Free cash flow in the quarter of $144 million exceeded dividends and buybacks of $116 million by $28 million. So when we look at opportunities there's two things that have to remain intact for us to be willing to do a deal. At WisdomTree, a global asset manager and exchange-traded fund sponsor based in New York, Mr. MacAlpine was responsible for all client-facing functions globally, including distribution, marketing, data intelligence and strategy, business development and client solutions. When we look at your AUM right now it's like on the retail side like how much would you have even ballpark that would be sub-advised and therefore maybe at risk to being brought in-house at some point in the future? As Executive Vice President and Chief Financial Officer, Mr. Muni overseas the companys global finance operations and investor relations teams. In just two years, Toronto-based CI Financial has assembled, via acquisition, a $115 billion-asset independent RIA empire in the U. He has extensive experience in the global asset and wealth management industry, having previously served as Executive Vice-President and Head of Global Distribution for WisdomTree Asset Management and as a Partner and Leader of the North American Asset Management Practice at McKinsey & Company. Despite the companys push to acquire RIAs, MacAlpine has expressed frustration with how the investing public largely still perceives CI as an asset manager. And they have a very unique approach which includes tax planning estate and retirement that's probably more advanced than the typical wealth management platform. That's great. We reported total assets of $202.4 billion, up 4% from September and another all-time high for CI. If you rewind to January this isn't even a segment or a market that we were in. LinkedIn is the worlds largest business network, helping professionals like Kurt MacAlpine discover inside connections Share this article and your comments with peers on social media, IA Financial Group aiming for dual-registered one wealth strategy, How to support financial planning during uncertain economic times, TD Bank to pay US$1.2 billion to settle Stanford Ponzi scheme lawsuit, CIs U.S. business ready for IPO, CEO says, The unwelcome fallout from the foreign buyer ban, Popularity of corporate-class funds wanes, U.S. Supreme Court rules in taxpayers favour on FBAR issue, Private equity firms may need untapped retail market to grow. He was also a member of the CDPQ asset allocation committee. WebKurt MacAlpine is Chief Executive Officer at CI Financial Corp. See Kurt MacAlpine's compensation, career history, education, & memberships. So we are fortunate enough to be winning the vast majority of auctions that we are in. Distribution and use of this material are governed by our Subscriber Agreement and by copyright law. The infrastructure of a bank, but with a boutique feel, NBFWM offers broad services and security for clients. Congratulations! After closing the transactions, we've announced over the past few days, we will have added $31.2 billion in new assets to our platform so far this year with two months left to go. WebWhat is the salary of Darie Urbanky? Jason Weyeneth, CFA Vice-President, Investor Relations & Strategy, Chief Executive Officer and Director, CI Financial, Executive Vice-President and Chief Financial Officer, CI Financial, Executive Vice-President and Head of Investment Management, Executive Vice-President and Chief Legal Officer, CI Financial, Executive Vice-President and Chief Human Resources Officer. So the approach would be different. As Executive Vice President and Chief Financial Officer, Mr. Muni overseas the companys global finance operations and investor relations teams. Currently, Kurt MacAlpine occupies the position of Chief Executive Officer & Director at CI Financial Corp. and Chief Executive Officer & Director at CI Private Wealth. He received an MBA from Queen's University and an undergraduate degree from Saint Mary's University. Harbour in the old model prior to this week had the ability to deliver $3 billion to $4 billion of total scale. Maybe you can just share with us, what the margins would be on that business. It is a profitable business on a stand-alone basis. I would say our approach to capital allocation overall has been very dynamic. CI Financial Corp.s CIX-T chief executive Kurt MacAlpine saw one of the largest jumps in total compensation, to $10.60-million, up more than 75 per cent from Is that a priority? When you think about M&A and wealth management versus asset management, it's really a different approach. But the major nuance is that it'll be done by the leaders of the business as opposed to done to the leaders of the business by CI. CONTACT US. All lines are in a listen-only mode. So if the opportunity presents itself, it's financially attractive accretive and a great opportunity to diversify and transform the business we'll look. Before I discuss our sales for the quarter to-date, I want to provide you with a brief update on our assets for the month of October. But yes, the margins on the institutional business are lower than what we would see on retail. His diverse experience spans asset allocation, portfolio construction, risk management, public and private markets, and fundamental and quantitative strategies. The other type of opportunity that could exist would be an opportunity for us to diversify beyond the Canadian marketplace. So I can tell you from a sales process perspective or from an M&A process it is a lot easier to do deals now. I don't have the exact number in front of me, but you're in the ballpark. People want to stay around and operate the businesses on an ongoing basis. So we needed to evolve our investor platform. Thank you. To that end, CI is spinning out its RIA business through an IPO that will open up 20% of the division to the public markets. So I would say the focus so far has been wealth management clearly given the velocity of deals we've done in the RIA space. The next question will come from Gary Ho with Desjardin Capital Markets. I will now provide an update on the progress we've made on some of our strategic initiatives. Mr. MacAlpine was appointed Chief Executive Officer and Director of CI Financial in September 2019. He holds a PhD in theoretical physics from Pierre and Marie Curie University (now Sorbonne University), and an M.Sc. His responsibilities included strategic asset allocation, quantitative research and alternative indexing activities, as well as sitting on the executive and tactical asset allocation committees for its Strategy and Planning Department. If I look at just the pipeline of firms that we are having conversations with it's really increasing on an ongoing basis. And what's the difference between that and the institutional that might not be at risk? He has So, I would say Scott, it's still very early days. Thank you for the question. HEAD OFFICE. Oftentimes, firms will initiate transactions for financial reasons, personal liquidity events, to initiate a retirement or something like that. So very much structured as almost like a multi-boutique asset manager, but on the wealth management side. Last week, we announced our application to cross-list our common shares on the New York Stock Exchange. in mathematics and physics from Universit de Montral. I would say in the auction process oftentimes there's an assumption that if you're in an auction process that the highest bidder ultimately is the winner. The Canadian equity and Canadian balance categories are two of the three most redeemed categories in the industry year-to-date. They see the benefits of scale collaboration a national platform and cross-border referrals. But that's not to say depending on how the business evolves over time that we may spend a little bit more on a go-forward basis but it's not something we've done today. Introductory comments for a webcast by Kurt MacAlpine, Chief Executive Officer, CI Financial: Good afternoon and thank you for joining me today. Welcome to Barrons Advisor! Good morning. Live from New York, is focused on bringing you the most important global business and breaking markets news and information as it happens. So our ability to get to much larger asset levels will be a function of a series of consistent transactions. In October, we saw a 19% improvement in Canadian retail net sales and a 63% improvement in institutional net sales on a sequential basis. Wealth management assets jumped to $66.1 billion on market performance and with the addition of BDF and Congress in the third quarter. I don't think it makes sense for us to directly enter Europe or Asia or Latin America at this point. The next question will come from Gary Ho with Desjardins Capital Market. Our marketing expense to date, we've essentially been self-funding this initiative within the existing marketing expense base. These instruments preserve capital, offer stable income and protect against volatility. Prior to that, he was a sell-side analyst covering asset and wealth managers at Piper Jaffray. One of the I guess, call it more minor reasons based upon interest from RIAs is the ability to take stock as part of the transaction. The next question will come from Tom MacKinnon with BMO Capital. First, on the U.S. wealth management initiative. They recognize the need to get bigger. And the three transactions you announced in the last 10 days, would that be included in that number? I announced on our Q1 earnings call in May that we were planning a corporate rebranding aimed at streamlining and simplifying our business removing unnecessary complexity and making it easier for our clients to do business with us. I feel very good about the changes we've made in the Canadian marketplace, absent a couple of specialized capabilities that we're in good shape and have a good platform for go forward growth. Mr. MacAlpine was appointed Chief Executive Officer and Director of CI Financial in September 2019. And that kind of leads me to the second question, which is I think on your financial statement you disclosed the purchase price of roughly $400 million for the U.S. RIA acquisition that's closed up to September. In addition to inorganic growth, the companies we've acquired are also experiencing strong organic growth. And we're operating a very differentiated value proposition which is the goal is to build the leading integrated platform in the U.S., but instead of just focusing on the financial element or pursuing a full integration, we are working with our partners to collectively build that platform. So I feel fantastic about the progress we've made. Please go ahead. Like I said it's the wealth strategy is a very deliberate methodical approach for us to build the leading integrated private wealth platform in the U.S. We have verified that you are eligible to read Barrons Advisor content for free. var CurrentYear = new Date().getFullYear() The impact is a $58 million increase in our run rate wealth management EBITDA, which translates to $73 million annualized or 387% improvement from 2019. There will be over time, but that wasn't really the focus of the effort. And what we're trying to do Gary and Scott, just to clarify the reason this is important is, we're obviously transforming our business relatively quickly from all of our economic profits coming from asset management to more balance. If you have an ad-blocker enabled you may be blocked from proceeding. Asset management flows, where are you seeing the biggest opportunity to move the needle on flows? So every month essentially, we capture all of the inputs from various levels of engagement and the model gets smarter and more detailed. And I would call this a close second or 1A and it's a human capital business and the primary relationship in any wealth managers between the adviser team and the client in particular. Before that, he was a partner at consulting firm McKinsey & Co., focusing on the asset and wealth management industries. In the process, its drawn the ire of rivals who say CI has overpaid to take elite firms off the market. Please complete the form below and click on subscribe for daily newsletters from Wealth Professional. The second part of our institutional business would be the retirement space, typically working with employers on to find contribution plans. So historically, a lot of our flows and assets sit with legacy MFDA advisers that have been in the industry for an extended period of time. Net income and adjusted net income of $130.6 million is up 9% from $120.2 million last quarter. To opt-in for investor email alerts, please enter your email address in the field below and select at least one alert option. Kurt Macalpine, 62 Lives in Boston, MA. Addresses View Full Report. When I look at our institutional business overall what I'd say is there's probably, three different chunks of business. Jason Weyeneth, CFA Vice-President, Investor Relations & Strategy, Chief Executive Officer and Director, CI Financial, Executive Vice-President and Chief Financial Officer, CI Financial, Executive Vice-President and Head of Investment Management, Executive Vice-President and Chief Legal Officer, CI Financial, Executive Vice-President and Chief Human Resources Officer. CIs total assets have grown to $241 billion (at March 31, 2021) since he joined the company. Prior to joining CI GAM in September 2021, Mr. Lewis was Head of Portfolio Construction at the Abu Dhabi Investment Authority (ADIA), one of the worlds largest sovereign wealth funds. I think the vulnerabilities, so I'd say that's what I'm most excited about the pivot to IIROC in those particular categories. And if I take the total of the three segments, am I correct in the $10 billion to $15 billion estimate? I think the biggest opportunity for us is really two-fold. What I would say, we have sized the potential at-risk opportunity through sub-advised mandates that exist on bank or insurance owned platforms that have their own capabilities internally. If you experience any issues with this process, please contact us for further assistance. CI Financial Corp. (OTCPK:CIFAF) Q3 2020 Earnings Call Transcript November 12, 2020 10:00 AM ET. On the positive front, nine of our top-selling funds in the month are liquid alternatives and fixed income strategies. Bloomberg Markets Americas. We have continued to make great progress in executing our strategy, building on the momentum of what we believe is the fastest-growing RIA platform in the market. So you've had some redemptions in recent quarters just from some companies that are bringing in-house mandates that you were sub-advising on. I'll turn the conference back over to our speakers. Is that something that is -- well how does that prioritize for you? [Operator Instructions] The first question will come from Geoff Kwan with RBC Capital Markets. Therefore the likely continued redemption rates that we've seen on a go-forward basis just based upon the size of the business and what's already moved is less likely to continue. Financial industry executive Kurt MacAlpine will become the new CEO of independent asset management giant CI Financial Corp. MacAlpine, who takes over as chief executive from Peter Anderson on Sept. 1, was previously executive vice president and head of global distribution for WisdomTree Asset Management in New York. So through our strategic integrated collaborative approach we will naturally work our way to an integrated platform. Trading is expected to begin next Tuesday the 17th, under the symbol CIXX. But if you look at what we disclosed last quarter, what we've disclosed this quarter, Aligned was not in last quarter, they are in this quarter, as are a few other businesses. 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