Bank Of Montreal Expands Investment Offerings With New ETNs, Bitcoin Bet

Bank of Montreal (BMO) has recently expanded its investment offerings by launching new Exchange Traded Notes (ETNs) and making a significant bet on Bitcoin. The Canadian bank, one of the largest in the country by assets under management, has introduced several new ETNs, including the MicroSectors™ FANG+™ 3× Leveraged ETNs and the MicroSectors™ FANG+™ 3× Leveraged ETNs due January 23, 2045. Additionally, BMO has invested $150 million in Bitcoin ETFs, signaling its confidence in the cryptocurrency's potential.

The new ETNs, linked to the gross total return version of the NYSE FANG+® Index, offer sophisticated investors three times leveraged long participation in the daily performance of the Index, before taking into account fees, charges, and the decay effect caused by the daily resetting of the leverage. The MicroSectors™ FANG+™ 3× Leveraged ETNs due January 23, 2045 are expected to reuse the "FNGU" ticker symbol approximately 90 days after the ticker symbol change date, which is expected to be effective on March 3, 2025.

BMO's expansion of its investment offerings aligns with its overall strategy of providing a wide range of products to cater to diverse investor segments. The new ETNs and Bitcoin bet demonstrate the bank's commitment to staying ahead of market trends and offering innovative investment solutions to its clients. The launch of the new ETNs also reflects BMO's recognition of the growing demand for leveraged and inverse leveraged products in the market.



The bank's $150 million investment in Bitcoin ETFs, revealed through a Form 13F-HR filing with the U.S. SEC, indicates that BMO is bullish on the cryptocurrency's long-term prospects. The investment, which includes $139 million in BlackRock's iShares Bitcoin ETF and $11 million distributed among three other major Bitcoin ETFs, represents a significant increase in BMO's Bitcoin ETF holdings, from $13 million to $150 million in just one quarter.

BMO's expansion of its investment offerings and its Bitcoin bet reflect the bank's commitment to staying at the forefront of the investment landscape. By providing a wide range of products, including leveraged ETNs and exposure to cryptocurrencies, BMO is positioning itself to cater to the diverse needs and preferences of its clients. As the investment market continues to evolve, BMO's innovative approach to product development and its confidence in the potential of emerging assets like Bitcoin will likely continue to drive its success.