WINNIPEG, MANITOBA – Jeffrey R. Carney, President and Chief Executive Officer of IGM Financial Inc. (TSX: IGM), addressed shareholders today Of their annual meeting. He discussed the company’s achievements in 2016 and outlined his mission to become the most client-centered financial services company in Canada. According to him, IGM Financial has the opportunity to capitalize on changes in Canadian and global markets through better use of its capabilities and the addition of new ones, which it calls “unlocking our potential.” Mr. Carney indicated that IGM Financial will build on its scale,
This was the first time Mr. Carney had spoken at the annual meeting of shareholders as Chief Executive Officer of Investors Group and as the sole Chief Executive Officer of IGM Financial.
According to him, Investors Group is well positioned to expand in key markets, such as high-value clients and retirees. Investors Group ended 2016 in lion and continues its momentum in 2017: gross sales in the first quarter rose 29 percent compared to the first quarter of 2016 to $ 2.9 billion, Mountain peak. Net sales grew 91 percent to $ 890 million, the best result in ten years.
Here are the main achievements that Mr. Carney spoke to about 200 people present:
Total assets under management increased by 8.5 per cent in 2016. Assets under management of products for high-value clients increased 15 per cent to $ 32 billion. (Overall, Investors Group’s assets account for 40% of its assets in high-value customer solutions.)
Investment returns improved, with two-thirds (66 per cent) of the assets managed by Investors Group ending 2016 in the first two quartiles, compared with only 17 per cent in 2015.
The Maestro Portfolios celebrated their first anniversary and proved to be the most successful product ever launched in the history of Investors Group.
The Investors Group’s deferred sales charge (DSC) option was eliminated, contributing to a 146 per cent increase in net sales over the next six months.
No-load mutual fund expenses were reduced to the same levels as funds with FAR.
The recruitment criteria for advisers were tightened. In addition, all advisors with more than four years of experience are required to obtain the title of financial planner (Pl. Fin., Quebec and CFP elsewhere in the country). Investors Group is recognized as a forerunner in this country.
Assets under management were over $ 64 billion at the end of 2016. As at March 31, 2017, mutual fund assets stood at an all-time high of nearly $ 53 billion.
In 2016, sales and market share increased. Continuing this trend, net sales of mutual funds reached $ 381 million in the first quarter of 2017 (excluding rebalancing activities), the best result in more than a decade.
Still in the first quarter of 2017 and excluding rebalancing activities, gross sales of mutual funds climbed 38 percent, another peak in more than ten years.
Investment returns were exceptional, with 41 per cent of mutual fund assets invested in Morningstar rated four or five-star funds as of December 2016, compared with 32 per cent in December 2015.
The opinion of financial advisors continued to improve as they placed Mackenzie fourth in 2016 among all fund companies. In 2013, Mackenzie was in thirteenth position.
Our distribution relationships have grown and the brand has grown in strength: in terms of commercial penetration with Canadian financial advisors, the company has moved from fourth place in 2014 to second in 2016, From the fourth rank in 2012 to the second in 2016.
Investment Planning Counsel:
The company serves some 170,000 Canadian households through its network of more than 850 experienced independent financial planners with an average of at least nine years of service.
Assets under management increased by 7.7 per cent to $ 4.5 billion in 2016, and assets under administration by 6.8 per cent to $ 26.1 billion.
“The decisions we make will inspire confidence in our clients, the results we achieve will attract new customers, and our actions will help us achieve our goal of becoming the industry’s trusted brand,” said Carney.
He also described IGM Financial’s investments in 2016 in three financial technology companies: Personal Capital, Wealthsimple Financial and Portag3 Ventures. These investments are designed to expand IGM Financial’s customer base through technology and innovation, complementing the services of financial advisors and planners. In order to access new markets, IGM Financial also decided in 2016 to invest in China Asset Management Co., Ltd., one of the largest and most important investment management companies in China. The transaction, the final conclusion of which is subject to customary requirements, will enable the two entities to cross-sell their respective territories.
At the annual meeting, two new members were elected to the Board of Directors of IGM Financial Corporation: Susan Doniz, Chief Technology Officer of Qantas Airways Limited, and Sharon MacLeod, Vice President, Global Brand, Dove Men + Care, at Unilever.
Source: IGM Financial Inc.