Overview
Description
The BMO Mid-Term US Investment Grade Corporate Fund is an exchange-traded fund designed to provide investors with exposure to a diversified portfolio of U.S. investment-grade corporate bonds, specifically targeting medium-term maturities. Its primary function is to generate income with a relatively stable credit risk by investing in bonds issued by corporations that have been rated as investment-grade by leading rating agencies. Key sectors impacted by this fund include finance, technology, healthcare, and industrials, as it invests in a broad array of companies within those industries.
The fund's significance in the market lies in its strategic focus on medium-term bonds, offering a balance between duration risk and interest rate sensitivity. This makes it an attractive option for investors looking to achieve stable returns while mitigating the higher volatility associated with longer-duration bonds. By providing access to a high-quality bond portfolio through a single security, the BMO Mid-Term US Investment Grade Corporate Fund plays a crucial role for those seeking income and moderate growth potential, especially in portfolios that emphasize fixed-income diversification.
About
Address
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Phone
+1 8003611392
Website
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Instrument type
ETF
Country
Canada
MIC code
XTSE