BMO Launches Broad Commodity ETF with Diversified Exposure to Energy, Metals, and Agricultural Markets

Executive Summary

• BMO Asset Management announced the launch of the BMO Broad Commodity ETF (ZCOM), providing diversified exposure to energy, metals, agriculture, and livestock sectors.
• The ETF tracks the Bloomberg Commodity Index Total Return using commodity‑linked derivatives and is listed on Cboe Canada Inc., trading in Canadian dollars.
• Initial offering of CAD units has closed; the fund is now live for investors seeking broad commodity market access.

Key Details

• Fund Name: BMO Broad Commodity ETF (ticker: ZCOM)
• Launch Date: Closed initial offering as of Oct. 24, 2025; listed and trading on Cboe Canada Inc.
• Investment Objective: Replicate total return performance of a broad‑based commodity index (currently the Bloomberg Commodity Index Total Return), net of fees and expenses.
• Strategy: Primarily invests in commodity‑linked derivative instruments; excess cash may be invested in money market, fixed income, or underlying funds to achieve index replication.
• Currency: Canadian dollars – intended to reduce currency risk for domestic investors.
• Asset Class: Exchange‑traded alternative mutual fund (NI 81‑102), permitting leverage, borrowing, and investment in other alternative funds.
• Risk Disclosure Highlights: Use of derivatives and leverage may accelerate losses under certain market conditions; ETF values fluctuate and can trade at a discount to NAV; distributions are not guaranteed.
• Management Quote: Bipan Rai (Managing Director & Head of ETF & Alternatives Strategy, BMO Global Asset Management) emphasized the fund’s ability to “reduce complexity” and provide streamlined, diversified commodity exposure.
• Regulatory/Trademark Notices: Bloomberg® index licensed for use; Bloomberg does not endorse or guarantee the ETF.

Notable Quotes

“The BMO Broad Commodity ETF reduces complexity, giving investors streamlined access to global commodity markets through a single investment solution while also trading in Canadian dollars to help reduce currency risk.” – Bipan Rai, Managing Director and Head of ETF & Alternatives Strategy, BMO Global Asset Management.