Larry Berman CFA, CMT, CTA BMO Ultra Short-Term Bond ZST-T BUY Apr 21, 2025

ZMMK and ZST are his two favourite BMO ETFs for money market exposure. He uses both in the bond fund he manages. Which one you chose depends on your risk tolerance. Both are excellent, look at both.

A short-term money market ETF is not going to be impacted by currency volatility. They're Canadian plays in Canada. Even though the BOC is a lot more aggressive in terms of cutting rates because the Canadian economy is significantly weaker than that of the US. 

Not a fan of the bond market here and where yields are. But if you do need to rebalance, try this one. He likes it a lot, and it'll do you well for the next few years.

However, he'd suggest looking at the bonds in some of the ETFS and going out and actually buying the bonds. This way you avoid the management fee, and you can customize your outcomes better in terms of a laddered bond portfolio.

Nothing wrong with it. Duration risk issue with longer-term bonds, but these are short term. A good quality bond portfolio.

An ETF to park money and pays a good dividend. It has a little credit risk, but exposes you to corporate bonds for year, so it acts like a money market fund in a sense. However, it pays you a little more yield by 20-30 basis points.

An enhanced money market yield for short-term exposure. It's money market, but corporate bonds, so a slightly higher yield. Not a HISA, but similar to one.

This hold short-term corporate bonds which yield a little more than the government equivalent, safe. You assume a little credit risk, not much

Basically, it's a corporate money market fund. Is a lot safer than JAAA in terms of credit risk and dividend yield. Note: High-interest savings ETFs used to pay more than money-market funds until the government got rid of that. The best of the lot is ZST.

Corporate-based money market account. Will generate about 30 bps (ballpark) more than what you'd get in a traditional money market fund. Canadian T-bills from 1 month to 1 year are roughly at a 2.6% yield; add a small fee for running the money market fund, and your yield is about 2.5%.

With ZST, you'll get something like 2.8-2.9%. Very safe, very high quality corporate credits in Canada. Great vehicle for a number of years to get an enhanced yield on your cash savings.