Ms. Colleen Hamilton reports
BMO PRIVATE INVESTMENT COUNSEL INC. ANNOUNCES PROPOSED FUND MERGER
Bank of Montreal's BMO Private Investment Counsel Inc. (BPIC), the manager of BMO Private Canadian Short-Term Bond Portfolio and BMO Private Canadian Mid-Term Bond Portfolio, has proposed to merge the terminating fund into the continuing fund.
The proposed merger is intended to be effective on or about July 9, 2021, provided regulatory approval is received. At the time of implementing the proposed merger, BPIC will change the name of the continuing fund to BMO Private Canadian Short-Mid Bond Portfolio.
As a provider of discretionary investment management services, BPIC will be filing an application with the securities regulators for relief from the requirement to obtain unitholder approval of the proposed merger and for regulatory approval to implement the proposed merger.
The independent review committee of the portfolios approved the proposed merger after determining that the proposed merger, if implemented, would achieve a fair and reasonable result for the portfolios.
The purposes of the proposed merger are to streamline BPIC's product offering, achieve economies of scale and provide diversification benefits to unitholders. Upon completion of the proposed merger, holders of units of the terminating fund will receive units of the continuing fund, determined on a dollar-for-dollar and tax-deferred basis. The terminating fund will be wound up following the proposed merger.
About BMO Private Wealth
BMO Private Wealth is a brand name for a business group consisting of Bank of Montreal and certain of its affiliates in providing private wealth management products and services. Not all products and services are offered by all legal entities within BMO Private Wealth. Banking services are offered through Bank of Montreal. Investment management, wealth planning, tax planning and philanthropy planning services are offered through BMO Nesbitt Burns Inc. and BMO Private Investment Counsel Inc. Estate, trust and custodial services are offered through BMO Trust Company. BMO Private Wealth legal entities do not offer tax advice.
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