BMO Dividend Fund Linked GIC
| BMO Dividend Fund Linked GIC |
|
| Rates - BMO Dividend Fund Linked GIC |
| Guaranteed Return for the Term | No |
| Participation Rate* | 35% for 3 year term
55% for 5 year term
*The rate at which the investment participates in the returns of the reference portfolio
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| Maximum Rate of Return for the Term* | Unlimited
*Depending on the performance of the reference portfolio.
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| Term | 3 or 5 year term
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| Calculation Method |
| Rate of Return for the Term | = | Return on Reference Portfolio | X | Participation Rate |
If the return on the Reference Portfolio is less than zero, the Rate of Return for the Term will be zero.
The return on the Reference Portfolio is calculated as follows:
| Return on Reference Portfolio | = | | Average Closing Value – Issue Date Value |
| | Issue Date Value |
| X | 100 |
- The Issue Date Value is the value of the BMO
Dividend Fund Total Return Index at market close on the Wednesday
following the week of purchase.
- The Average Closing Value is the simple average of the BMO Dividend Fund Total Return Index at market close on the 15th day of the 6 months immediately prior to the month in which the investment matures. If the 15th of the month falls on a weekend or holiday, the value on the following weekday that is not a holiday will be used.
The BMO Dividend Fund Total Return Index was initially set at 100 on December 31, 2004 to reflect the closing value of the BMO Dividend Fund. Since then, the value of the BMO Dividend Fund Total Return Index has fluctuated to reflect both the change in the value of the BMO Dividend Fund and the reinvestment of all dividends/distributions paid by the fund.
On each business day, the value of the BMO Dividend Fund Total Return Index will be calculated as follows:
| BMO Dividend Fund Total Return Index |
= |
| Current Day’s Price of BMO Dividend Fund |
| | Previous Day’s Price of BMO Dividend Fund |
| X | Previous Day’s Index Value |
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| | + | | Current Day’s Price of BMO Dividend Fund |
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| Previous Day’s Price of BMO Dividend Fund |
| X |
Previous Day’s Distribution |
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