BMO GAM plans to launch trio of Enhanced Income ETFs

Covering UK, US and Europe

BMO GAM is planning to unveil three enhanced income ETFs allocating to the UK, European and US equity markets, aiming to offer investors a high yield derived from dividends.

The BMO Enhanced Income UK Equity, Euro Equity and USA Equity UCITS ETFs, which are all subject to regulatory approval, will also employ a covered call option overlay. This will take advantage of the supply/demand imbalance between the number of investors looking to hedge their equity positions and the lower number of hedge providers. The UK and Europe ETFs are looking to generate a yield of 7% pa, while the US product will seek to achieve 5%. Annual charges on the ETFs will be 30bps. BMO GAM appoinst State Street's Cantrell to lead UK ETF sales Christine Cantrell (pictured), UK...