(Adds more job cut details, fund moves)
By John Tilak and Fergal Smith
TORONTO, March 8 BMO Global Asset Management has
laid off several portfolio managers and management staff in a
restructuring of its buy-side equity team, according to two
people familiar with the situation.
The asset management division of Bank of Montreal,
Canada's fourth-biggest lender, has cut the size of the team to
about 13 members, from about 21 previously, the people said on
Tuesday and Wednesday, speaking on condition of anonymity
because the matter is confidential.
A BMO Asset Management spokesman declined to comment.
The changes have affected some portfolio managers and
management-level staff, the people said, but traders and
research analysts have not lost their jobs.
The cuts in the Canadian division signaled a shift away from
active management, at a time when competition from
exchange-traded funds and index funds is increasing. BMO itself
has pushed aggressively into the ETF space.
BMO also cut at least two people in its Canadian fixed
income staff at the asset management division, including Denis
Senecal, chief investment officer of Canadian active fixed
income, the people said.
Some mandates are being transferred to Miami, including high
yield, which was previously managed in Toronto by Monegy Inc.,
a high-yield focused fixed income investment management firm
that sits within BMO Global Asset Management.
Earlier this week, BMO Investments Inc. announced portfolio
management changes to funds run by Monegy.
Lesley Marks, head of the Canadian fundamental equities
team, will leave as part of the overhaul, the people said. Marks
oversaw portfolio management and research for fundamental
Canadian equity strategies at BMO.
Portfolio managers Gino Di Monte and Jeff Bradacs will
depart as well, the people said. Both had focused on Canadian
large cap equities.
BMO Global Asset Management ranked 55th among global
investment firms based on worldwide assets under management in
2015, according to Pensions & Investments.
(Additional reporting by Rod Nickel; Editing by Meredith
Mazzilli and Andrew Hay)