ZUQ - BMO MSCI USA High Quality Index ETF

Portfolio Strategy

The BMO MSCI USA High Quality Index ETF (ZUQ) has been designed to replicate, to the extent possible, the performance of the MSCI USA Quality Index, net of expenses. The Fund invests in U.S. equity markets, while screening for high return on equity (ROE), stable year-over-year earnings growth and low financial leverage. The Fund may also invest in or hold securities intended to replicate the performance of the Index.

Benchmark Info

MSCI USA Quality Index (“Index”) is based on the MSCI USA Index, its parent index, which includes large and mid cap stocks in U.S. The Index aims to capture the performance of quality growth stocks by identifying stocks with high quality scores based on three main fundamental variables: high return on equity (ROE), stable year-over-year earnings growth and low financial leverage. All securities eligible for inclusion in the Index are weighted by the product of their market cap weight in the parent index and their quality score. Issuer weights are capped at 5%. The Index is rebalanced semi-annually, as of the close of the last business day of November and May.

Benefits

  • Designed for investors looking for growth solutions
  • Exposure to high quality U.S. equities
  • Benefits from local currency appreciation
  • Professionally managed by BMO Global Asset Management

Full details: ZUQ - BMO MSCI USA High Quality Index ETF

Latest insights

Multi-Asset
economic uncertainty
June 2022

June Monthly Market Commentary: The Economy to Face Increasing Chill, not a Hurricane

Expectations for Fed and Bank of Canada (BoC) tightening continue to firm up as monetary stimulus is getting removed at a quick pace to lean against excessive inflationary pressures. Rising rates should weigh on the growth outlook and equity valuation, but we do not expect a recession over the next 6 to 9 months.
Multi-Asset
economic uncertainty
May 2022

May Monthly MAST Commentary: Rising commodity prices continue to support the inflation outlook while supply-chains are still exposed to disruptions

Monetary stimulus from the U.S. Federal Reserve (the “Fed”) and Bank of Canada (BoC) is getting removed at a quick pace to lean against excessive inflationary pressures. Rising rates should weigh on the growth outlook and equity valuation, but we do not expect a recession over the next 12 months.
Multi-Asset
economic uncertainty
April 2022

April Monthly MAST Commentary: Fear of War is Coming Down, but Fear Over the Fed’s Soft-landing is Rising

The conflict in Ukraine keeps on raging, but fear of an escalation has come down. However, the impact on commodity prices will continue as prices remain elevated and long-term supply remains an issue, most notably for Europe and other commodity importing countries.
April 2022

Value Hunting: The Return of Cautious Optimism

With macroeconomic data telling two different stories—one of low unemployment and robust earnings, another of high inflation and rising interest rates—Luke Casey of Pyrford International provides an inside look at the investing factor that’s making a surprise comeback: Value.
April 2022

A Portfolio Manager’s Guide to War and Conflict

With Russia’s recent invasion of Ukraine, institutional investors are once again questioning the historical relationship between war and capital markets.
April 2022

Riding the $100T Renewables Infrastructure Wave

Joe Idaszak, Portfolio Manager, Brookfield Public Securities Group (PSG) offers his take on why institutional investors interested in the “E” of ESG should consider investing in the one specific area with $100 trillion of global investments expected by 2050: renewables infrastructure.