Overview
Description
BMO Short Corporate Bond Index ETF is a financial instrument designed to track the performance of a basket of investment-grade corporate bonds with short-term maturities. This exchange-traded fund aims to provide investors with exposure to the corporate credit sector while minimizing interest rate risk, given its focus on bonds with shorter durations, typically less than five years. It focuses on Canadian corporate bonds, impacting industries such as finance, utilities, and telecommunications, among others. By doing so, it offers a stable and predictable yield component and serves as a strategic diversification tool in a broader fixed-income portfolio. As part of the BMO family of ETFs, this asset provides an opportunity for investors looking to preserve capital and maintain liquidity, while seeking returns typically higher than those offered by government bonds. The ETF plays a crucial role in helping conservative investors manage market volatility and interest rate fluctuations effectively.
About
Address
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Phone
+1 8003611392
Website
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Instrument type
ETF
Country
Canada
MIC code
XTSE