BMO Global Asset Management as added the BMO Short Tax-Free Fund (MTFYX, MTFIX) to its lineup. The fund will typically maintain a dollar weighted effective maturity between one and three years and is benchmarked to the Barclays Municipal Short (1-5 Year) Index.
The firm’s latest offering is its sixth within the past 12 months, bringing its current total to 24.
"With the addition of the BMO Short Tax-Free Fund to the BMO Funds Tax-Free suite, an investor can set up a liquidity tiering strategy to help create a more effective fixed income portfolio," stated Duane McAllister, co-portfolio manager.
"By allocating their assets into four distinct segments based on their short and intermediate-term requirement, an investor is able to increase the overall return while maintaining a measure of stability and liquidity."
BMO Funds was established in 1992 and is a part of BMO Financial Group, a diversified financial services shop with $542 billion in total assets as of July 31.