BMO Investments drops standard DSC for new purchases

BMO Investments says it will discontinue the standard DSC purchase option for new purchases—including pre-authorized purchases—across its entire mutual funds lineup, effective May 4, 2018.

Read: Commissions ban could push advisors to sell insurance products: MFDA

In a release, BMO Investments says it hasn’t offered any new mutual funds under the standard DSC purchase option since April 2016.

Read: BMO announces fund series launches, risk rating changes

The low-load DSC purchase option will continue to be available to investors. On its website, BMO says that, with low-load DSCs, a declining redemption fee applies if the fund is redeemed within the first three years of purchase. For example, the fee reduces from 3% in the first year to 0% after three years.

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Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.