BMO Investments Inc. and Guardian Group of Funds Ltd. Announce Changes to their Mutual Fund Line-Ups

TORONTO, Sept. 25 /CNW/ - BMO Investments Inc. and Guardian Group of Funds Ltd. today announced proposed changes to the BMO Guardian Funds and BMO Mutual Funds line-ups. The primary goal of these changes is to reduce duplicate fund offerings and streamline the product suite to provide more cost-effective investment solutions.

Proposed Mergers

Subject to securityholder approval, it is proposed that each Terminating Fund (as set out below) will be merged into the applicable Continuing Fund (as set out below) effective on the merger dates listed in the following table. For each of the Continuing Funds, BMO Guardian Advisor Series exists or, where indicated, is proposed to be launched in the month of October:

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    Terminating Fund      Continuing Fund     Merger Date     Advisor Series
    ----------------      ---------------     -----------     --------------
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    BMO Guardian          BMO Bond Fund       November 27,    BMO Guardian
    Canadian Bond Fund                        2009            Bond Fund
                                                              Advisor
                                                              Series*
    -------------------------------------------------------------------------
    BMO Guardian          BMO Money           November 20,    BMO Guardian
    Canadian Money        Market Fund         2009            Money Market
    Market Fund                                               Fund Advisor
                                                              Series*
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    BMO Guardian U.S.     BMO U.S. Dollar     November 13,    BMO Guardian
    Money Market Fund     Money Market Fund   2009            U.S. Dollar
                                                              Money Market
                                                              Fund Advisor
                                                              Series*
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    BMO Guardian          BMO American        November 20,    BMO Guardian
    American Equity       Equity Class+/-     2009            American Equity
    Fund Ltd.                                                 Class Advisor
                                                              Series +/-
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    GGOF Canadian         BMO Canadian        November 27,    BMO Guardian
    Equity Fund Ltd.      Equity Class+/-     2009            Canadian Equity
                                                              Class Advisor
                                                              Series +/-
    -------------------------------------------------------------------------
    BMO Guardian          BMO Emerging        November 27,    BMO Guardian
    Emerging Markets      Markets Fund        2009            Emerging
    Fund                                                      Markets Fund
                                                              Advisor
                                                              Series*
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    BMO Guardian          BMO European Fund   November 20,    BMO Guardian
    European Equity                           2009            European Fund
    Fund                                                      Advisor
                                                              Series*
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    BMO Guardian Global   BMO Global          November 20,    BMO Guardian
    Dividend Growth       Dividend Class+/-   2009            Global Dividend
    Fund                                                      Class Advisor
                                                              Series +/-
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    BMO Guardian          BMO Global          November 13,    BMO Guardian
    Global Real           Infrastructure      2009            Global
    Estate Fund           Fund                                Infrastructure
                                                              Fund Advisor
                                                              Series
    -------------------------------------------------------------------------
    BMO Guardian          BMO Guardian Asian  November 27,    Mutual Fund
    Japanese Equity       Growth and Income   2009            Class
    Fund                  Fund
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    BMO Guardian          BMO Resource Fund   November 27,    BMO Guardian
    Canadian Resource                         2009            Resource Fund
    Fund                                                      Advisor Series
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    BMO Guardian          BMO Asset           November 13,    BMO Guardian
    Canadian Balanced     Allocation Fund     2009            Asset
    Fund                                                      Allocation Fund
                                                              Advisor
                                                              Series*
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    BMO Guardian Small    BMO Special         November 13,    BMO Guardian
    Cap Growth and        Equity Fund         2009            Special Equity
    Income Fund                                               Fund Advisor
                                                              Series
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    BMO Guardian U.S.     BMO U.S. Dollar     November 20,    BMO Guardian
    Diversified Monthly   Monthly Income      2009            U.S. Dollar
    Income Fund           Fund                                Monthly Income
                                                              Fund Advisor
                                                              Series*
    -------------------------------------------------------------------------
    +/-    A class of BMO Global Tax Advantage Funds Inc.
    *    New BMO Guardian Advisor Series

Securityholder approval of each Terminating Fund plus two Continuing Funds will be sought at special meetings to be held on or about November 10, 2009. If the proposed mergers are approved, securityholders of each class of each Terminating Fund will receive securities of the equivalent series or class of the applicable Continuing Fund, determined on a dollar-for-dollar basis and, as soon as possible following the mergers, the Terminating Funds will be wound up. Securities of the Terminating Funds will continue to be available for sale until the close of business on the date that is six business days before the effective date of each merger, following which time they will cease distribution of new securities. The Independent Review Committee of each of the relevant funds has reviewed the potential conflict of interest matters related to the proposed mergers and has provided the managers with a positive recommendation for the mergers, after determining that the proposed mergers, if implemented, achieve a fair and reasonable result for each of the applicable funds.

Change of Investment Objectives of BMO American Equity Class

Subject to obtaining securityholder approval, the investment objectives of BMO American Equity Class will change on or about November 20, 2009, to adopt investment objectives that are substantially similar to the current investment objectives of BMO Guardian American Equity Fund Ltd. As such, the investment objectives of BMO American Equity Class will change to allow the fund to provide long term growth through capital appreciation, by investing primarily in equities and equity-related securities of U.S. companies (with no restrictions on the capitalization of those companies). If the proposed changes to investment objectives are approved, corresponding changes will be made to the investment strategies for this fund.

Portfolio Manager Changes

BMO Investments Inc. intends to change the portfolio manager of each of BMO American Equity Class, BMO European Fund, BMO Emerging Markets Fund and BMO U.S. Dollar Monthly Income Fund.

The portfolio manager of BMO American Equity Class is currently Jones Heward Investment Counsel Inc. Effective on or about November 20, 2009, Harris Investment Management, Inc. will become the portfolio manager of the fund.

The portfolio manager of BMO European Fund is currently Sanford C. Bernstein & Co., LLC. Effective on or about November 20, 2009, Vontobel Asset Management Inc. will be appointed sub-advisor by Jones Heward Investment Counsel Inc., which will become the portfolio manager of the fund.

The portfolio manager of BMO Emerging Markets Fund is currently Sanford C. Bernstein & Co., LLC. Effective on or about November 27, 2009, Lazard Asset Management (Canada) Inc. will become the portfolio manager of the fund.

The portfolio manager of BMO U.S. Dollar Monthly Income Fund is currently UBS Global Asset Management (Canada) Co. Effective on or about November 20, 2009, Jones Heward Investment Counsel Inc. and Lazard Asset Management (Canada) Inc. will become the portfolio managers of the fund.

BMO AIR MILES(R)* Money Market Fund

BMO Investments Inc. intends to terminate the AIR MILES feature of BMO AIR MILES Money Market Fund and change the name of the fund to "BMO Canadian Money Market Fund", effective on or about December 31, 2009.

About BMO Guardian Funds

BMO Guardian Funds is a diversified family of funds and includes a broad range of domestic and global investment options covering a full array of asset classes, sectors, regions and specialized mandates. BMO Guardian Funds are currently offered by Guardian Group of Funds Ltd. and/or BMO Investments Inc., which are members of BMO Financial Group and part of the organization's Private Client Group.

Internet: www.bmoguardianfunds.com

    About BMO Mutual Funds

BMO Mutual Funds are offered by BMO Investments Inc., which is a member of the BMO Financial Group and part of the organization's Private Client Group. The Private Client Group provides integrated wealth management services in Canada and the United States and had total assets under management and administration and term investments of $273 billion as at April 30, 2009.

Internet: www.bmo.com/mutualfunds

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    (R)* Trade-marks of AIR MILES International Trading B.V. used under
           licence by Loyalty Management Group Canada Inc. and BMO
           Investments Inc.

For further information: Media Contacts: Martha McInnis, Toronto, martha.mcinnis@bmo.com, (416) 867-3996; Lucie Gosselin, Montréal, lucie.gosselin@bmo.com, (514) 877-1101