archive-ca.com » CA » P » PRIVATEWEALTHMAGAZINE.CA

Total: 201

Choose link from "Titles, links and description words view":

Or switch to "Titles and links view".
  • Private Wealth Canada - wealth management, estate planning, luxury vacations, private jets...
    that the most important company asset is key employees How then to keep key employees executives motivated and with the company to retirement The Return Of Returns a white paper by 18 Asset Management In 2013 active Canadian equity pooled fund managers enjoyed their best year since 2001 with over 90 beating the S P TSX Composite Index An Industry That s Lost Its Way When the finance industry is viewed rightly or wrongly as rigged benefiting only the inner circle of the wealthy few investors will look elsewhere Look Outside Canada For Equity Opportunities Now that the world s economic engines appear to be in gear with only the occasional sputter equity markets are in a good position to continue their winning ways through 2014 And by far the best place to reap these rewards is outside Canada Will Self directed Investing Simplify Your Life Making the decision to become a self directed investor really comes down to one thing Will managing your own wealth make your life better and help you achieve your financial goals Twelve Days And Maxing Out Your RSP The Twelve Days of Christmas has become a holiday favourite over the years In the spirit of this traditional festive carol RBC Wealth Management offers The 12 Tips of Tax Planning to help with the important weeks ahead in the annual tax planning calendar The Federal Reserve s Centennial Birthday The 100 Years War Against Gold On December 23 2013 the U S Federal Reserve the Fed will celebrate its 100th birthday This speech takes a look at the Fed s real accomplishment and the practices and policies it has employed during this time to rob the public of its wealth Help Now Available For Executors Upcoming Challenges A culmination of recent surveys statistics and legislative changes indicate a perfect storm for challenges facing executors and the winds are already blowing 4 Aha Truths For A Changing Corporate Landscape Technology is moving much faster than many of our institutions while it continues to change the way people interact with businesses many corporate leaders are still operating as if it didn t exist Budget Steals From Rich And Not So Rich Tim Cestnick and Heather McGeorge say Federal Budget 2013 can best be described as one that even Robin Hood would disapprove of Budget 2013 steals from the rich and some who aren t so rich and gives little to nothing to the poor Information Is Power If Used Intelligently The world of Connected Lives is booming driven by the Internet and new digital technologies It has never been easier to communicate search for information or let yourself be entertained by the endless digital media offered on line Full story Gold Outlook 2013 And Beyond Three Key Concepts That Affect Retirement Income And Wealth Preservation The world that retirees and pensioners face today is quite different from the world in which they attended school raised a family and prepared for their golden years Full story Living To 100 Can You Afford It The latest figures from Statistics Canada show that more Canadians are reaching the 100 year milestone than ever before It also reports those of us who reach age 65 can expect to live on average another 20 years in retirement Full story Retiring To The U S Tax Haven My 30 years of experience in advising Canadians in international tax and financial planning matters told me that a desired tropical lifestyle and reduction in living expenses is available to most Canadians literally right beneath their noses in the form of the United States of America Full story Collector Car Market Grows Stronger It s not just the Dow and TSX that have made sizeable gains in the past few years the collector car market has shown amazing resilience as it continues to set record after record Full story IPPs The Overlooked Solution If the goal of reformists is to ensure the provision of an adequate tax assisted solution for individuals not covered by broadly based employer sponsored pension plans it would seem that the media and many commentators have simply overlooked a solution that has been available since 1991 Full story Checking Off The Bucket List Gorillas In Rwanda Having checked 122 countries off my bucket list I ve seen a lot of amazing sights and have experienced many incredible adventures but right up at the top of the list is trekking Silverback gorillas in Rwanda Full story Beware The Estate Executor Role When You Don t Know What You Don t Know So you re preparing your will and you want to name your executors to manage the administration of your estate You decide upon relatives or trusted family friends Full story Wealth Strategy The Single Family Office Managing several million dollars of private wealth can be demanding but when the wealth grows to hundreds of millions or even billions of dollars managing it has unique challenges and complexities Full story Investment Advice Through Social Media The Red Flags While financial tips and advice are plentiful online locating useful advice tailored to one s financial needs and risk tolerance is not always so easy Full story Trusts Can Reduce Taxes The primary function of a last will and testament is to name the beneficiaries of the assets of your estate However under some circumstances it may be good planning to include a trust in your planning Full story Investors Not Always Rational In classical economic theory investors always behave in their own rational self interest Recent research in the field of behavioural finance shows that this is often not the case Full story The Rise Of Startup Investing It isn t much of a stretch to suggest that the options for investing in technology startups are approaching limitless This is thanks in large part to a technology cycle that is seeing the barrier to entry lowering on a continual basis Full story The State Of Say On Pay The number of Canadian issuers that

    Original URL path: http://privatewealthmagazine.ca/ (2016-04-26)
    Open archived version from archive

  • Private Wealth Canada
    consider investment grade for your penison plans Just click on the links below for more Investor Relations information on the featured companies 3M Abbott Bank of Montreal Barrick Gold Corporation BCE Berkshire Hathaway Canadian Pacific Canadian Utilities Limited CIBC Enbridge Encana Corportation Finning International Inc General Electric The Home Depot Inc Husky Energy Illinois Tool Works Industrial Alliance Johnson Johnson Microsoft Corporation National Bank of Canada ONEOK Plum Creek Power

    Original URL path: http://privatewealthmagazine.ca/annual_report/index.html (2016-04-26)
    Open archived version from archive

  • Private Wealth Canada
    Hotel Montana Lucerne Four Seasons Milan Hermitage Hotel Monte Carlo London Marriott Hotel Park Lane The Westin Excelsior Florence JW Marriott Hotel Dubai Hotel Danieli Venice Italy More Travel Videos American Airlines New Logo and Livery Emirates Airlines A380 First

    Original URL path: http://privatewealthmagazine.ca/travel/index.php (2016-04-26)
    Open archived version from archive

  • Private Wealth Canada - wealth management, estate planning, luxury vacations, private jets...
    of the best fastest and expensive italian horses and bulls racing in the streets and on the track such as Imola Misano and Monza making some serious noise view Emirates Airlines A380 First Class Bangkok to Hong Kong He treated himself to a First Class Suite on Emirates Airlines A380 Super Jumbo from Bangkok to Hong Kong view Ferrari 458 Spider on the Stelvio Pass Car and Driver s European correspondent drives the Spider one of Italy s most famous roads view The World s Largest Outdoor LED TV C SEED 201 by Porsche Design Studio view Florida Mansion Luxury Homes for Sale Florida luxury foreclosed mansions for sale View bank owned homes discounted 60 view Hotel Danieli Venice Italy An introduction to Hotel Danieli a famous Luxury Collection hotel in the heart of Venice view Luxury Cruise Ship Silversea This video has heart and soul This is the reason to cruise view Last Night A man s last night before his wedding includes an encounter with a beautiful mystery woman view Real Estate Video Tour Modernist Waterfront Residence in the Heart of Muskoka view 23 and 1 2 hours What is the single best thing we can do for our health view The Most Luxurious First Class Airlines What are the most luxurious and expensive first class airlines in the world view LaFerrari The new limited edition special series car from the Prancing Horse has been unveiled at the Geneva International Motor Show 2013 view Prepare For Takeoff Introducing Air Canada s New 787 Introducing a new flying experience onboard Air Canada s Boeing 787 Dreamliner airplane view London Marriott Hotel Park Lane Video includes the hotel exterior hotel rooms and amenities fitness and recreation areas and meeting and event space view The Westin Excelsior Florence Located near the

    Original URL path: http://privatewealthmagazine.ca/BigPictureVideo.php (2016-04-26)
    Open archived version from archive

  • Private Wealth Canada News
    the current government administration lays a landscape for an interim government focused on regaining both monetary and fiscal control Mexico is interesting for reasons other than Brazil It is in a period of low inflation and rising consumption Its manufacturing renaissance is here to stay given structural advantages such as the devalued peso which has created a manufacturing advantage Even with a Chinese currency devaluation Mexico will still have an advantage Its market share of world exports is starting to grow and it has one of fastest growing young populations next to India While he called Argentina univestable because of capital controls and ridiculous policies he is optimistic about it It has devalued its currency eliminated price distortions and made a bond holdout deal enabling it to tap into bond markets for the first time in 15 years Balanced Funds Hard To Sustain Lower bond yields and stock market volatility could prompt balanced fund investors to consider alternative investment strategies says a BMO Global Asset Management white paper Finding a new balance with alternatives suggests the current state of the stock market will make it difficult to sustain the strong historical returns of a balanced portfolio whether it leans to the more conservative or moderate side For example a moderate risk portfolio which produced a return of 9 6 per cent between 1981 and 2015 is expected to produce a return of 4 5 per cent over the next 10 years Kristina Kalebich senior alternatives specialist and co portfolio manager with BMOGAM says A good alternative option should either give the portfolio a higher return for the same amount of risk or the same return for a lower amount of risk Measuring Microfinance More Difficult Making an investment in microfinance should earn a financial return for the investor and it should have social impact says Dunhelm Consulting Inc s Microfinance Newsletter However while the financial return is easy to measure and there is a proven track record for a number of microfinance funds measuring and monitoring is more difficult One tool is the Universal Standards for Social Performance Management Issued in 2012 the standards provide a comprehensive manual of best practices to help financial service providers put clients at the centre of all strategic and operational decisions The six primary standards are define and monitor social goals ensure board management and employee commitment to social goals design products services delivery models and channels that meet clients needs and preferences treat clients responsibly treat employees responsibly and balance financial and social performance Investors can also use the Smart Campaign Certification and its seven principles for client protection While these standards and principles are important one needs to consider how they are being used and what is reported to a microfinance investor because it is well known that what is not measured is not managed So if an investor is looking for an investment that will provide financial and social returns it is important to ensure that the social performance is monitored and measured As such it is reassuring to know that microfinance investment managers are actively engaged in measuring social performance as well as seeking to provide financial returns it says Mackenzie Launches Fixed Income ETFs Mackenzie Financial Corporation has launched four fixed income exchange traded funds ETFs which will trade on the Toronto Stock Exchange Each ETF takes a different approach to generate stable risk adjusted returns for investors in the fixed income markets The suite of funds consist of a core plus global fixed income ETF which seeks to generate income with an emphasis on capital preservation by investing primarily in investment grade fixed income securities denominated in Canadian or foreign currencies that are issued by companies or governments an unconstrained bond ETF providing a positive total return over a market cycle regardless of market conditions by investing primarily in fixed income securities of issuers anywhere in the world and in derivative instruments a floating rate income ETF seeking to generate current income by investing primarily in floating rate debt instruments and or high yield debt securities of issuers located anywhere in the world and a core plus Canadian fixed income ETF to provide a steady flow of income by investing primarily in investment grade Canadian government and corporate fixed income instruments and asset backed securities with maturities of more than one year Sphere Launches Canadian ETFs Exchange Traded Fund ETF provider Sphere Investments has entered the Canadian market with an initial suite of four FTSE sustainable yield ETF products the first in a series of more than 30 ETFs the firm plans to bring to market as part of its integrated wealth management platform The current suite of ETFs consists of an Asian sustainable yield index a Canadian sustainable yield index a European sustainable yield index and a U S sustainable yield index April 18 2016 Executives Perform Better When Under Pressure Seventy per cent of advertising and marketing executives say their job is somewhat or very stressful but nearly one third 32 per cent say the more stress they experience the better their performance Another 60 per cent report they thrive under some pressure says research by the Creative Group Although feeling challenged at work can inspire action and propel decision making among professionals employees at every level and employers need to be wary of relying on pressure as a primary motivator says Deborah Bottineau senior regional manager of the Creative Group Taking the time to recharge allows teams the opportunity to refocus their priorities without unnecessary stress and strategize new ideas to further business growth She adds Executives with years of experience handling stress shouldn t take their own abilities to manage for granted They must remain mindful of recognizing and supporting employees who may be struggling to handle work pressures Checking in regularly to offer extra resources and guidance help ensure that employees remain productive committed and refreshed Investors Between Panic And Euphoria Uncertainty around the central banks and the health of the global economy has driven investors between the extremes of panic and euphoria says Algonquin Capital In the past eight months the S P has experienced four swings of over 10 per cent including starting the New Year with a dramatic fall only to climb back and finish the quarter pretty much unchanged With no significant changes in the underlying global risks or economic fundamentals making sense of these moves is like trying to understand the gibberish at the Mad Hatter s tea party it says As Alice put it you might do something better with the time than wasting it in asking riddles that have no answers Its conclusion is that common sense doesn t really work here Millennials Shaking Up Industry Millennials are set to shake up Canada s investment industry as they demand investments that incorporate environmental social and governance ESG criteria says Millennials Women and the Future of Responsible Investing It found that Millennial investors those between 18 and 34 years old are more than twice as likely as Baby Boomers to be interested in investments dedicated to solving social or environmental problems The data highlight a strategic opportunity for advisors to add even more value by educating themselves and their clients about responsible investing says Fred Pinto senior vice president and head of wealth and asset management with Qtrade Financial Group and CEO of OceanRock Investments Advisors who are knowledgeable about responsible investment products and ESG issues are better positioned to attract millennials assets today and in the future as this generation accumulates and inherits more wealth in the years to come The study was commissioned by OceanRock Investments a sustaining member of the Responsible Investment Association Hedge Funds Have Best Return The Preqin All Strategies Hedge Fund benchmark posted a return of 2 82 per cent in March the best monthly return for the asset class since January 2012 s 3 06 per cent and only the third positive monthly return since May 2015 All leading hedge fund strategies posted gains with equity strategies seeing the highest returns of 3 79 per cent However after posting negative returns in the previous two months performance for equity strategies funds so far in 2016 stands at 1 10 per cent the worst of any leading strategy Overall hedge funds are still showing negative performance for the year with losses of 0 28 per cent in 2016 The opening months of 2016 seemed to pose the same challenges to the hedge fund industry as those that had characterized the second half of 2015 global volatility losses in public equities and a continued slump in commodities prices However the widespread gains seen in March are an improvement for the industry which has not seen such a strong monthly return since January 2012 says Amy Bensted head of hedge fund products at Preqin ETFs Show Positive Growth After a challenging start to 2016 due to adverse market conditions Canadian listed ETFs assets experienced positive growth at the end of the first quarter to end March at a new high watermark of 95 2 billion says the CETFA The recovery in market valuations played a part in the growth of Canadian listed ETFs but the majority of the growth can be attributed to strong sales The 5 6 billion in net creations was the highest quarterly total on record breaking the previous record of 5 1 billion set in the fourth quarter of 2015 Sales were widespread during the quarter with only two sponsors experiencing net redemptions during the quarter Equity REITs Outperform Stock exchange listed equity REITs significantly outperformed the rest of the equity market in March and the first quarter of 2016 says the National Association of Real Estate Investment Trusts NAREIT The total return of the FTSE NAREIT All REITs Index the broadest benchmark of the U S REIT market including both equity and mortgage REITs was 9 99 per cent in March and 5 86 per cent in the first quarter The FTSE NAREIT All Equity REITs Index was up 10 17 per cent in March and 5 84 per cent in the first quarter In comparison the total return of the S P 500 was 6 78 per cent in March and 1 35 per cent in the first quarter April 11 2016 Things Not As Bad As Thought Things are not as bad as people think says Andrew Grantham a senior economist at CIBC Speaking at the CIBC Mellon Industry Insights session The Not So Ugly Truth he said there is lots of talk about risks to growth such as the impact of the slowdown in China the prospects of inflation or deflation and whether Canada is going down the same route as Japan He said this may be due in part to people wanting black or white scenarios They want to see the economy return to levels of growth before recession and if it doesn t they fear Canada is heading into a Japan like scenario with little growth and deflation In fact expectations need to change He said for example that global growth rates of 3 per cent as were seen before the last recession are not historically common Those strong growth rates are the anomaly and the current growth rates are typically what the global economy can achieve As for Canada he said the economy is in a period of transition driven largely by the value of the Canadian dollar Low oil prices and the lower Canadian dollar are shifting it back to manufacturing and to a more important degree services To sustain this transition efforts need to be made to keep the dollar below 80 cents even if oil prices start to rise and exert upward pressure on the dollar Canada Sell Off Gold Canada has sold off all its official gold holdings says David Chapman chief economist with Bullion Management Group Inc Canada s official international reserves released by the Bank of Canada BofC on February 23 showed gold reserves at zero he says in the article And Then There Was None Canada Sells its Gold at the Private Wealth Canada website Canada now stands as the only G7 nation that does not hold at least 100 tonnes of gold in its official reserves Wealthy Enjoy Smaller Label Wines Too Kendall Jackson Reserve and Robert Mondavi are the two wine brands that affluent consumers are most likely to have purchased says a survey by the Luxury Institute However there are several smaller labels that also ranked high among the wealthy Caymus Vineyards Justin and Rombauer Vineyards are particular standouts on questions of self enhancement delivering superior quality being truly unique and exclusive and whether they are brands consumed by people who are admired and respected Caymus Justin and Rombauer also rank highly among brands that affluent drinkers deem worthy of premium prices and those that they would recommend to family and close friends Additional brands receiving notably high ratings on these key outcome metrics are Decoy Ferrari Carano Meiomi and Mount Veeder Robert Mondavi Winery enjoys widespread popularity among affluent drinkers When asked which of the 21 brands they would open for an everyday wine 31 per cent of affluent drinkers cite Mondavi by name and 23 per cent say that they would open a bottle of Kendall Jackson Grand Reserve Fund Indices Positive In March Twenty one of the 42 Morningstar Research Inc Canada fund indices increased during the quarter including nine of the 21 indices that track equity fund categories Following two months of overwhelmingly negative performance all 42 fund indices had positive results in March The best performers for the month were the fund indices that track the energy equity and natural resources equity categories which increased 9 8 per cent and 9 3 per cent respectively Nineteen indices most of which represented equity fund categories increased by three per cent or more Stock market indexes in Canada the United States Europe and Asia all posted strong gains in March The worst performing fund index for the quarter was the one that tracks the Greater China equity category which decreased 10 7 per cent April 4 2016 Low Rates Go On Forever Today s incredibly low interest rates seem to be going on forever lasting longer and going lower than thought possible says Avery Shenfeld managing director and chief economist at CIBC World Markets In the session Canada How Long for Low Rates Turning Japanese at the CFA Society Toronto s 2016 Annual Spring Pension Conference he said looking at bond markets it would appear Canada is emulating the Japanese experience Japan has lived with extremely low interest rates since the mid 90s and rates there have even dipped into negative territory However part of Canada s dilemma is that it is more sensitive to the troubles in emerging markets whose economies are leaking Emerging markets are in recession collectively which impacts what they buy from the rest of the world While the U S can withstand the slowdown in those economies Canada cannot because it has had an impact on the price of the basket of commodities that Canada produces and sells to emerging markets However even when economies return to normal times he said interest rates will not get back up to four per cent Instead they will be around 2 per cent as anything higher could start snuffing out wealth Plans Want Say on Pay Votes The Alberta Investment Management Corporation the British Columbia Investment Management Corporation the Canadian Pension Plan Investment Board the Caisse de dépôt et placement du Québec the Ontario Teachers Pension Plan the Public Sector Pension Investment Board and OPSEU Pension Trust want securities regulators to take steps to ensure advisory votes on executive compensation become standard market practice for Canadian issuers In a letter to the Alberta Ontario and Quebec security commissions they say as organizations that advocate for corporate governance best practices at public companies in their portfolios they want appropriately designed executive compensation practices to align investor and management interests ensure pay for performance and encourage appropriate risk taking To date 142 TSX listed companies have adopted Say on Pay SOP practices However the pension funds say the rate of voluntary adoption has slowed and they appear to have reached the limits of what engagement to encourage the adoption of SOP can achieve at this time Those issuers not adopting SOP are likely those most in need of this mechanism to encourage and improve shareholder communications and build shareholder confidence The lack of securities regulation in this area places Canada s capital markets behind markets which require some form of mandatory vote on executive compensation such as Britain the Netherlands Australia Sweden Norway Switzerland Denmark and the United States Philanthropy Important To Wealthy Young When it comes to philanthropy the youngest high net worth Americans share habits and attitudes with the wealthiest individuals and families in the country says a report by SEI Algorithms of Wealth Community says philanthropic giving is generally universal among wealthy Americans The average survey respondent allocated roughly 13 per cent of their wealth to causes each year The youngest respondents those under 40 however gave away more than twice the average 27 per cent In this instance young high net worth respondents are even more aggressive in their giving than ultra high net worth respondents Those with more than 10 million in assets donated roughly 21 per cent of their wealth each year In fact the youngest and wealthiest respondents ranked philanthropy higher than their peers Wealthy More Confident In Economy A surge of confidence in the economy helped lift the Spectrem Investor Confidence indices in March to positive levels for the first time in 2016 says Spectrem Group The Spectrem Millionaire Investor Confidence Index SMICI rose three points to five The Spectrem Affluent Investor Confidence Index SAICI gained six points to three Equity investment among affluent investors remains flat says George H Walper Jr president of Spectrem But a further easing of market

    Original URL path: http://privatewealthmagazine.ca/private_wealth_news.php?date=2016-04-25 (2016-04-26)
    Open archived version from archive

  • Private Wealth Canada News
    removal of the current government administration lays a landscape for an interim government focused on regaining both monetary and fiscal control Mexico is interesting for reasons other than Brazil It is in a period of low inflation and rising consumption Its manufacturing renaissance is here to stay given structural advantages such as the devalued peso which has created a manufacturing advantage Even with a Chinese currency devaluation Mexico will still have an advantage Its market share of world exports is starting to grow and it has one of fastest growing young populations next to India While he called Argentina univestable because of capital controls and ridiculous policies he is optimistic about it It has devalued its currency eliminated price distortions and made a bond holdout deal enabling it to tap into bond markets for the first time in 15 years Balanced Funds Hard To Sustain Lower bond yields and stock market volatility could prompt balanced fund investors to consider alternative investment strategies says a BMO Global Asset Management white paper Finding a new balance with alternatives suggests the current state of the stock market will make it difficult to sustain the strong historical returns of a balanced portfolio whether it leans to the more conservative or moderate side For example a moderate risk portfolio which produced a return of 9 6 per cent between 1981 and 2015 is expected to produce a return of 4 5 per cent over the next 10 years Kristina Kalebich senior alternatives specialist and co portfolio manager with BMOGAM says A good alternative option should either give the portfolio a higher return for the same amount of risk or the same return for a lower amount of risk Measuring Microfinance More Difficult Making an investment in microfinance should earn a financial return for the investor and it should have social impact says Dunhelm Consulting Inc s Microfinance Newsletter However while the financial return is easy to measure and there is a proven track record for a number of microfinance funds measuring and monitoring is more difficult One tool is the Universal Standards for Social Performance Management Issued in 2012 the standards provide a comprehensive manual of best practices to help financial service providers put clients at the centre of all strategic and operational decisions The six primary standards are define and monitor social goals ensure board management and employee commitment to social goals design products services delivery models and channels that meet clients needs and preferences treat clients responsibly treat employees responsibly and balance financial and social performance Investors can also use the Smart Campaign Certification and its seven principles for client protection While these standards and principles are important one needs to consider how they are being used and what is reported to a microfinance investor because it is well known that what is not measured is not managed So if an investor is looking for an investment that will provide financial and social returns it is important to ensure that the social performance is monitored and measured As such it is reassuring to know that microfinance investment managers are actively engaged in measuring social performance as well as seeking to provide financial returns it says Mackenzie Launches Fixed Income ETFs Mackenzie Financial Corporation has launched four fixed income exchange traded funds ETFs which will trade on the Toronto Stock Exchange Each ETF takes a different approach to generate stable risk adjusted returns for investors in the fixed income markets The suite of funds consist of a core plus global fixed income ETF which seeks to generate income with an emphasis on capital preservation by investing primarily in investment grade fixed income securities denominated in Canadian or foreign currencies that are issued by companies or governments an unconstrained bond ETF providing a positive total return over a market cycle regardless of market conditions by investing primarily in fixed income securities of issuers anywhere in the world and in derivative instruments a floating rate income ETF seeking to generate current income by investing primarily in floating rate debt instruments and or high yield debt securities of issuers located anywhere in the world and a core plus Canadian fixed income ETF to provide a steady flow of income by investing primarily in investment grade Canadian government and corporate fixed income instruments and asset backed securities with maturities of more than one year Sphere Launches Canadian ETFs Exchange Traded Fund ETF provider Sphere Investments has entered the Canadian market with an initial suite of four FTSE sustainable yield ETF products the first in a series of more than 30 ETFs the firm plans to bring to market as part of its integrated wealth management platform The current suite of ETFs consists of an Asian sustainable yield index a Canadian sustainable yield index a European sustainable yield index and a U S sustainable yield index April 18 2016 Executives Perform Better When Under Pressure Seventy per cent of advertising and marketing executives say their job is somewhat or very stressful but nearly one third 32 per cent say the more stress they experience the better their performance Another 60 per cent report they thrive under some pressure says research by the Creative Group Although feeling challenged at work can inspire action and propel decision making among professionals employees at every level and employers need to be wary of relying on pressure as a primary motivator says Deborah Bottineau senior regional manager of the Creative Group Taking the time to recharge allows teams the opportunity to refocus their priorities without unnecessary stress and strategize new ideas to further business growth She adds Executives with years of experience handling stress shouldn t take their own abilities to manage for granted They must remain mindful of recognizing and supporting employees who may be struggling to handle work pressures Checking in regularly to offer extra resources and guidance help ensure that employees remain productive committed and refreshed Investors Between Panic And Euphoria Uncertainty around the central banks and the health of the global economy has driven investors between the extremes of panic and euphoria says Algonquin Capital In the past eight months the S P has experienced four swings of over 10 per cent including starting the New Year with a dramatic fall only to climb back and finish the quarter pretty much unchanged With no significant changes in the underlying global risks or economic fundamentals making sense of these moves is like trying to understand the gibberish at the Mad Hatter s tea party it says As Alice put it you might do something better with the time than wasting it in asking riddles that have no answers Its conclusion is that common sense doesn t really work here Millennials Shaking Up Industry Millennials are set to shake up Canada s investment industry as they demand investments that incorporate environmental social and governance ESG criteria says Millennials Women and the Future of Responsible Investing It found that Millennial investors those between 18 and 34 years old are more than twice as likely as Baby Boomers to be interested in investments dedicated to solving social or environmental problems The data highlight a strategic opportunity for advisors to add even more value by educating themselves and their clients about responsible investing says Fred Pinto senior vice president and head of wealth and asset management with Qtrade Financial Group and CEO of OceanRock Investments Advisors who are knowledgeable about responsible investment products and ESG issues are better positioned to attract millennials assets today and in the future as this generation accumulates and inherits more wealth in the years to come The study was commissioned by OceanRock Investments a sustaining member of the Responsible Investment Association Hedge Funds Have Best Return The Preqin All Strategies Hedge Fund benchmark posted a return of 2 82 per cent in March the best monthly return for the asset class since January 2012 s 3 06 per cent and only the third positive monthly return since May 2015 All leading hedge fund strategies posted gains with equity strategies seeing the highest returns of 3 79 per cent However after posting negative returns in the previous two months performance for equity strategies funds so far in 2016 stands at 1 10 per cent the worst of any leading strategy Overall hedge funds are still showing negative performance for the year with losses of 0 28 per cent in 2016 The opening months of 2016 seemed to pose the same challenges to the hedge fund industry as those that had characterized the second half of 2015 global volatility losses in public equities and a continued slump in commodities prices However the widespread gains seen in March are an improvement for the industry which has not seen such a strong monthly return since January 2012 says Amy Bensted head of hedge fund products at Preqin ETFs Show Positive Growth After a challenging start to 2016 due to adverse market conditions Canadian listed ETFs assets experienced positive growth at the end of the first quarter to end March at a new high watermark of 95 2 billion says the CETFA The recovery in market valuations played a part in the growth of Canadian listed ETFs but the majority of the growth can be attributed to strong sales The 5 6 billion in net creations was the highest quarterly total on record breaking the previous record of 5 1 billion set in the fourth quarter of 2015 Sales were widespread during the quarter with only two sponsors experiencing net redemptions during the quarter Equity REITs Outperform Stock exchange listed equity REITs significantly outperformed the rest of the equity market in March and the first quarter of 2016 says the National Association of Real Estate Investment Trusts NAREIT The total return of the FTSE NAREIT All REITs Index the broadest benchmark of the U S REIT market including both equity and mortgage REITs was 9 99 per cent in March and 5 86 per cent in the first quarter The FTSE NAREIT All Equity REITs Index was up 10 17 per cent in March and 5 84 per cent in the first quarter In comparison the total return of the S P 500 was 6 78 per cent in March and 1 35 per cent in the first quarter April 11 2016 Things Not As Bad As Thought Things are not as bad as people think says Andrew Grantham a senior economist at CIBC Speaking at the CIBC Mellon Industry Insights session The Not So Ugly Truth he said there is lots of talk about risks to growth such as the impact of the slowdown in China the prospects of inflation or deflation and whether Canada is going down the same route as Japan He said this may be due in part to people wanting black or white scenarios They want to see the economy return to levels of growth before recession and if it doesn t they fear Canada is heading into a Japan like scenario with little growth and deflation In fact expectations need to change He said for example that global growth rates of 3 per cent as were seen before the last recession are not historically common Those strong growth rates are the anomaly and the current growth rates are typically what the global economy can achieve As for Canada he said the economy is in a period of transition driven largely by the value of the Canadian dollar Low oil prices and the lower Canadian dollar are shifting it back to manufacturing and to a more important degree services To sustain this transition efforts need to be made to keep the dollar below 80 cents even if oil prices start to rise and exert upward pressure on the dollar Canada Sell Off Gold Canada has sold off all its official gold holdings says David Chapman chief economist with Bullion Management Group Inc Canada s official international reserves released by the Bank of Canada BofC on February 23 showed gold reserves at zero he says in the article And Then There Was None Canada Sells its Gold at the Private Wealth Canada website Canada now stands as the only G7 nation that does not hold at least 100 tonnes of gold in its official reserves Wealthy Enjoy Smaller Label Wines Too Kendall Jackson Reserve and Robert Mondavi are the two wine brands that affluent consumers are most likely to have purchased says a survey by the Luxury Institute However there are several smaller labels that also ranked high among the wealthy Caymus Vineyards Justin and Rombauer Vineyards are particular standouts on questions of self enhancement delivering superior quality being truly unique and exclusive and whether they are brands consumed by people who are admired and respected Caymus Justin and Rombauer also rank highly among brands that affluent drinkers deem worthy of premium prices and those that they would recommend to family and close friends Additional brands receiving notably high ratings on these key outcome metrics are Decoy Ferrari Carano Meiomi and Mount Veeder Robert Mondavi Winery enjoys widespread popularity among affluent drinkers When asked which of the 21 brands they would open for an everyday wine 31 per cent of affluent drinkers cite Mondavi by name and 23 per cent say that they would open a bottle of Kendall Jackson Grand Reserve Fund Indices Positive In March Twenty one of the 42 Morningstar Research Inc Canada fund indices increased during the quarter including nine of the 21 indices that track equity fund categories Following two months of overwhelmingly negative performance all 42 fund indices had positive results in March The best performers for the month were the fund indices that track the energy equity and natural resources equity categories which increased 9 8 per cent and 9 3 per cent respectively Nineteen indices most of which represented equity fund categories increased by three per cent or more Stock market indexes in Canada the United States Europe and Asia all posted strong gains in March The worst performing fund index for the quarter was the one that tracks the Greater China equity category which decreased 10 7 per cent April 4 2016 Low Rates Go On Forever Today s incredibly low interest rates seem to be going on forever lasting longer and going lower than thought possible says Avery Shenfeld managing director and chief economist at CIBC World Markets In the session Canada How Long for Low Rates Turning Japanese at the CFA Society Toronto s 2016 Annual Spring Pension Conference he said looking at bond markets it would appear Canada is emulating the Japanese experience Japan has lived with extremely low interest rates since the mid 90s and rates there have even dipped into negative territory However part of Canada s dilemma is that it is more sensitive to the troubles in emerging markets whose economies are leaking Emerging markets are in recession collectively which impacts what they buy from the rest of the world While the U S can withstand the slowdown in those economies Canada cannot because it has had an impact on the price of the basket of commodities that Canada produces and sells to emerging markets However even when economies return to normal times he said interest rates will not get back up to four per cent Instead they will be around 2 per cent as anything higher could start snuffing out wealth Plans Want Say on Pay Votes The Alberta Investment Management Corporation the British Columbia Investment Management Corporation the Canadian Pension Plan Investment Board the Caisse de dépôt et placement du Québec the Ontario Teachers Pension Plan the Public Sector Pension Investment Board and OPSEU Pension Trust want securities regulators to take steps to ensure advisory votes on executive compensation become standard market practice for Canadian issuers In a letter to the Alberta Ontario and Quebec security commissions they say as organizations that advocate for corporate governance best practices at public companies in their portfolios they want appropriately designed executive compensation practices to align investor and management interests ensure pay for performance and encourage appropriate risk taking To date 142 TSX listed companies have adopted Say on Pay SOP practices However the pension funds say the rate of voluntary adoption has slowed and they appear to have reached the limits of what engagement to encourage the adoption of SOP can achieve at this time Those issuers not adopting SOP are likely those most in need of this mechanism to encourage and improve shareholder communications and build shareholder confidence The lack of securities regulation in this area places Canada s capital markets behind markets which require some form of mandatory vote on executive compensation such as Britain the Netherlands Australia Sweden Norway Switzerland Denmark and the United States Philanthropy Important To Wealthy Young When it comes to philanthropy the youngest high net worth Americans share habits and attitudes with the wealthiest individuals and families in the country says a report by SEI Algorithms of Wealth Community says philanthropic giving is generally universal among wealthy Americans The average survey respondent allocated roughly 13 per cent of their wealth to causes each year The youngest respondents those under 40 however gave away more than twice the average 27 per cent In this instance young high net worth respondents are even more aggressive in their giving than ultra high net worth respondents Those with more than 10 million in assets donated roughly 21 per cent of their wealth each year In fact the youngest and wealthiest respondents ranked philanthropy higher than their peers Wealthy More Confident In Economy A surge of confidence in the economy helped lift the Spectrem Investor Confidence indices in March to positive levels for the first time in 2016 says Spectrem Group The Spectrem Millionaire Investor Confidence Index SMICI rose three points to five The Spectrem Affluent Investor Confidence Index SAICI gained six points to three Equity investment among affluent investors remains flat says George H Walper Jr president of Spectrem But a further easing

    Original URL path: http://privatewealthmagazine.ca/private_wealth_news.php (2016-04-26)
    Open archived version from archive

  • Following In Our Footsteps?
    a better life for their children They certainly don t want to take that away on their passing And the decision is easy if your children share your motivation your values They will in fact build up your fortune for their children and their children s children Where real problems arise is when the parents are concerned about the ability of a child or children to manage their lives much less manage a fortune There are solutions TOUGH LOVE Those that practice tough love let the kids know that just as mom and dad made their own way in the world they will have to do the same There will be no estate windfall it s all going to charity Another approach is to help prepare your children for the responsibility of inheriting a substantial estate As Private Wealth Canada s staff writer George Di Falco reports in his article on page 27 of this issue Banks Stepping Up Services For The Affluent Market a number of Canadian banks are offering financial fluency programs and education programs for the children of wealthy families These banks believe that extending proper financial education to all members of the family ensures that everyone is on the same page when it comes to wealth management financial planning and banking In some cases however this isn t enough No amount of education can overcome the problems of kids with destructive behaviour or attitudinal problems In these cases the solution might be a testamentary incentive trust This is a trust that is created by your will at the time of your death It is designed to encourage certain behaviour by your beneficiaries and to perhaps discourage other negative behaviour by attaching strings to the distributions from the trust The conditions under which portions of your estate

    Original URL path: http://privatewealthmagazine.ca/following_in_our_footsteps.html (2016-04-26)
    Open archived version from archive

  • And Then There Was None: Canada Sells its Gold
    sense to hold gold because it hasn t delivered a good rate of return over time and it costs money to store While storage costs are a factor in holding gold it should be noted that since 2000 gold has outperformed numerous assets returning 335 per cent versus 36 per cent for the S P 500 and 59 per cent for the S P TSX Composite Since the world was taken off the gold standard in August 1971 by former US President Richard Nixon gold has moved from US 35 ounce to about US 1 270 ounce today a return of 3 528 per cent The Dow Jones Industrials DJI closed at 898 on August 31 1971 and today sits at about 17 000 for a return of 1 793 per cent before reinvestment of dividends But stocks are not reserve assets Central banks hold primarily U S Treasuries Today U S Treasuries make up about 60 per cent of all reserve assets for most central banks Prior to 1971 and under Bretton Woods gold was the largest reserve asset holding The chart above shows that gold has outperformed US Treasuries by a considerable margin Former Fed Chairman Alan Greenspan may have framed gold best with some salient observations Greenspan said In the absence of the gold standard there is no way to protect savings from confiscation through inflation There is no safe store of value He also said Gold is a currency by all evidence a premier currency No fiat currency including the U S dollar can match it Finally Greenspan said Gold still represents the ultimate form of payment in the world Fiat money in extremis is accepted by nobody Gold is always accepted Greenspan may have been one of the most forward thinking of all Fed chairmen He is still revered today Since 2010 central banks have been net buyers of gold In 2015 official purchases were 588 tonnes The prime buyers have been Russia and China but other central banks have also purchased gold as the Chart 1 illustrates Gold purchases by central banks have moved from less than two per cent of world demand for gold in 2009 to over 14 per cent today Central banks have purchased gold in order diversify their reserve portfolios especially away from U S dollar denominated assets with which gold has a strong negative correlation Others have purchased gold to hedge against tail risks or because of inflation hedging characteristics because gold has maintained its purchasing power over a long period of time Gold plays a prominent part in reserve asset management given that it is one of the few assets that is universally permitted by the investment guidelines of the world s central banks Central banks of the world appreciate the size and liquidity of the global gold market and that it remains that way even through periods of uncertainty Out of 188 member countries of the IMF 100 countries hold gold as part of their monetary assets

    Original URL path: http://privatewealthmagazine.ca/articles/and-then-there-was-none.php (2016-04-26)
    Open archived version from archive



  •