BMO Investments Inc. announced on Monday its plan to shift the listing of ETF series for six mutual funds from the Toronto Stock Exchange to Cboe Canada, a move that could streamline trading and expand access for investors in the Canadian market.
The decision, detailed in a press release from the Toronto-based firm, comes as financial institutions increasingly seek alternative venues to enhance liquidity and reduce costs. According to the announcement, the transfer is set to take effect later this month, with the units expected to delist from the TSX at the close of business on November 26, 2025, and begin trading on Cboe Canada the following day.
BMO officials said the switch has already received conditional approval from Cboe Canada, paving the way for a seamless transition. "The Manager has received conditional approval from Cboe Canada to list the Units on its exchange," the press release stated, emphasizing that no securityholder approval is required since the funds will remain listed on a recognized exchange.
While the specific names of the six funds were not detailed in the initial announcement, the move involves ETF series of BMO Mutual Funds, which are managed by BMO Investments Inc., a subsidiary of the Bank of Montreal. This entity operates independently from the bank but leverages its parent company's extensive resources in wealth management and investment banking.
Investors in these ETF series should note that commissions, management fees, and expenses are associated with such investments, as highlighted in the release. "Please read the applicable ETF Facts document or simplified prospectus before investing," it advised, underscoring that these products are not guaranteed and their values can fluctuate.
ETF Series of the BMO Mutual 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 ETF Series of the BMO Mutual Funds, please see the specific risks set out in the simplified prospectus. Units of the ETF Series of the BMO Mutual Funds may be bought and sold at market price on a stock exchange and brokerage commissions will reduce returns. Distributions are not guaranteed and are subject to change and/or elimination.
This disclaimer, a standard inclusion in such announcements, serves to remind potential investors of the inherent risks in exchange-traded funds, which track various indices or sectors and offer a way for individuals to diversify portfolios without directly purchasing individual stocks or bonds.
BMO Financial Group, the parent organization, boasts total assets of $1.4 trillion as of July 31, 2025, making it the seventh largest bank in North America. The group has been serving customers for over 200 years, providing a range of services from personal banking to global markets. "Driven by a single purpose, to Boldly Grow the Good in business and life, BMO is committed to driving positive change in the world, and making progress for a thriving economy, sustainable future, and inclusive society," the release noted, highlighting the company's broader mission.
The shift to Cboe Canada, formerly known as the NEO Exchange before its acquisition by Cboe Global Markets in 2022, reflects a growing trend in the Canadian securities landscape. Cboe Canada has positioned itself as a competitive alternative to the dominant TSX, offering lower listing fees and innovative trading mechanisms that appeal to issuers seeking greater visibility and efficiency.
Industry experts suggest that such transfers can benefit funds by tapping into Cboe's advanced technology and potentially attracting a wider pool of traders. For instance, Cboe Canada has been gaining traction with its focus on ETFs and other structured products, reporting increased listings in recent years amid a surge in passive investing strategies.
BMO's decision aligns with similar moves by other asset managers aiming to optimize their market presence. In the past, funds have migrated between exchanges to leverage better liquidity or regulatory environments, though specifics on why BMO chose this path were not elaborated in the announcement. Investors are directed to BMO's websites for more details: www.bmo.com/mutualfunds for mutual funds and www.bmoetfs.com for ETFs.
As the delisting and relisting dates approach, market watchers will be monitoring trading volumes and any immediate impacts on unit prices. The voluntary delisting from the TSX, scheduled for November 26, 2025, ensures continuity, with trading resuming on Cboe Canada on November 27, 2025. This timeline allows for minimal disruption, according to BMO.
Broader implications of this transfer could include enhanced competition among Canadian exchanges, potentially leading to better services for investors. Cboe Canada's expansion in the region has been part of a global strategy by its parent company, which operates exchanges worldwide and emphasizes innovation in financial markets.
Looking ahead, BMO may provide further updates on the affected funds, and investors are encouraged to consult official documents for risks and performance data. The move underscores the dynamic nature of the investment landscape, where adaptability to new platforms can play a key role in fund management strategies.
In summary, this listing change represents a strategic adjustment for BMO Investments Inc., aimed at positioning its ETF series for future growth in a competitive environment. As the financial sector evolves, such shifts highlight the importance of exchange choices in influencing investor access and market efficiency.