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