Bank of Montreal 2015 Annual Report Download - page 70

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MD&A
The classification requirements will result in unrealized gains and losses on equity securities currently classified as available-for-sale being
recognized in profit or loss going forward, as opposed to being recognized in other comprehensive income. Additionally, based on the results of the
business model and cash flow characteristics test, certain investments in debt securities may be reclassified from the current amortized cost or
available-for-sale categories to fair value through profit or loss or from available-for-sale into amortized cost.
In order to meet the requirement to adopt IFRS 9, we have established an enterprise-wide project. We are currently evaluating the impact of
adoption on our financial results.
Transactions with Related Parties
In the ordinary course of business, we provide banking services to our key management personnel and their affiliated entities, joint ventures and
equity-accounted investees on the same terms that we offer to our customers for those services. Key management personnel are defined as those
persons having authority and responsibility for planning, directing and/or controlling the activities of an entity, being the directors and most senior
executives of the bank.
Details of our investments in joint arrangements and associates and the compensation of key management personnel are disclosed in Note 29
on page 197 of the financial statements. We also offer employees a subsidy on annual credit card fees.
BMO Financial Group 198th Annual Report 2015 81