E114 – Potential Market Impact of Geopolitical Conflict

BMO ETFs: Views from the Desk

This episode was recorded on the morning of Wednesday, February 23. As tensions in Russia and Ukraine persist and evolve, investors are concerned about potential knock-on effects. In today’s episode, Mark Raes, Chris McHaney, and Chris Heakes discuss how markets have reacted to historical geopolitical conflicts, examine the consequences of sanctions against Russian debt, look at the oil and gas market, and dive deep into the effects of interest rate hikes on aggregate bonds and equity factor rotation.

Mark Raes is the Head of Product at BMO Global Asset Management. He is joined on the podcast by Chris McHaney and Chris Heakes, Portfolio Managers and ETF Specialists at BMO Global Asset Management. The episode was recorded live on February 23, 2022.

ETFs mentioned in the podcast:

· BMO MSCI Emerging Markets Index ETF (Ticker: ZEM)

· BMO Emerging Markets Bond Hedged to CAD Index ETF (Ticker: ZEF)

· BMO Equal Weight Oil & Gas Index ETF (Ticker: ZEO)

· BMO Aggregate Bond Index ETF (Ticker: ZAG)

· BMO Long Federal Bond Index ETF (Ticker: ZFL)

· BMO Long Corporate Bond Index ETF (Ticker: ZLC)

· BMO Short Federal Bond Index ETF (Ticker: ZFS)

· BMO Short Corporate Bond Index ETF (Ticker: ZCS)

· BMO Mid Federal Bond Index ETF (Ticker: ZFM)

· BMO Mid Corporate Bond Index ETF (Ticker: ZCM)

· BMO Canadian Dividend ETF (Ticker: ZDV)

· BMO US Dividend ETF (Ticker: ZDY)

· BMO International Dividend Hedged to CAD ETF (Ticker: ZDH)

Disclosure:

The viewpoints expressed by the Portfolio Manager represent their assessment of the markets at the time of publication. Those views are subject to change without notice at any time without any kind of notice. The information contained herein is not, and should not be construed as, investment, tax or legal advice to any party. Investments should be evaluated relative to the individual’s investment objectives and professional advice should be obtained with respect to any circumstance. Any statement that necessarily depends on future events may be a forward-looking statement. Forward-looking statements are not guarantees of performance.

The BMO ETFs or securities referred to herein are not sponsored, endorsed or promoted by MSCI Inc. (“MSCI”), and MSCI bears no liability with respect to any such BMO ETFs or securities or any index on which such BMO ETFs or securities are based. The prospectus of the BMO ETFs contains a more detailed description of the limited relationship MSCI has with BMO Asset Management Inc. and any related BMO ETFs.

Commissions, management fees and expenses all may be associated with investments in exchange traded funds. Please read the ETF Facts or prospectus before investing. Exchange traded funds are not guaranteed, their values change frequently and past performance may not be repeated.

For a summary of the risks of an investment in the BMO ETFs, please see the specific risks set out in the prospectus. BMO ETFs trade like stocks, fluctuate in market value and may trade at a discount to their net asset value, which may increase the risk of loss. Distributions are not guaranteed and are subject to change and/or elimination.

BMO ETFs are managed by BMO Asset Management Inc., which is an investment fund manager and a portfolio manager, and a separate legal entity from Bank of Montreal.

BMO Global Asset Management is a brand name that comprises BMO Asset Management Inc. and BMO Investments Inc.

®/™Registered trade-marks/trade-mark of Bank of Montreal, used under licence.