BMO Expands Line-up of GICs for Investors Looking for Exposure to Equity Markets and Protection from Volatility

    BMO responds to investors who want shorter-term investments with
    guaranteed rates, potential for higher returns, regular income and global

    TORONTO, June 4 /CNW/ - BMO Bank of Montreal today announced it has
expanded its line-up of BMO Progressive GICs in response to growing investor
demand for options that will protect and grow their investments. These
principal protected, equity-linked Guaranteed Investment Certificates provide
investors with the potential for higher market-linked returns, while
guaranteeing their original investment.
    "Inherent in these investment options are three key features that every
type of investor needs: risk management, safety of principal and
diversification," said Julie Sheen, Vice President, BMO Term Investments. "BMO
Progressive GICs are ideally suited to satisfy the needs of a variety of
investor profiles: for conservative investors who want to diversify their
portfolio by gaining access to the equity market without risk to their initial
investment; for growth-oriented investors who want to maintain exposure to
equity markets but want to reduce risk; and for investors looking to
supplement their income.
    "We received quite a bit of interest in the first series of BMO
Progressive GICs from a broad range of investors, including those who were
looking for a way to save for something specific, like a car, home
renovations, a trip or their child's education," noted Sheen.
    BMO Progressive GICs are also well suited for boomers who are approaching
retirement and are focused on preserving the money they have invested over the
years. Both retirees and pre-retirees are increasingly reluctant to put their
investment principal at risk since they will have less time and fewer
resources to recoup losses from market volatility.
    "We're taking the best of a GIC, which offers 100 per cent investment
protection, and we're adding in a safe way for investors to potentially grow
their investments through stocks, stock indices or mutual funds," said Sheen.
    "While some investors are hesitant to invest in the equity markets,
others put most of their savings into equities. The first group could be
missing out on the earnings potential of the markets, while the other group of
investors may be taking on too much risk given their particular circumstances.
BMO Progressive GICs provide all investors with a risk-free way to grow their

    Latest series of BMO Progressive GICs

    BMO Progressive GICs are sold in a series. Each month, a new series will
be available and at the end of each month, the sales period for the current
series will close. All GICs within the series have a low minimum investment of
$1,000, no fees and most are CDIC insured up to applicable limits.
    "We are continuing to enhance our Progressive GICs based on the positive
response we received to the first series launched in December. Investors told
us that they are looking for shorter-term investments with guaranteed rates,
as well as the potential for higher returns, regular income and some global
exposure. Our new GICs address all of these elements," said Sheen.

    BMO Select GIC - For the combined benefit of principal protection plus
the opportunity to participate in the growth of a select, high-performing
sector of the market. A 3.5 year term investment that provides 100 per cent
participation in the growth of the S&P/TSX Banks Index up to 25 per cent, with
100 per cent principal protection.

    BMO Income Enriched GIC - For a guaranteed rate of return plus the
opportunity for significantly enhanced income through participation in the
potential growth of a diversified portfolio of companies. A 3 year term
investment that provides income diversification, the potential for
significantly enhanced income of up to 19.5 per cent, depending on the
performance of a diversified portfolio of global companies, and includes a 2.5
per cent guaranteed rate.

    BMO Growth GIC - For the combined power of principal protection and
participation in the potential growth of a select portfolio of equities. A 4
year term investment that provides a diversified solution, maximizing the
potential of the market. This investment offers 100 per cent participation in
the positive performance of a select portfolio of investments, up to 35 per
cent, with 100 per cent principal protection.

    "Investment professionals at BMO Bank of Montreal will work with
investors to understand their particular circumstances to determine which
investments will work best for them," added Sheen.
    BMO Term Investments is part of BMO Financial Group's Private Client
Group. BMO's 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 $299.86 billion as at April 30,

For further information:

For further information: JoAnne Hayes, Toronto,,
(416) 867-3996; Lucie Gosselin, Montreal,, (514)
877-1101; Laurie Grant, Vancouver,, (604) 665-7596;

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