BANK OF MONTREAL (BMO) Stocks
ABOUT BANK OF MONTREAL
? Bank of Montreal (BMO) was founded in 1817 in Montreal, Canada. The bank boasts a rich history spanning over two centuries, and is the fourth-largest bank in Canada by assets and market capitalization. It is also one of the ten biggest banks in North America. It trades on both the Toronto and New York stock exchanges.
Its origin can be traced back to June, 1817, when John Richardson and eight merchants signed the Articles of Association to establish the Bank of Montreal in a rented house in Montreal, Quebec. Nowadays the bank has more than 900 branches throughout Canada and a clientele of approximately seven million customers. It also operates in the Chicago area and elsewhere in the United States as BMO Harris Bank.
The bank has two divisions. BMO Capital Markets is its investment and corporate banking segment, while BMO Nesbitt Burns is the bank’s wealth management division.
The bank has a stellar reputation, as it has not missed a single dividend payment since 1929. It remained consistent, even during world crises such as World War I and II, and the Great Depression. It therefore boasts the world’s longest dividend payment history. Today, the bank employs approximately 45 000 people across all its branches.
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OVERVIEW OF BANK OF MONTREAL
- Bank of Montreal operates through three “client groups” which serve different markets. Each of these groups functions under multiple brand names.
The Personal and Commercial Client Group includes BMO Bank of Montreal (in Canada) and BMO Harris Bank (with its headquarters in Chicago, Illinois, in the United States. BMO’s Investment Banking Group is known as BMO Capital Markets, and its Private Client Group, that is involved with wealth management, include BMO Nesbitt Burns, BMO InvestorLine, BMO Harris Investor Services and BMO Private Banking.
- BMO has merged with, or acquired, several other Canadian banks throughout its extensive history. These include, Commercial Bank of Canada (1868), People’s Bank of Halifax (1905), Molson Bank (1925), Standard Chartered Bank of Canada (1990s), and the Royal Bank of Canada (2000), to name but a few.
VALUES OF BANK OF MONTREAL
- Bank of Montreal conducts its business based on its core values, namely integrity, empathy, diversity and responsibility. The bank believes in doing what is right, putting others first, learning from differences, and working towards a better tomorrow.
- When confronted with key issues, its management is guided by integrity, empathy, diversity and responsibility. It is fully committed to transparency in all of its operations, and adheres at all times to the sustainability principles as described in its corporate strategy.
- It values its reputation, and understands that its conduct in the pursuit of business objectives impacts its customers and stakeholders. It also determines the level of trust its clients has in its ability to offer the right financial solutions.
- BMO’s employees, therefore, demonstrates disciplined behaviour at all times. The Ethisphere Institute named BMO one of the World’s Most Ethical Companies in 2018.
MARKET PERFORMANCE OF BANK OF MONTREAL
- Bank of Montreal is listed on the Montreal and New York stock exchanges. It trades on the New York Stock Exchange (NYSE) under the ticker symbol “BMO”.
- In 2018, BMO recorded revenue of CUS Dollar 23.037 million and net income of CUS Dollar 5.550 million. Its assets were valued at CUS Dollar 774 billion. Shareholders can therefore buy and sell BMO shares in the expectation of sound dividends and returns.
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LATEST NEWS BANK OF MONTREAL
Buy BANK OF MONTREAL stocks / shares – A Step by Step Guide how to Buy / Purchase BANK OF MONTREAL Stocks or Shares online.
Before buying any stock or share one has to consider a few factors.
STEP 1: PROPER RESEARCH IS ESSENTIAL
Upon deciding you want to buy BANK OF MONTREAL Stocks / Shares, it is critical for the serious investor to do proper research into the said company. Its values should align with those of the investor’s current portfolio. An investor needs to familiarise himself with the basics and history of the company, as well as its leadership and performance in the market. Its company reports should also be scrutinized.
Consultation with a brokerage firm can also assist in determining whether investing in a specific company will complement the investor’s current portfolio. The investment “risk ladder”, which identifies asset classes based on their relative riskiness, is another useful tool when determining which company’s stock / share is the best to buy.
STEP 2: CALCULATE THE AMOUNT OF INVESTMENT IN BANK OF MONTREAL STOCKS / SHARES
It is important for an investor to monitor his total investment in stock in order to keep his portfolio aligned to his investment strategy. The overall value of his holdings will change with the fluctuation in stock prices, which can throw his portfolio off balance. To determine the amount to invest, multiply the number of shares of each stock by its current market price to determine the total investment in that specific stock. For example, if you own 100 shares of a US Dollar 5 stock, multiply 100 by US Dollar 5 to get US Dollar 500.
STEP 3: DECIDE ON THE STOCK / SHARE ORDER TYPE
Investors can choose from a market order, a limit order, a stop order (also referred to as a stop-loss order) or a buy/sell stop order. It is important to familiarise yourself with each type’s pros and cons before deciding which one will suit your current stock profile best. An investor should be guided in this choice by his investment objective.
STEP 4: OPEN A BROKERAGE ACCOUNT
A brokerage account – also known as taxable investment account – is similar to a retirement account, but more flexible. Where a retirement account has limitations on the amount of money that can be contributed annually, and restrictions on when funds can be withdrawn, a brokerage account is more flexible. The latter has no income or contribution limit and the investor can withdraw his money at any given time. This flexibility, together with its potential investment gains, makes a brokerage account more attractive to serious investors. Brokerage accounts are ideal for goals or savings that are further than five years away, but closer than retirement. It can also supplement an investor’s emergency savings.
STEP 5: COMMIT AND PURCHASE BANK OF MONTREAL STOCKS / SHARES
Lastly, commit to the stock. Pro Tip: Monitor the value of your stock to ensure you have a growing stock value and dividend pay-out. Regularly check the share price online to ensure your investment delivers a positive return on investment. You are now a proud owner of BANK OF MONTREAL stocks / shares.
5 Questions to ask yourself before purchasing any stocks or shares.
- Is it the best time to buy this stock / share?
- Should I buy BANK OF MONTREAL stocks / shares in the current economic climate?
- Can I afford to buy this stock / share?
- What is the forecast of the stock / share growth?
- What is the current price per earning ration on the stock / share?
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