatives,such as options, futures, forward contracts,swaps and other derivative instruments may beused for both hedging and non-hedging purposes,or to, among other things:- protect the fund against potential losses. For





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


Series A: October 12, 2004Series T6: April 1, 2013Series I: October 20, 2008







(Portfolio Managersince November 2012)




What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want regular monthly cash flow from your

global investments with the potential forcapital gains

• you are comfortable with medium investmentrisk (i.e., you are willing to accept fluctuations inthe market value of your investment)




Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distribution mayalso be distributed to securityholders from time to time.

Any net capital gains are distributed in December.Distributions are automatically reinvested inadditional units of the fund, unless you tell us inwriting that you prefer to receive cash distributions.

For Series A and Series I securities, the funddistributes monthly any net income and/or ROC.The amount of the monthly distribution is set at thebeginning of each calendar year based on themarket outlook.







Series A $ 25.32 79.81 139.90 318.44

Series T6 $ 25.42 80.14 140.46 319.73

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Fund details

Global StrategicBond Fund


Investment objectivesThis fund’s objective is to provide a fixed monthlydistribution and capital appreciation potential byinvesting primarily in debt instruments issued bygovernments and corporations from aroundthe world.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in a diversified pool of fixed

income securities, such as bonds and debenturesissued by governments and corporations orobtains exposure to such securities

• seeks the best potential investments for theportfolio by analyzing the credit ratings ofvarious issuers and using quantitative andother research

• invests primarily in global fixed incomesecurities, including investment grade securitiesrated BBB or higher at the time of investment byStandard and Poor’s Rating Service or theequivalent rating as defined by other recognizedrating agencies, high yield securities with a creditrating below BBB, and emerging market debt


• may hold a portion of its assets in cash orshort-term money market instruments and/orhigh quality fixed income securities whileseeking investment opportunities or for defensivepurposes to reflect economic and marketconditions






The portfolio manager may frequently buy and sellinvestments for the fund. This can increase tradingcosts, which may lower the fund’s returns. It alsoincreases the chance that you may receive adistribution in the year. If you hold the fund in a

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global bond

Series A: November 27, 2000Series F: November 3, 2008Series D: April 3, 2014Series I: May 9, 2008Advisor Series: November 3, 2008







PIMCO Canada Corp.Toronto, Ontario




non-registered account, distributions are generallytaxable. For more information please see Incometax considerations for investors on page 267.

The fund may hold no more than 10% of the marketvalue of its net assets in securities of other mutualfunds managed by us or other mutual fundmanagers including our affiliates or associates.

The fund has obtained approval from securitiesauthorities to invest up to 20% of its net assetstaken at market value at the time of purchase inevidences of indebtedness that are issued orguaranteed fully as to principal and interest bypermitted supranational agencies or governments(other than the government of Canada, a provinceof Canada, or the United States of America, wheresuch approval was not required) and are rated AAor better by Standard & Poor’s Rating Service or theequivalent rating as defined by other recognizedrating agencies, and up to 35% of its net assetstaken at market value at the time of purchase inevidences of indebtedness that are issued orguaranteed fully as to principal and interest bypermitted supranational agencies or governments(other than the government of Canada, a provinceof Canada, or the United States of America, wheresuch approval was not required) and are rated AAAor better by Standard & Poor’s Rating Service or theequivalent rating as defined by other recognizedrating agencies.

The fund has obtained approval from securitiesauthorities:• to enter into interest rate swaps and credit default

swaps with a remaining term to maturity ofgreater than 3 years

• to the extent required, to cover specifiedderivative positions with:- any bonds, debentures, notes or other evidences

of indebtedness that are liquid, have aremaining term to maturity of 365 days or lessand have an “approved credit rating” as definedin National Instrument 81-102; or

- certain floating rate evidences of indebtednesswhich are a “conventional floating rate debtinstrument” as defined in National Instrument81-102 with principal amounts that have amarket value of approximately par at the time ofeach change in the rate to be paid if certainconditions as to the issuing body, reset periodsand credit rating are met

• to use as cover, in addition to the usual coverwhen the fund has a long position in a debt-likesecurity that has a component that is a longposition in a forward contract, or in a standardizedfuture or forward contract, or when the fund has aninterest rate swap position and during the periodswhen the fund is entitled to receive paymentsunder the swap, a right or obligation to sell anequivalent quantity of the underlying interest ofthe standardized future, forward or swap.

For more information on these exemptions, see thefund’s annual information form.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• foreign investment risk• interest rate risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Balanced Portfolio held 21.97% of thesecurities of the fund.


potential for capital gains primarily throughinvestments in non-investment grade bonds fromaround the world

• you are comfortable with low to mediuminvestment risk (i.e., you are willing to acceptsome fluctuations in the market value of yourinvestment)


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Distribution policyThe fund distributes a fixed amount per securityper month. The fund distributes monthly any netincome and/or ROC, and any net capital gains inDecember. The amount of the monthly distributionfor each series is set at the beginning of eachcalendar year based on the market outlook. Theamount of the monthly distribution may beadjusted without notice throughout the year asmarket conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders fromtime to time. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us that you prefer to receive cashdistributions.





Series A $ 22.86 72.06 126.30 287.50

Series F $ 10.25 32.31 56.64 128.92

Series D $ 12.81 40.39 70.80 161.15

Advisor Series $ 22.76 71.74 125.74 286.21

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Fund details

Growth & Income Fund







• may invest in fixed income securities, primarilyconsisting of Canadian government andcorporate issues of any maturity or credit rating




What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• capital depletion risk• credit risk• equity risk• foreign investment risk• interest rate risk• large transaction risk• securities lending, repurchase and


Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Canadian dividend

Series T5: January 4, 2010Series T8: January 8, 2008Series F: January 2, 2001Advisor Series: October 21, 1996Classic Series: October 21, 1996



Series T5: 1.85%Series T8: 1.85%Series F: 0.50%Advisor Series: 1.85%Classic Series: 1.25%





Who should invest in this fund?Consider this fund if:• you want an income-producing investment• you are looking for exposure to Canadian


risk (i.e., you are willing to accept fluctuations inthe market value of your investment).



Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders fromtime to time. Any net capital gains are distributedin December. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us that you prefer to receive cashdistributions.

For Advisor Series, Classic Series and Series Fsecurities, the fund distributes monthly anynet income and/or ROC. The amount of themonthly distribution is set at the beginning of eachcalendar year based on the market outlook.

For Series T5 and Series T8 securities, the fund willmake monthly distributions of an amountcomprised of any net income and/or ROC based on5% and 8%, respectively, of the net asset value persecurity of the applicable series as determined onDecember 31 of the prior year.






Series T5 $ 23.17 73.03 128.00 291.37

Series T8 $ 22.45 70.77 124.04 282.34

Series F $ 7.69 24.23 42.48 96.69

Advisor Series $ 22.55 71.09 124.60 283.63

Classic Series $ 15.68 49.44 86.66 197.25

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Fund details

High Yield Bond Fund


Investment objectivesThis fund’s objective is to generate a high level ofinterest income by investing primarily in high yieldbonds and debentures issued by North Americangovernments and corporations denominated inCanadian and U.S. dollars as well as convertibledebentures.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in high yield bonds and

debentures issued by Canadian and U.S.governments and corporations

• invests primarily in high yield securities ratedbelow “BBB” at the time of investment byStandard & Poor’s Rating Service, or anequivalent rating as defined by other recognizedrating agencies

• seeks the best potential investments for theportfolio by analyzing the credit ratings ofvarious issuers and using bottom-up quantitativeand fundamental analysis








Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

High yield bond

Series F: August 28, 2002Series I: August 25, 2003Advisor Series: January 4, 1999



Series F: 0.60%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)




(Portfolio Manager since January 2015)

(1) The management fee for Series I will not exceed the management fee chargedfor Advisor Series.


What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want income and the potential for capital

gains primarily through investments in non-investment grade bonds of NorthAmerican issuers

• you are looking for a high yield fixed incomefund for your portfolio



Distribution policyThe fund distributes a fixed amount per securityper month. The fund distributes monthly any netincome and/or ROC, and any net capital gains inDecember. The amount of the monthly distributionis set at the beginning of each calendar year basedon the market outlook. Any net income earned bythe fund in excess of the monthly distribution mayalso be distributed to securityholders from time totime. Distributions are automatically reinvested inadditional securities of the fund, unless you tell usin writing that you prefer to receive cash distributions.





Series F $ 8.51 26.82 47.01 107.01

Advisor Series $ 21.32 67.21 117.81 268.16

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Laddered CorporateBond Fund


Investment objectivesThis fund’s objective is to provide unitholders witha relatively stable level of investment income byinvesting primarily in a portfolio of Canadian fixedincome securities, more or less equally allocatedacross maturities ranging from 1 to 5 years. This iscommonly known as a “laddered” portfolio.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in Canadian corporate fixed

income securities• may invest up to 30% of the fund’s assets in

securities of exchange traded funds and othermutual funds, which may include funds that aremanaged by us or one of our affiliatesor associates

• may also invest in Canadian government fixedincome securities


• seeks to maintain an equally weighted allocationamong annual maturities of fixed incomesecurities ranging from 1 to 5 years







Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian short-term fixed income

Series A: April 16, 2012Series F: June 24, 2013Series I: April 16, 2012Advisor Series: June 1, 2012



Series A: 1.30%Series F: 0.30 %Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)








What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Income Portfolio and BMO SelectTrust™Income Portfolio each held 58.50% and 24.69%, respectively, of the securities ofthe fund.

Who should invest in this fund?Consider this fund if:• you want to reduce the impact of changing

interest rates upon the income earned fromyour investment

• you want exposure to fixed income securitiesissued by Canadian corporations

• you are comfortable with low investment risk(i.e., you are willing to accept some fluctuationsin the market value of your investment)






Series A $ 15.07 47.50 83.26 189.52

Series F $ 6.15 19.39 33.98 77.35

Advisor Series $ 15.07 47.50 83.26 189.52

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Monthly DividendFund Ltd.


Investment objectivesThis fund’s objective is to generate a high level oftax-efficient income with moderate volatility byinvesting primarily in a portfolio of high qualitypreferred shares of Canadian corporations.

The fundamental investment objectives may onlybe changed with the approval of a majority of thevotes cast at a meeting of shareholders called forthat purpose.

Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in exchangeable fixed/floating

rate, floating rate, perpetual or retractablepreferred shares of large capitalization Canadiancorporations

• attempts to add value by purchasing preferredshares where the valuations of the instrument donot reflect the underlying credit quality

• may also purchase other equity securities, fixedincome securities and income trust units



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• equity risk• foreign investment risk• interest rate risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want to maximize your after-tax income• you are looking for exposure to Canadian

securities for your portfolio• you are comfortable with low to medium

investment risk (i.e., you are willing to acceptsome fluctuations in the market value of yourinvestment).


Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Canadian dividend

Series F: July 15, 2003Advisor Series: January 1, 1996Classic Series: February 3, 1978

Shares of a mutual fundcorporation


Series F: 0.65%Advisor Series: 1.60%Classic Series: 1.00%



(Portfolio Manager since February 1978)


Distribution policyThe fund distributes a fixed amount per securityper month. The fund makes distributions monthlyas ordinary dividends or as ROC. The amount of themonthly distribution is set at the beginning of eachcalendar year based on the market outlook. Thefund may also make distributions in excess of themonthly distribution to securityholders from timeto time. Any capital gains dividends are distributedwithin 60 days after December 31. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions.





Series F $ 9.02 28.44 49.84 113.45

Advisor Series $ 19.68 62.04 108.74 247.53

Classic Series $ 12.81 40.39 70.80 161.15

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Monthly HighIncome Fund II








• may invest in fixed income securities, primarilyconsisting of Canadian government andcorporate issues of any maturity or credit rating.


What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• capital depletion risk• credit risk• equity risk• interest rate risk• foreign investment risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want to maximize your after-tax income• you want an income-producing investment• you are looking for exposure to Canadian



Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Canadian dividend

Series A: April 1, 2013Series T5: January 4, 2010Series T8: January 8, 2008Series F: October 10, 2002Series D: April 3, 2014Series I: August 25, 2003Advisor Series: October 10, 2002



Series A: 1.85%Series T5: 1.85%Series T8: 1.85%Series F: 0.60%Series D: 1.00%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)









Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net incomeearned by the fund in excess of the monthlydistribution may also be distributed tosecurityholders from time to time. Any net capitalgains are distributed in December. Distributions areautomatically reinvested in additional units of thefund, unless you tell us in writing that you prefer toreceive cash distributions.

For Series A, Series F, Series D, Series I and AdvisorSeries securities, the fund distributes monthly anynet income and/or ROC. The amount of themonthly distribution is set at the beginning of eachcalendar year based on the market outlook.

For Series T5 and Series T8 securities, the fund willmake monthly distributions of an amountcomprised of any net income and/or ROC based on5% and 8%, respectively, of the net asset value persecurity of the applicable series as determined onDecember 31 of the prior year.






Series A $ 22.24 70.12 122.90 279.76

Series T5 $ 22.24 70.12 122.90 279.76

Series T8 $ 22.24 70.12 122.90 279.76

Series F $ 8.71 27.47 48.14 109.58

Series D $ 13.02 41.01 71.93 163.73

Advisor Series $ 22.55 71.09 124.60 283.63

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Monthly Income FundWhat does the fund invest in?

Investment objectivesThis fund’s objectives are:• to provide a fixed monthly distribution• to preserve the value of your investment.

As part of its investment objectives, the fund investsprimarily in:• Canadian fixed income securities with higher-

than-average yields, issued by the federalgovernment, provincial governments, governmentagencies and corporations

• preferred and common shares• real estate investment trusts• royalty trusts and other high-yielding investments.

To enhance the yield, the fund may also invest inCanadian or foreign:• lower-rated or unrated securities• derivative instruments like options, futures and

forward contracts.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objectives:• invests in both equities and fixed income securities• invests primarily in securities rated BBB or

higher at the time of investment by Standard andPoor’s Rating Service or the equivalent rating asdefined by other recognized rating agencies. Thefund will invest no more than two times itsbenchmark index weight in BBB-rated securities




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian balanced income

Series A: March 22, 1999Series T6: April 1, 2013Series F: November 3, 2008Series D: April 3, 2014Series I: March 5, 2008







(Portfolio Managersince March 1999)







When choosing fixed income securities, theportfolio manager:• examines economic indicators like growth,


• selects the term of the securities based on theoutlook for interest rates


• invests in government and corporate securities todiversify the fund’s holdings.

When choosing equities, the portfolio manager:• examines the financial statistics of each company

it’s considering to determine if the equity securitiesare attractively priced

• reviews company operations and research anddevelopment to assess the company’s potentialfor growth

• continuously monitors the companies in whichthe fund invests for changes that may affect theirprofitability.

The fund may invest up to 30% of the market valueof its net assets in securities of other mutual fundsor exchange traded funds managed by us or othermutual fund managers including our affiliatesor associates.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• indexing risk• large transaction risk• securities lending, repurchase and








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Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the year asmarket conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders fromtime to time. Any net capital gains are distributed inDecember. Distributions are automatically reinvestedin additional units of the fund, unless you tell us inwriting that you prefer to receive cash distributions.

For Series A, Series F, Series D and Series Isecurities, the fund distributes monthly any netincome and/or ROC. The amount of the monthlydistribution is set at the beginning of each calendaryear based on the market outlook.







Series A $ 16.09 50.73 88.92 202.41

Series T6 $ 16.30 51.38 90.05 204.99

Series F $ 7.59 23.91 41.91 95.40

Series D $ 10.56 33.28 58.34 132.79

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Mortgage and Short-TermIncome Fund


Investment objectivesThis fund’s objective is to provide a level of incomeconsistent with investments in short-term fixedincome securities.

The fund invests primarily in short-term, high-quality,fixed income securities issued by or guaranteed by Canadian federal, provincial or municipalgovernments or issued by corporations. It may alsoinvest in:• mortgages insured or guaranteed by Canadian

federal or provincial governments

• conventional first mortgages on Canadian realestate, either directly or indirectly throughpooled mortgage investments, such asmortgage-backed securities.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• examines economic indicators like growth,



• allocates investments among government andcorporate securities to diversify the fund’s holdings

• expects to invest a minimum of 30% of the fund’sassets directly or indirectly in mortgages andother pooled mortgage investments, such asmortgage-backed securities, bonds secured bymortgages and similar securities, and othermortgage-related debt securities


• will only invest in securities rated BBB or higherat the time of investment by Standard & Poor’sRating Service or the equivalent rating as definedby other recognized rating agencies. The fundwill invest no more than two times its benchmarkindex weight in BBB-rated securities





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian short-term bondand mortgage

Series A: July 16, 1974Series F: November 3, 2008Series I: March 5, 2008Advisor Series: November 3, 2008












The fund has adopted additional restrictionsconsistent with its investment policies and withsecurities regulation. We may revise theserestrictions without unitholders’ approval.Additional information is disclosed in the annualinformation form.

The fund has received exemptive relief from Canadiansecurities regulators to enable the fund to purchasemortgages from, or sell mortgages to certain relatedparties including Bank of Montreal and/or MCAPFinancial Corporation, both associates or affiliates ofthe Manager, in accordance with certain conditionsimposed by the regulators. Additional informationis disclosed in the annual information form.



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Income Portfolio, BMO SelectClass®

Balanced Portfolio, BMO SelectTrust™ Balanced Portfolio and BMO SelectTrust™Income Portfolio each held 24.48%, 13.44%, 11.34% and 10.24%, respectively, ofthe securities of the fund.

Who should invest in this fund?Consider this fund if:• you want income from short-term fixed income

securities• you are looking for a conservative fund for your

portfolio• you are comfortable with low investment risk

(i.e., you are willing to accept some fluctuationsin the market value of your investment over theshort-term).





Series A $ 16.09 50.73 88.92 202.41

Series F $ 6.05 19.06 33.42 76.06

Advisor Series $ 16.09 50.73 88.92 202.41

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Preferred Share FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to generate steady incomeand achieve capital preservation and appreciationby investing primarily in preferred shares ofCanadian companies and in other types ofsecurities that are expected to distribute income.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in preferred shares of Canadian

corporations as well as income-producingsecurities of governments and Canadiancompanies

• examines the financial statistics of each companyit is considering to determine if the securities areattractively priced

• considers a variety of preferred share securitiesbased on the interest rate and credit outlook






Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Preferred share

Series A: August 12, 2013Series F: August 12, 2013Series D: April 3, 2014Series I: August 12, 2013BMO Private Preferred Share FundSeries O: September 20, 2013Advisor Series: August 12, 2013




BMO Private Preferred ShareFund Series O: 0.025%Advisor Series: 1.55%




(Portfolio Manager since August 2013)



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What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectTrust™ Balanced Portfolio held 15.89% of thesecurities of the fund.

Who should invest in this fund?Consider this fund if:• you are looking to diversify your portfolio with a

preferred share fund• you are comfortable with low to medium






Series A $ 19.99 63.01 110.44 251.40

Series F $ 9.23 29.08 50.97 116.03

Series D $ 11.79 37.16 65.13 148.26

Series O $ 2.56 8.08 14.16 32.23

Advisor Series $ 19.17 60.43 105.91 241.09

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Tactical Global Bond ETF Fund


Investment objectivesThis fund’s objective is to provide long-term capitalgrowth and income by investing primarily in adiversified portfolio of global fixed income exchangetraded funds. The fund’s asset mix may be changedover time to reflect the portfolio manager’s outlookfor each asset class.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• the fund invests primarily in global fixed income

exchange traded funds• the fund invests up to 100% of its assets in

securities of exchange traded funds, includingfunds that are managed by us or one of ouraffiliates or associates

• the sub-advisor employs a proprietary model thatutilizes technical indicators to identify attractivefunds that offer superior rates of return whileminimizing risk

• the fund may be exposed to up to 100% in foreignsecurities through investments in exchangetraded funds that invest in global fixed incomesecurities

• the fund may temporarily depart from itsinvestment objectives by holding a portion of itsassets in cash or short-term money marketinstruments while seeking investment opportunitiesor for defensive purposes to reflect economic andmarket conditions



Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Global fixed income

Series A: April 13, 2015Series F: April 13, 2015Series D: April 13, 2015Series I: April 13, 2015Advisor Series: April 13, 2015


Expected to be a qualified investment







SIA Wealth Management Inc.Calgary, Alberta

(Sub-advisor since April 2015)






The fund may have high portfolio turnover rates.The higher the portfolio turnover rate, the greaterthe possibility of unitholders of the fund receivingincome or taxable capital gains as a result offrequent purchases and sales of portfolio securitiesby the fund.


The fund may engage in short selling in order tomanage volatility or enhance the fund’s performancein declining or volatile markets. In compliance withits investment objectives, the fund will engage in shortsales by borrowing securities which the portfoliomanager believes are overvalued and selling themin the open market. The securities will then berepurchased by the fund at a later date and returnedto the lender. The fund will only engage in shortsales as permitted by Canadian securities regulators.

What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a portfolio solution of global

bonds that adjusts to current market conditions• you are comfortable with low to medium




Fund expenses indirectly borne by investorsThis information is not available because the fundis new and its expenses are not yet known.

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U.S. High YieldBond Fund


Investment objectivesThis fund’s objective is to provide a high level of totalreturn through a combination of income and capitalappreciation by investing primarily in fixed incomesecurities issued by United States corporations.


Investment strategiesThese are the strategies that the portfolio manageruses to try to achieve the fund’s objective:• invests primarily in a diversified pool of fixed

income securities, such as bonds and debenturesissued by corporations or obtains exposure tosuch securities

• invests primarily in high yield securities ratedbelow BBB at the time of investment by Standardand Poor’s Rating Service or the equivalent ratingas defined by other recognized rating agencies

• invests in fixed income securities issued by theU.S./Canadian government or obtains exposureto such securities

• seeks the best potential investments for theportfolio by analyzing the credit ratings ofvarious issuers and using bottom-up quantitativeand fundamental analysis

• may hold a portion of its assets in cash orshort-term money market instruments and/orhigh quality fixed income securities whileseeking investment opportunities or to reflecteconomic and market conditions





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

High yield bond

Series A: June 23, 2008Series F: February 17, 2009Series D: April 3, 2014Series I: May 9, 2008BMO Private U.S. High Yield BondFund Series O: July 30, 2012Advisor Series: November 11, 2009




BMO Private U.S. High Yield BondFund Series O: 0.175%Advisor Series: 1.75%

0.28%BMO Private U.S High Yield BondFund Series O: 0.275%(for Series I, separate fees andexpenses are negotiated andpaid by each Series I investor)(1)


Monegy, Inc.

Toronto, Ontario(Portfolio Manager since May 2008)






What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• foreign investment risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for income and the potential for

capital gains primarily through investments innon-investment grade bonds of U.S. issuers

• you are comfortable with low to mediuminvestment risk (i.e., you are willing to acceptsome fluctuations in the market value of yourinvestment)



Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionfor each series is set at the beginning of eachcalendar year based on the market outlook. Theamount of the monthly distribution may beadjusted without notice throughout the year asmarket conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders fromtime to time. Any net capital gains are distributed inDecember. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us in writing that you prefer toreceive cash distributions.





Series A $ 22.65 71.41 125.17 284.92

Series F $ 9.23 29.08 50.97 116.03

Series D $ 11.79 37.16 65.13 148.26

Series O $ 5.23 16.48 28.89 65.75

Advisor Series $ 22.65 71.41 125.17 284.92

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World Bond Fund


Investment objectivesThis fund’s objectives are:• to provide a high level of interest income• to provide some opportunity for growth in the

value of your investment.

As part of its investment objectives, the fund investsprimarily in bonds and debentures that mature inmore than one year and are issued by:• governments and corporations around the world• supranational agencies like the World Bank.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objectives:• seeks to optimize portfolio holdings in an effort to

mitigate portfolio risk, while seeking superiorrisk-adjusted returns

• uses a GDP-weighted (gross domestic product)approach in constructing the portfolio withrespect to maturity, country, currency, and sectorweights

• Bonds will be selected based on their overallliquidity and with respect to the overall size ofthe issuing country

• Credit exposure may be gained through the use ofone or more diversified ETFs







The fund has obtained approval from Canadiansecurities regulators to invest up to 20% of its netassets taken at market value at the time of purchasein evidences of indebtedness that are issued orguaranteed fully as to principal and interest bypermitted supranational agencies or governments(other than the government of Canada, a provinceof Canada, or the United States of America, where

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global bond

Series A: August 3, 1993Series F: November 3, 2008Series I: May 9, 2008Advisor Series: June 1, 2012











Who should invest in this fund?Consider this fund if:• you are looking to diversify your portfolio

geographically with a core world bond fund• you want high potential for interest income and

some potential for capital gains• you are comfortable with low to medium



Distribution policyThe fund distributes any net income and any netcapital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions. Please seepage 267 for more information.



Series A $ 22.86 72.06 126.30 287.50

Series F $ 8.20 25.85 45.31 103.14

Advisor Series $ 23.27 73.35 128.57 292.66

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such approval was not required) and are rated AAor better by Standard & Poor’s Rating Service or theequivalent rating as defined by other recognizedrating agencies, and up to 35% of its net assetstaken at market value at the time of purchase inevidences of indebtedness that are issued orguaranteed fully as to principal and interest bypermitted supranational agencies or governments(other than the government of Canada, a provinceof Canada, or the United States of America, wheresuch approval was not required) and are rated AAAor better by Standard & Poor’s Rating Service or theequivalent rating as defined by other recognizedrating agencies.

The fund may hold up to 30% of the market value ofits net assets in securities of other mutual funds andexchange traded funds managed by us or othermutual fund managers including our affiliates orassociates.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Income Portfolio, BMO SelectClass®

Balanced Portfolio, BMO SelectTrust™ Income Portfolio and BMO SelectTrust™Balanced Portfolio each held 32.92%, 13.53%, 13.21% and 11.14%, respectively, ofthe securities of the fund.


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Asian Growthand Income Fund


Investment objectivesThis fund’s objective is to provide income and capitalappreciation by investing in a diversified portfoliocomprised of U.S. dollar-denominated convertiblesecurities and higher yielding equity securities ofAsian companies. The fund’s primary emphasis is theAsian Tiger countries (Asia excluding Japan). Dueto its convertible bond component, the portfolioallows conservative investors to participate in theupside potential of Asian equities, with less volatilitythan a pure equity fund and also offers someprotection against unfavourable currency fluctuations.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in equities and convertible

bonds through a bottom-up selection processbased on GARP (Growth At a Reasonable Price)methodology

• uses quantitative and qualitative analyses toidentify dominant, well-managed businesses ingrowth industries, selling at discounts to theirenterprise value and growth potential

• considers political and economic conditions on asecondary basis to identify companies poised tobenefit from country specific dynamics and long-term secular trends







Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Sub-advisor

Asia Pacific equity

Series A: April 16, 2012Series F: July 7, 2004Series D: April 3, 2014Series I: July 5, 2006Advisor Series: August 25, 2003







Matthews International CapitalManagement LLCSan Francisco, California


(1) The management fees for Series I will not exceed the management fee chargedfor Advisor Series or Series A.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• interest rate risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Balanced Portfolio and BMO SelectTrust™Balanced Portfolio each held 13.79% and 11.75%, respectively, of the securities ofthe fund.

Who should invest in this fund?Consider this fund if:• you want a foreign income-producing investment• you are looking for exposure to Asian securities• you are comfortable with medium investment



Distribution policyThe fund distributes any net income quarterly andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions. Please seepage 267 for more information.



Series A $ 27.47 86.60 151.79 345.51

Series F $ 13.94 43.95 77.03 175.34

Series D $ 22.14 69.80 122.34 278.47

Advisor Series $ 27.37 86.28 151.22 344.23

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Asset Allocation FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to provide a balancebetween income and growth in the value of yourinvestment over the long term.

As part of its investment objective, the fund investsprimarily in Canadian equities and fixed incomesecurities. The portfolio manager may change themix of assets according to its outlook for eachasset class.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equities, including income trusts, and

in fixed income securities• invests between 30%-70% of the fund’s assets in

equities, between 30%-70% of the fund’s assetsin bonds and no more than 30% of the fund’sassets in money market securities

• may invest up to 30% of the fund’s assets insecurities of exchange traded funds and othermutual funds, which may include funds that aremanaged by us or one of our affiliates or associates


• may invest up to 10% of the fund’s assets inpermitted mortgages





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian balanced

Series A: May 2, 1988Series T5: November 11, 2009Series F: November 11, 2009Series D: April 3, 2014Series I: March 5, 2008Series NBA: December 15, 2013Advisor Series: November 11, 2009




Series NBA: 1.40%Advisor Series: 1.75%


(for Series NBA, investors payoperating expenses directlysubject to a capped amount)








When choosing fixed income securities, theportfolio manager:• examines economic indicators like growth,


• selects a variety of investment terms based on theinterest rate outlook


• invests in government and corporate securities todiversify the fund’s holdings.

When choosing equities, the portfolio manager:• examines the financial statistics of each company

they are considering to determine if the equitysecurities are attractively priced


• continually monitors the companies in which thefund invests for changes that may affect theirprofitability.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T5 investors only)• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want a mix of equities and fixed income

securities in a single fund• you are comfortable with low to medium




Distribution policyThe fund distributes any net income and any netcapital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions.

For Series T5 securities, the fund will makemonthly distributions of an amount comprised ofany net income, and/or ROC based on 5% of the netasset value per security of the series as determinedon December 31 of the prior year.


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Series A $ 21.73 68.50 120.07 273.32

Series T5 $ 21.83 68.83 120.64 274.61

Series F $ 7.69 24.23 42.48 96.69

Series D $ 10.56 33.28 58.34 132.79

Series NBA $ 17.02 53.64 94.02 214.01

Advisor Series $ 21.73 68.50 120.07 273.32


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Canadian EquityETF Fund


Investment objectivesThis fund’s objective is to provide a return that issimilar to the return of one or more exchangetraded funds that invest primarily in Canadianequities. The fund may invest all or a portion of itsassets in one or more exchange traded funds, investdirectly in the underlying securities held by theexchange traded funds and/or use derivatives toprovide the fund with a return determined byreference to the exchange traded funds.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests up to 100% of the fund’s assets in

securities of BMO S&P/TSX Capped CompositeIndex ETF

• BMO S&P/TSX Capped Composite Index ETFseeks to replicate, to the extent possible, theperformance of the S&P/TSX Capped CompositeIndex, net of expenses. The S&P/TSX CappedComposite Index is a market capitalization-weighted index of securities of the largest andmost liquid companies on the TSX. It is thebroadest in the S&P/TSX family and is the basisfor multiple sub-indices. It includes commonstocks and income trust units. Further informationabout the S&P/TSX Capped Composite Index andits constituent issuers is available from S&P on itswebsite at www.standardandpoors.com. Theinvestment strategy of the exchange traded fundis to invest in and hold the constituent securitiesof the index in the same proportion as they arereflected in the index or securities intended toreplicate the performance of the index. Asampling methodology may also be used inselecting investments. As an alternative to or inconjunction with investing in and holding theconstituent securities, the exchange traded fundmay invest in or use certain other securities toobtain exposure to the performance of the index

• to the extent that the fund does not invest 100%of its assets in securities of the exchange tradedfund, may invest in securities that make up theS&P/TSX Capped Composite Index in substantiallythe same proportion as the exchange traded fund

• allocates assets among the exchange traded fundand/or securities based on a determination of themost effective manner to achieve the fund’sobjectives, taking into account liquidityrequirements, while attempting to minimizetransaction costs and fees. The underlyingexchange traded fund, as well as the percentageholding in the underlying exchange traded fundand the allocation between the underlying fundand securities, may be changed without noticefrom time to time

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian equity

Series A: May 2, 1988Series D: April 3, 2014Series I: July 17, 2009



Series A: 0.85%Series D: 0.60%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)

There will be no duplication ofmanagement fees between thefund and the underlying funds










Series A $ 10.76 33.93 59.47 135.37

Series D $ 8.20 25.85 45.31 103.14

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• as an alternative to or in conjunction withinvesting directly in the exchange traded fundand/or securities, may use derivatives likeoptions, futures, forward contracts and swaps togain market exposure to the return of theexchange traded fund or a portion thereof. Thefund will only use derivatives as permitted byCanadian securities regulators

• may invest directly in cash or cash equivalents tomeet any cash cover requirements or fundredemption requests



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• derivative risk• equity risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you prefer a fund that seeks to track the

performance of a Canadian equities market index• you are looking for a core Canadian equity fund• you are comfortable with medium investment




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Fund details


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing inequities of well-established Canadian companies.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equities, including income trusts• examines the financial statistics of each entity it’s

considering to determine if the equity securitiesare attractively priced

• reviews operations and research anddevelopment to assess each company’s potentialfor growth

• continually monitors the entities in which thefund invests for changes that may affect theirprofitability


• the fund may use derivatives to implement theinvestment strategy. Derivatives such as options,futures, forward contracts, swaps and otherderivative instruments may be used for bothhedging and non-hedging purposes, or to, amongother things:- protect the fund against potential losses. For







Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian equity

Series A: August 3, 1993Series F: November 3, 2008Series D: April 3, 2014Series I: March 5, 2008







(Portfolio Managersince August 1993)

Canadian Equity Fund



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Balanced Portfolio held 16.24% of thesecurities of the fund.

Who should invest in this fund?Consider this fund if:• you are looking for a core Canadian equity fund

for your portfolio• you are comfortable with medium investment






Series A $ 24.50 77.23 135.36 308.13

Series F $ 9.23 29.08 50.97 116.03

Series D $ 12.10 38.13 66.83 152.13

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Fund details

Canadian Large CapEquity Fund


Investment objectivesThis fund’s objective is to provide long-term growththrough capital appreciation and dividends byinvesting primarily in a portfolio of Canadianequities and equity-related securities with largemarket capitalization, principally selected from theuniverse of stocks generally considered to be thelargest Canadian companies based on marketcapitalization from time to time.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• will invest primarily in Canadian equity

securities generally considered to be of largecapitalization


• will employ a quantitative model based onfundamental equity analysis methodologies toidentify and select equities that trade below theirintrinsic value, demonstrate superior earningsgrowth, and demonstrate positive price momentum.


example, the portfolio manager may beconcerned about the impact that rising interestrates may have on the fund. The portfoliomanager may attempt to reduce the impact ofprice fluctuations by using interest rate swaps






Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Canadian equity

Series A: July 30, 2012Series T5: January 22, 2007Series F: July 15, 2003Series I: November 3, 2008Advisor Series: January 4, 1999



Series A: 2.00%Series T5: 2.00%Series F: 0.55%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)




(Portfolio Manager since June 2012

(1) The management fees for Series I will not exceed the management fee chargedfor Advisor Series or Series A.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T5 investors only)• derivative risk• equity risk• fund of funds risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectTrust™ Balanced Portfolio, BMO SelectClass®

Balanced Portfolio, and BMO SelectTrust™ Growth Portfolio each held 31.08%, 17.96%and 10.61%, respectively, of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you are looking for exposure to Canadian large

capitalization corporations for your portfolio• you are seeking capital growth with a view to

longer-term investing• you are comfortable with medium investment











Series A $ 24.29 76.58 134.23 305.55

Series T5 $ 24.40 76.91 134.80 306.84

Series F $ 8.10 25.53 44.74 101.85

Advisor Series $ 24.09 75.94 133.10 302.97

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Canadian StockSelection Fund


Investment objectivesThis fund’s objective is to achieve long-term capitalgrowth consistent with the preservation of capitalby investing primarily in equity securities of largeCanadian companies that have long-term growthpotential or that pay or are expected to pay above-average dividends.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in securities of Canadian

companies• invests primarily in Canadian companies with

market capitalizations in excess of $1 billion• invests a majority of the fund’s assets in Canadian

companies that, on a sectoral basis, will tend toreflect the sector weightings of the majorindustry sectors comprising the S&P/TSXComposite Index or other similar indices, andthat the portfolio manager believes will offerpotential for high growth






Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

(1) These dates reflect the start dates of the applicable series of BMO Nesbitt BurnsCanadian Stock Selection Fund. BMO Nesbitt Burns Canadian Stock Selection Fundmerged into the fund effective December 15, 2013. Pursuant to exemptive reliefissued in connection with the fund merger transaction, securities regulators haveapproved these start dates to be used by the fund.


Canadian equity

Series A: December 12, 2013Series F: December 23, 2013Series D: April 3, 2014Series I: October 31, 2008(1)

Series NBA: January 22, 1997(1)

Series NBF: October 31, 2008(1)

Advisor Series: December 23, 2013






(for Series NBA and NBF,investors pay operatingexpenses directly subject to acapped amount)






The fund may enter into securities lending,repurchase and reverse repurchase transactions toearn additional income. These transactions will beused in conjunction with the other investmentstrategies in a manner considered appropriate toachieving the fund’s investment objectives. Pleasesee Securities lending, repurchase and reverserepurchase transactions risk on page 237.

What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, a securityholder held 19.91% of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you are looking for a well-diversified portfolio of

large cap Canadian stocks• you are comfortable with medium investment




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Series A $ 22.76 71.74 125.74 286.21

Series F $ 9.23 29.08 50.97 116.03

Series D $ 12.10 38.13 66.83 152.13

Series NBA* $ 17.43 54.93 96.28 219.17

Series NBF* $ 6.66 21.00 36.81 83.80

Advisor Series $ 23.17 73.03 128.00 291.37

* These fund expenses reflect the fund expenses of the series when they wereoffered by another mutual fund. Pursuant to exemptive relief issued in connectionwith a fund merger transaction, securities regulators have approved these fundexpenses to be used by the fund.


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Dividend Fund


Investment objectivesThis fund’s objective is to provide a high after-taxreturn, which includes dividend income and capitalgains from growth in the value of your investment.

As part of its investment objective, the fund investsprimarily in dividend-yielding common andpreferred shares of established Canadian companies.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equities, including up to 10% of the

fund’s assets in income trusts, and in fixedincome securities


• examines the financial statistics of each companyit’s considering to determine if the equitysecurities are attractively priced

• reviews company operations and research anddevelopment to assess each company’s potentialfor growth

• continuously monitors the companies in whichthe fund invests for changes that may affect theirprofitability







The fund may enter into securities lending,repurchase and reverse repurchase transactions toearn additional income. These transactions will be

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian dividend

Series A: October 3, 1994Series T5: June 1, 2012Series F: November 3, 2008Series D: April 3, 2014Series I: March 5, 2008Advisor Series: June 1, 2012











used in conjunction with the other investmentstrategies in a manner considered appropriate toachieving the fund’s investment objectives. Pleasesee Securities lending, repurchase and reversepurchase transactions risk on page 237.

What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T5 investors only)• currency risk• derivative risk• equity risk• fund of funds risk• foreign investment risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are seeking to maximize your after-tax

income in your non-registered account• you want a dividend fund that focuses on

established Canadian companies• you are comfortable with medium investment




Distribution policyThe fund distributes any net capital gains inDecember. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us in writing that you prefer toreceive cash distributions.

For Series A, Series I, Series D, Series F and AdvisorSeries securities, the fund distributes a fixedamount of net income per security each quarter.Any net income earned by the fund in excess of thisquarterly distribution is distributed in December.







Series A $ 18.45 58.16 101.95 232.06

Series T5 $ 21.01 66.24 116.11 264.29

Series F $ 9.23 29.08 50.97 116.03

Series D $ 12.20 38.45 67.40 153.42

Advisor Series $ 21.22 66.89 117.24 266.87

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Enhanced EquityIncome Fund


Investment objectivesThis fund’s objective is to provide a regular cashflow with the potential for some capitalappreciation by investing primarily in equitysecurities and/or exchange traded funds.


Investment strategiesThese are the strategies the portfolio manager usesto try and achieve the fund’s objective:• invests primarily in a diversified portfolio of equities

and/or exchange traded funds invested in equitysecurities, selected on the basis of their relativecapitalization, liquidity, and dividend yield

• may also invest in cash and cash equivalents• may invest up to 30% of the fund’s assets in

foreign securities• may write covered call options on the securities

that it owns in order to seek to earn optionpremiums to supplement the dividends anddistributions generated by securities held by thefund and to lower the overall volatility of returnsassociated with the securities. Under such calloptions, the fund will sell to the buyer of theoption in exchange for a premium, either a rightto buy the security from the fund at a stipulatedexercise price or, if the option is cash settled, theright to a payment from the fund equal to thedifference between the value of the security andthe exercise price on settlement date

• the amount, if any, of covered call options writtenby the fund will vary based on many factors,including the prevailing levels of price volatilityof the securities owned by the fund

• writing covered call options also partially hedgesagainst a decline in the price of the securities onwhich they are written to the extent of thepremiums received by the fund at the time theoptions are written by the fund

• the call options written by the fund may be eitherexchange traded options or over-the-counter options

• may write covered put options on securities thatit owns, or other securities. Under such putoptions, the other party has the right to sell thesecurity to the fund at a stipulated exercise pricein exchange for a premium; if the option is cashsettled, the other party has a right to a paymentfrom the fund equal to the difference between thevalue of the security and the exercise price onsettlement date

• the amount, if any, of covered put options writtenby the fund will vary based on many factors,including the prevailing levels of price volatilityof the securities under consideration

• to meet the potential liability borne out of sellingput options (if the put options are exercised), thefund will hold the necessary cover as required byapplicable securities regulations

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian dividend

Series A: April 16, 2012Series F: October 29, 2012Series D: April 3, 2014Series I: April 16, 2012Advisor Series: June 1, 2012








(Portfolio Manager since March 2012)



• large transaction risk*• liquidity risk• securities lending, repurchase and

reverse repurchase transactions risk• series risk• tax treatment of options risk.

* As at March 18, 2015, BMO Global Monthly Income Fund held 29.64% of thesecurities of the fund.

Who should invest in this fund?Consider this fund if:• you want a monthly cash flow with the potential

for capital gains• you are comfortable with medium investment

risk (i.e., you are willing to accept fluctuations inthe market value of your investment)



Distribution policyThe fund distributes a monthly distributioncomprised of any net income and/or ROC, and anynet capital gains. Distributions are automaticallyreinvested in additional units of the fund, unlessyou tell us in writing that you prefer to receive cashdistributions. Please see page 267 for moreinformation.



Series A $ 21.12 66.57 116.67 265.58

Series F $ 9.23 29.08 50.97 116.03

Series D $ 15.38 48.47 84.96 193.39

Advisor Series $ 21.32 67.21 117.81 268.16

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• the put options written by the fund may be eitherexchange traded options or over-the-counter options

• to manage its downside risk profile, the fund mayalso buy put options

• the fund may also use other types of derivatives toimplement the investment strategy. Derivatives,such as options, futures, forward contracts, swapsand other derivative instruments may be used forboth hedging and non-hedging purposes, or to,among other things:- protect the fund against potential losses. For







What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk


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European Fund


Investment objectivesThis fund’s objective is to increase the value ofyour investment over the long term by investing incompanies in Western Europe and the UnitedKingdom.

As part of the investment objective, this fundinvests primarily in companies that are listed onrecognized exchanges and that will likely benefitfrom merger activity and reduced trade barriers asEuropean markets and economies restructure. Itmay also invest in fixed income securities issued by governments in Western Europe and theUnited Kingdom.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• examines the financial information of individual

companies to identify sound potential investments• employs a fundamental bottom-up investment

approach that emphasizes growth and stability ofearnings while adhering to a strict valuationdiscipline

• seeks out companies with strong, consistent andgrowing free cash generation

• reviews a company’s financial information,competitive position and its future prospects

• may also meet the company’s management and take into account general industry andeconomic trends





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

European equity

Series A: October 3, 1994Series F: November 3, 2008Series D: April 3, 2014Series I: November 3, 2008Advisor Series: November 11, 2009








F&C Management LimitedLondon, England

(Sub-advisor since January 2015)





What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Balanced Portfolio, BMO SelectTrust™Balanced Portfolio, and BMO SelectClass® Income Portfolio each held 24.40%,20.60% and 11.98%, respectively, of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you want greater exposure to the growth

potential of securities of established companiesin Western Europe and the United Kingdom

• you are comfortable with medium investmentrisk (i.e., you are willing to accept fluctuations inthe market value of your investment).





Series A $ 25.93 81.75 143.29 326.18

Series F $ 12.71 40.07 70.23 159.87

Series D $ 15.89 50.09 87.79 199.83

Advisor Series $ 25.73 81.11 142.16 323.60

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Global Balanced FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to provide long-term capitalgrowth consistent with the preservation of capitalby investing primarily in a balanced portfolio ofglobal equity and fixed income securities.


Investment strategiesThese are the strategies the sub-advisor uses to tryto achieve the fund’s objective:• the fund’s assets are allocated between equities

and fixed income securities • within the fixed income allocation, the fund

focusses primarily on security, sector, credit andyield curve analysis in making an investmentdecision, and may include both investment gradeand/or below-investment grade fixed incomesecurities. The fixed income portion of the fundwill be invested primarily in securities issued bysovereign, government, corporate, and structuredfinance issuers

• within the equity allocation of the fund, the fundseeks out what it considers to be the best globalopportunities, which may include both largeand/or small capitalization companies. The sub-advisor employs fundamental analysis todetermine the intrinsic value of a company whilelooking for equity securities that are trading at adiscount to that price

• the sub-advisor considers economic, investment,and market outlook in creating a well-diversifiedbalanced portfolio

• the fund may invest up to 100% of its assets inforeign securities



Type of fund

Date started

Securities offered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Global balanced









F&C Management LimitedLondon, England

(Sub-advisor since November 2014)








The fund may engage in short selling in order to manage volatility or enhance the fund’sperformance in declining or volatile markets. Incompliance with its investment objectives, the fundwill engage in short sales by borrowing securitieswhich the portfolio manager believes areovervalued and selling them in the open market.The securities will then be repurchased by the fundat a later date and returned to the lender. The fundwill only engage in short sales as permitted byCanadian securities regulators.

What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, we held 33.76% of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you want a balanced mix of Canadian and global

equities and fixed income investments• you are comfortable with low to medium


• you are willing to hold the fund for the mediumto long term.


Distribution policyThe fund distributes any net income and any netcapital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash. Please see page 267 formore information.


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Investment objectivesThe fund’s objective is to achieve a high level of totalreturn from the value of your investment, includingdividend income and capital gains, by investingprimarily in dividend yielding common and preferredshares of companies from around the world.

As part of its investment objectives, the fund investsprimarily in equities of companies that trade onrecognized stock exchanges in countries aroundthe world.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in dividend yielding common

and preferred shares• seeks long-term returns consisting of stable

dividend growth and steady income that is basedupon a growth payout and sustainabilityphilosophy

• applies a market-oriented, bottom-up, sector-neutral approach to selecting the best companieswithin each sector, regardless of geography

• uses a proprietary, internally-developed, multi-factor process that performs cross-regionalcomparisons to detect where positive fundamentalchange is occurring in global markets

• diversifies the fund’s assets among regions,countries and sectors to help reduce risk

• may invest up to 30% of the fund’s assets insecurities of exchange traded funds and othermutual funds, which may include funds that aremanaged by the Manager or one of its affiliates orassociates


example, the portfolio manager may beconcerned about the impact that rising interestrates may have on the fund. The portfoliomanager may attempt to reduce the impact ofsecurity price fluctuations by using interest rate swaps




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global dividend

Series A: January 7, 1997Series F: August 12, 2013Series D: April 3, 2014Series I: June 24, 2013Advisor Series: August 12, 2013








(Portfolio Manager since July 2013)

BMOFund details

Global Dividend Fund



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What are the risks of investing in the fund?Because the fund’s investments are concentrated ina few sectors, the value of the fund may vary morethan funds that invest in many different industries.

These strategies may also involve the followingrisks, which we explain starting on page 232:• capital depletion risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for an equity fund that provides

exposure to dividend-yielding companies fromaround the world

• you are comfortable with medium investment risk(i.e., you are willing to accept fluctuations in themarket value of your investment).


Distribution policyThe fund distributes a fixed amount per securityper month. The fund distributes monthly any netincome and/or ROC. The amount of the monthlydistribution is set at the beginning of each calendaryear based on the market outlook. The amount ofthe monthly distribution may be adjusted withoutnotice throughout the year as market conditions

change. Any net income earned by the fund inexcess of the monthly distribution may also bedistributed to securityholders from time to time.Any net capital gains are distributed in December.Distributions are automatically reinvested inadditional units of the fund, unless you tell us inwriting that you prefer to receive cash distributions.





Series A $ 25.42 80.14 140.46 319.73

Series F $ 10.25 32.31 56.64 128.92

Series D $ 13.33 42.01 73.63 167.60

Advisor Series $ 24.40 76.91 134.80 306.84


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Investment objectivesThis fund’s objective is to provide a long-term growthof capital through investment in a portfolio ofequity securities of publicly-traded companies fromaround the world with significant growth potential.

As part of its investment objectives, the fund investsprimarily in equities of companies that trade onrecognized exchanges in countries around the world.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in global equity securities• employs a proprietary model based on fundamental

equity analysis methodologies to identify andselect equities that trade below their intrinsicvalue, demonstrate superior earnings growth andpositive price momentum

• may invest up to 100% of its assets in foreignsecurities

• may use derivatives to implement the investmentstrategy. Derivatives, such as options, futures,forward contracts, swaps and other derivativeinstruments may be used for both hedging andnon-hedging purposes, or to, among other things:







Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity










BMOFund details

Global Equity Fund




What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want to diversify your equity portfolio globally• you are comfortable with medium investment





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Fund details


Investment objectivesThis fund’s objective is to provide long-term growththrough capital appreciation and to generateinterest income primarily by investing in equityand equity-related securities as well as in fixedincome securities of issuers located throughout theworld, with no restrictions on the capitalization ofthe securities that may be selected for the portfolio.


Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Global equity

Series T5: January 22, 2007Series F: July 17, 2006Series I: November 3, 2008Advisor Series: July 17, 2006



Series T5: 2.00%Series F: 0.60%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)





Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• seeks to invest primarily in equity and equity-

related securities issued throughout the world• will employ a quantitative model based on

fundamental equity analysis methodologies toidentify and select equities that trade below theirintrinsic value, demonstrate superior earningsgrowth, and demonstrate positive price momentum





• may engage in short selling in order to managevolatility or enhance the fund’s performance indeclining or volatile markets. In compliance withits investment objectives, the fund will engage inshort sales by borrowing securities which theportfolio manager believes are overvalued andselling them in the open market. The securitieswill then be repurchased by the fund at a laterdate and returned to the lender. The fund willonly engage in short sales as permitted byCanadian securities regulators.



BMOGlobal Growth & Income Fund

(1) The management fees for Series I will not exceed the management fee chargedfor Advisor Series.



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T5 investors only)• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want exposure to international securities for

your portfolio• you are seeking capital growth with a view to

longer-term investing• you are comfortable with medium investment











Series T5 $ 25.63 80.78 141.59 322.31

Series F $ 9.43 29.73 52.11 118.61

Advisor Series $ 25.22 79.49 139.33 317.15

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Fund details

GlobalInfrastructure Fund


Investment objectivesThis fund’s objective is to achieve a high level oftotal return, including dividend income and capitalgains, by investing primarily in companies thatoperate in, or are expected to benefit from,infrastructure related businesses from around theworld. The fund may also invest in fixed incomesecurities of such companies.


Investment strategiesThese are the strategies that the portfolio manageruses to try to achieve the fund’s objective:• invests primarily in equity securities of listed

infrastructure companies• invests in corporate debt (including convertible

debentures), and exchange listed infrastructurefunds

• may also invest in debt issued by infrastructurerelated businesses

• seeks to make investments in securities that are expected to generate stable and long-termcash flows

• diversifies the fund’s assets by industry andcountry to help reduce risk

• infrastructure assets are broadly defined as thebasic facilities, services, and installations neededfor the functioning of a community or society andmay include but are not limited to the followingareas: transportation (toll roads, airports,seaports and rail), energy (gas and electricitytransmission, distribution and generation), water (pipelines and treatment plants),telecommunications (broadcast, satellite andcable), social (hospitals, schools and prisons),engineering services, mining, shipping,alternative energy, construction and concrete





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global infrastructure

Series A: June 1, 2006Series F: April 3, 2014Series D: April 3, 2014Series I: November 17, 2008Advisor Series: November 3, 2008







Macquarie Capital InvestmentManagement LLCNew York, New York

(Portfolio Managersince July 2009)




The fund may hold no more than 10% of the marketvalue of its net assets in securities of other mutualfunds managed by us or other mutual fund managersincluding our affiliates or associates.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• interest rate risk• large transaction risk*• securities lending, repurchase and



Who should invest in this fund?Consider this fund if:• you are seeking long-term capital growth and

current income from your investment• you want to diversify your portfolio globally• you are comfortable with medium investment







Series A $ 26.96 84.98 148.96 339.07

Series F $ 15.38 48.47 84.96 193.39

Series D $ 18.45 58.16 101.95 232.06

Advisor Series $ 28.86 84.66 148.39 337.78

INVESTMENTS IN THE BMO GLOBAL INFRASTRUCTURE FUND ARE NOT DEPOSITS WITHOR OTHER LIABILITIES OF MACQUARIE BANK LIMITED ABN 46 008 583 542 (“MBL”)NOR ANY MACQUARIE GROUP COMPANY AND ARE SUBJECT TO INVESTMENT RISK,INCLUDING POSSIBLE DELAYS IN REPAYMENT AND LOSS OF INCOME AND PRINCIPALINVESTED. NEITHER MBL NOR ANY OTHER MEMBER COMPANY OF THE MACQUARIEGROUP GUARANTEES THE PERFORMANCE OF THE BMO GLOBAL INFRASTRUCTURE FUND,OR THE REPAYMENT OF CAPITAL FROM THE BMO GLOBAL INFRASTRUCTURE FUND,OR ANY PARTICULAR RATE OF RETURN.

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Investment objectivesThis fund’s objective is to provide long-term capitalgrowth by investing primarily in equity securities ofcompanies from around the world.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• the fund invests primarily in equity securities

from around the world• the portfolio manager employs a bottom-up

fundamental analysis to select equity securitiesfrom around the world that the portfoliomanager believes to be the best investmentregardless of market capitalization or sectorallocation, with emphasis on securities that areattractively priced with the potential for above-average earnings growth

• in addition, the portfolio manager seekscompanies with improving fundamentals,attractive valuations and other factors that maylead to price appreciation

• the fund employs fundamental equity analysismethodologies to identify and select equities thattrade below their intrinsic value, demonstratesuperior earnings growth and positive pricemomentum






BMOFund details

Growth Opportunities Fund

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian equity









(Portfolio Managersince April 2015)







What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• currency risk• derivative risk• equity risk• foreign investment risk• indexing risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a fund that can invest in small,

mid, and large capitalization companies fromaround the world with high growth potential





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InternationalEquity ETF Fund


Investment objectivesThis fund’s objective is to provide a return that issimilar to the return of one or more exchangetraded funds that invest primarily in internationalequities. The fund may invest all or a portion of itsassets in one or more exchange traded funds, investdirectly in the underlying securities held by theexchange traded funds and/or use derivatives toprovide the fund with a return determined byreference to the exchange traded funds.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests up to 100% of the fund’s assets in securities

of BMO MSCI EAFE Hedged to CAD Index ETF• BMO MSCI EAFE Hedged to CAD Index ETF

seeks to replicate, to the extent possible, theperformance of the MSCI EAFE 100% Hedged toCAD Dollars Index. The MSCI EAFE 100%Hedged to CAD Dollars Index is an equity indexthat captures large and mid capitalizationrepresentation across developed marketcountries around the world, excluding the U.S.and Canada. The investment strategy of theexchange traded fund is to invest in and hold theconstituent securities of the index in the sameproportion as they are reflected in the index orsecurities intended to replicate the performanceof the index. A sampling methodology may alsobe used in selecting investments. As analternative to or in conjunction with investing inand holding the constituent securities, theexchange traded fund may invest in or usecertain other securities to obtain exposure to theperformance of the index

• to the extent that the fund does not invest 100%of its assets in securities of the exchange tradedfund, may invest in securities that make up theMSCI EAFE 100% Hedged to CAD Dollars Indexin substantially the same proportion as theexchange traded fund


• may use derivatives such as futures and forwardcontracts to manage exposure to foreigncurrencies in order to seek to reduce the risk ofexchange rate fluctuations between Canadianand foreign currencies

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

International equity

Series A: March 22, 1999Series D: April 3, 2014Series I: March 5, 2008








(Portfolio Manager since September 2010)



• as an alternative to or in conjunction withinvesting directly in the exchange traded fundand/or securities, may use derivatives likeoptions, covered calls, futures, forward contractsand swaps to gain market exposure to the returnof the exchange traded fund or a portion thereof.The fund will only use derivatives as permittedby Canadian securities regulators

• may invest directly in cash or cash equivalents tomeet any cash cover requirements or fundredemption requests.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and



potential of international equities• you prefer a fund that seeks to track the

performance of an international equitiesmarket index






Series A $ 11.79 37.16 65.13 148.26

Series D $ 10.25 32.31 56.64 128.92

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Fund details

International Value FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to achieve long-term capitalgrowth consistent with the preservation of capitalby investing primarily in equity securities of mid tolarge capitalization companies located outside ofCanada and the United States that have long-termgrowth potential or that pay or are expected to payabove-average dividends.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equities of established companies trading

at a discount to their long-term value, which tradeon recognized exchanges in countries around theworld. These countries may include Australia,Finland, France, Germany, Hong Kong, Italy,Japan, the Netherlands, New Zealand, Singapore,Spain, Sweden, Switzerland, and the UnitedKingdom, among others

• employs a value-driven, absolute return approach.At the stock level, the portfolio manager identifiescompanies that it believes are fairly valued orundervalued in relation to their potential long-term earnings growth

• the portfolio manager seeks to overweight holdingsin countries that are expected to provide good valuerelative to their long-term prospects and underweightand avoid holdings in countries that are not

• may invest in bonds issued by governments orsupranational organizations such as the World Bank

• the fund may use derivatives to implement theinvestment strategy. Derivatives, such as options,futures, forward contracts, swaps and otherderivative instruments may be used for both

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


Series A: December 12, 2013Series F: December 12, 2013Series D: April 3, 2014Series I: December 23, 2013Series N: April 13, 2015Series NBA: October 31, 2008(1)

Series NBF: October 31, 2008(1)

Advisor Series: December 12, 2013




Series N: N/A. A Series N fee ispaid by each Series N investor.(3)





Pyrford International LimitedLondon, England


(1) These dates reflect the start dates of the applicable series of BMO Nesbitt BurnsInternational Equity Fund. BMO Nesbitt Burns International Equity Fund mergedinto the fund effective December 15, 2013. Pursuant to exemptive relief issued inconnection with the fund merger transaction, securities regulators have approvedthese start dates to be used by the fund.


(3) Series N investors pay a separate fee directly to their dealer, a portion of which ispaid to us as Manager. Such portion will not exceed the management fee ratecharged for Series F. Please see About the series of securities on page 245 formore information.


hedging and non-hedging purposes, or to, amongother things:- protect the fund against potential losses. For





The fund may enter into securities lending,repurchase and reverse repurchase transactions toearn additional income. These transactions will beused in conjunction with the other investmentstrategies in a manner considered appropriate toachieving the fund’s investment objectives. Pleasesee Securities lending, repurchase and reverserepurchase transactions risk on page 237.

What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk

(for Series A, F, I and Advisor investors only)• currency risk• derivative risk• equity risk• foreign investment risk• large transaction risk*• securities lending, repurchase and



Who should invest in this fund?Consider this fund if:• you want to diversify your portfolio internationally,

outside Canada and the U.S. and invest in a fundthat uses a value investment style



Distribution policyThe fund distributes any net capital gains inDecember. Distributions are automatically reinvestedin additional securities of the fund, unless you tell usin writing that you prefer to receive cash distributions.

For Series A, Series F, Series I, Series N and AdvisorSeries securities, the fund distributes a fixed amountper security per month consisting of net incomeand/or ROC. The amount of the monthly distributionis set at the beginning of each calendar year based onthe market outlook. Any net income earned by thefund in excess of the monthly distribution may alsobe distributed to securityholders from time to time.

For Series NBA and Series NBF securities, the funddistributes any net income in December.


A ROC will reduce the amount of your originalinvestment and may result in the return to you of theentire amount of your original investment. A ROCmade to you is not immediately taxable in your handsbut will reduce the ACB of the related securities. Youshould consult your tax advisor regarding the taximplications of receiving a ROC on your securities.Please see page 267 for more information.

Fund expenses indirectly borne by investorsSee Fund expenses indirectly borne by investors onpage 5 for the assumptions we are required to usein this table. The assumptions do not reflect theactual performance of the fund. Fund expenseinformation is not shown for Series N because thisis a new series.


Series A $ 25.52 80.46 141.03 321.02

Series F $ 12.71 40.07 70.23 159.87

Series D $ 15.79 49.76 87.22 198.54

Advisor Series $ 25.73 81.11 142.16 323.60

Series N $ n/a n/a n/a n/a

Series NBA $ 21.63 68.18* 119.51* 272.03*

Series NBF $ 9.64 30.37* 53.24* 121.19*

* These fund expenses reflect the fund expenses of the series when they wereoffered by another mutual fund. Pursuant to exemptive relief issued in connectionwith a fund merger transaction, securities regulators have approved these fundexpenses to be used by the fund.

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Fund details

North AmericanDividend Fund


Investment objectivesThis fund’s objective is to achieve a high level oftotal return, including dividend income and capitalgains, by investing primarily in dividend-yieldingcommon and preferred shares of North Americancompanies.


Investment strategiesThese are the strategies the portfolio managers useto try to achieve the fund’s objective:• invest in North American equities, including

income trusts• examine the financial statistics of each company

they are considering to determine if the equitysecurities are attractively priced and thecompany demonstrates consistent earnings

• monitor the companies in which the fund investsfor changes that may affect their profitability








Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

North American equity

Series A: October 3, 1994Series F: June 24, 2013Series I: May 10, 2010Advisor Series: November 3, 2008







BMO Asset Management Inc.Toronto, Ontario(Canadian portfolio)BMO Asset Management Corp.Chicago, Illinois(U.S. portfolio)

(Portfolio Managers sinceOctober 1994)



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and



exposure to dividend-yielding North Americancompanies






Series A $ 25.93 81.75 143.29 326.18

Series F $ 9.74 30.70 53.81 122.48

Advisor Series $ 26.04 82.08 143.86 327.47

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ETF FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to provide long-term capitalgrowth and preservation of capital by investingprimarily in a diversified portfolio of global equityand fixed income exchange traded funds. The fund’sasset mix may be changed over time to reflect theportfolio manager’s outlook for each asset class.


Investment strategiesThese are the strategies the portfolio sub-advisoruses to try to achieve the fund’s objective:• invests primarily in equity and fixed income



• the portfolio manager considers asset class andsector investments based on fundamentals aswell as economic and markets outlook

• the portfolio sub-advisor uses technical indicatorswhen implementing portfolio rebalances

• the underlying funds within the portfolio will beinvested in global fixed income and equitysecurities, and will be selected on the basis thatthey help the fund to achieve the same strategiesit uses when investing directly in those securities

• the fund may be exposed to up to 100% in foreignsecurities through investments in foreign equityand fixed income exchange traded funds

• the fund may temporarily depart from itsinvestment objectives by holding a portion of itsassets in cash or short-term money marketinstruments and/or high quality fixed incomesecurities while seeking investment opportunitiesor for defensive purposes to reflect economic andmarket conditions


Fund details

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Tactical balanced

Series A: April 13, 2015Series F: April 13, 2015Series D: April 13, 2015Series I: April 13, 2015Series L: April 13, 2015Advisor Series: April 13, 2015




Series L: 0.30%Advisor Series: 1.50%





ETF Capital ManagementToronto, Ontario




- protect the fund against potential losses. Forexample, the portfolio manager may be concernedabout the impact that rising interest rates mayhave on the fund. The portfolio manager mayattempt to reduce the impact of security pricefluctuations by using interest rate swaps




In allocating the portfolio, the sub-advisor mayengage in tactical deviations from its target assetmix in order to capitalize on investmentopportunities. In doing so, the sub-advisorconsiders the average market valuations acrossgeographies, sectors, and asset classes, relativeeconomic conditions that may impact aninvestment, and any perceived downside risks.

The fund may have high portfolio turnover rates.The higher the portfolio turnover rate, the greaterthe possibility of unitholders of the fund receivingincome or taxable capital gains as a result offrequent purchases and sales of portfolio securitiesby the fund.





Who should invest in this fund?Consider this fund if:• you are looking for a balanced portfolio solution

that adjusts to current market conditions• you are comfortable with low to medium



Distribution policyThe fund distributes any net income and any netcapital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that you preferto receive cash distributions. Please see page 267for more information.


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Fund details

Tactical DividendETF Fund


Investment objectivesThis fund’s objective is to provide long term capitalgrowth and current income by investing primarilyin a diversified portfolio of exchange traded fundsthat invest in income-producing securities. Thefund’s asset mix may be changed over time to reflectthe portfolio manager’s outlook for each asset class.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests up to 100% of the fund’s assets in

securities of exchange traded funds and/or othermutual funds, including funds that are managedby us or one of our affiliates or associates

• invests primarily in exchange traded funds• considers asset class and sector investments

based on fundamentals and the economic andmarkets outlook

• uses technical indicators when implementingportfolio rebalances


• the fund may temporarily depart from its investmentobjectives by holding a portion of its assets incash or short-term money market instrumentsand/or high quality fixed income securities whileseeking investment opportunities or for defensivepurposes to reflect economic and market conditions





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Tactical dividend

Series A: August 12, 2013Series F: August 12, 2013Series D: April 3, 2014Series I: April 3, 2014Series L: July 28, 2014Advisor Series: August 12, 2013




Series L: 0.30%Advisor Series: 1.55%




ETF Capital ManagementToronto, Ontario







What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a portfolio solution that

adjusts to current market conditions• you are comfortable with medium investment




Fund expenses indirectly borne by investorsSee Fund expenses indirectly borne by investors onpage 5 for the assumptions we’re required to use inthis table. The assumptions do not reflect the actualperformance of the fund. Fund expense informationis not shown for Series L because this series is lessthan one year old.


Series A $ 19.07 60.10 105.35 239.80

Series F $ 9.02 28.44 49.84 113.45

Series D $ 11.99 37.81 66.27 150.84

Series L $ n/a n/a n/a n/a

Advisor Series $ 19.07 60.10 105.35 239.80

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Investment objectivesThis fund’s objective is to provide long-term capitalgrowth by investing primarily in a diversifiedportfolio of global equity exchange traded funds.The fund’s asset mix may be changed over time toreflect the portfolio manager’s outlook for eachasset class.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• the fund invests primarily in global equity



• the sub-advisor employs a proprietary model thatutilizes technical indicators to identify attractivefunds that offer superior rates of return whileminimizing risk

• the fund may be exposed to up to 100% in foreignsecurities through investments in exchangetraded funds that invest in global equity securities

• the fund may temporarily depart from itsinvestment objectives by holding a portion of itsassets in cash or short-term money marketinstruments and/or high quality fixed incomesecurities while seeking investment opportunitiesor for defensive purposes to reflect economic andmarket conditions



BMOFund details

Tactical Global Equity ETF Fund

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Global equity










SIA Wealth Management Inc.Calgary, Alberta




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In allocating the portfolio, the sub-advisor may engagein tactical deviations from its target asset mix in orderto capitalize on investment opportunities. In doingso, the sub-advisor considers the average marketvaluations across geographies, sectors, and assetclasses, relative economic conditions that may impactan investment, and any perceived downside risks.

The fund may have high portfolio turnover rates.The higher the portfolio turnover rate, the greaterthe possibility of unitholders of the fund receivingincome or taxable capital gains as a result of frequentpurchases and sales of portfolio securities by the fund.





Who should invest in this fund?Consider this fund if:• you are looking for a portfolio solution of global

equities that adjusts to current market conditions• you are comfortable with medium investment






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U.S. Dividend FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to achieve long-term capitalgrowth by investing primarily in equity securities ofU.S. companies that pay dividends, or that areexpected to pay dividends, and, to a lesser extent, inother types of securities, such as trusts and preferredshares, that are expected to distribute income.

The fundamental investment objective may only bechanged with the approval of a majority of the votescast at a meeting of securityholders called for thatpurpose.

Investment strategiesThese are the strategies the sub-advisor uses to tryto achieve the fund’s objective:• equity securities of U.S. companies are selected

by examining the financial statistics of eachpotential investment, looking for an attractiveprice, consistent earnings, evidence that thecompany’s management believes in the future ofthe company, the ability to pay dividends and thesustainability of the dividends or expecteddividends

• the fund’s assets are diversified by industry andcompany to help reduce risk


• the fund may invest up to 10% of its assets in non-U.S. equity securities


example, the sub-advisor may be concernedabout the impact that rising interest rates mayhave on the fund. The sub-advisor may attemptto reduce the impact of security price fluctuationsby using interest rate swaps

- reduce the impact of volatility on the fund. Forexample, the sub-advisor may attempt to reducethe impact of any adverse changes in exchangerates by buying currency futures


Type of fund

Date started

Securities offered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

U.S. dividend










BMO Asset Management Corp.Chicago, Illinois

(Sub-advisor since November 2014)






The fund may engage in short selling in order tomanage volatility or enhance the fund’s performancein declining or volatile markets. In compliance withits investment objectives, the fund will engage inshort sales by borrowing securities which the sub-advisor believes are overvalued and selling them inthe open market. The securities will then berepurchased by the fund at a later date and returnedto the lender. The fund will only engage in shortsales as permitted by Canadian securities regulators.

What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a core U.S. dividend fund for

your portfolio• you are comfortable with medium investment



Distribution policyThe fund distributes any net income quarterly andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash. Please see page 267 for moreinformation.


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Fund details

U.S. Equity ETF Fund


Investment objectivesThis fund’s objective is to provide a return that issimilar to the return of one or more exchangetraded funds that invest primarily in U.S. equities.The fund may invest all or a portion of its assets inone or more exchange traded funds, invest directlyin the underlying securities held by the exchangetraded funds and/or use derivatives to provide thefund with a return determined by reference to theexchange traded funds.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests up to 100% of the fund’s assets in securities

of BMO S&P 500 Hedged to CAD Index ETF• BMO S&P 500 Hedged to CAD Index ETF seeks to

replicate, to the extent possible, the performanceof the S&P 500 Hedged to Canadian Dollars Index,net of expenses. The S&P 500 Hedged to CanadianDollars Index is a market capitalization-weightedindex of securities of 500 of the largest U.S. publicissuers provided by S&P Opco, LLC, hedged toCanadian dollars. The investment strategy of theexchange traded fund is to invest in and hold theconstituent securities of the index in the sameproportion as they are reflected in the index orsecurities intended to replicate the performanceof the index. A sampling methodology may also beused in selecting investments. As an alternativeto or in conjunction with investing in and holdingthe constituent securities, the exchange tradedfund may invest in or use certain other securities toobtain exposure to the performance of the index

• to the extent that the fund does not invest 100%of its assets in securities of the exchange tradedfund, may invest in securities that make up theS&P 500 Hedged to Canadian Dollars Index insubstantially the same proportion as the exchangetraded fund


• may use derivatives such as futures and forwardcontracts to manage exposure to foreigncurrencies in order to seek to reduce the risk ofexchange rate fluctuations between Canadianand foreign currencies

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

U.S. equity

Series A: January 7, 1997Series D: April 3, 2014Series I: November 4, 2013














Series A $ 11.89 37.48 65.70 149.55

Series D $ 8.71 27.47 48.14 109.58

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• as an alternative to or in conjunction withinvesting directly in the exchange traded fundand/or securities, may use derivatives likeoptions, futures, forward contracts and swaps togain market exposure to the return of the exchangetraded fund or a portion thereof. The fund willonly use derivatives as permitted by Canadiansecurities regulators

• may invest directly in cash or cash equivalents tomeet any cash cover requirements or fundredemption requests.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and



potential of U.S. stock markets• you prefer a fund that seeks to track the

performance of a U.S. equities market index• you are comfortable with medium investment




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U.S. Equity FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing inequities of well-established U.S. companies thatmay be undervalued by the marketplace.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• examines the financial statistics of each potential

investment, looking for:- an attractive price- consistent earnings- evidence that the company’s management

believes in the future of the company• uses the above information to rank potential

investments. The highest-ranked securities areincluded in the portfolio

• diversifies the fund’s assets by industry andcompany to help reduce risk

• the fund may use derivatives to implement theinvestment strategy. Derivatives such as options,futures, forward contracts, swaps and otherderivative instruments may be used for bothhedging and non-hedging purposes, or to, amongother things:- reduce the impact of currency fluctuations on

the fund. For example, the portfolio managermay attempt to reduce the impact of any adversechanges in exchange rates by buying currencyfutures




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

U.S. equity

Series A: January 7, 1997Series F: November 3, 2008Series D: April 3, 2014Series I: March 5, 2008Series N: April 13, 2015Series NBA: December 15, 2013Series NBF: December 15, 2013Advisor Series: April 1, 2013




Series N: N/A. A Series N fee ispaid by each Series N investor.(2)








(2) Series N investors pay a separate fee directly to their dealer, a portion of which ispaid to us as Manager. Such portion will not exceed the management fee ratecharged for Series F. Please see About the series of securities on page 245 formore information.


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Fund expenses indirectly borne by investorsSee Fund expenses indirectly borne by investors onpage 5 for the assumptions we’re required to use inthis table. The assumptions do not reflect the actualperformance of the fund. Fund expense information isnot shown for Series N because this is a new series.


Series A $ 25.52 80.46 141.03 321.02

Series F $ 9.74 30.70 53.81 122.48

Series D $ 12.81 40.39 70.80 161.15

Advisor Series $ 25.22 79.49 139.33 317.15

Series N $ n/a n/a n/a n/a

Series NBA $ 17.94 56.55 99.12 225.62

Series NBF $ 6.25 19.71 34.55 78.64


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• fund of funds risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Balanced Portfolio, BMO SelectTrust™Balanced Portfolio and BMO SelectClass® Income Portfolio each held 21.55%,17.58% and 11.66%, respectively, of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you are looking for a core U.S. equity fund for




Distribution policyThe fund distributes any net income and any netcapital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that you preferto receive cash distributions. Please see page 267for more information.


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U.S. Equity Plus FundWhat does the fund invest in?

Investment objectivesThis fund’s objective is to provide long-term capitalgrowth by investing primarily in equity securities ofU.S. and Canadian large capitalization companies.


Investment strategiesThese are the strategies the sub-advisor uses to tryto achieve the fund’s objective:• the fund invests primarily in U.S. and Canadian

equity securities of large market capitalizationcompanies

• the fund may invest up to 10% of its net assets insecurities of issuers domiciled outside of NorthAmerica







Type of fund

Date started

Securities offered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

U.S. equity










BMO Capital Markets Corp.New York, New York

(Sub-advisor since December 2014)




The fund may engage in short selling in order tomanage volatility or enhance the fund’sperformance in declining or volatile markets. Incompliance with its investment objectives, the fundwill engage in short sales by borrowing securitieswhich the portfolio manager believes areovervalued and selling them in the open market.The securities will then be repurchased by the fundat a later date and returned to the lender. The fundwill only engage in short sales as permitted byCanadian securities regulators.

What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• currency risk• derivative risk• equity risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and



exposure to U.S. and Canadian companies• you are comfortable with medium investment



Distribution policyThe fund distributes any net income and any netcapital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash. Please see page 267 for moreinformation.

Fund expenses indirectly borne by investorsThis information is not available because the fundis less than one year old and its expenses are not yetknown.

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Canadian SmallCap Equity Fund


Investment objectivesThis fund’s objective is to provide above-averagegrowth in the value of your investment over thelong term by investing in small and mid-sizedCanadian companies.


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian small and mid-capitalization equity

Series A: August 3, 1993Series F: November 3, 2008Series D: April 3, 2014Series I: March 5, 2008Advisor Series: November 3, 2008









Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equities, including income trusts• examines the financial statistics of each company

it’s considering to determine if the equity securitiesare attractively priced

• may emphasize specific industry sectors withhigh potential return or companies that maybenefit from trends like an aging population


• continually monitors the companies in which thefund invests for changes that may affect theirprofitability











What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• commodity risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a fund that invests in smaller

Canadian companies with high growth potential• you are comfortable with medium to high

investment risk (i.e., you are willing to acceptfluctuations in the market value of yourinvestment).





Series A $ 25.63 80.78 141.59 322.31

Series F $ 11.28 35.54 62.30 141.82

Series D $ 14.35 45.24 79.29 180.49

Advisor Series $ 25.93 81.75 143.29 326.18

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Emerging Markets Fund


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing incompanies located in countries undergoing rapidindustrialization.

As part of this fund’s investment objective, itinvests primarily in equities of companies inemerging countries like Brazil, Chile, Greece, India,Malaysia, Mexico, Pakistan, South Africa, SouthKorea, Taiwan and Turkey. It may also invest infixed income securities.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• performs fundamental analysis to focus on

companies with strong growth prospects, solidmanagement and a sustainable dividend yieldthat is anticipated to be a significant contributorto long-term total returns

• the fund may invest in securities of issuerslocated in emerging or frontier markets, as wellas in equity securities of companies that benefitfrom exposure to such markets

• may also invest in convertible securities, otherequity-related securities and in fixed incomesecurities

• may invest up to 10% of the fund’s assets insecurities of other mutual funds, which mayinclude mutual funds that are managed by us orone of our affiliates or associates





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Emerging markets equity

Series A: October 3, 1994Series F: November 3, 2008Series D: April 3, 2014Series I: November 3, 2008Advisor Series: November 11, 2009








LGM Investments LimitedLondon, England

(Portfolio Manager/Sub-advisor since March 2012)





What are the risks of investing in the fund?Because the fund’s investments are concentrated indeveloping countries, the value of the fund may bemore sensitive to stock market, economic andpolitical trends, and currency exchange rates thanfunds that invest in developed countries.

These strategies may also involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, BMO SelectTrust™ Balanced Portfolio, BMO SelectClass®

Balanced Portfolio, and BMO SelectTrust™ Growth Portfolio each held 24.25%,22.56% and 13.43%, respectively, of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you want the high growth potential of emerging

markets for your portfolio• you want to diversify your international holdings

with investments in countries that aren’tincluded in many core international equity funds

• you are comfortable with high investment risk(i.e., you are willing to accept significantfluctuations in the market value of yourinvestment).





Series A $ 27.27 85.95 150.66 342.94

Series F $ 12.81 40.39 70.80 161.15

Series D $ 15.89 50.09 87.79 199.83

Advisor Series $ 27.27 85.95 150.66 342.94

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Global Small Cap Fund


Investment objectivesThis fund’s objective is to provide long-term growththrough capital appreciation by investing primarilyin equities and equity-related securities ofcompanies with small to medium marketcapitalization located throughout the world.


Type of fund

Date started

Securitiesoffered


Managementfee

Portfoliomanager

Global small and mid-capitalization equity

Series A: April 16, 2012Series F: July 5, 2006Series I: July 5, 2006Advisor Series: January 1, 1996








Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in global smaller capitalization companies

that are displaying strong growth in earnings or sales

• will employ a quantitative model based onfundamental equity analysis methodologies toidentify and select equities that trade below theirintrinsic value, demonstrate superior earningsgrowth, and demonstrate positive price momentum











What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• equity risk• foreign investment risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, BMO SelectClass® Growth Portfolio and BMO SelectTrust™Growth Portfolio each held 30.20% and 28.95%, respectively, of the securities ofthe fund.

Who should invest in this fund?Consider this fund if:• you are looking for exposure to international

companies with small to mid-capitalization• you are seeking capital growth with a view to

longer-term investing• you are comfortable with medium to high

investment risk (i.e., you are willing to acceptfluctuations in the market value of yourinvestment).





Series A $ 27.68 87.25 152.92 348.09

Series F $ 12.20 38.45 67.40 153.42

Advisor Series $ 27.78 87.57 153.49 349.38

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Precious Metals Fund


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing insecurities of primarily Canadian companies in theprecious metals industry.

As part of its investment objective, this fund investsmainly in Canadian companies that are involved inthe exploration, mining, production or distributionof precious metals.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• examines the financial statistics of each company

it’s considering to determine if the equitysecurities are attractively priced










The fund received an exemption from securitiesregulators to deviate from standard restrictions andpractices related to buying and sellingcommodities. Specifically, the fund has approval toinvest up to 20% of its assets in precious metals,including silver and platinum.

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Precious metals

Series A: January 7, 1997Series F: June 24, 2013Series I: January 10, 2011Advisor Series: November 3, 2008












What are the risks of investing in the fund?The unit price of the fund will be affected bychanges in precious metals prices.

These strategies may also involve the followingrisks, which we explain starting on page 232:• commodity risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• industry concentration risk• issuer concentration risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want specific exposure to the growth

potential of precious metals• you are comfortable with high investment risk

(i.e., you are willing to accept significantfluctuations in the market value of yourinvestment).





Series A $ 24.60 77.55 135.93 309.42

Series F $ 11.28 35.54 62.30 141.82

Advisor Series $ 25.01 78.84 138.20 314.57

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Resource Fund


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing inCanadian natural resource companies.

As part of its investment objective, this fund investsprimarily in companies that are listed on Canadianstock exchanges and that operate in the preciousmetals, base metals, oil and gas, or forest productsindustries. It may also buy precious metals directly.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• examines the financial statistics of each company










The fund received an exemption from securitiesregulators to deviate from standard restrictions andpractices related to buying and selling commodities.Specifically, the fund has approval to invest up to10% of its assets directly in commodities.

The portfolio manager may frequently buy and sellinvestments for the fund. This can increase tradingcosts, which may lower the fund’s returns. It alsoincreases the chance that you may receive a

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Natural resources

Series A: August 3, 1993Series F: November 3, 2008Series I: March 5, 2008Advisor Series: November 3, 2008





Administration fee 0.15%(for Series I, separate fees andexpenses are negotiated andpaid by each Series I investor)(1)






distribution in the year. If you hold the fund in anon-registered account, distributions are generallytaxable. For more information please see Incometax considerations for investors on page 267.



What are the risks of investing in the fund?The unit price of the fund will be affected bychanges in the prices of natural resourcescommodities and precious metals.

These strategies may also involve the followingrisks, which we explain starting on page 232:• commodity risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• industry concentration risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want specific exposure to the growth

potential of resource securities• you are comfortable with high investment risk

(i.e., you are willing to accept significantfluctuations in the market value of yourinvestment).





Series A $ 24.19 76.26 133.67 304.26

Series F $ 11.28 35.54 62.30 141.82

Advisor Series $ 24.40 76.91 134.80 306.84

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Fixed IncomeETF Portfolio


Investment objectivesThis fund’s objective is to preserve the value ofyour investment by investing primarily in exchangetraded funds that invest in Canadian, U.S. andinternational fixed income securities. The fundmay also invest in other mutual funds or investdirectly in individual fixed income securities andcash or cash equivalents. The fund’s asset mix maybe changed over time to reflect the portfoliomanager’s long-term outlook for each asset class.


Investment strategiesThese are the strategies the portfolio manager usesto try and achieve the fund’s objective:• employs a strategic asset allocation strategy• may invest up to 100% of the fund’s assets in

securities of exchange traded funds and othermutual funds, including funds that are managedby us or one of our affiliates or associates

• the fund will invest a majority of its assets inexchange traded funds

• allocates assets among the underlying exchangetraded funds and other mutual funds based oneach underlying fund’s investment objectives andstrategies, among other factors. The underlyingfunds, as well as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time


• may invest directly in securities and cash or cashequivalents



example, the portfolio manager may be concerned

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global bond

Series A: August 12, 2013Series T6: November 4, 2013Series F: August 12, 2013Series D: April 3, 2014Series I: August 12, 2013Advisor Series: August 12, 2013











about the impact that rising interest rates mayhave on the fund. The portfolio manager mayattempt to reduce the impact of security pricefluctuations by using interest rate swaps




The fund or the underlying funds may enter intosecurities lending, repurchase and reverse repurchasetransactions to earn additional income. Thesetransactions will be used in conjunction with theother investment strategies in a manner consideredappropriate to achieving the fund’s investmentobjectives. Please see Securities lending, repurchaseand reverse purchase transactions risk on page 237.

What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• credit risk• currency risk• derivative risk• floating rate loan risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want a conservative investment mostly in

fixed income exchange traded funds with a lowlevel of volatility




Distribution policyThe fund distributes any net income quarterly andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions.







Series A $ 13.12 41.36 72.50 165.02

Series T6 $ 13.12 41.36 72.50 165.02

Series F $ 5.74 18.10 31.72 72.20

Series D $ 8.71 27.47 48.14 109.58

Advisor Series $ 13.12 41.36 72.50 165.02

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Income ETF Portfolio(formerly, BMO Security ETF Portfolio)


Investment objectivesThis fund’s objective is to preserve the value ofyour investment by investing primarily in exchangetraded funds that invest in fixed income securitieswith a lesser exposure to exchange traded funds

that invest in Canadian, U.S. and internationalequity securities. The fund may also invest in othermutual funds or invest directly in individual fixedincome or equity securities and cash or cashequivalents. The fund’s asset mix may be changedover time to reflect the portfolio manager’s long-term outlook for each asset class.







• may invest directly in fixed income securities andcash or cash equivalents


• the fund or its underlying funds may usederivatives to implement the investment strategy.Derivatives, such as options, futures, forwardcontracts, swaps and other derivative instrumentsmay be used for both hedging and non-hedgingpurposes, or to, among other things:- protect the fund against potential losses. For


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global fixed income balanced



















fixed income and to a lesser extent in equityexchange traded funds with the potential forsome capital appreciation











Series A $ 16.91 53.32 93.45 212.72

Series T6 $ 17.12 53.96 94.58 215.30

Series F $ 5.74 18.10 31.72 72.20

Series D $ 8.71 27.47 48.14 109.58

Advisor Series $ 16.71 52.67 92.32 210.15

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ConservativeETF Portfolio


Investment objectivesThis fund’s objective is to preserve the value of yourinvestment and, to a lesser extent, provide somepotential for growth by investing primarily inexchange traded funds that invest in Canadian, U.S.

and international fixed income and equity securities.The fund may also invest in other mutual funds orinvest directly in individual fixed income and equitysecurities and cash or cash equivalents. The fund’sasset mix may be changed over time to reflect theportfolio manager’s long-term outlook for eachasset class.







• may invest directly in securities and cash or cashequivalents




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager




















fixed income and equity exchange traded fundswith the potential for some capital appreciation




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Series A $ 17.02 53.64 94.02 214.01

Series T6 $ 17.02 53.64 94.02 214.01

Series F $ 5.74 18.10 31.72 72.20

Series D $ 8.71 27.47 48.14 109.58

Advisor Series $ 17.02 53.64 94.02 214.01


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Balanced ETF Portfolio


Investment objectivesThis fund’s objective is to provide a balancedportfolio by investing primarily in exchange tradedfunds that invest in Canadian, U.S. and international

fixed income and equity securities. The fund mayalso invest in other mutual funds or invest directlyin individual fixed income and equity securitiesand cash or cash equivalents. The fund’s asset mixmay be changed over time to reflect the portfoliomanager’s long-term outlook for each asset class.











Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global neutral balanced


















Who should invest in this fund?Consider this fund if:• you want a balanced investment mostly in fixed

income and equity exchange traded funds withthe potential for some capital appreciation











Series A $ 17.43 54.93 96.28 219.17

Series T6 $ 17.63 55.58 97.42 221.75

Series F $ 6.25 19.71 34.55 78.64

Series D $ 9.23 29.08 50.97 116.03

Advisor Series $ 17.63 55.58 97.42 221.75

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Growth ETF Portfolio


Investment objectivesThis fund’s objective is to provide long-term growthby investing primarily in exchange traded funds thatinvest in Canadian, U.S. and international equitysecurities and, to a lesser extent, fixed income

securities. The fund may also invest in other mutualfunds or invest directly in individual fixed incomeand equity securities and cash or cash equivalents.The fund’s asset mix may be changed over time toreflect the portfolio manager’s long-term outlookfor each asset class.





• allocates assets among the underlying exchangetraded funds and other mutual funds, based oneach underlying fund’s investment objectives andstrategies, among other factors. The underlyingfunds, as well as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time




• the fund or its underlying funds may usederivatives to implement the investment strategy.Derivatives, such as options, futures, forwardcontracts, swaps and other derivative instrumentsmay be used for both hedging and non-hedgingpurposes, or to, among other things:- protect the fund against potential losses. For


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity balanced


















Who should invest in this fund?Consider this fund if:• you want a growth oriented investment mostly in

equity and to a lesser extent fixed income exchangetraded funds with the potential for some capitalappreciation











Series A $ 17.53 55.26 96.85 220.46

Series T6 $ 17.53 55.26 96.85 220.46

Series F $ 6.25 19.71 34.55 78.64

Series D $ 9.23 29.08 50.97 116.03

Advisor Series $ 17.43 54.93 96.28 219.17

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Equity GrowthETF Portfolio


Investment objectivesThis fund’s objective is to provide long-term growthby investing primarily in exchange traded fundsthat invest in Canadian, U.S. and international

equity securities. The fund may also invest in othermutual funds or invest directly in individual equitysecurities and cash or cash equivalents. The fund’sasset mix may be changed over time to reflect theportfolio manager’s long-term outlook for eachasset class.





• allocates assets among the underlying exchangetraded funds and other mutual funds, based oneach underlying fund’s investment objectives andstrategies, among other factors. The underlyingfunds, as well as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time






Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity
















What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want an equity growth oriented investment

mostly in equity exchange traded funds with thepotential for some capital appreciation











Series A $ 18.14 57.19 100.25 228.19

Series T6 $ 18.14 57.19 100.25 228.19

Series F $ 6.77 21.33 37.38 85.09

Series D $ 9.74 30.70 53.81 122.48

Advisor Series $ 18.04 56.87 99.68 226.91

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U.S. DollarBalanced Fund


Investment objectivesThis fund’s objective is to provide long term capitalgrowth and current income. It invests primarily in acombination of fixed income and equity securitiesof U.S. companies. The fund’s asset mix may bechanged over time to reflect the portfolio manager’soutlook for each asset class.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• uses an asset allocation approach by investing in

a diversified portfolio primarily consisting offixed income and equity securities of mid- tolarge-cap companies denominated in U.S. dollars

• when choosing equity securities, the portfoliomanager:

• examines the financial statistics of each potentialinvestment, looking for:- an attractive price- consistent earnings- evident that the company’s management

believes in the future of the company• diversifies the fund’s assets by industry and

company to help reduce risk• when choosing fixed income securities, the

portfolio manager:- analyzes financial data and other information

sources and assesses the quality of managementand conducts company interviews where possible

- analyzes the financial and managerial prospectsfor a particular company and its relevant sector

- assesses the condition of credit markets, theyield curve, as well as the outlook for monetaryconditions






Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

U.S. balanced

Series A: August 12, 2013Series F: August 12, 2013Series I: August 12, 2013Advisor Series: August 12, 2013








BMO Asset Management Corp.Chicago, IllinoisTaplin, Canida & Habacht, LLCMiami, Florida

(Sub-advisors since August 2013)






What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a core U.S. balanced fund for

your portfolio• you are comfortable with low to medium






Series A US$ 19.78 62.36 109.31 248.82

Series F US$ 9.74 30.70 53.81 122.48

Advisor Series US$ 19.07 60.10 105.35 239.80

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U.S. DollarDividend Fund


Investment objectivesThis fund’s objective is to achieve long-term capitalgrowth by investing primarily in equity securities ofU.S. companies that pay dividends, or that areexpected to pay dividends, and, to a lesser extent, inother types of securities, such as trusts and preferredshares, that are expected to distribute income.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• examines the financial statistics of each potential

investment, looking for:- an attractive price- consistent earnings- evidence that the company’s management

believes in the future of the company- the ability to pay dividends- sustainability of the dividends or expected

dividends• diversifies the fund’s assets by industry and

company to help reduce risk• may invest up to 100% of the fund’s assets in

foreign securities• the fund may use derivatives to implement the

investment strategy. Derivatives, such as options,futures, forward contracts, swaps and otherderivative instruments may be used for bothhedging and non-hedging purposes, or to, amongother things:- protect the fund against potential losses. For






Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

U.S. dividend

Series A: August 12, 2013Series F: August 12, 2013Series I: August 12, 2013Advisor Series: August 12, 2013













What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• fund of funds risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a core U.S. dividend fund for







Series A US$ 19.78 62.36 109.31 248.82

Series F US$ 9.74 30.70 53.81 122.48


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U.S. Dollar Equity Index Fund


Investment objectivesThe fund’s objective is to provide a return that issimilar to the return of the Standard & Poor’s 500Total Return Index (S&P 500 Index). The fund mayinvest all or a portion of its assets in one or moreexchange traded funds, invest directly in theunderlying securities represented in the S&P 500Index or use derivatives such as options, futures,and forward contracts that are based on the S&P 500 Index.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• allocates assets among the exchange traded fund

and/or underlying securities based on adetermination of the most effective manner toachieve the fund’s objectives, while attempting tominimize transaction costs and fees. The allocationbetween the underlying fund and securities, maybe changed without notice from time to time

• the fund may invest up to 100% of the marketvalue of its net assets in securities of other mutualfunds or exchange traded funds managed by us orother mutual fund managers including ouraffiliates or associates

• as an alternative to or in conjunction withinvesting directly in the exchange traded fundand/or securities, may use derivatives likeoptions, futures, forward contracts and swaps togain market exposure to the return of the S&P 500Index or a portion thereof. May invest directly incash or cash equivalents to meet any cash coverrequirements of derivative investments


Securities regulators allow index mutual funds toexceed the normal investment concentration limitsif required to track the relevant index. Inaccordance with the regulatory requirements, thefund may track the index in this manner.


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

U.S. equity

Series A: October 1, 1998Series I: October 20, 2008



Series A: 0.85%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)







What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• currency risk• derivative risk• equity risk• fund of funds risk• indexing risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you are looking for a U.S. dollar equity fund that

focuses on established companies• you prefer a fund that seeks to track the

performance of the S&P 500 Index• you are comfortable with medium investment



Distribution policyThe fund distributes any net income and net capitalgains in December. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us in writing that you prefer toreceive cash distributions. Please see page 267 formore information.



Series A US$ 11.99 37.81 66.27 150.84

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U.S. Dollar Money Market Fund


Investment objectivesThis fund’s objective is to provide a high level ofU.S. dollar interest income and liquidity, whilepreserving the value of your investment.

As part of its investment objective, this fund investsprimarily in a variety of U.S. government andcorporate money market instruments.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• buys investments, including commercial paper,

that are rated A or higher (or equivalent) by oneor more recognized North American ratingagencies, or that the portfolio managerdetermines to be of comparable quality

• maintains a unit price of US$1.00 by creditingincome daily and distributing it monthly.

What are the risks of investing in the fund?These strategies may involve the following risks:• the yield of the fund varies with short-term

interest rates• the unit price of the fund may rise or fall,

although we try to keep it fixed at US$1.00.

These strategies may also involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• interest rate risk• large transaction risk*• series risk.

* As at March 18, 2015, two distinct securityholders each held 18.15% and 15.70%,respectively, of the securities of the fund.

Who should invest in this fund?Consider this fund if:• you want a secure U.S. dollar investment with

low investment risk• you are looking for higher yields than a U.S.

dollar bank account may offer• you want a short-term investment.


Distribution policyAny net income is accrued daily and distributedmonthly. Any net capital gains are distributed inDecember and outstanding securities areconsolidated to maintain a net asset value ofU.S.$1.00. Distributions are automaticallyreinvested in additional securities of the fund.Please see page 267 for more information.



Series A US$ 0.92 2.91 5.10 11.60


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

U.S. money market

Series A: October 1, 1998Advisor Series: November 11, 2009



Series A: 1.00%Advisor Series: 1.00%

0.15%





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U.S. Dollar Monthly Income Fund


Investment objectivesThis fund’s objective is to provide a fixed monthlydistribution by investing primarily in U.S. equitiesand U.S. fixed income securities.


Investment strategiesThese are the strategies the portfolio managers useto try to achieve the fund’s objective:• invest in high yield bonds and debentures rated

BB or lower and issued by U.S. governments andcorporations, U.S. dollar-denominated Canadiancorporate bonds and convertible debentures

• invest in equity securities through a bottom-upselection process

• invest in high quality preferred shares and equityunits of U.S. companies and U.S. real estateinvestment trusts (“REITs”), as well as CanadianREITs and property companies denominated inU.S. dollars or holding U.S. property

• invest in mortgage-backed securities andgovernment agency issued bonds and debentures

• may also opportunistically invest in asset classesoutside of the U.S.






Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

U.S. balanced income

Series A: October 12, 2004Series T5: November 11, 2009Series T6: April 1, 2013Series F: November 11, 2009Series I: October 20, 2008Advisor Series: November 11, 2009



Series A: 1.85%Series T5: 1.85%Series T6: 1.85%Series F: 0.75%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)


0.20% (for Series I, separate fees andexpenses are negotiated andpaid by each Series I investor)(1)


BMO Asset Management Inc.Toronto, Ontario(Portfolio Manager sinceNovember 2009)

BMO Asset Management Corp.Chicago, Illinois(Portfolio Manager since April 2014)

Monegy, Inc., Toronto, Ontario(Portfolio Manager since June 2014)

Taplin, Canida & Habacht, LLCMiami, Florida(Sub-advisor since April 2014)






What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk• credit risk• currency risk• derivative risk• equity risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want regular monthly cash flow in U.S. dollars• you are comfortable with low to medium investment

risk (i.e., you are willing to accept some fluctuationsin the market value of your investment)




Distribution policyThe fund distributes a fixed amount per securityper month. The amount of the monthly distributionmay be adjusted without notice throughout the yearas market conditions change. Any net income earnedby the fund in excess of the monthly distributionmay also be distributed to securityholders fromtime to time. Any net capital gains are distributed inDecember. Distributions are automatically reinvestedin additional units of the fund, unless you tell us inwriting that you prefer to receive cash distributions.

For Series A, Series F, Series I and Advisor Seriessecurities, the fund distributes monthly any netincome and/or ROC. The amount of the monthlydistribution is set at the beginning of each calendaryear based on the market outlook.

For Series T5 securities, the fund will makemonthly distributions of an amount compromisedof any net income, and/or ROC based on 5% of thenet asset value per security of the series asdetermined on December 31 of the prior year.


If the cash distributions to you are greater thanthe net increase in the value of your investment inSeries T5 and Series T6 securities, these distributionswill erode the value of your original investment.


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Series A US$ 23.17 73.03 128.00 291.37

Series T5 US$ 23.68 74.64 130.83 297.81

Series T6 US$ 23.47 74.00 129.70 295.23

Series F US$ 9.74 30.70 53.81 122.48



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Asian Growth andIncome Class


Investment objectivesThis fund’s objective is to provide income andcapital appreciation. It seeks a similar return toBMO Asian Growth and Income Fund by investingprimarily in units of that fund. The fund may investdirectly in securities in which BMO Asian Growthand Income Fund may invest, as well as in fixedincome securities and cash or cash equivalents.


Investment strategiesBMO Asian Growth and Income Fund seeks toprovide income and capital appreciation byinvesting in a diversified portfolio comprised ofU.S. dollar-denominated convertible securities andhigher yielding equity securities of Asiancompanies. The fund’s primary emphasis is theAsian Tiger countries (Asia excluding Japan). Dueto its convertible bond component, the portfolioallows conservative investors to participate in theupside potential of Asian equities, with lessvolatility than a pure equity fund and also offerssome protection against unfavourable currencyfluctuations. The strategies described below relateto the underlying fund.

The portfolio manager of the underlying fundattempts to achieve that fund’s investmentobjective in the following ways:• by investing primarily in equities and convertible

bonds through a bottom-up selection processbased on GARP (Growth At a Reasonable Price)methodology

• quantitative and qualitative analyses are used toidentify dominant, well-managed businesses ingrowth industries, selling at discounts to theirenterprise value and growth potential

• political and economic conditions are consideredon a secondary basis to identify companiespoised to benefit from country specific dynamicsand long-term secular trends.

The underlying fund may use derivatives forhedging and non-hedging purposes.

The underlying fund may engage in securitieslending, repurchase and reverse repurchasetransactions as permitted by securities regulators.

The fund may invest directly in securities in whichBMO Asian Growth and Income Fund may invest,as well as in fixed income securities and cash orcash equivalents.


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Asia Pacific equity

Series F: April 3, 2014Advisor Series: November 3, 2008



Series F: 1.05%Advisor Series: 2.25%There will be no duplication ofmanagement fees between thefund and the underlying fund

0.40%





What are the risks of investing in the fund?As the fund is a class of BMO Global Tax AdvantageFunds Inc. and invests substantially all of its assetsin an underlying fund, the fund is subject to seriesrisk, class risk and fund of funds risk. In addition,the fund has the same risks as BMO Asian Growthand Income Fund. The strategies of BMO AsianGrowth and Income Fund may involve the followingrisks, which we explain starting on page 232:• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want the flexibility to switch to another class

of BMO Global Tax Advantage Funds Inc. withoutrealizing capital gains

• you want exposure to foreign income-producinginvestments

• you are looking for exposure to Asian securitiesfor your portfolio



Distribution policyThe fund pays any ordinary dividends inSeptember and any capital gains dividends within60 days after September 30. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions. Please seepage 267 for more information.



Series F $ 16.91 53.32 93.45 212.72

Advisor Series $ 29.83 94.03 164.82 375.17

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Canadian Equity Class


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing primarilyin equities of well-established Canadian companies.


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian equity

Series A: October 12, 2004Series F: November 11, 2009Series I: May 9, 2008Advisor Series: November 3, 2008









Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equities, including income trusts• examines the financial statistics of each company





• the fund may use derivatives to implement theinvestment strategy. Derivatives such as options,futures, forward contracts, swaps and otherderivative instruments may be used for bothhedging and non-hedging purposes, or to, amongother things:- reduce the impact of currency fluctuations on

the fund. For example, the portfolio managermay attempt to reduce the impact of any adversechanges in exchange rates by buying currencyfutures







What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• class risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• large transaction risk• securities lending, repurchase and




• you are looking for a core Canadian equity fundfor your portfolio



Distribution policyThe fund pays any ordinary dividends in Septemberand any capital gains dividends within 60 days afterSeptember 30. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us in writing that you prefer toreceive cash distributions. Please see page 267 formore information.



Series A $ 25.22 79.49 139.33 317.15

Series F $ 9.23 29.08 50.97 116.03

Advisor Series $ 25.32 79.81 139.90 318.44

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CanadianTactical ETF Class


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing primarilyin exchange traded funds that invest in Canadianequity and fixed income securities. The fund mayalso invest in other mutual funds or invest directlyin fixed income securities and cash or cashequivalents. The portfolio manager may change thefund’s asset mix according to its outlook for eachasset class.


Investment strategiesThese are the strategies the sub-advisor uses to tryto achieve the fund’s objective:• may invest up to 100% of the fund’s assets in


• may invest between 30-70% of the fund’s assetsin exchange traded funds or other mutual fundsthat invest in equities and 30-70% of the fund’sassets in exchange traded funds or other mutualfunds that invest in fixed income securities



• the fund or its underlying mutual funds may usederivatives to implement the investment strategy.Derivatives, such as options, futures, forwardcontracts, swaps and other derivative instrumentsmay be used for both hedging and non-hedgingpurposes, or to, among other things:- protect the fund against potential losses. For

example, the sub-advisor may be concernedabout the impact that rising interest rates mayhave on the fund. The sub-advisor may attempt toreduce the impact of security price fluctuationsby using interest rate swaps




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Tactical balanced

Series A: May 3, 2010Series T6: November 26, 2010Series F: April 26, 2010Series I: April 26, 2010Advisor Series: April 26, 2010














The underlying funds may enter into securitieslending, repurchase and reverse repurchasetransactions to earn additional income. Thesetransactions will be used in conjunction with theother investment strategies in a manner consideredappropriate to achieving the fund’s investmentobjectives. Please see Securities lending, repurchaseand reverse purchase transactions risk on page 237.

What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and




• you want a mix of equity and fixed incomeinvestments in a single fund

• you are comfortable with low to medium investmentrisk (i.e., you are willing to accept somefluctuations in the value of your investment).



Distribution policyThe fund pays any ordinary dividends inSeptember and any capital gains dividends within60 days after September 30. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that youprefer to receive cash distributions.

For Series T6 securities, the fund will makemonthly distributions of an amount comprised ofROC based on 6% of the net asset value per securityof the series as determined on December 31 of theprior year.






Series A $ 17.02 53.64 94.02 214.01

Series T6 $ 17.32 54.61 95.72 217.88

Series F $ 7.69 24.23 42.48 96.69

Advisor Series $ 17.22 54.29 95.15 216.59

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Dividend Class


Investment objectivesThis fund’s objective is to achieve a high level oftotal return, including dividend income and capitalgains, from the value of your investment byinvesting primarily in dividend yielding commonand preferred shares of Canadian companies.



and preferred shares of established Canadiancompanies. It may also invest in fixed incomesecurities and income trust units

• examines the financial statistics of each companyit’s considering to determine if the equitysecurities are attractively priced











Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian dividend

Series A: October 12, 2004Series I: May 9, 2008Advisor Series: November 3, 2008













Series A $ 19.58 61.72 108.18 246.24

Advisor Series $ 19.27 60.75 106.48 242.38

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What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• securities lending, repurchase and


* As at March 18, 2015, BMO FundSelect® Balanced Portfolio and BMO FundSelect®

Growth Portfolio each held 13.93% and 12.69%, respectively, of the securities ofthe fund.



• you are seeking tax-efficient income in your non-registered account

• you want a Canadian equity fund that focuses onestablished companies





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Global Dividend Class


Investment objectivesThis fund’s objective is to achieve a high level oftotal return from the value of your investment,including dividend income and capital gains, byinvesting primarily in dividend yielding commonand preferred shares of companies from around the world.

As part of its investment objectives, the fund investsprimarily in equities of companies that trade onrecognized stock exchanges in countries around the world.



and preferred shares• seeks long-term returns consisting of stable

dividend growth and steady income that is basedupon a growth payout and sustainabilityphilosophy

• applies a market-oriented, bottom-up, sector-neutral approach to selecting the best companieswithin each sector, regardless of geography

• uses a proprietary, internally-developed, multi-factor process that performs cross-regionalcomparisons to detect where positive fundamentalchange is occurring in global markets

• diversifies the fund’s assets among regions,countries and sectors to help reduce risk

• may invest up to 30% of the fund’s assets insecurities of exchange traded funds and othermutual funds, which may include funds that aremanaged by the Manager or one of its affiliates orassociates





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global dividend

Series A: November 27, 2000Series T5: November 11, 2009Series F: November 11, 2009Series I: May 10, 2010Advisor Series: November 3, 2008


















Series A $ 28.86 84.66 148.39 337.78

Series T5 $ 26.65 84.01 147.26 335.20

Series F $ 10.25 32.31 56.64 128.92

Advisor Series $ 26.34 83.04 145.56 331.33

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What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T5 investors only)• class risk• credit risk• currency risk• derivative risk• equity risk• fund of funds risk• foreign investment risk• interest rate risk• large transaction risk• securities lending, repurchase and




• you are looking for an equity fund that providesexposure to dividend yielding companies fromaround the world

• you are comfortable with medium investment risk(i.e., you are willing to accept fluctuations in themarket value of your investment).




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Global Energy Class


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investingprimarily in equity and fixed income securities ofcompanies involved in energy, alternative energy orrelated industries around the world.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in equity securities of

companies involved in energy, alternative energyor related industries around the world, includingcompanies involved in the exploration,development, production and distribution ofcommodities such as fossil fuels, coal, uranium,wind power and water

• examines the financial statistics of each companybeing considered to determine whether theequity securities are attractively priced

• reviews company operations and research anddevelopment practices to assess the company’spotential for growth







The fund intends to apply for an exemption fromsecurities regulators to deviate from standardrestrictions and practices related to buying andselling commodities. Specifically, the fund will seekapproval to invest up to 10% of its assets directly incommodities.

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Natural resources

Series A: November 17, 2008Series F: June 24, 2013Series I: October 31, 2008Advisor Series: November 3, 2008











The portfolio manager may frequently buy and sellinvestments for the fund. This can increase tradingcosts, which may lower the fund’s returns. It alsoincreases the chance that you may receive adividend in the year. If you hold the fund in a non-registered account, dividends are generally taxable.For more information please see Income taxconsiderations for investors on page 267.



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• class risk• commodity risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• industry concentration risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and




• you are looking for an equity fund that providesexposure to energy and energy related companiesfrom around the world

• you are comfortable with high investment risk(i.e., you are willing to accept significantfluctuations in the market value of your investment).





Series A $ 26.55 83.69 146.69 333.91

Series F $ 12.81 40.39 70.80 161.15

Advisor Series $ 26.45 83.37 146.13 332.62

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Global Equity Class


Investment objectivesThis fund’s objectives are to provide long-termgrowth of capital through investment in a portfolioof equity securities of publicly traded companiesfrom around the world with significant growthpotential.

As part of its investment objectives, the fund investsprimarily in equities of companies that trade onrecognized exchanges in countries around the world.

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity

Series A: November 27, 2000Series F: June 24, 2013Series I: May 9, 2008Advisor Series: November 3, 2008










Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• will invest in global equity securities• will employ a proprietary model based on

fundamental equity analysis methodologies toidentify and select equities that trade below theirintrinsic value, demonstrate superior earningsgrowth, and demonstrate positive price momentum












What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• class risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• large transaction risk• securities lending, repurchase and




• you want to diversify your equity portfolio globally• you are comfortable with medium investment






Series A $ 26.65 84.01 147.26 335.20

Series F $ 10.25 32.31 56.64 128.92

Advisor Series $ 26.75 84.34 147.82 336.49

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Global Tactical ETF ClassWhat does the fund invest in?

Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing primarilyin exchange traded funds that invest in global equityand fixed income securities. The fund may also investin other mutual funds or invest directly in global fixedincome securities and cash or cash equivalents. Theportfolio manager may change the fund’s asset mixaccording to its outlook for each asset class.


Investment strategiesThese are the strategies the sub-advisor uses to tryto achieve the fund’s objective:• may invest up to 100% of the fund’s assets in


• may invest between 30-70% of the fund’s assetsin exchange traded funds and other mutual fundsthat invest in equities and 30-70% of the fund’sassets in exchange traded funds and other mutualfunds that invest in fixed income securities


• the fund or its underlying mutual funds may usederivatives to implement the investment strategy.Derivatives, such as options, futures, forwardcontracts, swaps and other derivativeinstruments may be used for both hedging andnon-hedging purposes, or to, among other things:- protect the fund against potential losses. For

example, the sub-advisor may be concernedabout the impact that rising interest rates mayhave on the fund. The sub-advisor may attemptto reduce the impact of security pricefluctuations by using interest rate swaps




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Tactical balanced

Series A: May 3, 2010Series T6: November 26, 2010Series F: April 26, 2010Series I: April 26, 2010Advisor Series: April 26, 2010














The underlying funds may enter into securitieslending, repurchase and reverse repurchasetransactions to earn additional income. Thesetransactions will be used in conjunction with theother investment strategies in a manner consideredappropriate to achieving the fund’s investmentobjectives. Please see Securities lending, repurchaseand reverse purchase transactions risk on page 237.

What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and




• you want a mix of global equity and fixed incomeinvestments in a single fund

• you are comfortable with low to mediuminvestment risk (i.e., you are willing to accept somefluctuations in the value of your investment).




For Series T6 securities, the fund will make monthlydistributions of an amount comprised of ROC basedon 6% of the net asset value per security of the seriesas determined on December 31 of the prior year.






Series A $ 18.55 58.49 102.51 233.35

Series T6 $ 18.35 57.84 101.38 230.77

Series F $ 8.20 25.85 45.31 103.14

Advisor Series $ 18.45 58.16 101.95 232.06

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Greater China Class


Investment objectivesThis fund’s objective is to achieve long term capitalgrowth by investing primarily in equity securities ofcompanies in Greater China, which includes thePeople’s Republic of China, Hong Kong SAR andTaiwan, as well as in equity securities of companiesthat benefit from exposure to Greater China.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in equity securities listed on

stock exchanges in the People’s Republic ofChina, Hong Kong SAR, or Taiwan and also insecurities listed on stock exchanges outside ofChina that benefit from exposure to Greater China

• may also invest in convertible securities and otherequity-related securities and in fixed incomesecurities

• seeks to invest in companies that grow faster thanmarket expectations, recover more rapidly, haveundiscovered value that is about to be realized, orbenefit from economic or regulatory changes in away not yet anticipated by other investors







Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor

Chinese equity

Series A: October 12, 2004Series F: June 24, 2013Series I: January 28, 2008Advisor Series: November 3, 2008








BMO Global Asset Management(Asia) LimitedHong Kong

(Portfolio Manager/Sub-advisor since March 2012)




What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• class risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• large transaction risk• liquidity risk• securities lending, repurchase and




• you are looking for the high growth potential ofChinese equities for your portfolio

• you want to diversify your international holdingswith investments in Greater China

• you are comfortable with high investment risk(i.e., you are willing to accept significantfluctuations in the market value of yourinvestment).





Series A $ 29.52 93.06 163.12 371.30

Series F $ 12.81 40.39 70.80 161.15

Advisor Series $ 29.73 93.71 164.25 373.88

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International Value Class


Investment objectivesThis fund’s objective is to increase the value of yourinvestment over the long term by investing primarilyin equity securities of established companieslocated outside of Canada and the United States.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests in equities of established companies

trading at a discount to their long-term value,which trade on recognized exchanges incountries around the world. These countries mayinclude Australia, Finland, France, Germany,Hong Kong, Italy, Japan, the Netherlands, NewZealand, Singapore, Spain, Sweden, Switzerland,and the United Kingdom, among others

• employs a value driven, absolute returnapproach. At the stock level, the portfoliomanager identifies companies that it believes arefairly valued or undervalued in relation to theirpotential long-term earnings growth

• the portfolio manager seeks to overweightholdings in countries that are expected to providegood value relative to their long-term prospectsand underweight and avoid holdings in countriesthat are not

• may invest in bonds issued by governments orsupranational organizations such as the WorldBank






Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


Series A: November 17, 2008Series F: November 3, 2008Series I: July 27, 2009Advisor Series: November 3, 2008







Pyrford International LimitedLondon, England





What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• interest rate risk• large transaction risk*• liquidity risk• securities lending, repurchase and


* As at March 18, 2015, Bank of Montreal and BMO LifeStage Plus 2026 Fund eachheld 13.85% and 11.81%, respectively, of the securities of the fund.



• you want to diversify your portfoliointernationally, outside Canada and the U.S. andinvest in a fund that uses a value investment style






Series A $ 26.55 83.69 146.69 333.91

Series F $ 12.71 40.07 70.23 159.87

Advisor Series $ 26.75 84.34 147.82 336.49

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Fund details

LifeStage 2017 Class


Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation by investing in a diversifiedmix of mutual funds. The portfolio will graduallyshift its asset mix from an emphasis on equity fundsto an emphasis on fixed income and cashequivalent funds as its target end date approaches.

Once the target end date of the portfolio is reached,it is expected that, during a period of no more thansix months, the portfolio will be transitioned so thatit is invested only in fixed income securities and/orcash and cash equivalents. Subject to the approvalof the independent review committee of the fund,we may decide to wind up the portfolio or to mergeit into a money market fund managed by us or oneof our affiliates. We will send you written notice atleast 60 days prior to the merger or termination.



securities of exchange traded funds and othermutual funds, including funds that are managedby us or one of our associates or affiliates

• the portfolio’s asset allocation strategy becomesincreasingly conservative as its target end dateapproaches

• the underlying funds in which the portfolioinvests may change from time to time, based onthe portfolio manager’s assessment of themarkets and the underlying funds’ ability to helpthe portfolio achieve its investment objectives

• when the fund started offering its shares to thepublic on November 11, 2009, it had an asset mixof approximately 58% equity securities and 42%fixed income securities. Since that date and as thefund’s target end date approaches, the fund hasbeen gradually shifting its asset mix and willcontinue to do so until it reaches approximately35% equity securities and 65% fixed incomesecurities and cash equivalents. The shifts followa linear path and are readjusted each year and arenot dependent on market conditions

• although up to 100% of the portfolio’s assets maybe invested in other mutual funds and exchangetraded funds, the portfolio may hold a portion ofits assets in cash or money market instrumentswhile seeking investment opportunities or fordefensive purposes


Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

2017 target date portfolio

Series A: November 21, 2011Series I: November 11, 2009Advisor Series: November 11, 2009

June 30, 2017











• the fund, after giving 60 days’ notice to investors,or its underlying mutual funds may usederivatives to implement the investment strategy.Derivatives, such as options, futures, forwardcontracts, swaps and other derivativeinstruments may be used for both hedging andnon-hedging purposes, or to, among other things:- protect the fund against potential losses. For





Please refer to our website for the current asset mixfor the fund.

What are the risks of investing in the fund?These strategies may involve the following riskswhich we explain starting on page 232:• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• liquidity risk• series risk.




• you are planning to invest for a period of timeconsistent with the portfolio’s target end date

• you want a core holding that becomes moreconservative as its target date approaches and iswell diversified by asset class, geography andmarket capitalization

• you are comfortable with low to mediuminvestment risk (i.e., you are willing to acceptsome fluctuations in the value of your investment).





Series A $ 21.73 68.50 120.07 273.32

Advisor Series $ 21.94 69.15 121.20 275.90

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164

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Fund details













Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2020




Advisor Series: 1.80% There will be no duplication ofmanagement fees between thefund and the underlying funds



















• you are comfortable with low to mediuminvestment risk (i.e., you are willing to acceptsome fluctuations in the value of yourinvestment).





Series A $ 22.14 69.80 122.34 278.47

Advisor Series $ 22.65 71.41 125.17 284.92

165

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166

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Fund details













Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2025




Advisor Series: 1.80% There will be no duplication ofmanagement fees between thefund and the underlying funds













What are the risks of investing in the fund?The investment strategies may involve the followingrisks which we explain starting on page 232:• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk*• liquidity risk• series risk.











Series A $ 22.35 70.44 123.47 281.05

Advisor Series $ 22.55 71.09 124.60 283.63

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25

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168

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Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2030




























Series A $ 23.06 72.70 127.43 290.08

Advisor Series $ 22.86 72.06 126.30 287.50

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30

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170

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35

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Fund details













Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2035




























Series A $ 23.06 72.70 127.43 290.08

Advisor Series $ 23.37 73.67 129.13 293.95

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172

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Fund details













Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2040




























Series A $ 23.17 73.03 128.00 291.37

Advisor Series $ 23.37 73.67 129.13 293.95

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174

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Short-Term Income Class


Investment objectivesThis fund’s objectives are:• to provide the opportunity to invest in a fixed

income fund for the short-term, as an alternativeor in addition to the equity funds included in theBMO Global Tax Advantage Funds

• to provide current income while preservingcapital and maintaining liquidity.

As part of its investment objectives, the fund investsprimarily in high quality securities like Canadiantreasury bills, other Canadian short-term fixedincome securities and highly rated commercialpaper with terms to maturity of less than three years.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• examines economic indicators like growth,

inflation and monetary policy to provide aframework for selecting securities

• chooses a variety of investment terms based onthe interest rate outlook and term constraint

• analyzes credit ratings of various issuers todetermine the best potential investments for the portfolio

• allocates investments among government andcorporate securities to diversify the fund’sholdings


• will only invest in securities rated BBB or higherat the time of investment by Standard & Poor’sRating Service or the equivalent rating as definedby other recognized rating agencies. The fundwill invest no more than two times its benchmarkindex weight in BBB rated securities







Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Canadian short-term fixed income

Series A: November 27, 2000Series I: October 20, 2008Advisor Series: November 3, 2008











The fund has received exemptive relief fromCanadian securities regulators to enable the fund topurchase mortgages from, or sell mortgages to,Bank of Montreal and/or MCAP FinancialCorporation, both associates or affiliates of theManager, in accordance with certain conditionsimposed by the regulators. Additional informationis disclosed in the annual information form.


What are the risks of investing in the fund?These strategies may involve the following riskswhich we explain starting on page 232:• class risk• credit risk• currency risk• derivative risk• foreign investment risk• fund of funds risk• interest rate risk• issuer concentration risk• large transaction risk• securities lending, repurchase and




• you want to invest in a fixed income fund for theshort-term as an alternative or in addition toequity funds included in the BMO Global TaxAdvantage Funds






Series A $ 15.07 47.50 83.26 189.52

Advisor Series $ 15.07 47.50 83.26 189.52

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Fund details

U.S. Equity Class


Investment objectivesThis fund’s objective is to provide long term growththrough capital appreciation by investing primarilyin equities and equity-related securities of U.S.companies.


Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

U.S. equity

Series F: November 11, 2009Series I: November 11, 2009Advisor Series: November 3, 2008



Series F: 0.55%Series I: N/A. A Series I fee isnegotiated and paid by eachSeries I investor.(1)






Investment strategiesThe portfolio manager attempts to achieve thefund’s investment objective by selecting equitiesthrough a bottom-up selection process, whoseunderlying values are not reflected in their shareprices, or that are selling at lower valuations thanother companies in the same sector or industry.This approach is usually described as “valueinvesting” or “relative value” investing.




What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• class risk• currency risk• equity risk• fund of funds risk• large transaction risk• securities lending, repurchase and


(1) The combined management and administrative fees for Series I will not exceedthe management fee charged for Advisor Series.




• you are looking for exposure to U.S. securities foryour portfolio

• you are seeking capital growth with a view tolonger term investing






Series F $ 9.43 29.73 52.11 118.61

Advisor Series $ 26.65 84.01 147.26 335.20

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Investment objectivesThis fund’s objective is to preserve the value ofyour investment by investing primarily in mutualfunds that invest in lower risk asset classes likecash or cash equivalents and fixed incomesecurities with a lesser exposure to mutual fundsinvested in equity securities. The fund may alsoinvest directly in fixed income securities and cashor cash equivalents.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• employs a strategic asset allocation strategy• may invest up to 100% of the fund’s assets in

securities of other mutual funds and exchangetraded funds, which may include mutual fundsand exchange traded funds that are managed byus or one of our affiliates or associates

• allocates assets among the underlying mutualfunds based on each underlying mutual fund’sinvestment objectives and strategies, amongother factors. The underlying mutual funds, aswell as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time

• the fund’s underlying mutual funds maytemporarily depart from their investmentobjectives by holding a portion of their assets incash or short-term money market instrumentsand/or high quality fixed income securities whileseeking investment opportunities or for defensivepurposes to reflect economic and market conditions


• the fund’s underlying mutual funds may usederivatives to implement the investment strategy.Derivatives, such as options, futures, forwardcontracts, swaps and other derivativeinstruments may be used for both hedging andnon-hedging purposes, or to, among other things:- protect the fund against potential losses. For




Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


Series A: November 17, 2008Series T6: November 17, 2008Series I: May 10, 2010Advisor Series: November 3, 2008









BMOSelectClass®

Income Portfolio(formerly, BMO SelectClass® Security Portfolio)



The fund’s underlying mutual funds may have highportfolio turnover rates. The higher the portfolioturnover rate, the greater the possibility ofshareholders of the fund receiving a dividend in theyear as a result of frequent purchases and sales ofportfolio securities by the underlying mutual funds.

The fund’s underlying mutual funds may enter intosecurities lending, repurchase and reverse repurchasetransactions to earn additional income. Thesetransactions will be used in conjunction with theother investment strategies in a manner consideredappropriate to achieving the fund’s investmentobjectives. Please see Securities lending, repurchaseand reverse purchase transactions risk on page 237.

What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and




• you want a conservative investment with thepotential for some capital appreciation


Shares of BMO SelectClass® Income Portfolio areonly available for purchase through non-registeredaccounts and are not available for purchase throughregistered plans, except for certain previouslyestablished Continuous Savings Plans.



Distribution policyThe fund pays any ordinary dividends in Septemberand any capital gains dividends within 60 days afterSeptember 30. Distributions are automaticallyreinvested in additional securities of the fund,unless you tell us in writing that you prefer toreceive cash distributions.

For Series T6 securities, the fund will makemonthly distributions of an amount comprised ofROC based on 6% of the net asset value per securityof the respective series as determined onDecember 31 of the prior year.






Series A $ 23.88 75.29 131.97 300.39

Series T6 $ 23.88 75.29 131.97 300.39

Advisor Series $ 23.58 74.32 130.27 296.52

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180

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SelectClass®

Balanced Portfolio


Investment objectivesThis fund’s objective is to provide a balancedportfolio by investing primarily in a mix of mutualfunds that invest in fixed income and equitysecurities. The fund may also invest directly infixed income securities and cash or cash equivalents.





• the fund’s underlying mutual funds maytemporarily depart from their investmentobjectives by holding a portion of their assets incash or short-term money market instrumentsand/or high quality fixed income securities whileseeking investment opportunities or for defensivepurposes to reflect economic and marketconditions







Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


















• you want a balanced investment in fixed incomeand equity mutual funds that provide thepotential for some capital appreciation


Shares of BMO SelectClass® Balanced Portfolio areonly available for purchase through non-registeredaccounts and are not available for purchase throughregistered plans, except for certain previouslyestablished Continuous Savings Plans.










Series A $ 25.63 80.78 141.59 322.31

Series T6 $ 25.73 81.11 142.16 323.60

Advisor Series $ 25.63 80.78 141.59 322.31

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SelectClass®

Growth Portfolio


Investment objectivesThis fund’s objective is to provide long-term growthby investing primarily in mutual funds that investin equity securities and, to a lesser extent, fixedincome securities. The fund may also investdirectly in fixed income securities and cash orcash equivalents.












Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager



















• you want a fund with a growth orientedinvestment style and the potential for long-termgrowth


Shares of BMO SelectClass® Growth Portfolio areonly available for purchase through non-registeredaccounts and are not available for purchase throughregistered plans, except for certain previouslyestablished Continuous Savings Plans.










Series A $ 26.75 84.34 147.82 336.49

Series T6 $ 28.86 84.66 148.39 337.78

Advisor Series $ 26.75 84.34 147.82 336.49

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Fund details


Investment objectivesThis fund’s objective is to provide long-term growthby investing primarily in mutual funds that invest inequity securities. The fund may also invest directly infixed income securities and cash or cash equivalents.





• the fund’s underlying mutual funds maytemporarily depart from their investmentobjectives by holding a portion of their assets incash or short-term money market instrumentsand/or high quality fixed income securities whileseeking investment opportunities or for defensivepurposes to reflect economic and marketconditions



example, the portfolio manager may beconcerned about the impact that rising interestrates may have on the fund. The portfoliomanager may attempt to reduce the impact ofsecurity price fluctuations by using interest rate





Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity










BMOSelectClass®

Equity Growth Portfolio








• you are seeking aggressive growth throughinvestments in growth oriented equity mutualfunds that provide the potential for capitalappreciation


Shares of BMO SelectClass® Equity GrowthPortfolio are only available for purchase throughnon-registered accounts and are not available forpurchase through registered plans, except for certainpreviously established Continuous Savings Plans.










Series A $ 27.78 87.57 153.49 349.38

Series T6 $ 27.98 88.21 154.62 351.96

Advisor Series $ 27.57 86.92 152.36 346.80

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186

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Investment objectivesThis fund’s objective is to preserve the value ofyour investment by investing primarily in exchangetraded funds that invest in fixed income securitieswith a lesser exposure to exchange traded fundsthat invest in equity securities. The fund may alsoinvest in other mutual funds or invest directly infixed income securities and cash or cash equivalents.













Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


Series A: July 12, 2010Series T6: November 26, 2010Series F: April 26, 2010Advisor Series: April 26, 2010



Series A: 1.35%Series T6: 1.35%Series F: 0.35%Advisor Series: 1.35%There will be no duplication ofmanagement fees between thefund and the underlying funds

0.15%




BMOIncome ETF Portfolio Class(formerly, BMO Security ETF Portfolio Class)



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• class risk• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and




• you want a conservative investment with thepotential for some capital appreciation


Shares of BMO Income ETF Portfolio Class are onlyavailable for purchase through non-registeredaccounts and are not available for purchase throughregistered plans, except for certain previouslyestablished Continuous Savings Plans.










Series A $ 16.91 53.32 93.45 212.72

Series T6 $ 17.12 53.96 94.58 215.30

Series F $ 5.74 18.10 31.72 72.20

Advisor Series $ 17.12 53.96 94.58 215.30

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188

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Fund details

Balanced ETFPortfolio Class


Investment objectivesThis fund’s objective is to provide a balancedportfolio by investing primarily in exchange tradedfunds that invest in fixed income and equitysecurities. The fund may also invest in othermutual funds or invest directly in fixed incomesecurities and cash or cash equivalents.













Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager






0.15%










• you want a balanced investment in fixed incomeand equity exchange traded funds and mutualfunds that provide the potential for some capitalappreciation


Shares of BMO Balanced ETF Portfolio Class areonly available for purchase through non-registeredaccounts and are not available for purchase throughregistered plans, except for certain previouslyestablished Continuous Savings Plans.










Series A $ 17.53 55.26 96.85 220.46

Series T6 $ 17.63 55.58 97.42 221.75

Series F $ 6.25 19.71 34.55 78.64

Advisor Series $ 17.63 55.58 97.42 221.75

189

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190

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Fund details

Growth ETFPortfolio Class


Investment objectivesThis fund’s objective is to provide long-term growthby investing primarily in exchange traded fundsthat invest in equity securities and, to a lesserextent, fixed income securities. The fund may alsoinvest in other mutual funds or invest directly infixed income securities and cash or cash equivalents.













Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager






0.15%










• you want a fund with a growth oriented investmentstyle and the potential for long-term growth


Shares of BMO Growth ETF Portfolio Class are onlyavailable for purchase through non-registeredaccounts and are not available for purchase throughregistered plans, except for certain previouslyestablished Continuous Savings Plans.










Series A $ 17.63 55.58 97.42 221.75

Series T6 $ 17.63 55.58 97.42 221.75

Series F $ 6.25 19.71 34.55 78.64

Advisor Series $ 17.63 55.58 97.42 221.75

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Investment objectivesThis fund’s objective is to provide long-term growthby investing primarily in exchange traded fundsthat invest in equity securities. The fund may alsoinvest in other mutual funds or invest directly infixed income securities and cash or cash equivalents.













Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity





0.15%




BMOEquity Growth ETFPortfolio Class







• you are seeking aggressive growth throughinvestments in growth oriented equity exchangetraded funds and mutual funds that provide thepotential for capital appreciation


Shares of BMO Equity Growth ETF Portfolio Class areonly available for purchase through non-registeredaccounts and are not available for purchase throughregistered plans, except for certain previouslyestablished Continuous Savings Plans.










Series A $ 18.25 57.52 100.82 229.48

Series T6 $ 18.25 57.52 100.82 229.48

Series F $ 6.77 21.33 37.38 85.09

Advisor Series $ 18.25 57.52 100.82 229.48

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Fund details

LifeStage Plus2022 Fund


Investment objectivesThis fund’s objective is to provide the opportunity forcapital appreciation during the term of the fund byinvesting in mutual funds, fixed income securitiesand cash equivalents. The percentage allocated toeach of these asset classes from time to time will bedetermined by the fund’s asset allocation strategy.

For those units that are held to the Target End Dateof June 30, 2022, the fund intends to pay an amountper unit equal to the greater of the following twovalues (the “Guaranteed Maturity Amount”):(i) $10.00 (the net asset value per unit on the startdate of the fund); or (ii) the highest net asset valueper unit during the period from the start date of thefund up to and including the Target End Date. If, onthe Target End Date, the net asset value per unitdoes not equal the Guaranteed Maturity Amount,Bank of Montreal, as sub-advisor of the fund, willpay the aggregate shortfall to the fund. SeeGuaranteed Maturity Amount risk on page 235.

Initially, the fund will invest primarily in a portfolioof mutual funds. Over time, the fund will graduallyincrease the percentage of its assets allocated tofixed income securities and cash equivalents.

Prior to the Target End Date, the portfolio of the fundwill be invested only in fixed income securities andcash equivalents. Subject to the approval of theindependent review committee of the fund, it isexpected that on the Target End Date the fund willbe combined with a money market mutual fundmanaged by us or one of our affiliates or associates.We will send you written notice of this merger atleast 60 days prior to the Target End Date.


Investment strategiesThese are the strategies the portfolio managers useto try to achieve the fund’s objective:• holds a portfolio consisting of a Mutual Fund

Component and/or a Fixed Income Component:- the Mutual Fund Component invests in

securities of other mutual funds, which mayinclude mutual funds that are managed by us orone of our affiliates or associates, and cashequivalents

- the Fixed Income Component invests in fixedincome securities issued by Canadian federal orprovincial governments and corporations andcash equivalents

• initially, may invest up to 100% of the fund’sassets in the Mutual Fund Component


• allocates the Mutual Fund Component betweensecurities of other mutual funds and cashequivalents as determined by the sub-advisor

Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor


Series A: January 26, 2009Advisor Series: January 26, 2009

June 30, 2022



Series A: 2.00%Advisor Series: 2.00%This fee will decline over theterm of the fund. Please refer toour website for themanagement fee paid by thefund at any time. There will beno duplication of managementfees between the fund and thefunds in the Mutual FundComponent.

0.25%




Bank of MontrealToronto, Ontario



• uses an asset allocation strategy to determine whento shift the fund’s investments from the MutualFund Component to the Fixed Income Componentbased on a number of factors, including theremaining time until the Target End Date, theamount of the fund’s portfolio required to coverthe Guaranteed Maturity Amount, the state ofequity markets and any changes in interest rates.If there is a significant decline in interest ratesand/or in equity markets, this shift could occur atan earlier date than anticipated, thereby reducingthe exposure of the fund to returns on the MutualFund Component. Once the fund has increasedthe percentage of its assets allocated to the FixedIncome Component, it will not shift its investmentsback to the Mutual Fund Component.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• Guaranteed Maturity Amount risk• interest rate risk• large transaction risk• portfolio composition risk• redemption prior to Target End Date risk• series risk• zero-coupon securities risk.

Who should invest in this fund?Consider this fund if:• you are seeking preservation of capital by staying

invested until the fund’s Target End Date and thepotential for capital appreciation over a setperiod of time

• you are comfortable with low to mediuminvestment risk (i.e., you are willing to acceptsome fluctuations in the market value of yourinvestment) if your investment is redeemed priorto the Target End Date.


Distribution policyThe fund distributes any net income and any netcapital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund. Following each distribution, the numberof outstanding securities is immediatelyconsolidated so that the number of outstandingsecurities after the distribution is the same as thenumber of outstanding securities before thedistribution. Non-resident investors may have thenumber of securities reduced due to withholdingtax. Please see page 267 for more information.



Series A $ 25.63 80.78 141.59 322.31

Advisor Series $ 26.04 82.08 143.86 327.47

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Fund details



Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation during the term of the fundby investing in mutual funds, fixed income securitiesand cash equivalents. The percentage allocated toeach of these asset classes from time to time will bedetermined by the fund’s asset allocation strategy.

For those units that are held to the Target End Dateof June 30, 2025, the fund intends to pay an amountper unit equal to the greater of the following twovalues (the “Guaranteed Maturity Amount”):(i) $10.00 (the net asset value per unit on the startdate of the fund); or (ii) the highest net asset valueper unit during the period from the start date of thefund up to and including the Target End Date. If, onthe Target End Date, the net asset value per unitdoes not equal the Guarantee Maturity Amount,Bank of Montreal, as sub-advisor of the fund, willpay the aggregate shortfall to the fund. SeeGuaranteed Maturity Amount risk on page 235.


Prior to the Target End Date, the portfolio of thefund will be invested only in fixed incomesecurities and cash equivalents. Subject to theapproval of the independent review committee ofthe fund, it is expected that on the Target End Datethe fund will be combined with a money marketmutual fund managed by us or one of our affiliates.We will send you written notice of this merger atleast 60 days prior to the Target End Date.









Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor


Series A: June 18, 2007Advisor Series: November 3, 2008

June 30, 2025




0.25%

















Series A $ 25.52 80.46 141.03 321.02

Advisor Series $ 25.63 80.78 141.59 322.31

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Fund details



Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation during the term of the fundby investing in mutual funds, fixed incomesecurities and cash equivalents. The percentageallocated to each of these asset classes from time totime will be determined by the fund’s assetallocation strategy.

For those units that are held to the Target End Dateof June 30, 2026 the fund intends to pay an amountper unit equal to the greater of the following twovalues (the “Guaranteed Maturity Amount”):(i) $10.00 (the net asset value per unit on the startdate of the fund); or (ii) the highest net asset valueper unit during the period from the start date of thefund up to and including the Target End Date. If, onthe Target End Date, the net asset value per unitdoes not equal the Guaranteed Maturity Amount,Bank of Montreal, as sub-advisor of the fund, willpay the aggregate shortfall to the fund. SeeGuaranteed Maturity Amount risk on page 235.


Prior to the Target End Date, the portfolio of thefund will be invested only in fixed incomesecurities and cash equivalents. Subject to theapproval of the independent review committee ofthe fund, it is expected that on the Target End Datethe fund will be combined with a money marketmutual fund managed by us or one of our affiliates.We will send you written notice of this merger atleast 60 days prior to the Target End Date.









Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor


Series A: January 26, 2009Advisor Series: January 26, 2009

June 30, 2026




0.25%

















Series A $ 28.19 88.86 155.75 354.54

Advisor Series $ 28.80 90.80 159.15 362.27

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Fund details



Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation during the term of the fundby investing in mutual funds, fixed incomesecurities and cash equivalents. The percentageallocated to each of these asset classes from time totime will be determined by the fund’s assetallocation strategy.

For those units that are held to the Target End Dateof June 30, 2030, the fund intends to pay an amountper unit equal to the greater of the following twovalues (the “Guaranteed Maturity Amount”):(i) $10.00 (the net asset value per unit on the startdate of the fund); or (ii) the highest net asset valueper unit during the period from the start date of thefund up to and including the Target End Date. If, onthe Target End Date, the net asset value per unitdoes not equal the Guarantee Maturity Amount,Bank of Montreal, as sub-advisor of the fund, willpay the aggregate shortfall to the fund. SeeGuaranteed Maturity Amount risk on page 235.


Prior to the Target End Date, the portfolio of the fundwill be invested only in fixed income securities andcash equivalents. Subject to the approval of theindependent review committee of the fund, it isexpected that on the Target End Date the fund willbe combined with a money market mutual fundmanaged by us or one of our affiliates or associates.We will send you written notice of this merger atleast 60 days prior to the Target End Date.








Type of fund

Date started

Target EndDate

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Sub-advisor


Series A: June 18, 2007Advisor Series: November 3, 2008

June 30, 2030




0.25%



















Series A $ 21.53 67.86 118.94 270.74

Advisor Series $ 21.42 67.53 118.37 269.45

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Fund details


Investment objectivesThis fund’s objective is to preserve the value ofyour investment and to provide interest income byinvesting primarily in mutual funds invested in moresecure asset classes like cash or cash equivalentsand fixed income investments with a lesserexposure to mutual funds invested in equitysecurities. The fund may also invest directly infixed income securities and cash or cash equivalents.



securities of other mutual funds which mayinclude mutual funds that are managed by us orone of our affiliates or associates

• allocates assets among the underlying mutualfunds based on each underlying mutual fund’sinvestment objectives and strategies, among otherfactors. The underlying mutual funds may bechanged without notice from time to time as well asthe percentage holding in each underlying fund







• may invest directly in fixed income securities andcash or cash equivalents.

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager


Series A: June 18, 2007



Series A: 1.95%There will be no duplication ofmanagement fees between thefund and the underlying funds

0.20%




BMOFundSelect®

Income Portfolio(formerly, BMO FundSelect® Security Portfolio)


The fund’s underlying mutual funds may have highportfolio turnover rates. The higher the portfolioturnover rate, the greater the possibility ofunitholders of the fund receiving income or taxablecapital gains as a result of frequent purchases andsales of portfolio securities by the underlyingmutual funds.


What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• liquidity risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want a conservative investment with the

potential for some capital appreciation• you are comfortable with low investment risk






Series A $ 24.70 77.87 136.50 310.71

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FundSelect®

Balanced Portfolio


Investment objectivesThis fund’s objective is to provide you with abalance of income and growth by investingprimarily in a mix of mutual funds invested in fixedincome and equity securities. The fund may alsoinvest directly in fixed income securities and cashor cash equivalents.




• allocates assets among the underlying mutualfunds based on each underlying mutual fund’sinvestment objectives and strategies, amongother factors. The underlying mutual funds maybe changed without notice from time to time aswell as the percentage holding in eachunderlying fund








Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global balanced

Series A: June 18, 2007Series NBA: December 15, 2013



Series A: 2.10%Series NBA: 2.10%There will be no duplication ofmanagement fees between thefund and the underlying funds

0.20%(for Series NBA investors payoperating expenses directly)








Who should invest in this fund?Consider this fund if:• you want a balanced investment with investment

in fixed income and equity mutual funds thatprovide the potential for some capital appreciation






Series A $ 26.34 83.04 145.56 331.33

Series NBA $ 24.29 76.58 134.23 305.55

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FundSelect®

Growth Portfolio


Investment objectivesThis fund’s objective is to provide you with long-term growth and protection against inflation byinvesting primarily in mutual funds invested inequity securities and, to a lesser extent, in mutualfunds invested in fixed income securities. The fundmay also invest directly in fixed income securitiesand cash or cash equivalents.












Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager











The fund’s underlying mutual funds may have highportfolio turnover rates. The higher the portfolioturnover rate, the greater the possibility of unitholdersof the fund receiving income or taxable capitalgains as a result of frequent purchases and sales ofportfolio securities by the underlying mutual funds.




Who should invest in this fund?Consider this fund if:• you want a growth oriented investment with the

potential for long-term growth and protectionagainst inflation






Series A $ 27.27 85.95 150.66 342.94

Series NBA $ 25.22 79.49 139.33 317.15

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Fund details


Investment objectivesThis fund’s objective is to provide you withexceptional long-term growth by investingprimarily in higher risk mutual funds invested inequity securities. The fund may also invest directly infixed income securities and cash or cash equivalents.












Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity









BMOFundSelect®

Equity Growth Portfolio





Who should invest in this fund?Consider this fund if:• you want an aggressive growth investment with

investments in growth oriented equity mutualfunds that provide the potential for capitalappreciation






Series A $ 29.01 91.45 160.28 364.85

Series NBA $ 26.04 82.08 143.86 327.47

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SelectTrust™ Fixed Income Portfolio


Investment objectivesThis fund’s objective is to preserve the value ofyour investment and generate income by investingprimarily in mutual funds that invest in lower riskasset classes in Canada, the U.S. and internationally,like cash or cash equivalents or fixed incomesecurities, with a lesser exposure to mutual fundsinvested in equity securities. The fund’s asset mixmay be changed over time to reflect the portfoliomanager’s long-term outlook for each asset class.


Investment strategiesThese are the strategies the portfolio manager usesto try and achieve the fund’s objective:• employs a strategic asset allocation strategy• the fund’s asset class weightings will generally be

approximately 95-100% in fixed income and 0-5% in equity securities

• may invest up to 100% of the fund’s assets insecurities of mutual funds and exchange tradedfunds, including funds that are managed by us orone of our affiliates or associates

• allocates assets among the underlying mutualfunds and exchange traded funds, based on eachunderlying fund’s investment objectives andstrategies, among other factors. The underlyingfunds, as well as the percentage holding in eachunderlying fund, may be changed without noticefrom time to time








Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global bond

Series A: August 12, 2013Series T6: November 4, 2013Series I: August 12, 2013Advisor Series: August 12, 2013













What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• credit risk• currency risk• derivative risk• equity risk• floating rate loan risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk• securities lending, repurchase and



fixed income mutual funds with a low level ofvolatility



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If the cash distributions to you are greater thanthe net increase in the value of your investmentsin Series T6 securities, these distributions willerode the value of your original investment.





Series A $ 22.24 70.12 122.90 279.76

Series T6 $ 22.35 70.44 123.47 281.05

Advisor Series $ 22.35 70.44 123.47 281.05


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Fund details


Investment objectivesThis fund’s objective is to preserve capital and togenerate a high level of income by investingprimarily in securities of Canadian and foreignfunds within the BMO Mutual Funds family ofmutual funds.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• employs a strategic asset allocation strategy• the fund’s asset class weightings will generally be

approximately 80% in fixed income securitiesand 20% in equity securities



• a current listing of the underlying funds and theirpercentage weightings are available on ourwebsite at bmomutualfunds.com/advisor







The fund’s underlying mutual funds may enter intosecurities lending, repurchase and reverserepurchase transactions to earn additional income.These transactions will be used in conjunction withthe other investment strategies in a mannerconsidered appropriate to achieving the fund’sinvestment objectives. Please see Securitieslending, repurchase and reverse purchasetransactions risk on page 237.

Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager










(Portfolio Managersince July 2008)

BMOSelectTrust™Income Portfolio

(formerly, BMO SelectTrust™ Security Portfolio)



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 investors only)• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want an income-producing investment with

different monthly options for distributions• you are looking for a fixed income fund for your

portfolio• you are comfortable with low investment risk




Distribution policyThe fund distributes any net income quarterly andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that you preferto receive cash distributions.

For Series T6 securities, the fund will makemonthly distributions of an amount comprised ofany net income and/or ROC based on 6% of the netasset value per security of the applicable series asdetermined on December 31 of the prior year.






Series A $ 22.65 71.41 125.17 284.92

Series T6 $ 22.35 70.44 123.47 281.05

Advisor Series $ 23.06 72.70 127.43 290.08

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Fund details


Investment objectivesThis fund’s objective is to generate a high level ofincome and some capital appreciation by investingprimarily in securities of Canadian and foreignfunds within the BMO Mutual Funds family ofmutual funds.













Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager











BMOSelectTrust™ Conservative Portfolio





Who should invest in this fund?Consider this fund if:• you want an income-producing investment with

various options for monthly distributions and thepotential for some capital appreciation




Distribution policyThe fund distributes any net income quarterly andany net capital gains in December. Distributions areautomatically reinvested in additional securities ofthe fund, unless you tell us in writing that you preferto receive cash distributions.







Series A $ 23.37 73.67 129.13 293.95

Series T6 $ 23.37 73.67 129.13 293.95

Advisor Series $ 23.58 74.32 130.27 296.52

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Fund details


Investment objectivesThis fund’s objective is to generate a balance ofincome and capital appreciation by investingprimarily in securities of Canadian and foreignfunds within the BMO Mutual Funds family ofmutual funds.













Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager











BMOSelectTrust™ Balanced Portfolio





Who should invest in this fund?Consider this fund if:• you want a diversified portfolio which produces

income and with potential for capital gains• you are comfortable with low to medium











Series A $ 24.40 76.91 134.80 306.84

Series T6 $ 24.40 76.91 134.80 306.84

Advisor Series $ 24.60 77.55 135.93 309.42

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Fund details


Investment objectivesThis fund’s objective is to generate long-termgrowth of capital and income by investing primarilyin securities of Canadian and foreign funds withinthe BMO Mutual Funds family of mutual funds.













Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager











BMOSelectTrust™Growth Portfolio



What are the risks of investing in the fund?These strategies may involve the following risks,which we explain starting on page 232:• capital depletion risk (for Series T6 securities only)• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• interest rate risk• large transaction risk• securities lending, repurchase and


Who should invest in this fund?Consider this fund if:• you want exposure to both equity securities and

some income• you are comfortable with low to medium






If the cash distributions to you are greater thanthe net increase in the value of your investment in Series T6 securities, these distributions willerode the value of your original investment.





Series A $ 25.63 80.78 141.59 322.31

Series T6 $ 25.52 80.46 141.03 321.02

Advisor Series $ 24.91 78.52 137.63 313.28

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Fund details


Investment objectivesThis fund’s objective is to generate long-termgrowth of capital and some dividend income byinvesting primarily in securities of Canadian andforeign funds within the BMO Mutual Funds familyof mutual funds.


Investment strategiesThese are the strategies the portfolio manager usesto try to achieve the fund’s objective:• employs a strategic asset allocation strategy• the fund will invest substantially all of its assets

in equity mutual fund securities• may invest up to 100% of the fund’s assets in

securities of other mutual funds, which mayinclude mutual funds that are managed by us orone of our affiliates or associates









Type of fund

Date started

Securitiesoffered


Managementfee

Administrationfee

Portfoliomanager

Global equity










BMOSelectTrust™ Equity Growth Portfolio





Who should invest in this fund?Consider this fund if:• you want exposure to a variety of equity

securities with some dividend income• you are comfortable with medium investment











Series A $ 26.75 84.34 147.82 336.49

Series T6 $ 26.75 84.34 147.82 336.49

Advisor Series $ 26.65 84.01 147.26 335.20

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Target Education Income Portfolio


Investment objectivesThis fund’s objective is to provide securityholderswith a relatively stable level of income whilepreserving capital and maintaining liquidity. Thefund will invest primarily, directly or indirectlythrough investing in a diversified mix of mutualfunds and/or exchange traded funds, in fixedincome securities and cash equivalents.


Investment strategiesThe fund is designed to meet the needs of investorswho are seeking to fund post-secondary educationthat is about to commence or is currently in progress.

These are the strategies the portfolio manager usesto try to achieve the fund’s objective:• invests primarily in a diversified mix of fixed

income securities and cash equivalents directlyand/or by investing up to 100% of the fund’sassets in mutual funds and/or exchange tradedfunds that are primarily exposed to fixed incomesecurities and cash equivalents, including fundsmanaged by BMO or one of BMO’s associates oraffiliates

• may invest up to 20% of the fund’s assets inmutual funds and/or exchange traded funds thatinvest primarily in equity securities

• investments in underlying mutual funds andother exchange traded funds will be allocatedbased on each underlying fund’s investmentobjectives and strategies, among other factors

• may invest up to 25% of the fund’s assets in highyield securities

• the fund’s asset mix, underlying funds and thepercentage holding in each underlying fund maybe changed without notice to reflect the portfoliomanager’s long-term outlook

• the fund may invest up to 30% of its assets inforeign securities and/or funds investedprimarily in foreign securities

• when the fund started offering units in November2014 it was exposed to 100% fixed income andcash equivalents. The asset mix is readjustedquarterly between fixed income, cash equivalentsand equities depending upon market conditionsand the portfolio manager’s long-term outlook.Please refer to our website for the current assetmix of the fund





Type of fund

Date started

Securities offered


Managementfee

Administrationfee

Portfoliomanager

Canadian short term fixed income

Series A: November 5, 2014Series D: November 5, 2014



Series A: 0.70%Series D: 0.55%

0.15%





The fund and its underlying funds will only usederivatives as permitted by Canadian securitiesregulators.

The fund or its underlying funds may enter intosecurities lending, repurchase and reverserepurchase transactions to earn additional income.These transactions will be used in conjunction withthe other investment strategies in a mannerconsidered appropriate to achieving the fund’sinvestment objectives. Please see Securitieslending, repurchase and reverse purchasetransactions risk on page 237.

The fund or its underlying funds may engage inshort selling in order to manage volatility orenhance performance in declining or volatilemarkets. In compliance with its investmentobjectives, the fund or its underlying funds willengage in short sales by borrowing securities whichthe portfolio manager believes are overvalued andselling them in the open market. The securities willthen be repurchased by the fund at a later date andreturned to the lender. The fund or its underlyingfunds will only engage in short sales as permittedby Canadian securities regulators.

What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• floating rate note risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk*• liquidity risk• securities lending, repurchase and

reverse repurchase transactions risk• short selling risk• zero-coupon securities risk.


Who should invest in this fund?Consider this fund if:• you are seeking to fund post-secondary education

that is about to commence or is currently inprogress, and you are looking for an investmentproduct from which you can draw down savings

• you want a fund to provide income whilepreserving capital and maintaining liquidity





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Target Education 2020 Portfolio


Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation by investing primarily in adiversified mix of mutual funds and/or exchangetraded funds until its target date of June 30, 2020approaches. As the fund’s target end date approaches,the fund will gradually shift its asset mix from anexposure that is balanced between Canadian andglobal equities and fixed income securities to anexposure that is primarily to Canadian and globalfixed income securities and cash equivalents. Thefund’s fixed income and cash equivalent exposurewill be achieved either directly or indirectlythrough investing in a diversified mix of mutualfunds and/or exchange traded funds.

The fundamental investment objective may only bechanged with the approval of a majority of thevotes cast at a meeting of securityholders called forthat purpose.

Investment strategiesThe fund is designed to meet the needs of investorswho are saving money for the purpose of funding apost-secondary education that commences aroundthe year 2020.

These are the strategies the portfolio manager usesto try to achieve the fund’s objective:• employs an asset allocation strategy, whereby the

portfolio gradually shifts its asset mix from anexposure that is balanced between equities andfixed income securities to an exposure that isprimarily to fixed income securities and cashequivalents

• may invest up to 100% of the fund’s assets inmutual fund and/or exchange traded funds,including funds managed by BMO or one ofBMO’s associates or affiliates

• allocates assets among the underlying mutualfunds and other exchange traded funds based oneach underlying fund’s investment objectives andstrategies, among other factors


• the fund’s asset mix and underlying funds as wellas the percentage holding in each underlyingfund may be changed without notice to reflectmarket conditions and the portfolio manager’slong-term outlook for each asset class

• when the fund started offering units in November2014, it had an asset mix of approximately 50%equities and 50% fixed income. The asset mixfollows a non-linear glide path and is readjustedquarterly depending upon market conditions andthe portfolio manager’s long-term outlook. Pleaserefer to our website for the current asset mix ofthe fund

• shortly before the fund’s target end date ofJune 30, 2020, the fund will primarily beinvested, directly or indirectly, in fixed incomesecurities and cash equivalents. Subject to theapproval of independent review committee of thefund, once the target end date of the fund isreached, it is expected that, within a period of nomore than six months, the fund will be merged ona tax deferred basis into the BMO TargetEducation Income Portfolio or a similar fundmanaged by us or one of our affiliates orassociates. We will send you written notice of thismerger at least 60 days prior to the merger date

Type of fund

Date started

Target end date

Securities offered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2020



Series A: 1.40%Series D: 0.75%

0.15%













reverse repurchase transactions risk• short selling risk.


Who should invest in this fund?Consider this fund if:• you want a core holding that becomes more

conservative as its target date approaches• you are seeking to fund post-secondary education

that begins around the year 2020• you want a fund that will actively manage a

diversified asset mix appropriate for the fund’stime horizon





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Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation by investing primarily in adiversified mix of mutual funds and/or exchangetraded funds until its target date of June 30, 2025approaches. As the fund’s target end date approaches,the fund will gradually shift its asset mix from anexposure that is balanced between Canadian andglobal equities and fixed income securities to anexposure that is primarily to Canadian and global

fixed income securities and cash equivalents. Thefund’s fixed income and cash equivalent exposurewill be achieved either directly or indirectlythrough investing in a diversified mix of mutualfunds and/or exchange traded funds.










• shortly before the fund’s target end date ofJune 30, 2025, the fund will primarily beinvested, directly or indirectly, in fixed incomesecurities and cash equivalents. Subject to theapproval of independent review committee of the

Type of fund

Date started

Target end date

Securities offered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2025



Series A: 1.50%Series D: 0.85%As the fund approaches its targetdate, the management fee inrespect of both Series A andSeries D securities, as the casemay be, will be reduced on eacheffective date as follows:

Effective ManagementSeries Date Fee

Series A Jan. 1, 2020 1.40%

Series D Jan. 1, 2020 0.75%

0.15%





fund, once the target end date of the fund isreached, it is expected that, within a period of nomore than six months, the fund will be merged ona tax deferred basis into the BMO TargetEducation Income Portfolio or a similar fundmanaged by us or one of our affiliates orassociates. We will send you written notice of thismerger at least 60 days prior to the merger date








What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk*• securities lending, repurchase and reverse

repurchase transactions risk• short selling risk.










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Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation by investing primarily in adiversified mix of mutual funds and/or exchangetraded funds until its target date of June 30, 2030approaches. As the fund’s target end dateapproaches, the fund will gradually shift its assetmix from an exposure that is balanced betweenCanadian and global equities and fixed income

securities to an exposure that is primarily toCanadian and global fixed income securities andcash equivalents. The fund’s fixed income and cashequivalent exposure will be achieved eitherdirectly or indirectly through investing in adiversified mix of mutual funds and/or exchangetraded funds.










• shortly before the fund’s target end date ofJune 30, 2030, the fund will primarily beinvested, directly or indirectly, in fixed incomesecurities and cash equivalents. Subject to the

Type of fund

Date started

Target end date

Securities offered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2030





Series A Jan. 1, 2020 1.50%Jan. 1, 2025 1.40%

Series D Jan. 1, 2020 0.85%Jan. 1, 2025 0.75%

0.15%





approval of independent review committee of thefund, once the target end date of the fund isreached, it is expected that, within a period of nomore than six months, the fund will be merged ona tax deferred basis into the BMO TargetEducation Income Portfolio or a similar fundmanaged by us or one of our affiliates orassociates. We will send you written notice of thismerger at least 60 days prior to the merger date









reverse repurchase transactions risk• short selling risk.










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Investment objectivesThis fund’s objective is to provide the opportunityfor capital appreciation by investing primarily in adiversified mix of mutual funds and/or exchangetraded funds until its target date of June 30, 2035approaches. As the fund’s target end date approaches,the fund will gradually shift its asset mix from an

exposure that is balanced between Canadian andglobal equities and fixed income securities to anexposure that is primarily to Canadian and globalfixed income securities and cash equivalents. Thefund’s fixed income and cash equivalent exposurewill be achieved either directly or indirectly throughinvesting in a diversified mix of mutual fundsand/or exchange traded funds.










• shortly before the fund’s target end date ofJune 30, 2035, the fund will primarily beinvested, directly or indirectly, in fixed income

Type of fund

Date started

Target end date

Securities offered


Managementfee

Administrationfee

Portfoliomanager



June 30, 2035





Series A Jan. 1, 2020 1.60%Jan. 1, 2025 1.50%Jan. 1, 2030 1.40%

Series D Jan. 1, 2020 0.95%Jan. 1, 2025 0.85%Jan. 1, 2030 0.75%

0.15%





securities and cash equivalents. Subject to theapproval of independent review committee of thefund, once the target end date of the fund isreached, it is expected that, within a period of nomore than six months, the fund will be merged ona tax deferred basis into the BMO TargetEducation Income Portfolio or a similar fundmanaged by us or one of our affiliates orassociates. We will send you written notice of thismerger at least 60 days prior to the merger date








What are the risks of investing in the fund?The investment strategies may involve the followingrisks, which we explain starting on page 232:• credit risk• currency risk• derivative risk• equity risk• foreign investment risk• fund of funds risk• indexing risk• interest rate risk• large transaction risk*• securities lending, repurchase and reverse

repurchase transactions risk• short selling risk.

* As at March 18, 2015, we and a securityholder each held 55.31% and 15.42%,respectively, of the securities of the fund.


conservative as its target date approaches• You are seeking to fund post-secondary education







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What is a mutual fund?A mutual fund is a pool of investments managed byprofessional money managers. When you invest ina mutual fund, you’re actually pooling your moneywith other people who have similar investmentgoals. A portfolio manager invests that money onbehalf of the whole group. If the investments makemoney, everyone shares in the gain. If the investmentslose money, the whole group shares in the loss.

Mutual fund companies keep track of each investor’sshare of the pool by selling mutual funds in units orshares. The more you invest, the more units orshares you own and the bigger your share of thefund’s income, gains and losses. As an investor, youalso share a portion of the fund’s expenses.

Mutual funds come in many varieties that aredesigned to meet the differing needs of investors. A fund could hold investments like stocks, bonds,cash, derivatives, or other mutual funds andexchange traded funds or some combination ofthese, depending on its investment objectives.

The value of these investments can go up or down.They’re affected by things such as changes ininterest rates or currency exchange rates, economicconditions in Canada or abroad, or news about thecompanies the fund invests in. When the value ofthe investments change, it can make the price of themutual fund securities rise or fall. That’s why mutualfund investments can increase or decrease in valueafter you buy them and why the value of yourinvestment in a mutual fund may be more or lesswhen you redeem it than when you purchased it.

Under exceptional circumstances, a mutual fundmay not allow you to redeem your securities. SeeWhen you may not be allowed to redeem yoursecurities on page 253 for more information.

How mutual funds are structuredA mutual fund can be set up as a trust or corporation.Both allow you to pool your money with otherinvestors, but there are some differences. When youinvest in a trust, you buy units of the trust. Whenyou invest in a corporation, you buy shares of thecorporation. Some mutual fund corporations issueseveral classes of shares, where each share classworks like a separate mutual fund with its owninvestment objectives.

The main difference between an investment in atrust and a corporation is in how the entity and yourinvestment in the entity are taxed. This is generallymore important if you’re investing outside of aregistered plan. Distributions from a mutual fundthat is a trust are generally treated differently fortax purposes than distributions from a mutual fundthat is a corporation. You can switch yourinvestment between the different classes and seriesof shares of a corporation without realizing capitalgains on your securities at the time of the switch.You cannot switch your investment between twotrusts or between a corporation and a trust orbetween two corporations on a tax-deferred basis.

Units of a mutual fund trust and classes of a mutualfund corporation may be issued in different series.Each series is intended for different kinds ofinvestors and may have different fees and expensesor different distribution policies.

What are the risks of investing in a mutual fund?Risk varies from one fund to another. You canmeasure risk by how often the fund’s value changesand how big the changes tend to be. This is calledvolatility. The bigger and more often the changes invalue, the more volatile the fund.

Every fund has a different degree of volatility,which depends largely on the investments that thefund makes. For example, if a fund only invests ininterest-paying money market instruments offeredby the Canadian government, it will be subject tovery little volatility. That’s because the governmentguarantees payment of a certain interest rate andthere’s little chance it will fail to keep its promise.On the other hand, some funds may invest heavilyin technology stocks. Technology stocks can havefrequent, large changes in value as a company’sproducts go in and out of favour, so funds that haveheavy exposure to technology stocks can be quitevolatile.

As a general rule, the higher the risk, the higher thepotential for gains (and losses). The lower the risk,the lower the potential for gains (and losses). A keyto reducing the overall volatility of your portfolio isto hold a wide variety of investments.

232 What is a mutual fund and what are the risks of investing in a mutual fund?


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When you’re deciding which funds to invest in, youneed to ask yourself how comfortable you’ll be withtheir volatility. Here are some important points thatcan help you decide:• the length of time you’re prepared to invest. The

more time you have until you need to cash in yourinvestments, the more you should be thinkingabout investing in funds that have exposure toequities. These can be volatile in the short-term,but over the long-term, they’ve tended to providehigher returns than other kinds of investments

• your investment goals. Your goals are unique andwill influence the amount of risk that you arewilling to take. If you can reach your goal only byearning higher returns on your investments, youmay want to think about taking on more risk bymaking more volatile funds a larger part of yourportfolio

• your portfolio as a whole. A fund that may seemtoo risky on its own may be suitable as a smallpercentage of your portfolio. Why? Diversification.When you hold a variety of interest-paying fundsand equity funds in your portfolio, you increasethe potential for higher returns. At the same time,a good mix of investments tends to reduce wideswings in the value of your portfolio. That’sbecause the various kinds of investments thefunds hold tend to react differently to market andeconomic changes.

Mutual fund investments are not guaranteedUnlike bank accounts or GICs, the funds aren’tcovered by the Canada Deposit InsuranceCorporation or the Régie de l’assurance dépôts duQuébec and, except for the BMO LifeStage PlusFunds (which are described below), aren’tguaranteed by Bank of Montreal or by anyone else.The value of each fund will vary with changes inthe value of the fund’s investments. In the case ofthe BMO LifeStage Plus Funds, Bank of Montrealhas agreed that on the Target End Date of thesefunds, it will pay to each fund any shortfall betweenthe net asset value per unit and the GuaranteedMaturity Amount. See Guaranteed MaturityAmount risk on page 235.

Under exceptional circumstances, a fund maysuspend redemptions. See When you may not beallowed to redeem your securities on page 253.

General investment risksThe volatility of a fund depends on the kinds ofinvestments it makes. Here are some of thecommon risk factors that cause the value of funds tochange. Not all risks apply to all funds.

Capital depletion riskSeries T5, Series T6 and Series T8 securities makemonthly distributions of an amount comprised, inwhole or in part, of ROC based on 5%, 6% and 8%,respectively, of the net asset value per security ofthe series on December 31 of the prior year. As well,certain other series of the funds may makedistributions comprised, in whole or in part, ofROC. A ROC reduces the amount of your originalinvestment and may result in the return to you ofthe entire amount of your original investment. ROCthat is not reinvested will reduce the net asset valueof the fund, which could reduce the fund’s ability togenerate future income. You should not draw anyconclusions about the fund’s investmentperformance from the amount of this distribution.ROC can only be made by a series of a fund to theextent that there is a positive balance in the capitalaccount for the relevant series. To the extent thatthe balance in the capital account becomes, or is atrisk of becoming, zero, monthly distributions maybe reduced or discontinued without prior notice.See page 267 for additional information about ROC.

Class riskEach of the BMO Global Tax Advantage Funds is aclass of shares of BMO Global Tax Advantage FundsInc. Each class has its own fees and expenses, whichare tracked separately, but if a class can’t meet itsfinancial obligations, the other classes are responsiblefor making up the difference. This is because thecorporation as a whole is legally responsible for thefinancial obligations of all of the classes.

As a mutual fund corporation, BMO Global TaxAdvantage Funds Inc. is permitted to flow capitalgains and Canadian source dividends to investorsin the form of dividends. However, BMO Global TaxAdvantage Funds Inc. will pay tax on other types ofincome (including interest, foreign source dividends,income distributions from a trust and income gainsfrom short sales and certain derivatives) if thatincome is more than its deductible expenses andinvestment losses. For more information about thetax consequences of holding shares of BMO GlobalTax Advantage Funds Inc., please see Income taxconsiderations for investors on page 267.


Commodity riskIf a fund has direct exposure to commodities or to a company whose business is dependent oncommodities such as oil or gold, the value of thefund’s portfolio may be affected by movements inthe price of commodities. If commodity pricesdecline, a negative impact can be expected on theearnings of companies whose businesses aredependent on commodities and on the performanceof funds that invest in such companies.

Credit riskCredit risk is the risk that the company, governmentor other entity (including a special purpose vehicle)that issued a bond or other fixed income security(including asset-backed and mortgage-backedsecurities) can’t pay interest or repay principalwhen it’s due. This risk is lowest among issuers thathave a high credit rating from a credit ratingagency. It’s highest among issuers that have a lowcredit rating or no credit rating. Investments with alower credit rating usually offer a better return thanhigher-grade investments, but have the potentialfor substantial loss as well as gain, as will the fundsthat buy them.

High yielding, higher risk income securities inwhich some of the funds may invest are subject togreater risk of loss of principal and income thanhigher rated fixed income securities, and areconsidered to be less certain with respect to theissuer’s capacity to pay interest and repay principal.

A specialized credit rating agency, such as Standard& Poor’s or DBRS, may reduce the credit rating of anissuer’s debt securities. Unexpected downgrades incredit rating typically decrease the value of suchsecurities.

Currency riskFunds that invest in foreign securities buy themusing foreign currency. For example, funds useU.S. dollars to buy U.S. stocks or bonds. Becausecurrencies change in value against each other, it’s possible that an unfavourable move in theexchange rate may reduce, or even eliminate, anyincrease in the value of that investment. Theopposite can also be true—the fund can benefitfrom changes in exchange rates.

Derivative riskWhile derivatives can be useful for hedging againstlosses or as a substitute for the underlying assets,they involve a number of risks:

• the hedging strategy used by a fund may not beeffective

• there’s no guarantee that a market will existwhen a fund wants to meet the terms of thederivative contract. This could prevent the fundfrom making a profit or limiting its losses

• the other party to a derivative contract may not beable to meet its obligations

• stock exchanges may set daily trading limits onfutures contracts. This could prevent a fund fromclosing a contract

• the price of stock index options may be distortedif trading in some or all of the stocks that make upthe index is interrupted. If a fund could not closeout its position in these options because ofinterruptions or imposed restrictions, it mayexperience losses

• the price of a derivative may not accurately reflectthe value of the underlying security or index

• an acceptable counterparty may not be willing toenter into contracts that allow the fund to link itsperformance to the underlying security

• if a fund is required to give a security interest inorder to enter into a derivative, there is a risk thatthe other party may try to enforce the securityinterest against the fund’s assets

• the cost of the derivative contracts may increase.

Equity riskBusinesses issue equity securities, such as shares orunits, to help pay for their operations and financefuture growth. Funds that buy equities become partowners of the company that issued the securities.Changes in the value of the businesses change thevalue of the fund. The price of a security isinfluenced by the outlook for the particularbusiness, by the market activity and by the largereconomic picture, both at home and abroad. Whenthe economy is expanding, the outlook for manybusinesses may also be good and the value of theirsecurities may rise. The opposite is also true.

Funds that invest in limited partnership units ortrust units, such as oil and gas royalty trusts, realestate investment trusts and income trusts, willhave varying degrees of risk depending on thesector and the underlying asset or business andmay therefore be susceptible to risks associatedwith the industry in which the underlying businessoperates, to changes in business cycles, commodityprices, and to interest rate fluctuations and othereconomic factors.

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235

Floating rate note riskFloating rate notes generally are subject to legal orcontractual restrictions on resale. The liquidity offloating rate notes, including the volume andfrequency of secondary market trading in suchloans, varies significantly over time and amongindividual floating rate notes. During periods ofinfrequent trading, valuing a floating rate note canbe more difficult, and buying and selling a floatingrate note at an acceptable price can be moredifficult and delayed. Difficulty in selling a floatingrate note can result in a loss.

A decline in the credit quality of a floating rate mayreflect a decline in the financial condition of theissuer of the note. Credit ratings assigned by ratingagencies are based on a number of factors and maynot reflect the issuer’s current financial conditionor the volatility or liquidity of the floating rate note.In the event of bankruptcy of the issuer of thefloating rate note, the funds investing in such notescould experience delays or limitations with respectto its ability to realize the benefits of any collateralsecuring the note. In order to enforce their rights inthe event of a default, bankruptcy or similarsituation, such funds may be required to retain legalor similar counsel, which may increase operatingexpenses and adversely affect net asset values.

In addition, floating rate notes generally can beprepaid before maturity. If this happens, thefloating rate note can offer less income and/orpotential for capital gains.

Foreign investment riskWhen a fund invests in foreign securities, its valueis affected by financial markets and generaleconomic trends in the countries where thesecurities are issued. While the U.S. market hasstandards that are similar to those in Canada, otherforeign markets may not. For example, someforeign markets may not be as strictly regulated asCanadian and U.S. markets. Their laws might makeit difficult to protect investor rights. The politicalclimate might be less stable and social, religiousand regional tensions may exist. Businessdisclosure and accounting standards may be lessstringent than in Canada and the U.S., making itdifficult to obtain complete information about apotential investment. Securities markets may besmaller than in more developed countries, makingit more difficult to sell securities in order to takeprofits or avoid losses. As a result, the value of

foreign securities, and the value of funds that holdthem, may rise or fall more rapidly and to a greaterdegree than Canadian and U.S. investments. Ingeneral, securities issued in more developedmarkets have lower foreign investment risk.Securities issued in emerging or developingmarkets have higher foreign investment risk.

Funds that concentrate their investments in a singlecountry or region of the world tend to be riskierthan funds with greater geographic diversificationbecause prices of securities in the same marketstend to move up and down together.

Fund of funds riskCertain funds invest directly in, or obtain exposureto, other investment funds as part of theirinvestment strategy. Therefore, these funds will besubject to the risks of the underlying funds. Also, ifan underlying fund suspends redemptions, theinvestment fund that invests in the underlying fundwill be unable to value part of its portfolio and maybe unable to redeem securities.

Guaranteed Maturity Amount riskBank of Montreal, as sub-advisor, intends tomanage the allocation between the Mutual FundComponent and the Fixed Income Component ofeach BMO LifeStage Plus Fund so that the fund willhave sufficient assets to pay the GuaranteedMaturity Amount to investors on the fund’s TargetEnd Date. In addition, if on a fund’s Target End Datethere is a shortfall between the net asset value perunit and the Guaranteed Maturity Amount, Bank ofMontreal has agreed to pay the fund the amount ofany such shortfall (the “Shortfall”) pursuant to theSub-Advisory Agreement. This obligation may beterminated by a party if one of the other partiescommits a fraudulent act, fails to discharge itsmaterial duties, engages in wilful misconduct ornegligence, takes steps to be dissolved, becomesinsolvent or bankrupt or is in default of its obligationsand does not remedy such breach within 30 daysafter it receives notice. The requirement to pay theShortfall to the fund is an obligation of Bank ofMontreal. Accordingly, the likelihood that the fundwill receive any Shortfall payment that may beowed to the fund will be dependent upon thefinancial health and creditworthiness of Bank ofMontreal. If its obligations have been terminated orBank of Montreal defaults on its obligations and aBMO LifeStage Plus Fund does not have sufficientassets to pay the Guaranteed Maturity Amount to


investors on its Target End Date, investors whoremain in the fund until the Target End Date willonly receive the net asset value per unit, less anyapplicable charges.

Receipt by a BMO LifeStage Plus Fund of an amountfrom Bank of Montreal (under this obligation) mayresult in taxable distributions to investors withrespect to such amount.

Industry concentration riskSome mutual funds concentrate their investmentsin a particular industry. This allows them to focuson that industry’s potential, but it also means thatthey tend to be more volatile than funds that investin many industries. Securities in the same industrytend to be affected in the same way by changes ineconomic, regulatory, financial and marketconditions. Where required to invest in a particularindustry by their investment objectives, these fundsmust continue to invest in that industry, even if theindustry is performing poorly. That means thefunds won’t be able to reduce risk by diversifyingtheir investments into other industries.

Indexing riskCertain funds, including index funds and certainexchange traded funds, use a variety of indexingstrategies or have exposure to underlying mutualfunds that use indexing strategies. Indexingstrategies involve tracking the performance of anindex by tracking the performance of theinvestments included in the index. It’s unlikely thata fund or an underlying mutual fund will be able totrack an index perfectly because each of the fundand underlying mutual fund has its own operatingand trading costs, which lower returns. Indicesdon’t have these costs.

Also, a fund or an underlying mutual fund may, inbasing its investment decisions on an index, havemore of its assets invested in one or more issuersthan is usually permitted for mutual funds. In thesecircumstances, the fund or underlying mutual fundmay tend to be more volatile and less liquid thanmore diversified mutual funds as it is affected moreby the performance of individual issuers.

Further, concentrating its investments in thesecurities of a particular index allows a fund or anunderlying mutual fund to focus on that index’spotential, but it also means that the fund orunderlying mutual fund may tend to be morevolatile than a fund or underlying mutual fund thatinvests in the securities of a variety of indices

because prices of securities on the same index tendto move up and down together. If required by itsinvestment objectives, the fund or underlyingmutual fund must continue to invest in thesecurities of the index, even if the index isperforming poorly. That means the fund orunderlying mutual fund won’t be able to reducerisk by diversifying its investments into securitieslisted on other indices.

Also, if the stock market upon which the index isbased is not open, the fund or underlying mutualfund may be unable to determine its net asset valueper security, and so may be unable to satisfyredemption requests.

Interest rate riskThe value of funds that invest in fixed incomesecurities can move up or down as interest rateschange. Here’s why. Fixed income securities—including bonds, mortgages, treasury bills andcommercial paper—pay a rate of interest that’sfixed when they’re issued. Their value tends tomove in the opposite direction to interest ratechanges. For example, when interest rates rise, the value of an existing bond will fall because theinterest rate on that bond is less than the marketrate. The opposite is also true. These changes inturn affect the value of any fund investing in fixedincome securities.

In the case of money market funds, a fund’s yield isaffected by short-term interest rates, and will vary.

Issuer concentration riskSome mutual funds concentrate their investmentsin a particular issuer. This allows them to focus onthat issuer’s potential, but it also means that theytend to be more volatile than more diversifiedfunds. Their liquidity, and therefore their ability tosatisfy redemption requests, may be adverselyaffected. And because these funds invest in fewerissuers, they’re affected more by the performance ofindividual issuers. These funds may be riskier thanother funds that hold a greater number of issuers intheir portfolios.

Large transaction riskA fund may have one or more investors who hold oracquire a significant amount of securities of thefund, including another mutual fund. For example,a financial institution may buy or sell large amountsof the securities of a fund to hedge its obligationsrelating to a guaranteed investment product whose

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performance is linked to the performance of thefund. As well, certain mutual funds, includingBMO Mutual Funds, may invest directly in thefunds. If one or more of these investors (includingthese investing funds) decides to redeem itsinvestment in a fund, the fund may have to makelarge sales of securities to meet these requests. The portfolio manager may have to change thecomposition of the fund’s portfolio significantly ormay be forced to sell investments at unfavourableprices, which can negatively impact the fund’sreturns. Conversely, if one or more of these investorsdecides to increase its investment in a fund, thefund may have to hold a relatively large position incash for a period of time while the portfoliomanager attempts to find suitable investments. Thiscould negatively impact the fund’s return.

A trust, such as a BMO Trust Fund, is subject to a“loss restriction event” for the purposes of theIncome Tax Act (the “Tax Act”) each time a personor partnership becomes a “majority-interestbeneficiary” of the trust for tax purposes, whichgenerally occurs when a beneficiary of the trust andits affiliates have beneficial interests in the trust ofmore than 50% of the fair market value of the trust.However, no person, partnership or affiliated groupshould will be or become a “majority interestbeneficiary” of a BMO Trust Fund as long as theBMO Trust Fund satisfies certain investmentdiversification restrictions. If a BMO Trust Fundexperiences a “loss restriction event”, the taxationyear of the BMO Trust Fund will be deemed to end.The BMO Trust Fund will realize its capital lossesand may elect to realize its capital gains. Unusedcapital losses will expire and the ability of the BMOTrust Fund to carryforward non-capital losses willbe restricted.

Liquidity riskSome securities may be difficult to buy or sellbecause they’re not well known or because politicalor economic events significantly affect them. Theseinclude investments in specific sectors, especiallycommodity sectors, and investments in developingor smaller markets. In addition, smaller companiesmay be hard to value because they’re developingnew products or services for which there is not yet adeveloped market or revenue stream. They mayonly have a small number of shares in the market,which may make it difficult for a fund to buy or sellshares when it wants to. The value of funds thathold these investments may rise or fall substantially.

Portfolio composition riskBy using the Fixed Income Component of a BMOLifeStage Plus Fund to seek to cover the GuaranteedMaturity Amount per unit as of the Target End Date,the percentage of the fund’s portfolio invested inthe Fixed Income Component will increase as thescheduled Target End Date approaches. As well, ifthere is a significant decline in interest rates and/orif there is a significant decline in equity markets, theallocation of the fund’s assets may change from theMutual Fund Component to the Fixed IncomeComponent at an earlier date, thereby reducing theexposure of the fund to returns on the Mutual FundComponent. As a result, the potential for equityinvestment return of the fund may be reduced oreliminated.

Redemption prior to Target End Date riskThe BMO LifeStage Plus Funds are designed forinvestors with long-term investment horizons whoare prepared to hold the units of the fund to theTarget End Date. They are not designed as a short-term investment. The Guaranteed Maturity Amountis only available if you hold your units until theTarget End Date. If you redeem before the TargetEnd Date, you will receive only the current netasset value per unit for your redeemed units, whichmay be less than the Guaranteed Maturity Amount.

Securities lending, repurchase and reverse repurchase transactions riskThe funds may engage in securities lending,repurchase and reverse repurchase transactions.These transactions will be used in conjunction with the other investment strategies in a mannerconsidered appropriate to achieving the fund’sinvestment objectives. Securities lending is anagreement whereby a fund lends securities throughan authorized agent in exchange for a fee and aform of acceptable collateral. Under a repurchasetransaction, a fund agrees to sell securities for cashwhile, at the same time, assuming an obligation torepurchase the same securities for cash (usually ata lower price) at a later date. A reverse repurchasetransaction is a transaction pursuant to which afund buys securities for cash while, at the sametime, agreeing to resell the same securities for cash(usually at a higher price) at a later date.

The risks associated with securities lending,repurchase or reverse repurchase transactions arisewhen a counterparty defaults under the agreementevidencing the transaction and the fund is forced to

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make a claim in order to recover its investment. In asecurities lending or a repurchase transaction, afund could incur a loss if the value of the securitiesloaned or sold has increased in value relative to thevalue of the collateral held by the fund. In the caseof a reverse repurchase transaction, a fund couldincur a loss if the value of the securities purchasedby the fund decreases in value relative to the valueof the collateral held by the fund.

To limit these risks:• the collateral held by the fund must equal at least

102% of the market value of the security sold,loaned or cash paid (the collateral is adjusted oneach business day to ensure that this value ismaintained)

• repurchase transactions and securities lendingagreements are limited to 50% of a fund’s assets.Collateral held for loaned securities and cashpaid for received securities are not includedwhen making this calculation

• we only enter into such transactions with partieswho appear to have the resources and the financialstrength to fulfill the terms of the agreements.

Series riskThe funds issue more than one series of securities.Each series has its own fees and expenses, whichare tracked separately; however, if a series can’tmeet its financial obligations, the other series areresponsible for making up the difference. This isbecause the fund as a whole is legally responsiblefor the financial obligations of all of the series.

Short selling riskShort selling strategies can provide a fund with anopportunity to manage volatility and enhanceperformance in declining or volatile markets. Shortselling securities involves risk because there is noassurance that securities will sufficiently decline invalue during the period of the short sale to offset theinterest paid by the fund and make a profit for thefund. Securities sold short may instead increase invalue. The fund may also experience difficultiesrepurchasing and returning the borrowedsecurities. The borrowing agent from whom thefund has borrowed securities may go bankrupt andthe fund may lose the collateral it has depositedwith the borrowing agent.

To limit these risks, a fund will implement controlswhen conducting a short sale:• the security sold short must not be an illiquid asset• at the time the fund sells the security short

– the fund has borrowed or arranged to borrowthe security from a borrowing agent

– the aggregate market value of all securities ofthe issuer of the securities sold short by thefund does not exceed 5% of the net asset valueof the fund

– the aggregate market value of all securitiessold short by the fund does not exceed 20% ofthe net asset value of the fund

– the fund must hold cash cover that, togetherwith the portfolio assets deposited with theborrowing agents as security for the short salesby the fund, is at least 150% of the aggregatemarket value of all securities sold short by thefund on a daily mark-to-market basis

• the fund must not use the cash cover from a shortsale to enter into a long position in a security,other than a security that qualifies as cash cover.

Tax treatment of options riskIn determining its income for tax purposes, a fundwill treat the option premiums received fromwriting covered put and call options and any gainsor losses realized from closing out the options inaccordance with the Canada Revenue Agency’spublished administrative practice. The CanadaRevenue Agency’s practice is to not grant advanceincome tax rulings on the characterization of itemsas capital or income. No advance income tax rulinghas been sought or received from the CanadaRevenue Agency. Accordingly, there is a risk thatthe Canada Revenue Agency may disagree with thetax treatment adopted by a fund. In such case, thenet income of the fund for tax purposes and thetaxable component of distributions to investorscould subsequently be determined to be more thanoriginally reported. Investors could be reassessedor the fund could be liable for income tax. Also, the fund could become liable for unremittedwithholding taxes on prior distributions made tonon-resident investors. Any liability imposed onthe fund may reduce the value of the fund and thevalue of an investor’s investment in the fund.

Zero-coupon securities riskCertain funds may invest in zero-coupon securities.Zero-coupon securities tend to be more highlysensitive to interest rate fluctuations than securitieswith similar terms to maturity that pay a coupon.

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239

Manager

Trustee

Principaldistributor

Custodian

Registrar

Auditor

Securitieslendingagent

The manager is responsible for the day-to-daymanagement of the business and operations of thefunds. BMO Investments Inc., an indirect wholly-owned subsidiary of Bank of Montreal, is the managerof the BMO Mutual Funds.

All of the funds, except the BMO Global TaxAdvantage Funds and BMO Monthly Dividend FundLtd., are organized as trusts. The trustee holds title tothe securities owned by the BMO Trust Funds onbehalf of unitholders, has exclusive authority overtheir assets and affairs and has a fiduciary responsibilityto act in the best interest of the unitholders.

BMO Monthly Dividend Fund Ltd. is organized as acorporation, and has a board of directors. The BMOGlobal Tax Advantage Funds are organized as classesof BMO Global Tax Advantage Funds Inc., which isalso organized as a corporation and has a board ofdirectors. The BMO Global Tax Advantage Funds andBMO Monthly Dividend Fund Ltd. do not have a trustee.

The principal distributor markets and distributes thefunds through registered dealers and brokers.

The custodian holds the funds’ cash and securities onbehalf of the funds. The custodian is independent ofBMO Investments Inc.

The registrar processes orders, records all investorinvestment transactions, issues or cancels certificates,as applicable, issues account statements tosecurityholders and deals with enquiries from investorsand dealers. The register of securities of the funds iskept in Toronto, Ontario and Montreal, Quebec.

The auditor audits the funds’ annual financialstatements to ensure that these statements fairlypresent the financial position and results of operationsof each of the funds in accordance with InternationalFinancial Reporting Standards. The auditor isindependent of BMO Investments Inc. and the funds.

The securities lending agent acts as agent forsecurities lending transactions for those funds thatengage in securities lending. The securities lendingagent is independent of BMO Investments Inc.

BMO Investments Inc.100 King Street West, 43rd FloorToronto, Ontario M5X 1A1

1-800-665-7700 or1-800-668-7327

BMO Investments Inc.Toronto, Ontario


CIBC Mellon Trust CompanyToronto, Ontario


PricewaterhouseCoopers LLP,Chartered Professional AccountantsToronto, Ontario

The Bank of New York MellonToronto, Ontario

Organization and management of BMO Mutual Funds


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IndependentReviewCommittee

Organization and management of BMO Mutual Funds (continued)

The funds are required to have an independent review committee (“IRC”) in accordancewith National Instrument 81-107 Independent Review Committee for Investment Funds.The mandate of the IRC is to review conflict of interest matters identified and referredto the IRC by the manager and to give its approval or recommendation, depending onthe nature of the conflict of interest matter. In each instance where a conflict of interestmatter is identified and referred to the IRC, the primary focus of the IRC is to determineif the manager’s proposed action achieves a fair and reasonable result for the funds.

The IRC is currently composed of four members and each member is independent ofthe funds, the manager and other companies related to the manager. The IRC willprepare, for each financial year of the funds, a report to securityholders that describesthe IRC and its activities for the financial year. Securityholders can get a copy of thisreport, at no cost, as follows: • If you purchased your securities at a BMO Bank of Montreal Branch or through the

BMO Investment Centre, you may call us toll free at 1-800-665-7700, write to BMOInvestments Inc. at 100 King Street West, 43rd Floor, Toronto, Ontario, M5X 1A1 orvisit our website at www.bmo.com/mutualfunds.

• If you purchased your securities through a dealer, you may call us toll free at 1-800-668-7327, write to BMO Investments Inc., at 250 Yonge St., 9th Floor, Toronto,Ontario, M5B 2M8 or visit our website at www.bmomutualfunds.com/advisor.

You can also get a copy of this report through the SEDAR website at www.sedar.com.

Additional information about the IRC, including the names of IRC members, is availablein the funds’ annual information form.


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Portfolio managersThe portfolio managers provide investment advice to the manager on the investment portfolios of thefunds. We’ve hired the following companies to manage the investment portfolios of the funds. See the funddescriptions starting on page 7 for the portfolio managers for each fund.

BMO AssetManagement Corp.Chicago, Illinois(“BMOAMC”)

BMO AssetManagement Inc.Toronto, Ontario(“BMOAM”)

BMO Capital Markets Corp.New York, New York(“BMOCMC”)

BMO Global AssetManagement(Asia) LimitedHong Kong(“BMOGAMA”)

ETF CapitalManagementToronto, Ontario(“ETF Capital”)

F&C ManagementLimitedLondon, England(“F&C”)

Guardian Capital LPToronto, Ontario(“Guardian Capital”)

BMOAMC had approximately $36.6 billion (USD) in assets under management asat December 31, 2014, and began managing money over 100 years ago. BMOAMCis a wholly-owned, indirect subsidiary of Bank of Montreal, the parent companyof BMO Investments Inc. BMOAMC was formed in June 2012 through anamalgamation of Harris Investment Management, Inc. and Marshall & IlsleyCorporation.

BMOAM is a wholly-owned, indirect subsidiary of Bank of Montreal, the parentcompany of BMO Investments Inc. and had approximately $73 billion (CAD) inassets under management as at December 31, 2014. The BMOAM equity teamemploys a “bottom-up” investment process using fundamental analysis to identifyattractively priced equities. Research responsibilities are divided by sector.

BMOCMC is a wholly-owned, indirect subsidiary of Bank of Montreal.

BMOGAMA is a wholly-owned subsidiary of LGM (Bermuda) Ltd. (“LGM”). LGMthrough its subsidiaries is an investment manager specializing in Asia, globalemerging markets and frontier markets equities. Robert Lloyd George foundedthe company in 1991 with the belief that China and India would play anincreasingly important role in the development of Asian and Global economies.LGM is a high conviction and primarily stock driven investor with a long termfocus on the opportunities presented by companies with sustainable growthpaths and strong capital management. LGM is a subsidiary of Bank of Montreal,the parent company of BMO Investments Inc. As at December 31, 2014, LGM hadapproximately $2.6 billion (USD) in assets under management.

ETF Capital is a Toronto based investment management firm managingapproximately $404 million (CAD) in assets under management as atDecember 31, 2014. The company was established as a partnership in November2006. ETF Capital is a value investor in general, looking to overweight relativevalue sectors, countries, and regions by employing ETF rotation strategies.

F&C is a wholly owned, indirect subsidiary of Bank of Montreal and hasapproximately $122 billion (USD) in assets under management as at June 30, 2014.F&C began managing money over 140 years ago and employs a fundamental“bottom-up” investment process focusing on high quality businesses withcompetitive advantages in their markets.

Guardian Capital was founded in 1962 and is one of Canada’s longest established,independent investment counselling firms. As at December 31, 2014, GuardianCapital managed approximately $23.1 billion (CAD) in assets for retail mutualfunds, segregated and pooled pension clients, and corporate, endowment, andcharitable clients. Guardian Capital is wholly-owned by Guardian Capital Group,a public company, the shares of which are listed for trading on the Toronto Stock Exchange.


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LGM InvestmentsLimitedLondon, England(formerly, Lloyd GeorgeManagement (Europe)Limited) (“LGMIL”)

Macquarie CapitalInvestmentManagement LLCNew York, New York(“Macquarie”)

MatthewsInternational CapitalManagement LLCSan Francisco,California(“Matthews”)

Monegy, Inc.Toronto, Ontario(“Monegy”)

PIMCO Canada Corp.Toronto, Ontario(“PIMCO”)

Pyrford InternationalLimitedLondon, England(“Pyrford”)

SIA WealthManagement Inc.Calgary, Alberta(“SIA”)

Portfolio managers (continued)

LGMIL is a wholly-owned subsidiary of LGM. LGM through its subsidiaries is aninvestment manager specializing in Asia, global emerging markets and frontiermarkets equities. Robert Lloyd George founded the company in 1991 with thebelief that China and India would play an increasingly important role in thedevelopment of Asian and Global economies. LGM is a high conviction andprimarily stock driven investor with a long term focus on the opportunitiespresented by companies with sustainable growth paths and strong capitalmanagement. LGM is an indirect subsidiary of Bank of Montreal, the parentcompany of BMO Investments Inc. As at December 31, 2014, LGM hadapproximately $2.6 billion (USD) in assets under management.

Macquarie is a wholly-owned indirect subsidiary of Macquarie Funds Group(“MFG”), an Australian fund manager established in February 1985. Macquarie is afull service fund manager, offering products across the full spectrum of investmentstyles, pricing structures, risk/return profiles and in all major asset classes for adiverse set of clients. As at December 31, 2014, Macquarie and related companieshad approximately $370 billion (USD) in assets under management.

Matthews believes in the long term growth of Asia, and concentrates its effortsand expertise exclusively within the region. Matthews employs a “bottom-up”,fundamental investment philosophy with a focus on long-term investmentperformance. As at December 31, 2014, Matthews had approximately$26.9 billion (USD) in assets under management.

Monegy is a wholly-owned, indirect subsidiary of Bank of Montreal, the parentcompany of BMO Investments Inc. Monegy’s experienced group of professionalsis dedicated to managing high yield bonds, loans and credit default swaps. As atDecember 31, 2014, assets under management for Monegy were approximately$2.2 billion (USD).

PIMCO is a wholly-owned indirect subsidiary of Pacific Investment ManagementCompany LLC (“PIMCO LLC”). PIMCO LLC is a Delaware limited liabilitycompany and a majority owned subsidiary of Allianz Global Investors of AmericaL.P. (“Allianz LP”). Allianz Aktiengesellschaft (“Allianz AG”) is the indirectmajority owner of Allianz LP. Allianz AG is a European based, multinationalinsurance and financial services holding company. Pacific Life InsuranceCompany holds an indirect interest in Allianz LP. As at December 31, 2014,PIMCO LLC had approximately $1.7 trillion (USD) in assets under management.

Pyrford is a provider of international asset management services for pensionfunds, charities, endowments, foundations and high net worth individuals. Thecompany has been operating from its London, England base since 1987. Pyrford isa wholly-owned, indirect subsidiary of Bank of Montreal, the parent company ofBMO Investments Inc. and had approximately $14.7 billion (CAD) in assets undermanagement as at December 31, 2014.

SIA is an independent technical analysis firm focused on relative strength analysisand risk management, based in Calgary, Alberta. As at December 31, 2014, SIA hadapproximately $204 million (CAD) in assets under management.


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Taplin, Canida & HabachtMiami, Florida(“TCH”)

Portfolio managers (continued)

TCH is an investment management firm established in 1985 and based in Miami,Florida. TCH’s fixed income strategy is a research-driven, relative value processwhich utilizes both quantitative tools and internally generated fundamentalanalysis. TCH is an indirect subsidiary of Bank of Montreal, the parent companyof BMO Investments Inc. As at December 31, 2014, TCH had approximately$10.5 billion (USD) in assets under management.

It may be difficult to enforce legal rights againstBMOAMC, LGMIL, BMOGAMA, F&C, BMOCMC,Macquarie, Matthews, Pyrford and TCH becausethey are resident outside of Canada and all orsubstantially all of their assets are located outsideof Canada.

Macquarie and TCH are not registered portfoliomanagers in Canada and are acting in such capacitypursuant to an exemption from the requirement tobe registered. The name and address of the agentfor service of process in Ontario for each of them isavailable from the Ontario Securities Commission.

F&C, Matthews, BMOCMC, LGMIL and BMOGAMAare not registered portfolio managers in Canada.They have been appointed as sub-advisors by theportfolio manager, BMOAM, and BMOAM isresponsible for the advice given by F&C, Matthews,BMOCMC, LGMIL and BMOGAMA.

The securities of underlying funds held by a fundthat we, or one of our affiliates or associates,manage will not be voted unless, at our discretion,we arrange for securities of the underlying fund tobe voted by the securityholders of the fund.

In certain circumstances, in place of you approvinga fund merger, the IRC has been permitted undersecurities legislation to approve a fund merger. Inthese circumstances, you will receive writtennotice of any proposed fund merger at least 60 daysprior to the effective date of the merger.


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Purchasing fundsYou can buy, switch, or redeem Series A securities,Series T6 securities under the no load sales chargeoption (“No Load Series T6”) and Series Msecurities of the funds at no charge:• in person, at any Bank of Montreal branch.• by telephone, once you’ve made arrangements

for payment:– with your Bank of Montreal branch– through the BMO Investment Centre,

1-800-665-7700• through the internet (other than in an RDSP) at

www.bmo.com/mutualfunds, once you’ve madeauthorization arrangements.

• by mail. Your order to buy must be mailed with acertified cheque made out to the fund you’rebuying.

• automatically through a Continuous Savings Planfor purchases, or a Systematic Withdrawal Planfor redemptions.

If you are buying securities of a U.S. Dollar Fund or afund using a U.S. dollar purchase option, if available,the cheque must be drawn on a U.S. dollar bankaccount at a Canadian financial institution. However,you cannot hold units of funds purchased in U.S.currency in a BMO registered plan, which waspurchased as outlined above.

You can buy, switch, or redeem Series A, No LoadSeries T6 and Series M securities through aregistered dealer. Please contact your dealer to findout how to place an order. Some dealers may chargeyou a fee for their services.

You can buy Series F securities of the funds throughdealers who have entered into a Series F agreementwith us and only with our prior approval. A dealer’sability to sell Series F securities is subject to ourterms and conditions.

Series D securities are available to investors whohave an account with a discount brokerage. We pay areduced trailing commission to discount brokeragesin respect of Series D units, which means we cancharge a lower management fee.

You can buy Series N securities of the funds throughdealers who offer separate managed accounts ordiscretionary management programs and haveentered into an agreement with us, and only withour prior approval.

You can buy Series O securities of the funds if youhave entered into an investment managementagreement with BMO Trust Company and BMOPrivate Investment Counsel Inc.

You can buy Series L securities of the funds if youhave entered into an investment managementagreement with ETF Capital Management.

Through your dealer, you may buy Advisor Series,Series T5, certain Series T6 (“Load Series T6”) orSeries T8 securities of the funds under the SalesCharge option or one of the deferred charge options.Series NBA and Classic Series are only offeredthrough your dealer under the Sales Charge option.

You don’t pay a sales charge when you buy Series A,Series F, Series D, Series I, Series N, Series NBF,Series O, Series L, Series M or No Load Series T6securities of the funds.

You may not buy Advisor Series securities of theBMO LifeStage Plus Funds under the StandardDeferred Charge option in the last seven years priorto the Target End Date of the applicable fund.Similarly, you may not buy Advisor Series securitiesof the BMO LifeStage Plus Funds under the LowLoad Deferred Charge option in the last three yearsprior to the Target End Date of the applicable fund.

You can buy Series NBA securities and Series NBFsecurities of the funds through sales representativesof BMO Nesbitt Burns Inc. (who are referred to inthis prospectus as “Nesbitt Burns Advisors”). YourNesbitt Burns Advisor may charge you a fee fortheir services.

Your choice of purchase option affects the fees andsales charges you, or we, will pay to your dealer andthe service fee we will pay to your dealer. See Feesand expenses on page 257 and Dealer compensationon page 263.

Under the Sales Charge option, you pay a commissionto your dealer when you buy securities of a fund.The commission is negotiable between you andyour dealer, but cannot exceed 5% of the amountyou invest. When purchasing Series NBA securitiesunder the Sales Charge option, the maximumcommission cannot exceed 4% of the amount youinvest. See further details under Fees and expenseson page 257.

There are two deferred charge options—theStandard Deferred Charge option and the Low LoadDeferred Charge option. Under the Standard

Purchases, switches and redemptions


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Deferred Charge option or the Low Load DeferredCharge option, we pay a commission to your dealeron your behalf when you buy securities of a fund.You may be required to pay a fee to us if you redeemyour securities within a specified number of yearsafter your purchase. The redemption fee is apercentage of the original cost of the securitiesredeemed and declines at the rates shown in theFees and expenses table starting on page 257.

If you purchased your securities under the StandardDeferred Charge option on or after July 4, 2008, andafter the redemption fee schedule applicable tothose securities is complete, the service fee rate wepay to your dealer will increase to the rateapplicable to securities of the same fund purchasedunder the Sales Charge option. Please see Dealercompensation starting on page 263 for moreinformation on the service fees or trailingcommissions for securities purchased under theSales Charge option.

Shares of BMO SelectClass® Income Portfolio, BMOSelectClass® Balanced Portfolio, BMO SelectClass®

Growth Portfolio, BMO SelectClass® Equity GrowthPortfolio, BMO Income ETF Portfolio Class, BMOBalanced ETF Portfolio Class, BMO Growth ETFPortfolio Class, BMO Equity Growth ETF PortfolioClass are only available for purchase through non-registered accounts and are not available forpurchase through registered plans, except for certainpreviously established Continuous Savings Plans.

How the funds are structuredThere are different types of mutual funds offeredthrough this simplified prospectus:• the BMO Trust Funds, which are trusts that issue

securities called units;• the BMO Global Tax Advantage Funds, each of

which is a class of shares of BMO Global TaxAdvantage Funds Inc., a corporation that issuessecurities called shares; and

• BMO Monthly Dividend Fund Ltd., a corporationthat issues securities called shares.

When you invest in a fund that is organized as atrust, you buy units. Each BMO Trust Funddistributes its earnings by allocating its income andnet capital gains to unitholders. In general, incomeand capital gains distributed to you from a trust istaxed as if you received it directly. A BMO TrustFund may also distribute capital to you. Distributionsof capital, called ROC, are not taxable but reducethe ACB of your units.

BMO Global Tax Advantage Funds Inc. is acorporation. Its capital is divided into series ofclasses. Each class of shares corresponds to adifferent pool of investments with differentinvestment objectives. When you invest in a BMO Global Tax Advantage Fund, you buy sharesin a series of a class of the corporation. Each year,BMO Global Tax Advantage Fund Inc. intends topay just enough capital gains dividends andordinary dividends to the shareholders of eachseries of each BMO Global Tax Advantage Fund sothat the corporation, as a whole, will not be subjectto income tax on its net realized capital gains orCanadian source dividends. Generally, it will not benecessary to pay capital gains dividends andordinary dividends on each series of shares of eachfund or to the shareholders of each fund. A BMOGlobal Tax Advantage Fund may also distributecapital to you. Distributions of capital, called ROC,are not taxable but reduce the ACB of your shares.

BMO Monthly Dividend Fund Ltd. is also acorporation. Its capital is divided into series ofshares. When you invest in BMO Monthly DividendFund Ltd., you buy shares in a series of commonshares of the corporation. Each year, BMO MonthlyDividend Fund Ltd. intends to pay just enoughcapital gains dividends and ordinary dividends to theshareholders of each series so that the corporationwill not be subject to income tax on its net realizedcapital gains or Canadian source dividends. It maynot be necessary to pay capital gains dividends orordinary dividends on each series of shares eachyear. BMO Monthly Dividend Fund Ltd. may alsodistribute capital to you. Distributions of capital,called ROC, are not taxable but reduce the ACB ofyour shares.

About the series of securitiesSome of the funds in this simplified prospectusissue more than one series of securities. You’ll findthe type of securities each fund offers through thissimplified prospectus in the Fund details section ofits fund description. Each series is intended fordifferent kinds of investors and has different feesand expenses. See Fees and expenses and Dealercompensation for details.• Series A and No Load Series T6 securities are

available to all investors. You can buy Series Aand No Load Series T6 securities directly from usby mail, by telephone (once you’ve madearrangements for payment) or through theinternet (other than in an RESP, RDSP or TFSA) at


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securities. Investors pay a wealth managementfee directly to BMO Trust Company and to BMOPrivate Investment Counsel Inc.

• Series L securities are available to investors whohave entered into an investment managementagreement with ETF Capital Management.There are no sales charges applicable on apurchase of Series L securities. Investors pay awealth management fee directly to ETF CapitalManagement.

• Series M securities are for investors who invest atleast $150,000 in this series of the fund.

• Classic Series securities are available to allinvestors through authorized brokers and dealers.

• Series N securities are available to investors whoparticipate in a separate managed account ordiscretionary management program through adealer who has entered into an agreement withus and only with our prior approval. A funddoesn’t pay a management fee on Series N securitiesbecause Series N investors pay a separate feedirectly to their dealer, a portion of which is paidto us by the dealer. The Series N fee is set by thedealer. Please contact your dealer to inquireabout purchasing Series N securities.

• Series NBA securities are available to all investorsthrough a Nesbitt Burns Advisor. Please contactyour Nesbitt Burns Advisor to inquire aboutpurchasing Series NBA securities.

• Series NBF securities are for investors who areenrolled in dealer-sponsored wrap programs orflat fee accounts available through Nesbitt BurnsAdvisors, and only with our prior approval. Insteadof paying a commission on each transaction,these investors pay an annual fee based on thevalue of their assets. The management fee isreduced for these investors because our costs arereduced. You don’t pay a sales charge when youbuy Series NBF securities of the funds. Pleasecontact your Nesbitt Burns Advisor to inquireabout purchasing Series NBF securities.

With the exception of Series F and Series I securitiesof BMO Canadian Large Cap Equity Fund, if you oryour dealer are no longer eligible to hold Series F,Series I, Series M, Series N, Series NBA, Series NBF,Series O and Series L securities (as the case maybe), we may switch your Series F, Series I, Series M,Series N, Series NBA, Series NBF, Series O andSeries L securities (as applicable) into Series Asecurities or Advisor Series securities (under theSales Charge option) of the same fund. If we do this,we’ll give you at least 30 days’ notice. If we switchyour securities of a fund into securities of another

www.bmo.com/mutualfunds or at any branch ofBank of Montreal in Canada or from the BMOInvestment Centre.

• Series T5, Load Series T6, Series T8 and AdvisorSeries securities are available to all investorsthrough authorized dealers and brokers, and maybe purchased under the Sales Charge option, theStandard Deferred Charge option or the LowLoad Deferred Charge option. You can also buySeries T5, Load Series T6, Series T8 and AdvisorSeries securities under the Sales Charge optiondirectly from us by mail, by telephone (onceyou’ve made arrangements for payment) at anybranch of Bank of Montreal in Canada or from theBMO Investment Centre.

• Series F securities are for investors who areenrolled in dealer-sponsored wrap programs orflat fee accounts. Instead of paying a commissionon each transaction, these investors pay an annualfee based on the value of their assets. Series Fsecurities are also available to other investors forwhom we do not incur substantial distributioncosts. The management fee is reduced for theseinvestors because our costs are reduced. You canbuy Series F securities only through dealers whohave entered into a Series F agreement with usand only with our prior approval. A dealer’sparticipation in Series F securities distribution issubject to our terms and conditions. You don’t paya sales charge when you buy Series F securities ofthe funds.

• Series D securities are available to investors whohave accounts with a discount brokerage. We paya reduced trailing commission to your dealer inrespect of Series D securities, which means wecan charge a lower management fee.

• Series I securities are for institutional investors, foruse within managed asset programs or structuredproducts. A fund doesn’t pay a management feeon Series I securities because Series I investorsnegotiate and pay a separate fee directly to us.You don’t pay a sales charge when you buy SeriesI securities of the funds. If eligible, you can buySeries I securities only through a registered dealeror broker who has entered into a Series I Agreementwith us and only with our prior approval. A dealer’sparticipation in Series I securities distribution issubject to our terms and conditions.

• Series O securities are available to investors whohave entered into an investment managementagreement with BMO Trust Company and BMOPrivate Investment Counsel Inc. There are no salescharges applicable on a purchase of Series O


series of the same fund in the circumstancesdescribed above, the management fee charged toyour new series and the service fee payable by us toregistered dealers, if any, may be higher than theseries that you previously owned. These servicefees are set out below under Dealer compensationon page 263.

Except in respect of Advisor Series and Series T5securities of BMO Canadian Large Cap Equity Fund,in all other circumstances, provided the conditionsset out below are met, we may, in our discretion,switch your securities of a fund into securities ofanother series of the same fund. We may onlyswitch your securities in this circumstance if all thefollowing conditions are satisfied:• you receive securities of the same value;• the management fee and administration fee of the

new series are not more than that of the seriesthat you previously owned;

• the switch is done at no cost to you;• the switch is not a disposition for tax purposes; and• the service commissions payable to registered

dealers and brokers, if any, remain the same.

The price of a securityWhen you buy, switch or redeem securities of amutual fund, you do so at the net asset value(“NAV”) of the security. This is also called thefund’s unit or share price. We calculate the price ofeach security for each series of each fund as at4:00 p.m. Eastern Time (“ET”) on each valuationday. A valuation day is any day that the TorontoStock Exchange is open for trading or such othertime as we may from time to time determine to be aday for valuation for any fund. Prices for the seriesof securities sold through BMO Bank of Montrealbranches and the BMO Investment Centre may bepublished in major Canadian newspapers thefollowing day and are published on the internet atwww.bmo.com/mutualfunds. Prices for series ofsecurities sold through a dealer may be publishedin major Canadian newspapers the following dayand are published on the Internet atwww.bmomutualfunds.com/advisor.

For each fund, we calculate the price for eachsecurity by:• adding up the market value of each series’

proportionate share of the assets of the fund (itsinvestments and cash)

• subtracting the liabilities of the fund (any moneythe fund owes) attributed to the series of securities

• dividing by the number of securities of the seriesheld by all investors in the series.

How we process your orderYour order to buy, switch or redeem securities mustbe forwarded to us by your dealer. If we receiveyour order by 4:00 p.m. (ET) on a valuation day,we’ll process it at that day’s price per security. If wereceive your order after 4:00 p.m. (ET), we’ll processit at the next valuation day’s price. If the TorontoStock Exchange closes earlier than 4:00 p.m. (ET)on a valuation day, we may impose an earlierdeadline. We’ll process your order only if it’s ingood order. The issue and redemption price of thesecurities of a fund is based on the mutual fund’sNAV per security next determined after receipt bythe mutual fund of your order.

If you’re buying securities, you must include paymentwith your order. If we do not receive paymentwithin three (3) business days (one (1) business dayfor BMO Money Market Fund) of processing yourpurchase order for any securities, we must redeemyour securities on the next business day. If theproceeds from the redemption are greater than thepayment you owe, the relevant fund keeps thedifference. If the proceeds are less than the paymentyou owe, we will pay the difference to the relevantfund on your behalf, and collect this amounttogether with additional costs from your dealer whomay collect these amounts from you.

In addition to being available for purchase inU.S. Dollars, certain of the funds priced inU.S. dollars (the “U.S. Dollar Funds”) are alsoavailable for purchase in Canadian dollars, as setout in the table below:

Fund Name Canadian Dollar Purchase Option

BMO U.S. Dollar Monthly Available for Series A, Series FIncome Fund and Advisor Series

BMO U.S. Dollar Dividend Fund Available for Series A, Series F, Series I and Advisor Series

BMO U.S. Dollar Balanced Fund Available for Series A, Series F, Series I and Advisor Series

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series’ proportionateshare of liabilities

series’ proportionateshare of assets –

= = price of a

security

How to calculate a fund’s NAV per security of a series

number of securities of that series

NAV per

security


If you are buying securities of one of the above U.S.Dollar Funds in U.S. dollars, the cheque must bedrawn on a U.S. dollar bank account at a Canadianfinancial institution.

In addition to being available for purchase inCanadian dollars, the following series of thefollowing funds priced in Canadian Dollars (the“Canadian Dollar Funds”) are also available forpurchase in U.S. Dollars, as set out in the table below:

Fund Name U.S. Dollar Purchase Option

BMO Asian Growth Available for Series F and Income Fund and Advisor Series

BMO Emerging Markets Fund Available for Advisor Series

BMO European Fund Available for Advisor Series

BMO Floating Rate Income Fund Available for Series F, Series I and Advisor Series

BMO Global Growth Available for Series T5, Series F and Income Fund and Advisor Series

BMO Global Diversified Fund Available for Series T5, Series F and Advisor Series

BMO Global Dividend Fund Available for Series A, Series F and Advisor Series

BMO Global Dividend Class Available for Series T5 and Advisor Series

BMO Global Equity Class Available for Advisor Series

BMO Global Small Cap Fund Available for Series F and Advisor Series

BMO North American Available for Series A, Series FDividend Fund and Advisor Series

BMO Resource Fund Available for Advisor Series

BMO U.S. Equity Class Available for Advisor Series

BMO U.S. Equity Fund Available for Series A, Series NBA,Series NBF and Advisor Series

BMO U.S. Equity Plus Fund Available for Series A, Series F and Advisor Series

The ability to purchase securities of the CanadianDollar Funds in U.S. dollars, and the ability topurchase securities of U.S. Dollar Funds inCanadian dollars is offered only as a conveniencefor investors and does not act as a currency hedgebetween the two currencies.

For purchases of securities of the Canadian DollarFunds in U.S. dollars, the net asset value persecurity is computed by converting the Canadiandollar value into U.S. dollars based on currentexchange rates.

For purchases of securities of the U.S. Dollar Fundsin Canadian dollars, the net asset value per securityis computed by converting the U.S. dollar value intoCanadian dollars based on current exchange rates.For securities purchased in U.S. dollars, switcheswill be processed in U.S. dollars and redemptionproceeds will be paid in U.S. dollars.

We’ll pay to the fund you’re buying any interestearned between the time you make payment andthe time the purchase is completed. We generallydon’t issue certificates. We may accept or reject anorder to buy within one business day of receivingthe order. If we accept your order, your broker ordealer or we will send you confirmation of yourorder, which is your proof of the transaction. If yousign up for our Continuous Savings Plan orSystematic Withdrawal Plan, you’ll only receiveconfirmation of the first transaction made under theplan. If we reject your order, we’ll return anymoney we’ve received, without interest.

If you’re redeeming securities, we’ll transfer or mailthe proceeds to you within three (3) business daysafter we determine the redemption price providedall necessary documents and/or information havebeen received. You will receive your redemptionproceeds in U.S. dollars when you redeem securitiesthat were purchased in U.S. dollars. Otherwise, youwill receive your redemption proceeds in Canadiandollars when you redeem securities of the funds.

Short-Term TradingWe discourage investors from short-term trading.Short-term trading can harm a fund’s performanceand the value of other investors’ holdings in a fundbecause such trading can increase brokerage andother administrative costs of a fund and interferewith the long term investment decisions of theportfolio manager. Short-term trading may beparticularly problematic when large sums areinvolved. Short-term trading can include buyingand then redeeming or switching securities of afund within 30 days of buying or switching theminto the fund. We have policies and procedures to

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detect and deter short-term trading that include theability to refuse your present or future order(s) tobuy or switch securities. If, in our sole discretion,we determine that you are engaging in short-termtrading, in addition to taking other availableremedies, the relevant fund may charge a short-term trading penalty to be paid directly to the fundout of the redemption proceeds, reducing theamount otherwise payable to you on the redemptionor switch (see page 261 for more information). Wemay waive this penalty at any time.

The restrictions imposed on short-term trading,including the short-term trading fees, will generallynot apply in connection with redemptions orswitches: from money market funds and similarfunds; initiated by us; under special circumstances,as determined by us in our sole discretion; or madeunder optional plans including rebalancing inconnection with BMO MatchMaker® Portfolios andBMO Intuition® Investment Service or pursuant toSystematic Withdrawal Plans. The annualinformation form includes a description of allarrangements, whether formal or informal, withany person or company, to permit short-term tradesof securities of the funds.

Despite these restrictions and our procedures todetect and deter short-term trading, we cannotensure that such trading will be completelyeliminated.

Your guide to buying, switching and redeeming the fundsThe following tables show you the minimumamounts for buying, switching and redeemingsecurities of a fund, and for maintaining an accountor an investment in a fund. These amounts dependon the kind of account and fund or series youchoose. If the value of your investment in a fundfalls below the minimum amount as determined byus from time to time, we will give you 30 days’written notice before we redeem all the securities ofsuch fund in your account. If, as a result of marketfluctuation, the value of your securities falls belowthe minimum balance, we may buy your securitiesfrom you or redeem them for you after giving you10 days’ notice. If, as a result of a partialredemption, the value of your remaining holdingfalls below the minimum balance, we may redeemsuch remaining holding immediately and withoutprior notice to you. If the value of your units ofSeries M of BMO Money Market Fund falls belowthe minimum balance, we may either switch yourunits into Series A units of BMO Money MarketFund or redeem them for you. We may change theminimum amounts at any time without notice. Anyminimum amounts for Series I, Series O, Series L orSeries N securities are determined on a contractualbasis. Any minimum purchase amounts for Series Fsecurities are determined by your dealer and theminimum account balance for Series F securities is$250. We have the right to require a minimum totalinvestment of $50,000 in order to purchase ClassicSeries securities. These minimums are not currentlyenforced but may be enforced at our discretion. Allminimums are in U.S. dollars where purchases ofthe funds are being made in U.S. dollars.


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Buying funds Minimum amount Minimumyou can buy balanceYour first Each additionalpurchase purchase

ALL FUNDS AND SERIES except Series F, Series I, Series M, Series N, Series NBA, Series NBF, Series O, and Series L securities

SINGLE PURCHASE

Regular account $500 $50 $500(US$ for BMO U.S. Dollar Equity Index Fund, BMO U.S. Dollar Money Market Fund and BMO U.S. Dollar Monthly Income Fund and for any funds purchased using the U.S. dollar option)

RRIF account $5,000 — —

CONTINUOUS SAVINGS PLAN

All accounts $50 a month — —(US$ for BMO U.S. Dollar Equity Index Fund, BMO U.S. Dollar Money Market Fund and BMO U.S. Dollar Monthly Income Fund and for any funds purchased using the U.S. dollar option)

SERIES M SECURITIES

SINGLE PURCHASE $150,000 $5,000 $150,000

CONTINUOUS SAVINGS PLAN $150,000 $1,500 $150,000

SERIES NBA AND SERIES NBF SECURITIES

SINGLE PURCHASE

Regular account $1,000 $100 $500

RRIF account $5,000

CONTINUOUS SAVINGS PLAN

All accounts $5,000 — —

Switching between funds Minimum amount Minimumyou can switch balance

ALL FUNDS AND SERIES except Series F, Series I, Series M, Series N, Series NBA, Series NBF, Series O, and Series L securities

Regular account $50 $500(US$ for BMO U.S. Dollar Equity Index Fund, BMO U.S. Dollar Money Market Fund and BMO U.S. Dollar Monthly Income Fund and for any funds purchased using the U.S. dollar option)


Regular account $100 $150,000

SERIES M SECURITIES

All accounts $500 $150,000


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Redeeming funds Minimum amount Minimumyou can redeem balance

ALL FUNDS AND SERIESexcept Series F, Series I, Series M, Series N, Series NBA, Series NBF, Series O and Series L securities

SINGLE REDEMPTION

All accounts $50 $500(US$ for BMO U.S. Dollar Equity Index Fund, BMO U.S. Dollar Money Market Fund and BMO U.S. Dollar Monthly Income Fund and for any funds purchased using the U.S. dollar option)

RRIF, LIF, LRIF, PRIF and RLIF accounts Minimum amount required N/Aunder the Tax Act

SYSTEMATIC WITHDRAWAL PLAN

All non-registered accounts $100 monthly, quarterly $10,000(US$ for BMO U.S. Dollar Equity Index Fund, BMO U.S. Dollar Money or semi-annuallyMarket Fund and BMO U.S. Dollar Monthly Income Fund and for any funds purchased using the U.S. dollar option)

SERIES M SECURITIES

SINGLE REDEMPTION

All accounts $5,000 $150,000


All accounts $1,000 monthly, quarterly $150,000or semi-annually

RRIF, LIF and LRIF accounts Minimum amount required N/Aunder the Tax Act


SINGLE REDEMPTION

All accounts $100 $500

RRIF, LIF and LRIF accounts Minimum amount required N/Aunder the Tax Act


All non-registered accounts $100 monthly, quarterly $20,000or semi-annually


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Switching fundsA switch involves moving your investment fromone BMO Mutual Fund or series to another BMOMutual Fund or series. We describe the kinds ofswitches you can make below. When we receiveyour order, we’ll switch your securities of oneBMO Mutual Fund or series for securities ofanother BMO Mutual Fund or series. You’ll find theminimum amounts needed for switches in thetables above. You may pay a fee of up to 2% of thevalue of the securities redeemed for switchingbetween BMO Mutual Funds. You and your dealercan negotiate this fee. There may be fees or chargespayable on the redemption of securities of the fundfrom which you are switching or on the purchase ofthe securities of the new fund or new series,depending on the series of securities involved andthe arrangements between you and your dealer.Please see Fees and expenses on page 257 for moreinformation. If necessary, securities may beredeemed to pay fees or charges.

Switching securities you hold in a non-registeredaccount, including a BMO MatchMaker® account,may result in a disposition of your securities andcause you to realize a capital gain or capital loss.Net capital gains are taxable. For details about howswitches are taxed, see Income tax considerationsfor investors.

You can’t switch between securities purchased inU.S. dollars and securities purchased in Canadiandollars. You can only switch between securitiespurchased in the same currency.

BMO Trust FundsThere are two kinds of switches you can make:

• Switching between series of the sameBMO Trust FundYou can switch your units of one series of aBMO Trust Fund into units of another series ofthe same fund, provided you are qualified. This iscalled a redesignation, and should not result in adisposition for income tax purposes.

• Switching between BMO Mutual FundsYou can switch units of a BMO Trust Fund intosecurities of the same series or different series ofanother BMO Mutual Fund, provided you arequalified. This is a disposition for income taxpurposes. Switching units you hold in a non-registered account, including a BMO MatchMaker®

account, may result in a capital gain or capitalloss. Net capital gains are taxable.

BMO Global Tax Advantage FundsThere are two kinds of switches you can make:

• Switching between BMO Global Tax AdvantageFunds or series of the same BMO Global TaxAdvantage FundYou can switch your shares of one BMO GlobalTax Advantage Fund or series into shares ofanother BMO Global Tax Advantage Fund orseries of the same fund, provided you arequalified to hold the series you are switchinginto. This is called a conversion and is not adisposition for income tax purposes.

• Switching fundsYou can also switch your shares of a BMO GlobalTax Advantage Fund into securities of the sameseries or a different series of any BMO MutualFund that is not a BMO Global Tax AdvantageFund, provided you are qualified to hold theseries you are switching into. This switch is adisposition for income tax purposes. Switchingsecurities you hold in a non-registered accountmay result in a capital gain or capital loss. Netcapital gains are taxable.

BMO Monthly Dividend Fund Ltd.There are two kinds of switches you can make:

• Switching between series of BMO MonthlyDividend Fund Ltd.You can switch your shares of one series ofBMO Monthly Dividend Fund Ltd. into shares ofanother series of BMO Monthly Dividend FundLtd., provided you are qualified to hold the seriesyou are switching into. This is called a conversionand is not a disposition for income tax purposes.

• Switching fundsYou can also switch your shares of BMO MonthlyDividend Fund Ltd. into securities of the sameseries or a different series of any other BMOMutual Fund, provided you are qualified to holdthe series you are switching into. This is adisposition for income tax purposes. Switchingsecurities you hold in a non-registered accountmay result in a capital gain or capital loss. Netcapital gains are taxable.

Switching under the deferred charge optionsIf you are switching securities that you boughtunder either the Standard Deferred Charge optionor Low Load Deferred Charge option, you mustswitch into the same purchase option if you would


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like the new securities to continue the deferredcharge schedule of the securities that you haveswitched from. This is true if you switch betweenany BMO Mutual Funds.

Switching between purchase optionsSwitches between purchase options may involve achange in the compensation paid to your dealer andredemption fees. We do not recommend that youswitch between purchase options as it may result inadditional fees.

Switching between Series NBA and Series NBF securitiesYou may only switch into Series NBA and SeriesNBF securities through your Nesbitt Burns Advisor.

Redeeming fundsSee the table on page 251 for the minimum amountsneeded for redemptions. If you’re redeeming unitsof BMO Mortgage and Short-Term Income Fundworth more than $1 million, you must give us30 days’ notice in writing.

For your protection, you must sign your redemptionrequest and we may ask that your signature beguaranteed by a bank, trust company or your dealer.

If we have not received all the necessarydocumentation and/or information needed to settleyour redemption request within ten (10) businessdays, we are required under securities legislation topurchase the equivalent number of securities youasked to be redeemed as of the close of business onthe tenth business day. If the purchase price of thesecurities is less than the original redemption price,the fund will keep the difference. If the amount ofthe purchase price exceeds the original redemptionprice, we will pay the difference to the fund andmay seek reimbursement from your dealer,together with additional costs. Your dealer may beentitled to recover these amounts from you.

Redeeming securities you hold in a non-registeredaccount, including a BMO MatchMaker® account,may result in a capital gain or capital loss. You’llfind information about the taxation of securitiesheld in a non-registered account under Income taxconsiderations for investors.

When you may not be allowed to redeem your securitiesA fund may suspend your right to request aredemption for all or part of a period when:• normal trading is suspended on a stock, options

or futures exchange in Canada or outside Canadain which securities or derivatives that make upmore than 50% of the value or underlyingexposure of the fund’s total assets are traded, and

• those securities or derivatives are not traded onany other exchange that represents a reasonablealternative for the fund.

A fund may postpone a redemption payment forany period during which your right to request aredemption is suspended under the circumstancesdescribed above or with the approval of theCanadian securities regulators. A fund may notaccept orders for the purchase of securities duringany period when the redemption of its securitieshas been suspended.

Redeeming securities under the deferred charge optionsYou may be required to pay a redemption fee onsecurities bought under either of the deferredcharge options if you redeem the securities withinseven years after you purchase them under theStandard Deferred Charge option, or within threeyears after you purchase them under the Low LoadDeferred Charge option. This redemption fee is apercentage of the original cost of your investment,and declines at the rates shown on page 257 underFees and expenses. If you are redeeming securitiesthat were switched from another fund, the redemptionfee rate is based on the date the original securitieswere purchased in the other fund. With the deferredcharge options, your securities are redeemed in theorder they were purchased or deemed purchased.

Free redemption amountIn each calendar year, up to 10% of the securitiesyou hold under the Standard Deferred Chargeoption in a fund can either (i) be redeemed for cashwithout a redemption fee, or (ii) if not alreadyredeemed, redesignated as Sales Charge optionsecurities. This amount is the “Free RedemptionAmount” and is not cumulative, meaning that youcannot carry any unused amount forward to thenext calendar year. The Free Redemption Amountis not available for securities purchased under theLow Load Deferred Charge option. Securities boughtunder the Standard Deferred Charge option that areredesignated as part of the Free RedemptionAmount will, from the time they are re-designated,become subject to the higher level of service fees or


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trailing commissions that are applicable tosecurities purchased under the Sales Chargeoption. The service fees or trailing commissions forsecurities purchased under the Sales Charge optionare set out on pages 263 to 266.

More detailed rules regarding the calculation of theredemption fee are in the annual information formof the funds. The intent of these rules is to ensurethat you generally pay the lowest possible redemptionfee. The rules that apply to the securities you holdmay be different, depending on the year in whichyou purchased your securities. Because you mayhave purchased securities under one of thedeferred charge options in different years, possiblywith different rules in effect at those times, all ofyour securities may not have the same redemptionfees applied to them even if you redeem them at thesame time.

Optional services

This section tells you about the plans and servicesthat are available to BMO Mutual Funds investors.Call us toll free at 1-800-665-7700 or 1-800-668-7327or ask your dealer for full details.

Continuous Savings PlanYou can generally make weekly, bi-weekly, semi-monthly, monthly or quarterly investments in thefunds using our Continuous Savings Plan. Here’show the plan works:• you must meet the minimum requirements in the

table on page 250• we’ll automatically transfer money from your

bank account to buy securities of the funds youchoose

• if you choose the BMO U.S. Dollar Funds or anyfunds purchased in U.S. currency, we’ll withdrawmoney from your U.S. dollar bank account at aCanadian financial institution.

Averaging the cost of your investments

Making regular investments through ourContinuous Savings Plan can reduce the cost ofinvesting. Here’s how. Let’s say you invest $100in a fund each month. That money will buy moresecurities of the fund when prices are low andfewer securities when prices are high. Over time,this can mean a lower average cost per securitythan if you had made one lump-sum purchase.

The funds have received relief to permit dealers todeliver the fund facts once to participants in aContinuous Savings Plan upon their initialpurchases of securities of a fund and then notthereafter for subsequent purchases pursuant to theContinuous Savings Plan, unless they request it.You may request fund facts by calling us toll free at1-800-665-7700 if you purchased your securities ata BMO Bank of Montreal branch or through theBMO Investment Centre or toll free at 1-800-668-7327if you purchased your securities through a dealer.The simplified prospectus may also be found on theSEDAR website at www.sedar.com or on ourwebsites at www.bmo.com/mutualfunds, andwww.bmomutualfunds.com/advisor.

You do not have a statutory right to withdraw fromyour purchase of mutual funds pursuant to aContinuous Savings Plan, other than in respect ofyour initial purchase. However, you will continueto have all other statutory rights under securitieslaw, including certain rights if this simplifiedprospectus or any document incorporated byreference contains a misrepresentation (seepage 270 under What are your legal rights?),whether or not you request the fund facts. You will continue to have the right to terminate yourparticipation in a Continuous Savings Plan at anytime, upon providing notice to us at least four (4)business days before the next scheduledinvestment date.

Systematic Withdrawal PlanYou can withdraw money monthly, quarterly, semi-annually or annually from your funds using ourSystematic Withdrawal Plan. Here’s how the planworks:• you must hold your funds in a non-registered

account• you must meet the minimum requirements in the

table on page 251• we’ll redeem enough securities to withdraw money

from your account and make payments to you• if you hold funds in U.S. currency, we’ll either

deposit the payments directly to your U.S. dollarbank account at a Canadian financial institutionor we’ll mail a cheque to you.

If you withdraw more than your funds are earning,you’ll reduce your original investment and may useit up altogether.


Registered plansYou may purchase securities through registeredplans offered by us or other institutions, subject tocertain restrictions. You should consult your taxadvisor about the special rules that apply to eachparticular registered plan, including whether or notan investment in a fund would be a prohibitedinvestment for your registered plan.

We can also set up a RRSP, RRIF, one of the varioustypes of locked-in RRSPs or RRIFs, RESP, TFSA orRDSP for you. See Fees and expenses for fees thatmay apply. No BMO registered plans set up throughBMO Bank of Montreal branches or through theBMO Investment Centre and no RESP and RDSPregistered plans set up as indicated above orthrough a dealer can hold units of any of the BMOU.S. Dollar Funds or any funds purchased in U.S.currency. BMO registered plans set up throughdealers can hold units of any of the BMO U.S. DollarFunds and any funds purchased in U.S. currency.

BMO MatchMaker® Investment ServiceBMO MatchMaker® helps you match yourinvestment goals and risk tolerance to one of ourstrategic BMO Mutual Fund portfolios or savingsportfolios. You pay no fee for this service. Here’show it works:• Your contributions will be allocated automatically

among the investments in the portfolio you’vechosen, based on the weighting designated foreach investment within that portfolio

• If you choose a strategic portfolio, it will bereviewed during the last month of each calendarquarter (i.e., March, June, September andDecember). If the percentage weighting of anysingle mutual fund held in your portfolio variesby more than its set target range, all of the mutualfunds in your portfolio will be automaticallyrebalanced by switching securities among the fundsto return them to their target ranges, at or nearthe end of the quarter. The set target ranges forthe portfolios are listed in the table below. Pleasesee Income tax considerations for investors.

• We have obtained regulatory relief to permitBMOAM to review the make up of each of thestrategic and savings portfolios on a periodicbasis. Pursuant to this relief, BMOAM willexercise limited discretionary authority to makechanges in your portfolio upon such periodicreviews by changing the percentage weightings offunds (and GICs in the case of savings portfolios)

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in, and/or adding and/or removing funds from,each portfolio with a view to optimizing yourreturn while having regard to your tolerance forrisk. You should not opt for a BMO MatchMaker®

portfolio if you are not willing to have BMOAMexercise such limited discretionary authorityover your portfolio. There will be no charge forthis feature of the BMO MatchMaker® service.

The BMO MatchMaker® Investment Service is onlyoffered through BMO Bank of Montreal branchesand the BMO Investment Centre.

BMO Intuition® Investment ServiceBMO Intuition®, one of our RESP products, offersyou a choice of several strategic portfolios and asavings portfolio. You pay no fee for this service.Here’s how it works:• Your contributions will be allocated among the

investments in the portfolio you’ve chosen, basedon the weighting designated for each investmentwithin that portfolio

• If you choose a strategic portfolio, it will bereviewed during the last month of each calendarquarter (i.e., March, June, September andDecember). If the percentage weighting of anysingle mutual fund held in your portfolio variesby more than its set target range, all of the mutualfunds in your portfolio will be automaticallyrebalanced to return them to their target ranges, ator near the end of the quarter. The set target rangesfor the portfolios are listed in the table below

• We have obtained regulatory relief to permitBMOAM to review the make up of each of thestrategic and savings portfolios on a periodicbasis. Pursuant to this relief, BMOAM willexercise limited discretionary authority to makechanges in your portfolio upon such periodicreviews by changing the percentage weightingsof funds (and GICs in the case of savingsportfolios) in, and/or adding and/or removingfunds from, each portfolio with a view tooptimizing your return while having regard toyour tolerance for risk. You should not opt for aBMO Intuition® portfolio if you are not willing tohave BMOAM exercise such limited discretionaryauthority over your portfolio. There will be nocharge for this feature of the BMO Intuition® service.

BMO Intuition® Investment Service is only offeredthrough BMO Bank of Montreal branches and theBMO Investment Centre.


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Rebalancing targets for BMO MatchMaker® InvestmentService and BMO Intuition® Investment Service As described above, one of the primary benefits ofinvesting in a strategic portfolio under either BMOMatchMaker® Investment Service or BMO Intuition®

Investment Service is the automatic rebalancing ofyour portfolio to help ensure that your portfoliocontinues to provide the best potential returns foryour level of risk tolerance. However, your portfoliowill only be automatically rebalanced if thepercentage weightings of at least one of the mutualfunds held in your portfolio varies by more than itsset target range. The set target ranges for the mutualfunds held in each strategic portfolio are listed inthe table below.

BMO MatchMaker® Investment Service Set Target Range forStrategic Portfolios Automatic Rebalancing

BMO MatchMaker® Income Portfolio Plus or minus 2.0%

BMO MatchMaker® Balanced Portfolio Plus or minus 3.0%

BMO MatchMaker® Growth Portfolio Plus or minus 4.0%

BMO MatchMaker® Equity Growth Portfolio Plus or minus 4.5%

BMO Intuition® Investment Service Set Target Range forStrategic Portfolios Automatic Rebalancing

BMO Intuition® RESP Income Portfolio Plus or minus 2.0%

BMO Intuition® RESP Balanced Portfolio Plus or minus 3.0%

BMO Intuition® RESP Growth Portfolio Plus or minus 4.0%

BMO Intuition® RESP Equity Growth Portfolio Plus or minus 4.5%

For more information about our BMO MatchMaker®

or Intuition® investment services, including detailson the mutual funds held in the various strategicportfolios, please visit our website atwww.bmo.com/mutualfunds, call us toll free at 1-800-665-7700, or visit your nearest Bank ofMontreal branch.

BMO Mutual Funds Allocation Averaging Program Under this program, which is available only throughdealers, you can arrange for regular (monthly,quarterly, semi-annual or annual) transfers from alump sum investment in a BMO Money MarketFund or BMO U.S. Dollar Money Market Fund to amaximum of five other funds of your choice. Theminimum initial investment is $5,000 and theminimum transfer amount to any one fund eachtime is $50.

BMO Mutual Funds Distribution Transfer ProgramUnder this program, which is available onlythrough dealers, you can arrange to havedistributions made by one fund automaticallyreinvested in another fund or funds within thesame series and currency. The reinvestment will beprocessed and trade dated on the same valuationdate. This service is not available to investors whohold their securities in a registered plan.


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If the basis of the calculation of a fee or expense thatis charged to any other series of a fund is changed ina way that could result in an increase in charges to theseries or to securityholders of these series or if a feeor expense, to be charged directly to securityholdersof these series by the fund or by us in connectionwith the holding of securities of such series of thefund, is introduced, and if this fee or expense ischarged by an entity that is at arm’s length to thefund, then the approval of securityholders of suchseries will not be obtained. In the cases above,securityholders of such series will be sent a writtennotice of the change at least 60 days prior to theeffective date.

If a fund holds securities of an underlying fund, feesand expenses are payable by the underlying fund inaddition to the fees and expenses payable by the fund.No management fees or incentive fees are payableby a fund that, to a reasonable person, wouldduplicate a fee payable by an underlying fund forthe same service. No sales fees or redemption feesare payable by the fund in relation to its purchasesor redemptions of the underlying fund that, to areasonable person, would duplicate a fee payableby an investor in the fund. Further, except in caseswhere we have obtained exemptive relief, no salesor redemption fees are payable by a fund in relationto its purchases or redemptions of the securities ofan underlying fund if we or one of our affiliates orassociates manage the underlying fund. SeeAdditional information for more details.

Fees and expenses

The following table shows the fees and expensespayable by the funds and the fees and expenses youmay have to pay if you invest in the funds. Fees arepaid by the funds before they calculate their priceper security. These fees indirectly reduce the valueof your investment.

In general, the approval of securityholders will notbe obtained if the basis of the calculation of a fee orexpense that is charged to Series A, Series F, Series D,Series I, Series NBF, Series O, Series L, Series M andNo Load Series T6 securities of a fund (or is chargeddirectly to securityholders of these series by the fundor by us in connection with the holding of securitiesof such series of the fund) is changed in a way thatcould result in an increase in charges to the series orto securityholders of such series or if a fee or expense,to be charged to Series A, Series F, Series D, Series I,Series NBF, Series O, Series L, Series M and No LoadSeries T6 securities of a fund (or to be chargeddirectly to securityholders of these series by the fundor by us in connection with the holding of securitiesof such series of the fund) that could result in anincrease in charges to the series or to securityholdersof such series, is introduced. In the cases above,securityholders of such series will be sent a writtennotice of the change at least 60 days prior to theeffective date.

Fees and expenses payable by the funds

Management fees Each fund pays us a fee for our management services. For this management fee,various services are provided to the funds, such as investment management andadvisory services, sales and trailing commissions to registered dealers on thedistribution of the funds’ securities, and other services that include but are notlimited to advertising and promotional services, office overhead expenses relatedto the Manager’s activities, and all other services necessary or desirable toconduct and operate the funds’ business in an efficient manner.

The management fee for each series is expressed as a percentage of the dailyNAV of the series and varies by fund and series. The fee is calculated daily andpayable monthly. You’ll find the maximum management fee for the series of eachfund in the Fund details section. Series F, Series NBF, Series O and Series Lsecurities have lower management fees than other series since we do not payservice fees on Series F, Series NBF, Series O and Series L securities. Series Dsecurities have lower management fees than other series since we pay reduced


258

trailing commission to discount brokerages on Series D securities. For Series Isecurities, separate fees are negotiated and paid for each Series I investor, whichwill not exceed the rate charged to the Advisor Series or Series A of that fund. ForSeries N, investors pay a separate fee directly to their dealer, a portion of which ispaid to us as Manager; such portion will not exceed the management fee rate chargedin connection with Series F of that fund. The Series N fee is set by the dealer.

For each series, we may, at our discretion, waive a portion or the entire amountof the management fee chargeable at any given time.

Management fees are subject to applicable taxes.

Depending on several factors, we may reduce or rebate all or a portion of themanagement fee for certain investors in a fund. These factors include the valueof an investment in the fund and the nature of an investment, such as largeinvestments by institutional investors. See Fees and Expenses in the funds’annual information form.

All fundsExcept as described below under the heading Variable Admin BMO Mutual Funds,the manager pays certain operating expenses of each fund including audit andlegal fees and expenses; custodian and transfer agency fees; costs attributableto the issue, redemption and change of securities, including the cost of thesecurityholder record keeping system; expenses incurred in respect of preparingand distributing prospectuses, financial reports and other types of reports, statementsand communications to securityholders; fund accounting and valuation costs; filingfees, including those incurred by the manager (collectively the “AdministrationExpenses”). In return, each fund pays a fixed administration fee to the manager.The administration fee may vary by fund and is a fixed annual percentage of theaverage net assets of the fund.

See the Administration fee information in the Fund details table for each fund. ForSeries I securities of the funds, separate fee and expense arrangements arenegotiated with each Series I investor. The combined management and administrativefees for Series I will not exceed the management fee charged to the Advisor Seriesor Series A of a fund.

Administration fees are subject to applicable taxes.

Each fund also pays certain operating expenses directly (“Fund Expenses”),including expenses incurred in respect of preparing and distributing fund facts;interest or other borrowing expenses; all reasonable costs and expenses incurredin relation to compliance with NI 81-107, including compensation and expensespayable to IRC members and any independent counsel or other advisors employedby the IRC, the costs of the orientation and continuing education of IRC membersand the costs and expenses associated with IRC meetings; taxes of all kinds to whichthe fund is or might be subject; and costs associated with compliance with anynew governmental or regulatory requirement introduced after December 1, 2007.Funds that offer more than one series of securities allocate Fund Expensesproportionately among the series. Fund Expenses that are specific to a series areallocated to that series. For Series I securities of the funds, separate fee andexpense arrangements are negotiated with each Series I investor.

Certain Fund Expenses are subject to applicable taxes. The fixed administration feeand Fund Expenses are included in the management expense ratios of the funds.

Fees and expenses payable by the funds (continued)

Management fees(continued)

Operating expenses


Variable Admin BMO Mutual FundsApplicable to:• BMO Floating Rate Income Fund• BMO Growth & Income Fund• BMO High Yield Bond Fund• BMO Monthly Dividend Fund Ltd. • BMO Monthly High Income Fund II• BMO Canadian Large Cap Equity Fund• BMO Global Growth & Income Fund• BMO Global Small Cap Fund• BMO Asian Growth and Income Fund• BMO Canadian Diversified Monthly Income Fund• BMO Global Diversified Fund• BMO Bond Fund (Series NBA and Series NBF only)• BMO Asset Allocation Fund (Series NBA only)• BMO U.S. Equity Fund (Series NBA and Series NBF only)• BMO Canadian Stock Selection Fund (Series NBA and Series NBF only)• BMO International Value Fund (Series NBA and Series NBF only)• BMO FundSelect® Balanced Portfolio (Series NBA only)• BMO FundSelect® Growth Portfolio (Series NBA only)• BMO FundSelect® Equity Growth Portfolio (Series NBA only)(collectively, the “Variable Admin BMO Mutual Funds”)

Each Variable Admin BMO Mutual Fund pays all of its operating expensesdirectly. These operating expenses include Administration Expenses and FundExpenses. The Variable Admin BMO Mutual Funds allocate these operatingexpenses proportionately among their series. Operating expenses that arespecific to a series are allocated to that series. For each series of a Variable AdminBMO Mutual Fund, we may, at our discretion, absorb all or a portion of theseoperating expenses at any given time. For Series I securities of the funds, separatefee and expense arrangements are negotiated with each Series I investor.

In addition, the operating expenses (excluding portfolio commissions) of SeriesNBA and Series NBF of the funds listed in the following table have been capped atthe amounts set forth below, which cap cannot be changed without agreement ofthe fund and the manager and on 60 days’ written notice to unitholders of theapplicable series.

259


Operating expenses(continued)

Operating Fund Series Expenses Cap

BMO Bond Fund NBA and NBF 0.25%

BMO Asset Allocation Fund NBA 0.50%

BMO U.S. Equity Fund NBA and NBF 0.50%

BMO Canadian Stock Selection Fund NBA and NBF 0.50%

BMO International Value Fund NBA and NBF 0.50%

BMO FundSelect® Balanced Portfolio NBA As incurred

BMO FundSelect® Growth Portfolio NBA As incurred

BMO FundSelect® Equity Growth Portfolio NBA As incurred


260

Operating expenses(continued)

Sales charges

Switch fees

Redemption fees

Standard DeferredCharge schedule

Certain operating expenses are subject to applicable taxes. The operatingexpenses paid by the Variable Admin BMO Mutual Funds are included in themanagement expense ratio of the funds.

IRC fees and expensesEach IRC member receives compensation for the duties he or she performs as anIRC member. The annual retainer for each IRC member (other than the Chair) inrespect of all of the BMO Mutual Funds is approximately $52,749; the annualretainer for the Chair is approximately $78,161. In addition, each IRC member isentitled to the reimbursement of all reasonable expenses in connection with hisor her duties as an IRC member.

The manager will not reimburse the funds for any costs incurred in relation tocompliance with NI 81-107.

For securities purchased under the Sales Charge option:

All funds (other than money market funds and Series NBA securities): 0-5% of the amount you invest.Money market funds: 0-2% of the amount you invest.Series NBA securities: 0-4% of the amount you invest.

For securities purchased under the deferred charge options: None

0-2% of the amount you switch

For securities purchased under the Sales Charge option: None

For securities purchased under the deferred charge options:You pay a redemption fee at the following rates if you redeem your securitiesduring the time periods specified. The redemption fee is a percentage of theoriginal cost of the securities you are redeeming.

During the followingperiods after purchase Redemption feeFirst year 6.0%Second year 5.5%Third year 5.0%Fourth year 4.5%Fifth year 4.0%Sixth year 3.0%Seventh year 2.0%Thereafter Nil


Fees and expenses payable directly by youFor fees and expenses payable directly by you, the applicable rate of GST, HST or QST, as applicable,will be determined based on your province of residence.


261

Fees and expenses payable directly by you (continued)

During the followingperiods after purchase Redemption feeFirst year 3.0%Second year 2.0%Third year 1.0%Thereafter Nil

For Series I securities, separate fees are negotiated and paid by each Series I investor.

Series N investors pay a separate fee directly to their dealer. This fee is set bythe dealer.

Short-term trading by investors may adversely affect all investors in a fund. To discourage short-term trading, a fund may, at our sole discretion, charge ashort-term trading penalty of up to 2% of the amount that you redeem or switch ifyou buy or switch and then redeem or switch securities of the fund within 30 daysof purchasing or switching them. This penalty will be paid directly to the fund.While this penalty generally will be paid out of the redemption proceeds of thefund in question, we have the right to redeem such other funds in any of youraccounts without further notice to pay this penalty. We may in our sole discretiondecide which securities will be redeemed in such manner as we may determine.You will be responsible for any costs and expenses, as well as any taxconsequences, resulting from the collection of this penalty. We may waive thispenalty at any time. Please see Short-term trading on page 248.

An annual administration fee of $10 (plus applicable taxes) is charged for eachRRSP and RESP account. This may be different if you invest through a dealerother than us.

A fee of $50 (plus applicable taxes) may be applied to a registered plan account ifand at such time as you transfer it, in whole or in part, to another institution. Thismay be different if you invest through a dealer other than us.

Continuous Savings Plan – NoneSystematic Withdrawal Plan – NoneBMO MatchMaker® Investment Service – NoneBMO Intuition® Investment Service – NoneBMO Distribution Transfer Program – NoneYour dealer may charge a fee for similar servicesDishonoured payments – $25 (plus applicable taxes)

Low Load DeferredCharge schedule

Series I fees

Series N fees

Short-term trading fee

Registered plan fees

Other fees andexpenses


262

Impact of sales chargesCertain series of the funds, including Series A, NoLoad Series T6, Series F, Series D, Series I, Series L,Series M, Series N, Series NBF and Series O are noload. That means you pay no sales or redemptioncharges on these transactions.

The following table shows the maximum amount of fees that you would have to pay if you made aninvestment of $1,000 in Series A, No Load Series T6,Series F, Series D, Series I, Series L, Series M,Series N, Series NBF and Series O securities of a fund, held that investment for one, three, five or ten years and redeemed immediately before the end of the period.

The following table also shows the maximumamount of fees that you would have to pay under thedifferent purchase options available to you if youmade an investment of $1,000 in Series T5, LoadSeries T6, Series T8, Series NBA, Advisor Series orClassic Series securities of a fund, if you held thatinvestment for one, three, five or ten years andredeemed immediately before the end of thatperiod. The fees under the Sales Charge option arenegotiable with your dealer.

At One Three Five Tenpurchase Year Years Years Years

No Load option(1) none none none none none

Sales Charge option(2)

(other than Series NBA securities) $50.00 n/a n/a n/a n/a

Sales Charge option(2)

(Series NBA securities) $40.00 n/a n/a n/a n/a

Standard Deferred Charge option(3) n/a $60.00 $50.00 $40.00 n/a

Low Load Deferred Charge option(3) n/a $30.00 $10.00 n/a n/a

(1) Applicable to Series A, No Load Series T6, Series F, Series D, Series I, Series L,Series M, Series N, Series NBF, and Series O securities of the funds.

(2) Series NBA and Classic Series securities are only available under the SalesCharge option.

(3) Redemption fees may apply if you redeem your Series T5, Load Series T6, Series T8or Advisor Series securities within seven years of purchase under the StandardDeferred Charge option or within three years of purchase under the Low LoadDeferred Charge option, as shown under Fees and expenses above. Theredemption fee is based upon the original cost of your investment. For purposesof the table, no reinvestments of income or capital gains distributions have beenassumed. Up to 10% of your investment may be redeemed or re-designated asSales Charge option securities in each calendar year without a redemption feeexcept for securities purchased under the Low Load Deferred Charge option. ThisFree Redemption Amount is not reflected in the numbers shown above. Pleasesee page 253 for more information on the Free Redemption amount.


263Dealer compensation

We pay sales commissions to some Bank of Montrealemployees.

Sales commissionsIf you buy Series T5, Load Series T6, Series T8 orAdvisor Series securities under the Sales Chargeoption, you pay your dealer a sales commission atthe time of purchase. The maximum amount of thecommission is 5% of the amount you invest infunds other than money market funds and 2% ofthe amount you invest in money market funds. Thesales commission is negotiable between you andyour dealer.

If you buy Series T5, Load Series T6, Series T8 orAdvisor Series securities under the StandardDeferred Charge option, we pay your dealer a salescommission of 5% of the amount you invest. If youbuy Series T5, Load Series T6, Series T8 or AdvisorSeries securities under the Low Load DeferredCharge option, we pay your dealer a commission of2% of the amount you invest. The commissions wepay to your dealer for securities purchased underthe deferred charge options are not negotiable.

If you buy Series NBA securities under the SalesCharge option, you pay your Nesbitt Burns Advisora sales commission at the time of purchase. Themaximum amount of the commission is 4% of

the amount you invest. The sales commission isnegotiable between you and your Nesbitt BurnsAdvisor.

Sales commissions are not paid when you switchbetween funds, but a switch fee of up to 2% may becharged by your dealer. This fee may be negotiatedbetween you and your dealer. No commissions arepaid when you receive securities from reinvesteddistributions.

Service feesFor certain series of the funds, out of the managementfees that we receive, we pay your registered dealer(including discount brokers for securities youpurchase through your discount brokerage account)a service fee or trailing commission, calculateddaily and paid monthly or quarterly at the option ofthe dealer. The service fee is a percentage of theaverage daily value of the securities you hold. Theservice fee varies by fund and by purchase option.We do not pay service fees on Series F, Series I,Series L, Series N, Series NBF or Series O securities.The following tables provide a summary of themaximum annual service fee we pay to your dealer onSeries A, Series T5, Series T6, Series T8, Series NBA,Advisor Series, Classic Series and Series M securities.

BMO Money Market Fund — up to 0.20 — 0.20 — 0.20 0.20

BMO Balanced Yield Plus ETF Portfolio 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Bond Fund 0.15 up to 0.60 up to 0.50 0.60 — 0.25 0.50

BMO Canadian Diversified Monthly Income Fund — — — 1.00 — 0.50 1.00

BMO Core Bond Fund 0.15 up to 0.50 — 0.50 — 0.25 0.50

BMO Core Plus Bond Fund 0.15 up to 0.50 — 0.50 — 0.25 0.50

BMO Diversified Income Portfolio — up to 1.00 — — — — —

BMO Emerging Markets Bond Fund 0.20 up to 0.75 — 0.75 — 0.25 0.75

BMO Fixed Income Yield Plus ETF Portfolio 0.15 up to 0.75 — 0.75 — 0.25 0.50

BMO Floating Rate Income Fund 0.20 up to 0.75 — 0.75 — 0.25 0.50

BMO Global Diversified Fund — — — 1.00 — 0.50 1.00

BMO Global Monthly Income Fund — up to 1.00 — — — — —

Service Fee (%) (as applicable)

No Load

Maximumannual feeSeries D

Maximumannual feeSeries A, No Load Series T6

and Series M

Sales Charge option

(Advisor Series, Series T5, LoadSeries T6, Series T8, Series NBA and Classic Series are availableunder the Sales Charge option)

Deferred Chargeoptions

(Advisor Series, Series T5,Load Series T6 and SeriesT8 are available under theDeferred Charge options)

Maximumannual

fee SeriesNBA

Advisor Series,Series T5,

Load Series T6 and Series T8

ClassicSeries

StandardDeferredChargeoption*

Low LoadDeferredChargeoptionFund


BMO Global Strategic Bond Fund 0.20 up to 0.75 — 0.75 — 0.25 0.50

BMO Growth & Income Fund — — — 1.00 0.25 0.50 1.00

BMO High Yield Bond Fund — — — 0.75 — 0.25 0.50

BMO Laddered Corporate Bond Fund — up to 0.50 — 0.50 — 0.25 0.50

BMO Monthly Dividend Fund Ltd. — — — 1.00 0.25 0.50 1.00

BMO Monthly High Income Fund II 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Monthly Income Fund 0.25 up to 0.60 — — — — —

BMO Mortgage and Short-Term Income Fund — up to 0.60 — 0.50 — 0.25 0.25

BMO Preferred Share Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Tactical Global Bond ETF Fund 0.15 up to 0.50 — 0.50 — 0.25 0.50

BMO U.S. High Yield Bond Fund 0.20 up to 0.75 — 0.75 — 0.25 0.50

BMO World Bond Fund — up to 0.60 — 0.75 — 0.25 0.50

BMO Asian Growth and Income Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Asset Allocation Fund 0.25 up to 1.00 up to 1.00 1.00 — 0.50 1.00

BMO Canadian Equity ETF Fund 0.15 up to 0.50 — — — — —

BMO Canadian Equity Fund 0.25 up to 1.00 — — — — —

BMO Canadian Large Cap Equity Fund — up to 1.00 — 1.00 — 0.50 1.00

BMO Canadian Stock Selection Fund 0.25 up to 1.00 up to 1.00 1.00 — 0.50 1.00

BMO Dividend Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Enhanced Equity Income Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO European Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Global Balanced Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Global Dividend Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Global Equity Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Global Growth & Income Fund — — — 1.00 — 0.50 1.00

BMO Global Infrastructure Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Growth Opportunities Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO International Equity ETF Fund 0.15 up to 0.50 — — — — —

BMO International Value Fund 0.25 up to 1.00 up to 1.00 1.00 — 0.50 1.00

BMO North American Dividend Fund — up to 1.00 — 1.00 — 0.50 1.00

BMO Tactical Dividend ETF Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Tactical Balanced ETF Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Tactical Global Equity ETF Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO U.S. Dividend Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO U.S. Equity ETF Fund 0.15 up to 0.50 — — — — —

BMO U.S. Equity Fund 0.25 up to 1.00 up to 1.00 1.00 — 0.50 1.00

BMO U.S. Equity Plus Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Canadian Small Cap Equity Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Emerging Markets Fund 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Global Small Cap Fund — up to 1.00 — 1.00 — 0.50 1.00

BMO Precious Metals Fund — up to 1.00 — 1.00 — 0.50 1.00

BMO Resource Fund — up to 1.00 — 1.00 — 0.50 1.00

BMO Fixed Income ETF Portfolio 0.15 up to 0.50 — 0.50 — 0.25 0.50

264 Service Fee (%) (as applicable)

No Load



and Series M

Sales Charge option




Maximumannual

fee SeriesNBA



ClassicSeries




BMO Income ETF Portfolio 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Conservative ETF Portfolio 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Balanced ETF Portfolio 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Growth ETF Portfolio 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO Equity Growth ETF Portfolio 0.25 up to 1.00 — 1.00 — 0.50 1.00

BMO U.S. Dollar Balanced Fund — up to 1.00 — 1.00 — 0.50 1.00

BMO U.S. Dollar Dividend Fund — up to 1.00 — 1.00 — 0.50 1.00

BMO U.S. Dollar Equity Index Fund — up to 0.50 — — — — —

BMO U.S. Dollar Money Market Fund — up to 0.20 — 0.20 — 0.20 0.20

BMO U.S. Dollar Monthly Income Fund — up to 1.00 — 1.00 — 0.50 0.50

BMO Asian Growth and Income Class — — — 1.00 — 0.50 1.00

BMO Canadian Equity Class — up to 1.00 — 1.00 — 0.50 0.50

BMO Canadian Tactical ETF Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Dividend Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Global Dividend Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Global Energy Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Global Equity Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Global Tactical ETF Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Greater China Class — up to 1.00 — 1.00 — 0.50 1.00

BMO International Value Class — up to 1.00 — 1.00 — 0.50 1.00

BMO LifeStage 2017 Class — up to 1.00 — 1.00 — 0.50 1.00






BMO Short-Term Income Class — up to 0.20 — 0.50 — 0.25 0.25

BMO U.S. Equity Class — — — 1.00 — 0.50 1.00

BMO SelectClass® Income Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO SelectClass® Balanced Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO SelectClass® Growth Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO SelectClass® Equity Growth Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO Income ETF Portfolio Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Balanced ETF Portfolio Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Growth ETF Portfolio Class — up to 1.00 — 1.00 — 0.50 1.00

BMO Equity Growth ETF Portfolio Class — up to 1.00 — 1.00 — 0.50 1.00

BMO LifeStage Plus 2022 Fund — up to 0.75 — 0.90 — 0.35 0.35




BMO FundSelect® Income Portfolio — up to 1.00 — — — — —

BMO FundSelect® Balanced Portfolio — up to 1.00 up to 1.00 — — — —

BMO FundSelect® Growth Portfolio — up to 1.00 up to 1.00 — — — —

265Service Fee (%) (as applicable)

No Load



and Series M

Sales Charge option




Maximumannual

fee SeriesNBA



ClassicSeries




266

Other sales incentivesWe’ll pay for any new compensation programs thatwe may introduce as well as a portion of marketingand educational programs; neither the funds northeir securityholders pay for any compensationprograms.

Sales incentive programsWe pay for marketing materials we give to dealersto help support their sales efforts. We may alsoshare with dealers up to 50% of their costs inmarketing the funds.

We may pay up to 10% of the costs of some dealersto hold educational seminars or conferences fortheir representatives to teach them about, amongother things, new developments in the mutual fundindustry, financial planning or new financialproducts. The dealer makes all decisions aboutwhere and when the conference is held and whocan attend.

We may arrange seminars for representatives of thedealers where we inform them about newdevelopments in our mutual funds, our productsand services and mutual fund industry matters. Weinvite dealers to send their representatives to our

seminars and we do not decide who attends. Therepresentatives must pay their own travel,accommodation and personal expenses inconnection with attending our seminars.

Equity interestsBank of Montreal Holding Inc. owns 100% of theissued shares of the manager. Bank of MontrealHolding Inc. is a wholly-owned subsidiary of Bankof Montreal. BMO Nesbitt Burns Inc. and BMOInvestorLine Inc., both indirect wholly-ownedsubsidiaries of Bank of Montreal, may sellsecurities of the funds. Such sales are made on thesame basis as those made by other dealers, with nopreferential compensation.

Dealer compensation frommanagement fees

During the manager’s financial year endedOctober 31, 2014, we paid approximately 11.06%of total management fees we received to registereddealers in sales and service commissions for sellingBMO Mutual Funds.

BMO FundSelect® Equity Growth Portfolio — up to 1.00 up to 1.00 — — — —

BMO SelectTrust™ Fixed Income Portfolio — up to 0.50 — 0.50 — 0.25 0.50

BMO SelectTrust™ Income Portfolio — up to 0.75 — 0.75 — 0.375 0.75

BMO SelectTrust™ Conservative Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO SelectTrust™ Balanced Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO SelectTrust™ Growth Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO SelectTrust™ Equity Growth Portfolio — up to 1.00 — 1.00 — 0.50 1.00

BMO Target Education Income Portfolio 0.10 up to 0.20 — — — — —

BMO Target Education 2020 Portfolio 0.15 up to 0.75 — — — — —




* If you purchased your securities under the Standard Deferred Charge option on or after July 4, 2008 and after the redemption fee schedule applicable to those securitiesis complete, the service fee rate we pay your dealer will increase to the rate applicable to securities of the same fund purchased under the Sales Charge option.

Service Fee (%) (as applicable)

No Load



and Series M

Sales Charge option




Maximumannual

fee SeriesNBA



ClassicSeries




267Income tax considerations for investors

This is a general summary of the current Canadianfederal income tax rules applicable to you as aninvestor in the funds. This summary assumes thatyou are a Canadian resident individual (otherthan a trust) who holds securities of the fundsdirectly as capital property or in a registeredplan. This summary is not intended to be legal ortax advice. More information is contained in thefunds’ annual information form.

We have tried to make this summary easy tounderstand. As a result, we cannot be technicallyprecise, or cover all the tax consequences thatmay apply. We suggest that you consult your taxadvisor for details about your situation.

How the funds make moneyMutual funds make money in a number of ways,including:• Earning income in the form of interest,

dividends, income distributions from a trust,gains and losses from derivatives and other typesof returns from investment

• Realizing capital gains when they sell aninvestment for more than its ACB. Mutual fundscan also realize a capital loss when they sell aninvestment for less than its ACB.

A mutual fund is required to calculate its incomeand capital gains in Canadian dollars. So, when amutual fund sells a foreign denominated security orwhen that security matures, the mutual fund mayrealize a capital gain or capital loss as a result of achange in the value of the foreign currency relativeto the Canadian dollar. In particular, BMO U.S. DollarMoney Market Fund may realize and distributecapital gains as a result of a change in the value ofthe U.S. dollar relative to the Canadian dollar.

The funds treat gains and losses realized on futures,forward contracts, options and other derivatives asordinary income and losses or as capital gains andcapital losses, depending on the circumstances.The funds treat gains and losses from the dispositionof commodities such as precious and other metalsand minerals as income and losses rather thancapital gains and capital losses. The tax treatmentof any amount received by a BMO LifeStage PlusFund from Bank of Montreal pursuant to the Sub-Advisory Agreement in order to cover a Shortfall isuncertain. Capital losses may be denied orsuspended and therefore, unavailable to sheltercapital gains. For example, a capital loss may besuspended if a capital loss is realized on the sale of

an investment and an identical investment isacquired within a period that begins 30 days beforeand ends 30 days after the day that the loss wasrealized. This is more likely to occur to a fund thatis part of BMO Global Tax Advantage Funds Inc. orto a fund that invests in underlying funds. There areother loss restriction rules that may prevent a fundfrom deducting losses.

If you hold units – Each year, each fund willdistribute enough of its net income and net realizedcapital gains so that the fund will not be subject tonormal income tax. The fund flows its taxableincome through to investors in the form ofdistribution. Investors are generally taxed on thisincome as if they earned it directly.

If you hold shares – BMO Monthly Dividend FundLtd. and BMO Global Tax Advantage Funds Inc.will each typically pay enough ordinary dividendsand capital gains dividends so that the corporationwill not pay Part IV tax on its Canadian sourcedividend income or normal income tax on its netrealized capital gains. Generally, BMO MonthlyDividend Fund Ltd. and each BMO Global TaxAdvantage Fund flow their Canadian sourcedividend income through to investors in the form of ordinary dividends and their net realized capitalgains in the form of capital gains dividends.Investors are taxed on capital gains dividends in the same way as capital gains.

BMO Monthly Dividend Fund Ltd. and BMO GlobalTax Advantage Funds Inc. will pay tax on other typesof income if that income is more than the corporation’sdeductible expenses and investment losses. Othertypes of income include interest, foreign sourcedividends, income distributions from a trust andincome gains from short sales and certain derivatives.

We keep track of the assets and liabilities of eachBMO Global Tax Advantage Fund separately, butfor tax purposes the corporation must calculateits net income, net realized capital gains, taxcredits, tax refunds and tax liability as a singlecorporation. As a result, the ordinary dividendsand capital gains dividends paid to you on yoursecurities of a BMO Global Tax Advantage Fundcan be expected to be different than the amountyou would have received if that fund was a stand-alone fund. To explain, if the expenses or investmentlosses of a BMO Global Tax Advantage Fund in ayear are more than its income for that year, it maybe necessary to deduct those expenses against the


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income or capital gains of another BMO Global TaxAdvantage Fund. In this way, the expenses or lossesfrom one fund may reduce the income or capitalgains of another fund, thus reducing the tax liabilitythat would otherwise be attributed to that other fundor reducing the capital gains dividends that theother fund would be required to pay to eliminate itstax liability. Also, the total amount of capital gainsdividends that BMO Global Tax Advantage FundsInc. would need to pay to eliminate its tax liability onall of its net realized capital gains will be affectedby a number of things, including the level ofredemptions of all securities of all BMO Global TaxAdvantage Funds, the net accrued capital gains onthe assets of all BMO Global Tax Advantage Funds,and earlier recognition of accrued gains and losseson the assets of BMO Global Tax Advantage Fundsbecause of switching between the BMO Global TaxAdvantage Funds.

Portfolio turnoverIn general, the higher a fund’s portfolio turnoverrate, the greater the chance that you will receive acapital gains distribution or capital gains dividend.Any capital gains realized would be offset by anycapital losses realized on portfolio transactions.There is not necessarily a relationship between ahigh turnover rate and the performance of a fund.

How your investment is taxedHow you are taxed on your investment in the fundsdepends on whether you hold securities of a fund inyour registered plan or your non-registered account.

Registered plansIf securities of a fund are held in your registeredplan, generally, neither you nor your registeredplan is subject to tax on distributions or dividendspaid on those securities or on capital gains realizedwhen those securities are redeemed or switched.However, even when securities of a fund are aqualified investment for your registered plan, youmay be subject to tax if a security held in your RRSP,RRIF or TFSA is a “prohibited investment” for yourregistered plan.

You will generally be subject to a 50% potentiallyrefundable tax on the value of a prohibited investmentheld in your RRSP, RRIF or TFSA and a 100% tax onincome attributable to and capital gains realized onthe disposition (or deemed disposition) of thatprohibited investment. However, under a safeharbour for newly established mutual funds, thesecurities of a fund will not be a prohibitedinvestment for an RRSP, RRIF or TFSA at any time

during the first 24 months of existence if the fund isa mutual fund trust or a class of a mutual fundcorporation or a registered investment and followsa reasonable policy of investment diversificationthroughout that period. You should consult yourtax advisor about the special rules that apply toeach particular registered plan, including whetheror not an investment in a fund would be a prohibitedinvestment for your RRSP, RRIF or TFSA.

Non-registered accountsIf securities are held in your non-registered account,you must include in your income for a taxationyear, the taxable portion of all distributions(including management fee distributions) paid orpayable to you by a fund and the taxable portion ofall dividends paid to you by a fund during the year,whether you received them in cash or invested themin additional securities. U.S. dollar distributionsand dividends must be converted into Canadiandollars. The amount of reinvested distributions anddividends is added to the ACB of your securities.This ensures that you do not pay tax on the amountagain at a later date.

Distributions paid by a BMO Trust Fund may consistof capital gains, ordinary Canadian dividends,foreign source income, other income and/or ROC.BMO Monthly Dividend Fund Ltd. and BMO GlobalTax Advantage Funds Inc. may pay ordinarydividends, capital gains dividends and/or ROC.

One-half of a capital gain distribution and one-halfof a capital gains dividend are included in yourincome. Ordinary Canadian dividends are subjectto the dividend gross-up and tax credit rules. Stepswill be taken to pass on to you the benefit of theenhanced dividend tax credit when it is available.You may be eligible for foreign tax credits in respectof any foreign taxes paid by a BMO Trust Fund.

ROC is not immediately taxable to you but willreduce the ACB of the securities on which it waspaid. As a result, the amount of any capital gain thatyou realize when you redeem your securities willbe larger (or the capital loss will be smaller), unlessthe ROC was reinvested in additional securities. Ifthe ACB of your securities is reduced to less thanzero while you continue to hold them, you will bedeemed to realize an immediate capital gain equalto the negative amount and your ACB will beincreased to zero. Monthly distributions onSeries T5, Series T6 and Series T8 securities areexpected to include ROC.


You should include in your income any managementfee rebate that you receive in connection with yourinvestment in BMO Monthly Dividend Fund Ltd. ora BMO Global Tax Advantage Fund, whether youreceived it in cash or invest it in additional securities.

Management fees paid directly by you are generallynot deductible in computing your income. Youshould consult with your tax advisor about the taxtreatment of fees payable directly to us, your dealeror any other fees payable directly by you.

Buying securities before a distribution dateYou must include in your income the taxableportion of a distribution or dividend received froma fund even though the fund may have earned theincome or realized the capital gains that gave rise tothe distribution or dividend before you owned yoursecurities. If you invest in a fund late in the year,you may have to pay tax on its earnings for thewhole year.

Sales Charge and FeesSales charges paid on the purchase of securities arenot deductible in computing your income but areadded to the ACB of your securities.

Switching your securitiesIf you switch your securities of a fund for securitiesof another series of the same fund, or if you switchsecurities of a BMO Global Tax Advantage Fund forsecurities of another BMO Global Tax AdvantageFund, the switch is made either as a redesignationor a conversion of your securities, depending on thesituation. In other words, the switch should occuron a tax-deferred basis so that you do not realize acapital gain or capital loss on your switched securities.The cost of your new securities will generally beequal to the ACB of the switched securities.

As part of a switch, some securities may be redeemedto pay fees. Any other type of switch involves theredemption of your securities, which is a dispositionfor income tax purposes.

Redeeming your securitiesThe redemption of securities is a disposition. Youwill realize a capital gain or capital loss when youredeem or otherwise dispose of your securities. Thecapital gain or loss is the difference between theproceeds you receive for the redemption and theACB of your redeemed securities, less any cost ofdisposition. We will provide you with details ofyour proceeds of redemption. However, in order tocalculate your gain or loss you will need to know theACB of your securities on the date of the redemption.

In general, you must include one-half of any capitalgain in computing your income for tax purposesand may deduct one-half of any capital loss to offsettaxable capital gains.

How to calculate ACBFor most situations, here’s how the total ACB ofyour securities of a series of a particular fund iscalculated. If you purchase your securities in U.S.dollars, you must convert the purchase price intoCanadian dollars at the exchange rate in effect atthe time of purchase.• Start with the cost of your initial investment,

including any sales charges you paid.• Add the cost of any additional investments,

including any sales charges you paid.• Add the amount of any distributions or dividends

that were reinvested (including ROC,management fee distributions and rebates).

• Subtract the amount of any ROC.• For a tax-deferred switch into the fund, add the

ACB of switched securities.• For a tax-deferred switch out of the fund, subtract

the ACB of the switched securities.• Subtract the ACB of any previously redeemed

securities.

The ACB of a single security is the average of theACB of all the identical securities.

Tax reportingEach year we will send you a tax slip with detailedinformation about the distributions and dividendspaid to you on securities held in a non-registeredaccount. To calculate your ACB, you will need tokeep detailed records of the cost of all purchasesand the amount of all distributions and dividendspaid to you, as well as exchange rates.

Exchange of tax informationThere are new due diligence and reportingobligations which were enacted to implement theCanada-United States Enhanced Tax InformationExchange Agreement. You may be requested toprovide information to your dealer to identify U.S.persons holding securities of the funds. If you are aU.S. person (including a U.S. citizen) or if you donot provide the requested information, generally,information about your investments held in thefinancial account maintained by your dealer will bereported to the CRA, unless the investments areheld within a registered plan. The CRA is expectedto provide that information to the U.S. InternalRevenue Service.

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What are your legal rights?

Under securities law in some provinces andterritories, you have the right to:• withdraw from your agreement to buy mutual

funds within two business days of receiving thesimplified prospectus or fund facts

• cancel your purchase within 48 hours ofreceiving confirmation of your order, or

• cancel your purchase agreement and get yourmoney back if the simplified prospectus, annualinformation form, fund facts or financialstatements misrepresent any facts about the fund.You may also be entitled to get your money backor make a claim for damages if you have suffereda loss.

The time limit to exercise these rights depends onthe governing legislation in your province orterritory.

For more information, refer to the securitieslegislation of your province or territory or consultyour lawyer.

Additional information

The manager of the funds has obtained a decisionfrom Canadian securities regulators to permitdealers that comply with certain conditions to sendor deliver the most recently filed fund facts of thefunds to a purchaser of units of the funds instead ofthis simplified prospectus. If a dealer delivers thefund facts document to you in reliance on thisdecision, BMO Investments Inc. and the dealer arerequired to grant you rights which are similar tothose described under the heading What are yourlegal rights? and these rights will run from the dateyou receive the fund facts.

The manager of the funds has received anexemption from Canadian securities regulators toenable the dealer-managed funds, subject to certainconditions imposed by the regulators, including theprior approval of the funds’ IRC, to purchase equitysecurities of a reporting issuer during the period ofdistribution (the “Distribution”) of the issuer’ssecurities pursuant to a private placement offeringand for the 60-day period following the completionof the Distribution notwithstanding that themanager or the associates or affiliates thereof act orhave acted as underwriter in connection with theDistribution.

The manager has also received an exemption fromCanadian securities regulators to enable the funds,subject to certain conditions imposed by theregulators, including the prior approval of the funds’IRC, to purchase debt securities in the secondarymarket from, or sell debt securities in the secondarymarket to, an associate or affiliate of the managerthat is a principal dealer in the Canadian debtsecurities markets, acting as principal.

Subject to certain conditions imposed by theregulators, including the prior approval of thefunds’ IRC, the funds may:• invest in or continue to invest in securities of

Bank of Montreal or another related issuer; and• invest in equity and/or corporate debt securities

of a reporting issuer during the Distribution ofthe issuer’s securities and for the 60-day periodfollowing the completion of the Distribution,notwithstanding that the manager or an associateor affiliate thereof acts or has acted as underwriterin connection with the Distribution.

We, and all of the BMO Mutual Funds, have alsoobtained exemptive relief, subject to certainconditions, to permit the BMO Mutual Funds:1. to invest in Bank of Montreal debt securities in

the secondary market and to invest in Bank ofMontreal debt securities, other than asset-backedcommercial paper securities, with a term ofmaturity of 365 days or more in a primary offering;

2. to purchase mortgages from and/or sell mortgagesto certain associates or affiliates of the manager;

3. to purchase securities of exchange traded fundsmanaged by us, or one of our affiliates orassociates, and to pay the applicable brokeragecommissions associated with such purchases inthe secondary market;

4. to invest in securities of certain exchange tradedfunds managed by us that are not considered“index participation units” under NI 81-102,subject to certain conditions; and

5. to invest in debt securities of an issuer during theperiod of the distribution (the “Distribution”) orduring the period of 60 days after the Distribution,notwithstanding that the Manager, or anassociate or affiliate of the Manager, acts or hasacted as an underwriter in the Distribution andnotwithstanding that the debt securities do nothave a designated rating by a designated ratingorganization as contemplated by section 4.1(4)(b)of NI 81-102.

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Prior to seeking IRC approval, the manager isrequired to refer its written policies and proceduresrelating to the above-mentioned investments for thefunds to the IRC for the IRC’s review. The policiesand procedures are designed to ensure, among otherthings, that each such transaction (i) is consistentwith, or be necessary to meet, the investmentobjectives of the funds (ii) is free from any influenceby the manager or any associates or affiliates thereofand does not take into account any considerationrelevant to the manager or any associates oraffiliates thereof (iii) represents the manager’sbusiness judgment uninfluenced by considerationsother than the best interests of the funds, and(iv) achieves a fair and reasonable result for the funds.In the event an investment for a fund is not made inaccordance with the conditions imposed by theregulators and/or the IRC, the manager is requiredto notify the IRC and the IRC, as soon as practicable,is required to notify the securities regulators. Thisinformation is also included in the annual report tosecurityholders prepared by the IRC.

Additional information about exemptive reliefdecisions received by the funds and the mandateand responsibilities of the IRC is disclosed in thefunds’ annual information form.

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You’ll find more information about each fund in the funds’ annual information form, fund facts, management reports of fundperformance and financial statements. These documents are incorporated by reference into this simplified prospectus, which meansthat they legally form part of this simplified prospectus just as if they were printed in it.

BMO Mutual Funds are offered by BMO Investments Inc. If you would like a copy of these documents and you purchased your securitiesat a BMO Bank of Montreal branch or through the BMO Investment Centre, call us toll free at 1-800-665-7700. If you would like a copyof these documents and you purchased your securities through a dealer, call us toll free at 1-800-668-7327. There’s no charge for thesedocuments. You’ll also find copies of them, and other information about the funds, such as information circulars and material contracts,on the Internet at www.bmo.com/mutualfunds, www.bmomutualfunds.com/advisor or www.sedar.com.

®/™Registered trade-marks/trade-mark of Bank of Montreal, used under licence


A member of BMO Financial Group

bmo.com/mutualfunds bmo.com/fonds

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HOW TO REACH US

BMO Mutual Funds are offered by BMO Investments Inc.Offering series A securities, series T5 securities, series T6 securities, series T8 securities, series F securities, series D securities, series I securities, series O securities, series Lsecurities, series M securities, series N securities, series NBA securities, series NBF securities, Advisor Series securities and/or Classic Series securities, as noted.

BMO Security FundsBMO Money Market Fund

(series A, F, I, M and Advisor Series)

BMO Income FundsBMO Balanced Yield Plus ETF Portfolio

(formerly, BMO Target Enhanced Yield ETF Portfolio)(series A, T6, F, D, I and Advisor Series)

BMO Bond Fund (series A, F, D, I, NBA, NBF and Advisor Series)BMO Canadian Diversified Monthly Income Fund

(series T5, T8, F, I and Advisor Series)BMO Core Bond Fund (series A, F, D, I and Advisor Series)BMO Core Plus Bond Fund (series A, F, D, I and Advisor Series)BMO Diversified Income Portfolio (series A, T6 and I)BMO Emerging Markets Bond Fund

(series A, F, D, I and Advisor Series)BMO Fixed Income Yield Plus ETF Portfolio

(formerly, BMO Target Yield ETF Portfolio)(series A, T6, F, D, I and Advisor Series)

BMO Floating Rate Income Fund (series A, F, D, I and Advisor Series)

BMO Global Diversified Fund (series T5, F and Advisor Series)BMO Global Monthly Income Fund (series A, T6 and I)BMO Global Strategic Bond Fund

(series A, F, D, I and Advisor Series)BMO Growth & Income Fund

(series T5, T8, F, Advisor Series and Classic Series)BMO High Yield Bond Fund (series F, I and Advisor Series)BMO Laddered Corporate Bond Fund

(series A, F, I and Advisor Series)BMO Monthly Dividend Fund Ltd.*

(series F, Advisor Series and Classic Series)BMO Monthly High Income Fund II

(series A, T5, T8, F, D, I and Advisor Series)BMO Monthly Income Fund (series A, T6, F, D and I)BMO Mortgage and Short-Term Income Fund

(series A, F, I and Advisor Series)BMO Preferred Share Fund (series A, F, D, I, BMO Private

Preferred Share Fund Series O and Advisor Series)BMO Tactical Global Bond ETF Fund

(series A, F, D, I and Advisor Series)BMO U.S. High Yield Bond Fund (series A, F, D, I, BMO Private U.S.

High Yield Bond Fund Series O and Advisor Series)BMO World Bond Fund (series A, F, I and Advisor Series)

BMO Growth FundsBMO Asian Growth and Income Fund

(series A, F, D, I and Advisor Series)BMO Asset Allocation Fund

(series A, T5, F, D, I, NBA and Advisor Series)BMO Canadian Equity ETF Fund (series A, D and I)BMO Canadian Equity Fund (series A, F, D and I)BMO Canadian Large Cap Equity Fund

(series A, T5, F, I and Advisor Series)BMO Canadian Stock Selection Fund

(series A, F, D, I, NBA, NBF and Advisor Series)BMO Dividend Fund (series A, T5, F, D, I and Advisor Series)BMO Enhanced Equity Income Fund

(series A, F, D, I and Advisor Series)BMO European Fund (series A, F, D, I and Advisor Series)BMO Global Balanced Fund (series A, F, D, I and Advisor Series)BMO Global Dividend Fund (series A, F, D, I and Advisor Series)

BMO Global Equity Fund (series A, F, D, I and Advisor Series)BMO Global Growth & Income Fund

(series T5, F, I and Advisor Series)BMO Global Infrastructure Fund (series A, F, D, I and Advisor Series)BMO Growth Opportunities Fund (series A, F, D, I and Advisor Series)BMO International Equity ETF Fund (series A, D and I)BMO International Value Fund

(series A, F, D, I, N, NBA, NBF and Advisor Series)BMO North American Dividend Fund

(series A, F, I and Advisor Series)BMO Tactical Balanced ETF Fund

(series A, F, D, I, L and Advisor Series)BMO Tactical Dividend ETF Fund

(series A, F, D, I, L and Advisor Series)BMO Tactical Global Equity ETF Fund

(series A, F, D, I and Advisor Series)BMO U.S. Dividend Fund (series A, F, D, I and Advisor Series)BMO U.S. Equity ETF Fund (series A, D and I)BMO U.S. Equity Fund

(series A, F, D, I, N, NBA, NBF and Advisor Series)BMO U.S. Equity Plus Fund (series A, F, D, I and Advisor Series)

BMO Equity Growth FundsBMO Canadian Small Cap Equity Fund

(series A, F, D, I and Advisor Series)BMO Emerging Markets Fund

(series A, F, D, I and Advisor Series)BMO Global Small Cap Fund (series A, F, I and Advisor Series)BMO Precious Metals Fund (series A, F, I and Advisor Series)BMO Resource Fund (series A, F, I and Advisor Series)

BMO ETF PortfoliosBMO Fixed Income ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Income ETF Portfolio (formerly, BMO Security ETF Portfolio)

(series A, T6, F, D, I and Advisor Series)BMO Conservative ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Balanced ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Growth ETF Portfolio

(series A, T6, F, D, I and Advisor Series)BMO Equity Growth ETF Portfolio

(series A, T6, F, D, I and Advisor Series)

BMO U.S. Dollar FundsBMO U.S. Dollar Balanced Fund (series A, F, I and Advisor Series)BMO U.S. Dollar Dividend Fund (series A, F, I and Advisor Series)BMO U.S. Dollar Equity Index Fund (series A and I)BMO U.S. Dollar Money Market Fund

(series A and Advisor Series)BMO U.S. Dollar Monthly Income Fund

(series A, T5, T6, F, I and Advisor Series)

BMO Global Tax Advantage Funds±

BMO Asian Growth and Income Class (series F and Advisor Series)BMO Canadian Equity Class (series A, F, I and Advisor Series)BMO Canadian Tactical ETF Class

(series A, T6, F, I and Advisor Series)BMO Dividend Class (series A, I and Advisor Series)BMO Global Dividend Class (series A, T5, F, I and Advisor Series)BMO Global Energy Class (series A, F, I and Advisor Series)

BMO Global Equity Class (series A, F, I and Advisor Series)BMO Global Tactical ETF Class (series A, T6, F, I and Advisor Series)BMO Greater China Class (series A, F, I and Advisor Series)BMO International Value Class (series A, F, I and Advisor Series)BMO LifeStage 2017 Class (series A, I and Advisor Series)BMO LifeStage 2020 Class (series A, I and Advisor Series)BMO LifeStage 2025 Class (series A, I and Advisor Series)BMO LifeStage 2030 Class (series A, I and Advisor Series)BMO LifeStage 2035 Class (series A, I and Advisor Series)BMO LifeStage 2040 Class (series A, I and Advisor Series)BMO Short-Term Income Class (series A, I and Advisor Series)BMO U.S. Equity Class (series F, I and Advisor Series)BMO SelectClass® Income Portfolio

(formerly, BMO SelectClass® Security Portfolio)(series A, T6, I and Advisor Series)

BMO SelectClass® Balanced Portfolio (series A, T6, I and Advisor Series)

BMO SelectClass® Growth Portfolio (series A, T6, I and Advisor Series)

BMO SelectClass® Equity Growth Portfolio (series A, T6, I and Advisor Series)

BMO Income ETF Portfolio Class (formerly, BMO Security ETFPortfolio Class) (series A, T6, F and Advisor Series)

BMO Balanced ETF Portfolio Class (series A, T6, F and Advisor Series)

BMO Growth ETF Portfolio Class (series A, T6, F and Advisor Series)

BMO Equity Growth ETF Portfolio Class (series A, T6, F and Advisor Series)

BMO LifeStage Plus FundsBMO LifeStage Plus 2022 Fund (series A and Advisor Series)BMO LifeStage Plus 2025 Fund (series A and Advisor Series)BMO LifeStage Plus 2026 Fund (series A and Advisor Series)BMO LifeStage Plus 2030 Fund (series A and Advisor Series)

BMO FundSelect® PortfoliosBMO FundSelect® Income Portfolio

(formerly, BMO FundSelect® Security Portfolio) (series A)BMO FundSelect® Balanced Portfolio (series A and NBA)BMO FundSelect® Growth Portfolio (series A and NBA)BMO FundSelect® Equity Growth Portfolio (series A and NBA)

BMO SelectTrust™ PortfoliosBMO SelectTrust™ Fixed Income Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Income Portfolio (formerly, BMO SelectTrust™

Security Portfolio) (series A, T6, I and Advisor Series)BMO SelectTrust™ Conservative Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Balanced Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Growth Portfolio

(series A, T6, I and Advisor Series)BMO SelectTrust™ Equity Growth Portfolio

(series A, T6, I and Advisor Series)

BMO Target Education PortfoliosBMO Target Education Income Portfolio (series A and D)BMO Target Education 2020 Portfolio (series A and D)BMO Target Education 2025 Portfolio (series A and D)BMO Target Education 2030 Portfolio (series A and D)BMO Target Education 2035 Portfolio (series A and D)

BMO Investments Inc., 2465 Argentia Road, 5th Floor, Mississauga, Ontario L5N 0B4BMO Investissements Inc., 129, rue St. Jacques, 5ème étage, Montréal, Québec H2Y 1L6

* A mutual fund corporation offering shares.± Each fund within this category is a class of BMO Global Tax Advantage Funds Inc., a mutual fund corporation.


Documents

BMO Prospectus ENG 2015 04-13 (PP) Draft 2015-04-15 5:46 PM … Mutual Funds... · 2015-04-20 · BMO Target Education 2030 Portfolio (series A and D) BMO Target Education 2035 Portfolio