Robo-advisor versus the traditional advisor: Round two of the debate (IIAC Blog)
Robo-advisor versus the traditional advisor: Round one of the debate (IIAC Blog)
Letter from the President: Wisdom from the Asian Financial Forum and the lessons for Canadian policymakers (IIAC Blog)
In my latest Letter from the President, I look at the rise of populism in the developed world. The emergence of the so-called “new normal”, marked by weak GDP growth and stagnant incomes, has unfolded as a troubling, persistently enduring economic condition, rather than a cyclical phenomenon. I argue that governments must find consensus for pro-growth policies to break the economic malaise, embracing low tax rates, broad tax reform, stimulative spending, and deregulation, and avoid the impulse for excessive social spending and protectionism. Failure risks political pressure for even more radical policy solutions.
The IIAC has described the details of a pro-growth agenda to boost investment, jobs and opportunity. Click here to read my latest Letter from the President.
IIAC seeks nominations for the 2017 class of IIAC Investment Industry Hall of Fame Inductees (IIAC Blog)
The deadline to submit nominations is Friday, May 5, 2017 (5:00 p.m. ET).
The IIAC Investment Industry Hall of Fame honours excellence, integrity and leadership in Canada’s investment industry. We are reaching out to executives in the financial sector to put forth names of outstanding individuals who have demonstrated vision and leadership in building successful careers, contributed to the vitality of Canada’s investment industry and capital markets, and given back to their communities.
A maximum of four living and four posthumous candidates are inducted into the Hall of Fame annually. The Inductees are chosen by members of the IIAC Hall of Fame Selection Committee—an independent Committee—comprised of distinguished Canadians who work, or have worked, in the investment industry, business, politics, law or academia.
The 2017 Inductees will be recognized and celebrated at a Gala Dinner on Thursday, October 26, 2017 in Toronto.
Additional information on the eligibility and selection criteria, as well as the nomination process, is available here.
Advocacy Wins on Behalf of our Members (IIAC Blog)
The Investment Industry Association of Canada (IIAC) is committed to constructive engagement with securities regulators and governments to fight for cost-effective rules, fight against rules that interfere with business activity and market efficiency, and to promote incentives for capital formation and growth. Our efforts are paying off. Here are some of our 2016 victories on your behalf.
2017 Investment Industry Trends (IIAC Blog)
IIAC Develops CRM2 Webinar for Member Firms (IIAC Blog)
As some clients are set to receive their first CRM2 fee and performance reports from IIAC member firms in January 2017, the IIAC has developed a webinar for advisors titled “Meet the Challenge. Capture the Opportunity”. This webinar provides practical tips to assist advisors in explaining the details and complexities of CRM2 to their clients. A vigorous response to client queries will allay concerns and boost confidence.
This webinar features a CRM2 expert and includes topics such as: helping clients understand their new reports; anticipating and addressing client questions on fees and performance; and tips on articulating value.
We encourage you to distribute the webinar to your firm’s advisors. The webinar is eligible for 1hr of CE credits (pending IIROC approval). It can be viewed in its entirety or in individual modules and can be linked to here.
Have We Reached the High Water Mark for Global Regulatory Reform? (IIAC Blog)
The aftermath of the 2007-2008 global financial crisis was an intensive period of financial regulatory reform across the developed world. The urgency and extent of reform, particularly in the early years, laid the ground for excessive and unintended consequences.
There is a growing consensus that the pendulum has swung too far. Regulators in many jurisdictions are taking stock of the impact of reform on markets and on the economy.
We expect that an ongoing review of the reform impact and rising compliance costs for the financial sector will slow the rulemaking process, roll back certain rules, and increase reliance on industry best standards and tougher enforcement.
Click here to read the Letter from the President.
Attracting Capital to the Wealth Management Business (IIAC Blog)
My latest Letter from the President describes the opportunities and challenges for the retail investment industry. While we estimate about 30 retail boutiques lost money, on a net basis, in each of the last four years, it is important to stress that many small and mid-sized firms have been profitable.
Firms have made herculean efforts to control cost increases through staffing reductions, increased reliance on technology and out-sourcing, and adjustments to advisor compensation grids.
Firms have also focused efforts on improving advisor productivity through training and continuing education programs. They have boosted their competiveness by providing real-time access to advisors and accounts; a full complement of products and advisory services; a balanced approach between fee-based or discretionary management and value-added financial planning and tax expertise; effective recruitment of advisors; and a smooth transition from older to younger advisors. Some firms have segmented advisory services across different client categories and established pricing schedules for individual services.
These measures will improve the bottom line and return on equity, drawing capital to smaller firms.
While there may be further attrition among small and mid-sized firms in the investment dealer retail business in coming years, we are optimistic the many firms that survive will be effective and profitable purveyors of wealth management advisory services, with their clients the big winners.
Click here to read the Letter from the President.
Let’s Remember Them
They are our fathers, brothers, mothers and sisters, neighbours … heroes.
Canada’s Veterans. Their courage, service and sacrifice will never be forgotten.
On November 11, let’s remember them.