This is a sponsored post written by me on behalf of BMO. All opinions are 100% mine.
When I went to the Canadian Personal Finance Conference this year, it was clear to me that there was one overarching theme — everyone was talking about financial innovation.
Whether it was about FinTech or traditional banks going digital, it honestly got me really excited and hopeful about the future of personal finance in Canada.
What Is BMO SmartFolio?
One such bank that is moving more toward digital products is BMO with the launch of their new personalized digital portfolio management service — BMO SmartFolio.
As a millennial who hates going to the bank to talk to someone one-on-one (who has the time for that anyway?) and is interested in starting to invest in ETFs instead of just mutual funds (another big investment trend I’ve seen this year), it’s nice to see that BMO is listening to what young investors are talking about and have created a service that is both hands-free, affordable and is as close as you can get to effortless investing.
When Did It Launch?
BMO SmartFolio launched this January and for their launch they have this fun quiz to show you what your investor profile is. I did it because I just can’t say no to a money quiz and it turns out that (surprise, surprise) I’m a long term growth investor.
I’ve got a higher than average risk tolerance and am investing for my longterm goals. That is pretty bang on since when it comes to investing, I’m always thinking about my future. I started investing just a few hundred bucks per month when I was 25 with the idea that I would not touch a dime of that money until I was retired, and I still don’t plan on touching it until I’m grey-haired and living on a beach somewhere.
Important Things to Know About BMO SmartFolio
To give you a better idea of what BMO SmartFolio is all about (besides being the first online portfolio manager offered by one of the big 5 banks in Canada), here are some key takeaways:
- BMO SmartFolio is suited for Canadian investors who want a digital approach to investing and have as little as $5,000 to invest.
- Clients will have access to cost efficient ETFs and portfolios managed by BMO experts.
- You can track your progress online and have full transparency into your holdings, performance and transaction history.
- Advisory fees start at 0.7% of assets and decrease as your assets increase.
- BMO’s expert portfolio managers monitor the model ETF portfolios every day. Where and when required, they rebalance the model ETF portfolio to keep you on track with your investment goals.
- There are 5 model ETF Portfolios (ranging from the least risky to most risky, in other words having the smallest percentage in equities to the largest):
- BMO SmartFolio Capital Preservation Portfolio
- BMO SmartFolio Income Portfolio
- BMO SmartFolio Balanced Portfolio
- BMO SmartFolio Long Term Growth Portfolio
- BMO SmartFolio Equity Growth Portfolio
For more information on BMO SmartFolio, click here.
What investor profile did you get? Was it spot on or a bit of a surprise?