Bank of Montreal 2013 Annual Report Download - page 22

Value Measures
Total Shareholder Return
The average annual total shareholder return (TSR) is a key measure of
shareholder value, since it assesses our success in achieving our guiding
principle of delivering top-tier shareholder returns. Over the past five
years, shareholders have earned an average annual TSR of 17.0% on
their investment in BMO common shares, second among our Canadian
peer group. Our one-year TSR of 28.8% was the highest among our
Canadian peer group, and our three-year average TSR was 11.5%.
The table below summarizes dividends paid on BMO common
shares over the past five years and the movements in BMO’s share
price. An investment of $1,000 in Bank of Montreal common shares
made at the beginning of fiscal 2009 would have been worth $2,192 at
October 31, 2013, assuming reinvestment of dividends, for a total return
of 119.2%.
Five-Year Average Annual
Total Shareholder Return (%)
All returns represent total returns.
BMO
common
shares
S&P/TSX
Financial
Services
Index
S&P/TSX
Composite
Index
S&P 500
Index
BMO outperformed the
comparable Canadian indices.
15.2
9.7
12.9
17.0
All returns represent total returns.
BMO
common
shares
S&P/TSX
Financial
Services
Index
S&P/TSX
Composite
Index
S&P 500
Index
BMO’s three-year average annual
return was strong
.
16.6
4.8
12.0 11.5
Three-Year Average Annual
Total Shareholder Return (%)
One-Year Total
Shareholder Return (%)
All returns represent total returns.
BMO
common
shares
S&P/TSX
Financial
Services
Index
S&P/TSX
Composite
Index
S&P 500
Index
BMO’s TSR was the highest
among our Canadian peer
group.
27.2
11.0
25.4
28.8
Total Shareholder Return
For the year ended October 31 2013 2012 2011 2010 2009
On December 3, 2013, BMO announced that the Board of Directors
had declared a quarterly dividend payable to common shareholders of
$0.76 per common share, an increase of $0.02 per share from the
preceding quarter and up $0.04 from a year ago. The dividend is payable
February 26, 2014 to shareholders of record on February 3, 2014. Pre-
viously, we had increased our quarterly dividend declared to $0.74 per
common share for the second quarter of 2013. Our quarterly dividend
declared was $0.72 per common share for the fourth quarter of 2012
and the first quarter of 2013. Dividends paid over five-year and ten-year
periods have increased at average annual compound rates of 0.8% and
8.5%, respectively.
The average annual total
shareholder return (TSR)
represents the average
annual total return earned
on an investment in Bank of
Montreal common shares
made at the beginning of a
fixed period. The return
includes the change in share
price and assumes that
dividends received were
reinvested in additional
common shares. The one-
year TSR also assumes that
dividends were reinvested in
shares.
3-year 5-year
CAGR (1) CAGR (1)
MD&A
Closing market price per common share ($) 72.62 59.02 58.89 60.23 50.06 6.4% 11.0%
Dividends paid ($ per share) 2.92 2.80 2.80 2.80 2.80 1.4% 0.8%
Dividends paid (%) (2) 4.9 4.8 4.6 5.6 6.5
Increase (decrease) in share price (%) 23.0 0.2 (2.2) 20.3 16.4
Total annual shareholder return (%) 28.8 5.2 2.4 26.4 25.1 11.5 17.0
Total annual shareholder return assumes reinvestment of quarterly dividends and therefore does not equal the sum of dividend and share price returns in the table.
(1) Compound annual growth rate (CAGR) expressed as a percentage.
(2) As a percentage of the closing market price in the prior year.
BMO Financial Group 196th Annual Report 2013 33