BMO SmartFolio review
Best for: BMO clients and larger investors who want a bank-backed managed ETF portfolio, with tiered fees that fall as household assets grow.
#6 in our robo-advisors ranking. See how we rank
On the first $100,000, stepping down to 0.40% above $500,000. Includes trading and admin.
Weighted average ETF MER, charged on top of the advisory fee.
Also spousal RRSP, RRIF, spousal RRIF and individual or joint non-registered. FHSA not listed.
BMO Nesbitt Burns acts as principal on conversions.
The bottom line
BMO SmartFolio is a managed ETF service from BMO Nesbitt Burns, with portfolio managers making the investment calls. The advisory fee starts at 0.70% on the first $100,000 and steps down to 0.40% above $500,000, and it covers trading and administration. ETF fees add roughly 0.20% to 0.35%. Each account needs $1,000, and investments must move in as cash.
Pros & cons
Pros
- Tiered fee falls to 0.40% above $500,000
- Household grouping can lower the fee
- Advisory fee includes all transaction and administration fees
- Spousal RRSP, spousal RRIF and joint accounts offered
- Pre-authorized contributions weekly, bi-monthly or monthly
Cons
- 0.70% fee on the first $100,000
- FHSA not listed among account types
- Transfers in must arrive as cash, not securities
- Transfer-out fee listed as $135 or $150 per account
A reasonable fit for BMO clients with larger household balances who want a bank-backed managed portfolio. Smaller investors pay 0.70% plus ETF costs, and FHSA savers will need another option.
Suits you if
- You bank with BMO and want a managed portfolio
- You can group household accounts for a lower fee
- You want portfolio managers choosing the ETFs
Look elsewhere if
- You want to open an FHSA
- You want to transfer in existing stocks or funds
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Who BMO SmartFolio suits
BMO SmartFolio is BMO’s managed investing service, offered by BMO Nesbitt Burns Inc., a wholly owned subsidiary of Bank of Montreal. It works like a robo-advisor, but portfolio managers make the investment decisions, and every portfolio is built from ETFs. It suits BMO clients and investors with larger balances, since the fee falls as assets grow and accounts can be grouped by household for lower pricing.
It is less suited to someone starting small, because the first $100,000 carries the highest rate.
Fees in plain English
SmartFolio charges an advisory fee quarterly, in arrears, on your average assets. The fee includes all transaction and administration fees, and there are no commissions on trades. The rate applies in tiers:
- First $100,000: 0.70%
- Next $150,000: 0.60%
- Next $250,000: 0.50%
- Above $500,000: 0.40%
What that looks like
Using BMO’s figures, $275,000 invested works out to $1,725 a year in advisory fees. The ETFs add their own costs, which BMO says will likely be a weighted average of 0.20% to 0.35% of your account value. BMO’s pricing page labels the top tier slightly differently from its fee schedule and FAQ; we used the fee schedule wording.
There’s no separate annual account fee. A cheque request costs $10, and if you close your account you pay any advisory fees that have built up but not yet been charged. The transfer-out fee is listed as $135 per account on BMO’s pricing page but $150 per account in its fee schedule, so confirm the current amount.
When currency is converted, BMO Nesbitt Burns acts as principal and says it will earn spread revenue of up to 1.8%.
Accounts and minimum
You can open a TFSA, RRSP, spousal RRSP, RESP, RRIF, spousal RRIF, or an individual or joint non-registered account. The FHSA isn’t listed on SmartFolio’s overview page or FAQ, and we found no mention of U.S. dollar accounts.
Each account needs at least $1,000, and BMO says accounts that drop below $1,000 will be divested in cash. Assets must be transferred in as cash, and the portfolio can’t hold investments outside the model. You can set up pre-authorized contributions weekly, bi-monthly or monthly.
Protection and regulation
Your assets are held at BMO Nesbitt Burns Inc., which the fee schedule lists as a member of the Canadian Investor Protection Fund (CIPF) and the Canadian Investment Regulatory Organization (CIRO). The SmartFolio FAQ still refers to IIROC, the regulator’s name before 2023. CIPF protection relates to a dealer’s insolvency, not to market losses, and your portfolio can lose value.
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Frequently Asked Questions
How is the BMO SmartFolio advisory fee calculated?
The fee is charged quarterly, in arrears, on your average assets. Each slice of your balance is charged at its own rate, from 0.70% on the first $100,000 down to 0.40% above $500,000.
Can I group my household’s SmartFolio accounts for a lower fee?
Yes. BMO allows accounts to be grouped by household, which can move more of your combined balance into the lower fee tiers.
Can I move my existing investments into BMO SmartFolio?
Not as they are. BMO says assets must be transferred in as cash, and SmartFolio accounts can’t hold investments outside the model portfolio.
Can I open an FHSA with BMO SmartFolio?
The FHSA isn’t listed among SmartFolio account types on BMO’s overview page or FAQ. Check with BMO if you want to use an FHSA.
What happens if my SmartFolio account falls below $1,000?
SmartFolio has a $1,000 minimum per account. BMO says accounts that have gone below $1,000 will be divested in cash.
Does BMO SmartFolio charge to transfer an account out?
Yes. BMO’s pricing page lists $135 per account, while the fee schedule PDF lists $150 per account. Ask BMO which figure applies before you move.
How often can I contribute to BMO SmartFolio automatically?
You can set up pre-authorized contributions weekly, bi-monthly or monthly. Keep in mind that each SmartFolio account needs at least $1,000.
Who makes the investment decisions in BMO SmartFolio?
BMO describes SmartFolio as a service where portfolio managers make the calls. The portfolios are made up entirely of ETFs.
Sources
Fees and features come from BMO SmartFolio’s own site and fee schedule, checked October 14, 2026. They can change at any time, so confirm them before you open an account. Investing involves risk, including the loss of money you invest. See our methodology.