Bank of Montreal has issued new Market Linked Securities due January 4, 2028, linked to the performance of the S&P 500, Russell 2000, and Nasdaq-100 indices. The securities feature an auto-call mechanism with potential returns of 10.15%, 20.30%, or 30.45% if called on specified dates.If not called early, at maturity investors face 1-to-1 downside exposure to the worst-performing index beyond a 10% buffer. The securities do not pay interest and investors can lose up to 90% of principal. Returns are capped at the call premiums even if indices appreciate significantly.The offering highlights Bank of Montreal's continued expansion in structured products, providing investors with index-linked returns and conditional downside protection. However, the complex payout structure and credit risk underscore the need for careful evaluation by potential investors.

Bank of Montreal has issued new Market Linked Securities due January 4, 2028, linked to the performance of the S&P 500, Russell 2000, and Nasdaq-100 indices. The securities feature an auto-call mechanism with potential returns of 10.15%, 20.30%, or 30.45% if called on specified dates.If not called early, at maturity investors face 1-to-1 downside exposure to the worst-performing index beyond a 10% buffer. The securities do not pay interest and investors can lose up to 90% of principal. Returns are capped at the call premiums even if indices appreciate significantly.The offering highlights Bank of Montreal's continued expansion in structured products, providing investors with index-linked returns and conditional downside protection. However, the complex payout structure and credit risk underscore the need for careful evaluation by potential investors.