(ZMMK) BMO Money Market Fund - Ratings and Ratios

ZMMK is a Canadian money market ETF designed to deliver stable returns by focusing on short-term, low-risk securities. It primarily invests in Canadian dollar-denominated instruments like government securities, commercial paper, and certificates of deposit. The fund aims to preserve capital while offering liquidity, making it a practical choice for investors seeking to park cash temporarily or diversify their portfolios with minimal risk exposure.

Managed by BMO Global Asset Management, ZMMK tracks the Morningstar CAD O/N Cash GR CAD Index, which serves as a benchmark for overnight cash rates in Canada. The fund is structured to maintain a net asset value (NAV) of $10 per unit, typical for money market ETFs, ensuring stability for investors. Its primary objective is to generate income while keeping credit and interest rate risks to a minimum, achieved by investing in high-quality, short-duration assets.

ZMMK is listed on the Toronto Stock Exchange (TO) under the ticker ZMMK, with an assets under management (AUM) of approximately $3244.75 million CAD. This scale provides liquidity and allows the fund to maintain tight bid-ask spreads, further enhancing its appeal for institutional and retail investors alike. The fund is particularly useful for cash allocations in portfolios, offering better yields than traditional savings accounts without exposing investors to significant market volatility.