CI Financial Corp

CIX-T

Analysis and Opinions about CIX-T

Signal
Opinion
Expert
BUY WEAKNESS
BUY WEAKNESS
August 26, 2019
A big Canadian mutual fund company. A go-go stock for many years and a fast-grower, but is now under pressure like the sector. Still produces a lot of fresh cash flow. It's in trading range of $18-23. Pays a nice dividend.
A big Canadian mutual fund company. A go-go stock for many years and a fast-grower, but is now under pressure like the sector. Still produces a lot of fresh cash flow. It's in trading range of $18-23. Pays a nice dividend.
Alex Ruus
Portfolio Manager, Arrow Capital Management
Price
$18.950
Owned
Unknown
WEAK BUY
WEAK BUY
May 10, 2019
Optimal period is between October and February. Positive in 15 of last 20 periods. Charts show a downtrend. We have a breakout. Trading above moving averages, has momentum. New trend should carry it higher. Technicals do look supportive.
Optimal period is between October and February. Positive in 15 of last 20 periods. Charts show a downtrend. We have a breakout. Trading above moving averages, has momentum. New trend should carry it higher. Technicals do look supportive.
Jon Vialoux
Research Analyst, CastleMoore Inc.
Price
$20.740
Owned
Unknown
TOP PICK
TOP PICK
May 2, 2019
They are facing some challenges as money moves from active to passive management. They are very profitable and have lots of free cash flow. They buy back shares and have a decent dividend. (Analysts’ price target is $21.33)
They are facing some challenges as money moves from active to passive management. They are very profitable and have lots of free cash flow. They buy back shares and have a decent dividend. (Analysts’ price target is $21.33)
Jason Del Vicario
Portfolio Manager, HollisWealth
Price
$19.510
Owned
Yes
DON'T BUY
DON'T BUY
February 20, 2019
The sector's been difficult as a whole. Money flowing into ETFs, which puts pressure on fees and margins. No growth in the sector. She wouldn't pick any companies in the sector.
CI Financial Corp (CIX-T)
February 20, 2019
The sector's been difficult as a whole. Money flowing into ETFs, which puts pressure on fees and margins. No growth in the sector. She wouldn't pick any companies in the sector.
Veronika Hirsch
Chief Investment Officer, Arrow Capital
Price
$18.810
Owned
No
WATCH
WATCH
January 15, 2019
He's watching it closely. Disclosure: A colleague of his sits on their board. A good business. CI can transition from mutual funds into private wealth management. They have a good cost structure. At $17, they're buying back lots of stock, but using debt to do so. They suffered a huge correction last year. But he's closely watching this as a serious buy. 4.1% dividend.
CI Financial Corp (CIX-T)
January 15, 2019
He's watching it closely. Disclosure: A colleague of his sits on their board. A good business. CI can transition from mutual funds into private wealth management. They have a good cost structure. At $17, they're buying back lots of stock, but using debt to do so. They suffered a huge correction last year. But he's closely watching this as a serious buy. 4.1% dividend.
Ryan Bushell
President, Newhaven Asset Management
Price
$17.600
Owned
No
PAST TOP PICK
PAST TOP PICK
November 28, 2018
(A Top Pick Aug 22/17, Down 26%) Pared back his holding. High 42% ROE, but the market doesn't see it as a growth stock; their Century acquisition was over-expensive. It's good that they're buying back shares. It's very cheap now, but has terrible price momentum. He needs to see a bottom with this stock.
CI Financial Corp (CIX-T)
November 28, 2018
(A Top Pick Aug 22/17, Down 26%) Pared back his holding. High 42% ROE, but the market doesn't see it as a growth stock; their Century acquisition was over-expensive. It's good that they're buying back shares. It's very cheap now, but has terrible price momentum. He needs to see a bottom with this stock.
Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$19.720
Owned
Yes
SELL
SELL
October 18, 2018

Sold it around $21. Customers are moving from Mutual Funds to ETFs. This is affecting them. The fact that the Canadian Market hasn’t done so well it also affected them as they are not as global in nature. (Analysts’ price target is $24.88)

CI Financial Corp (CIX-T)
October 18, 2018

Sold it around $21. Customers are moving from Mutual Funds to ETFs. This is affecting them. The fact that the Canadian Market hasn’t done so well it also affected them as they are not as global in nature. (Analysts’ price target is $24.88)

Bruce Murray
CEO & Chief Investment Officer, The Murray Wealth Group
Price
$18.750
Owned
No
HOLD
HOLD
September 28, 2018

Cut dividend and guidance as to when elevated outflows will stop. Payout ratio is fine at 30%. Buying back stock instead. He’s modelling that assets under management will stabilize back to 2017 levels. At 8.1x 2019 earnings, really cheap. Some performance issues. Worth holding if you own it. Write a put on it.

CI Financial Corp (CIX-T)
September 28, 2018

Cut dividend and guidance as to when elevated outflows will stop. Payout ratio is fine at 30%. Buying back stock instead. He’s modelling that assets under management will stabilize back to 2017 levels. At 8.1x 2019 earnings, really cheap. Some performance issues. Worth holding if you own it. Write a put on it.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$20.510
Owned
Unknown
DON'T BUY
DON'T BUY
September 13, 2018

It's really struggled this year. A problem for all asset managers is an ongoing price war led by the banks. As a result, CI has had to cut fees, but also halved their dividend (last month). Also, their key funds are underperforming. The organic growth is gone. This is a value trap. Avoid.

CI Financial Corp (CIX-T)
September 13, 2018

It's really struggled this year. A problem for all asset managers is an ongoing price war led by the banks. As a result, CI has had to cut fees, but also halved their dividend (last month). Also, their key funds are underperforming. The organic growth is gone. This is a value trap. Avoid.

Brian Madden
Senior VP & Portfolio Manager, Goodreid Investment Council
Price
$20.500
Owned
No
HOLD
HOLD
September 10, 2018

It is a well run company that has done a phenomenal job. They are facing a lot of pressure in terms of fees and how to grow when they are already so big. They are in a bit of a no-man's land. They cut their dividend to buy back shares. It sends the wrong message to some investors.

CI Financial Corp (CIX-T)
September 10, 2018

It is a well run company that has done a phenomenal job. They are facing a lot of pressure in terms of fees and how to grow when they are already so big. They are in a bit of a no-man's land. They cut their dividend to buy back shares. It sends the wrong message to some investors.

Gerard Ferguson
CEO & Portfolio Manager, Jemekk Capital Management
Price
$20.580
Owned
Unknown
HOLD
HOLD
July 26, 2018

Cheap stock. 6% dividend yield with a 55% payout ratio. They had poor performance. Management if guiding at more outflows. Regulatory concerns have proved to turn out better than many people thought. It is not going to do the heavy lifting for your portfolio but getting your dividend you will be OK.

Cheap stock. 6% dividend yield with a 55% payout ratio. They had poor performance. Management if guiding at more outflows. Regulatory concerns have proved to turn out better than many people thought. It is not going to do the heavy lifting for your portfolio but getting your dividend you will be OK.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$23.100
Owned
No
HOLD
HOLD
July 23, 2018

It is a mutual fund company, one of the most successful. It suffered recently as have others with concerns of pressure from ETFs and regulation changes. The dividend is probably stable and safe.

It is a mutual fund company, one of the most successful. It suffered recently as have others with concerns of pressure from ETFs and regulation changes. The dividend is probably stable and safe.

Colin Stewart
CEO & Portfolio manager, JC Clark Investments Ltd.
Price
$23.160
Owned
Unknown
DON'T BUY
DON'T BUY
July 18, 2018

He owns this personally. It's a portfolio manager, not insurance. They've stumbled a bit after buying some new assets. The Century deal is probably clearing. The yield is probably safe. But it's disappointed. It was $38 five years ago and been on a tobboggan run ever since.

He owns this personally. It's a portfolio manager, not insurance. They've stumbled a bit after buying some new assets. The Century deal is probably clearing. The yield is probably safe. But it's disappointed. It was $38 five years ago and been on a tobboggan run ever since.

Rick Stuchberry
Portfolio Manager, Wellington-Altus Private Wealth
Price
$23.840
Owned
Yes
HOLD
HOLD
July 6, 2018

This is another high-quality dividend-paying stock that has been hurt this year. They’ve had some net redemptions, but the selloff is overdone relative to that. From a valuation perspective, this is in the top 10% and it is a very stable stock. This is a great consolidator. However, active management has been declining relative to passive investment. There are no debt problems. He is happy to own it here but the negative price momentum stops him from recommending it for new money.

This is another high-quality dividend-paying stock that has been hurt this year. They’ve had some net redemptions, but the selloff is overdone relative to that. From a valuation perspective, this is in the top 10% and it is a very stable stock. This is a great consolidator. However, active management has been declining relative to passive investment. There are no debt problems. He is happy to own it here but the negative price momentum stops him from recommending it for new money.

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$23.640
Owned
Yes
DON'T BUY
DON'T BUY
June 28, 2018

Great company. They have been the quality act in the funds business. He has a soft spot for them as they were the very first client when he started in business in 1993. ETFs are putting them under pressure. Fees are coming down. It is not a growth business anymore. Their writing is a little bit on the wall for them.

Great company. They have been the quality act in the funds business. He has a soft spot for them as they were the very first client when he started in business in 1993. ETFs are putting them under pressure. Fees are coming down. It is not a growth business anymore. Their writing is a little bit on the wall for them.

John Zechner
Chairman, J. Zechner & Assoc
Price
$23.590
Owned
No
COMMENT
COMMENT
December 19, 2017

They are in a tough industry being in mutual funds and trying to transition out. Saw a big decline from 2015 until 2016 and now we’ve just moved sideways when they should have been moving up. We are in seasonal period and financial companies tends to get strong at this time of the year. From a seasonal perspective, look at April to be getting out if you’re in it. He doesn’t see an exciting opportunity here. If they break above the $30 level that might actually be a good thing. Technically it’s looking OK despite being flat for most of the year.

CI Financial Corp (CIX-T)
December 19, 2017

They are in a tough industry being in mutual funds and trying to transition out. Saw a big decline from 2015 until 2016 and now we’ve just moved sideways when they should have been moving up. We are in seasonal period and financial companies tends to get strong at this time of the year. From a seasonal perspective, look at April to be getting out if you’re in it. He doesn’t see an exciting opportunity here. If they break above the $30 level that might actually be a good thing. Technically it’s looking OK despite being flat for most of the year.

Brooke Thackray
Research Analyst, Horizons ETFs (Canada) Inc.
Price
$29.510
Owned
Unknown
COMMENT
COMMENT
December 6, 2017

Sell this and buy Shaw Communications (SJR.B-T) or BCE (BCE-T)? He likes all 3. It really comes down to your portfolio and what else you own. These are 3 very different businesses. BCE is the most boring name and is the “Steady Eddie”. You’re getting a dividend of about 4.7%, and the stock is up about 6% this year giving you a 10% return. He would steer you more towards BCE.

CI Financial Corp (CIX-T)
December 6, 2017

Sell this and buy Shaw Communications (SJR.B-T) or BCE (BCE-T)? He likes all 3. It really comes down to your portfolio and what else you own. These are 3 very different businesses. BCE is the most boring name and is the “Steady Eddie”. You’re getting a dividend of about 4.7%, and the stock is up about 6% this year giving you a 10% return. He would steer you more towards BCE.

Kash Pashootan
CEO & Chief Investment Officer, First Avenue Investment Counsel
Price
$28.680
Owned
Unknown
PAST TOP PICK
PAST TOP PICK
November 24, 2017

(A Top Pick Sept 15/16. Down 22%.) *Short* He is still Short. The return represents the worst snapshot possible, but as he has held this for a long time, he is still profitable. Wealth management and mutual fund space in general has been a very tough spot. Feels the stock is still expensive.

CI Financial Corp (CIX-T)
November 24, 2017

(A Top Pick Sept 15/16. Down 22%.) *Short* He is still Short. The return represents the worst snapshot possible, but as he has held this for a long time, he is still profitable. Wealth management and mutual fund space in general has been a very tough spot. Feels the stock is still expensive.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$28.680
Owned
Yes
BUY
BUY
September 28, 2017

Just bought Sentry, which looks accretive to him, in the upper single digits. Bought First Asset about a year ago, as well as an Australian asset manager. He is modelling 9% earnings per share growth with about a 3% annual dividend growth. Trades at around 12X, versus its five-year average of 16X. Even though their MER’s are coming down, the margins still are at 42%. 71% payout ratio on its 5%+ dividend.

CI Financial Corp (CIX-T)
September 28, 2017

Just bought Sentry, which looks accretive to him, in the upper single digits. Bought First Asset about a year ago, as well as an Australian asset manager. He is modelling 9% earnings per share growth with about a 3% annual dividend growth. Trades at around 12X, versus its five-year average of 16X. Even though their MER’s are coming down, the margins still are at 42%. 71% payout ratio on its 5%+ dividend.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$27.220
Owned
Unknown
DON'T BUY
DON'T BUY
August 28, 2017

Not his favourite space. There is tons of competition from everywhere. They made a recent acquisition and that is a positive. You have to get bigger in the business and then take costs out. Mutual funds have to disclose fees now. It is a tough grind for them. They are doing all the right things, but he does not see a ton of growth.

Not his favourite space. There is tons of competition from everywhere. They made a recent acquisition and that is a positive. You have to get bigger in the business and then take costs out. Mutual funds have to disclose fees now. It is a tough grind for them. They are doing all the right things, but he does not see a ton of growth.

Bruce Campbell (1)
President, Campbell and Lee InvMngmnt
Price
$27.180
Owned
No
TOP PICK
TOP PICK
August 23, 2017

There has been a real knock at active management in the industry. These guys are the lowest cost provider of actively managed mutual funds. They have a 28% return on equity. This is quite a stable business. (Analysts’ target: $30.00).

There has been a real knock at active management in the industry. These guys are the lowest cost provider of actively managed mutual funds. They have a 28% return on equity. This is quite a stable business. (Analysts’ target: $30.00).

Jason Mann
CIO & Co-Founder, Edgehill Patners
Price
$27.320
Owned
Yes
COMMENT
COMMENT
August 1, 2017

Dividend yield of a little over 5%, and can grow this over the coming years. The entire mutual fund industry is struggling with commissions and the reduction of commissions as interest rates have come down. The industry has been hammered for the last 4-5 years with this problem, so their growth with the market hasn’t been as high. Feels it is largely priced in and the stock can gradually recover.

Dividend yield of a little over 5%, and can grow this over the coming years. The entire mutual fund industry is struggling with commissions and the reduction of commissions as interest rates have come down. The industry has been hammered for the last 4-5 years with this problem, so their growth with the market hasn’t been as high. Feels it is largely priced in and the stock can gradually recover.

Bruce Murray
CEO & Chief Investment Officer, The Murray Wealth Group
Price
$27.050
Owned
Yes
PAST TOP PICK
PAST TOP PICK
July 5, 2017

(A Top Pick July 5/16. Down 9.98%.) *Short* He’s been Short this for a couple of years and it has been good to him. The stock has rallied recently. A very expensive stock and margins are shrinking because of the management fees they are able to charge. Feels this is a long-term structural Short.

(A Top Pick July 5/16. Down 9.98%.) *Short* He’s been Short this for a couple of years and it has been good to him. The stock has rallied recently. A very expensive stock and margins are shrinking because of the management fees they are able to charge. Feels this is a long-term structural Short.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$27.950
Owned
Yes
TOP PICK
TOP PICK
July 5, 2017

*Short* The competitive pressure has gotten worse. The stock price has risen, but that has been with the broader market in general, not because the business has improved. They still have very weak underlying net sales. Dividend yield of 5.1%. (Analysts’ price target is $29.50.)

*Short* The competitive pressure has gotten worse. The stock price has risen, but that has been with the broader market in general, not because the business has improved. They still have very weak underlying net sales. Dividend yield of 5.1%. (Analysts’ price target is $29.50.)

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$27.950
Owned
Yes
HOLD
HOLD
March 24, 2017

They had 2.4 Billion in outflows due to industry headwinds. They have a 65% payout ratio so you are going to get that dividend. He forecasts 10% share growth over the next couple of years. It is cheap, 12 times, vs. its 7 year average. You will get a better exit later on. He has been writing puts to pick it up. Don’t have it as a big position or to hold for 50 years. You should exit if it reaches $32 over the next couple of years.

They had 2.4 Billion in outflows due to industry headwinds. They have a 65% payout ratio so you are going to get that dividend. He forecasts 10% share growth over the next couple of years. It is cheap, 12 times, vs. its 7 year average. You will get a better exit later on. He has been writing puts to pick it up. Don’t have it as a big position or to hold for 50 years. You should exit if it reaches $32 over the next couple of years.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$26.510
Owned
Yes
PAST TOP PICK
PAST TOP PICK
March 14, 2017

(A Top Pick July 5/16. Down 5%.) *Short* Still one of his largest short positions.

(A Top Pick July 5/16. Down 5%.) *Short* Still one of his largest short positions.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$27.020
Owned
Yes
PAST TOP PICK
PAST TOP PICK
January 9, 2017

*Short* (Top Pick Nov 9/16, Up 13.10%) He has been short. He is just leaving it on. The stock is up a reasonable amount but an insider is selling. It is a very expensive stock in a dying industry. They are seeing net outflows.

*Short* (Top Pick Nov 9/16, Up 13.10%) He has been short. He is just leaving it on. The stock is up a reasonable amount but an insider is selling. It is a very expensive stock in a dying industry. They are seeing net outflows.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$28.390
Owned
Yes
TOP PICK
TOP PICK
January 9, 2017

*Short*, stay short. The industry is in secular decline. (Analysts’ Target: $28.83).

*Short*, stay short. The industry is in secular decline. (Analysts’ Target: $28.83).

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$28.390
Owned
Yes
HOLD
HOLD
December 8, 2016

There are always take over rumours on this. It is the biggest independent fund company out there. He sees that as being less likely these days as most Canadian banks have their fund presence already. This is one of the more efficient operators, concerning expenses and paying good dividends, so it is a good place to be. However, they are facing challenges with regulations on fees.

CI Financial Corp (CIX-T)
December 8, 2016

There are always take over rumours on this. It is the biggest independent fund company out there. He sees that as being less likely these days as most Canadian banks have their fund presence already. This is one of the more efficient operators, concerning expenses and paying good dividends, so it is a good place to be. However, they are facing challenges with regulations on fees.

Jim Huang
President, T.I.P. Wealth Management
Price
$29.500
Owned
Unknown
TOP PICK
TOP PICK
November 9, 2016

*Short* He recently added to his short position. It was the first real pop in the stock since he started shorting it. The earnings were particularly bad and the firm sees net outflows from their funds. CRM2 is forcing brokers to disclose what they are paid by mutual fund companies. He thinks it is a secular bear story. There is somewhat of a risk that they get bought out.

CI Financial Corp (CIX-T)
November 9, 2016

*Short* He recently added to his short position. It was the first real pop in the stock since he started shorting it. The earnings were particularly bad and the firm sees net outflows from their funds. CRM2 is forcing brokers to disclose what they are paid by mutual fund companies. He thinks it is a secular bear story. There is somewhat of a risk that they get bought out.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$25.310
Owned
Yes
PAST TOP PICK
PAST TOP PICK
November 9, 2016

*Short* (Top Pick Sept 15/16, Up 2.14%) He is keeping it on as he sees it going into the teens. There is enormous competitive and regulatory pressure.

CI Financial Corp (CIX-T)
November 9, 2016

*Short* (Top Pick Sept 15/16, Up 2.14%) He is keeping it on as he sees it going into the teens. There is enormous competitive and regulatory pressure.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$25.310
Owned
Yes
HOLD
HOLD
November 8, 2016

His opinion on mutual funds in general is to Hold for now and maybe Buy later on. The mutual fund industry is about to go through a big problem with CRM2, where clients are about to find out the egregious amount they pay in MER’s to own the funds. That could cause some disruption for the industry. Dividend yield of 5.5%.

CI Financial Corp (CIX-T)
November 8, 2016

His opinion on mutual funds in general is to Hold for now and maybe Buy later on. The mutual fund industry is about to go through a big problem with CRM2, where clients are about to find out the egregious amount they pay in MER’s to own the funds. That could cause some disruption for the industry. Dividend yield of 5.5%.

Norman Levine
Managing Director, Portfolio Management Corp
Price
$25.310
Owned
Unknown
COMMENT
COMMENT
November 4, 2016

Just reported a significant outflow over the last quarter, about $1.5 billion of assets, and are projecting more to come in the next quarter. It’s primarily institutional assets, so it’s pretty low margin business. All these companies are under pressure and prices are being pushed down, so margins are likely to come down. The only way they can deal with that is through cost control. He is a little cautious about the whole industry.

CI Financial Corp (CIX-T)
November 4, 2016

Just reported a significant outflow over the last quarter, about $1.5 billion of assets, and are projecting more to come in the next quarter. It’s primarily institutional assets, so it’s pretty low margin business. All these companies are under pressure and prices are being pushed down, so margins are likely to come down. The only way they can deal with that is through cost control. He is a little cautious about the whole industry.

Michael Sprung
President, Sprung Investment Management
Price
$25.050
Owned
Unknown
COMMENT
COMMENT
September 23, 2016

Have had some weak mandates over the last 12-18 months, and some sizable institutional outflows. There are a lot of mutual fund headwinds, but thinks these are more than captured in the valuations. Trading around 13X versus its 18X five-year average. His analysts model 80% growth in 2017 over 2016. There is $1 billion of institutional commitment that could come on over the next two quarters. They have a buy back which helps them. Good 5.5% very well covered dividend yield. Cheap enough that you could write a Put and get paid premiums. This is good here for a nice little trade.

CI Financial Corp (CIX-T)
September 23, 2016

Have had some weak mandates over the last 12-18 months, and some sizable institutional outflows. There are a lot of mutual fund headwinds, but thinks these are more than captured in the valuations. Trading around 13X versus its 18X five-year average. His analysts model 80% growth in 2017 over 2016. There is $1 billion of institutional commitment that could come on over the next two quarters. They have a buy back which helps them. Good 5.5% very well covered dividend yield. Cheap enough that you could write a Put and get paid premiums. This is good here for a nice little trade.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$25.320
Owned
Unknown
TOP PICK
TOP PICK
September 15, 2016

*Short* The new disclosure requirements about fees will crimp sales especially at companies where sales are weak like this one. It is still a very expensive stock.

CI Financial Corp (CIX-T)
September 15, 2016

*Short* The new disclosure requirements about fees will crimp sales especially at companies where sales are weak like this one. It is still a very expensive stock.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$25.010
Owned
Yes
PAST TOP PICK
PAST TOP PICK
September 15, 2016

*Short* (Top Pick July 5/16, Up 4.74%) They have been seeing redemptions over the past year. He is still short this stock. The valuation is still very expensive. It is a very tough business with the regulatory environment changing in Canada. Broadly, it is a very well managed company, however.

CI Financial Corp (CIX-T)
September 15, 2016

*Short* (Top Pick July 5/16, Up 4.74%) They have been seeing redemptions over the past year. He is still short this stock. The valuation is still very expensive. It is a very tough business with the regulatory environment changing in Canada. Broadly, it is a very well managed company, however.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$25.010
Owned
Yes
HOLD
HOLD
August 18, 2016

Well run / well managed. There were concerns of loss of institutional mandates and the strength of their sales. They have healthy profit margins. Management is good.

Well run / well managed. There were concerns of loss of institutional mandates and the strength of their sales. They have healthy profit margins. Management is good.

Michael Simpson, CFA
Senior Vice-President, Sentry Investments
Price
$25.010
Owned
Yes
DON'T BUY
DON'T BUY
August 17, 2016

This has a fairly attractive dividend, so some people tend to own it for that reason. It is in the mutual fund business, and he worries that there are a lot of long-term pressures on that industry. Not a particularly cheap stock and has an OK dividend.

This has a fairly attractive dividend, so some people tend to own it for that reason. It is in the mutual fund business, and he worries that there are a lot of long-term pressures on that industry. Not a particularly cheap stock and has an OK dividend.

Colin Stewart
CEO & Portfolio manager, JC Clark Investments Ltd.
Price
$25.000
Owned
No
SELL
SELL
August 8, 2016

(Market Call Minute) All mutual fund companies will get hit by the upcoming discloser of fees. Funds should move to ETFs.

(Market Call Minute) All mutual fund companies will get hit by the upcoming discloser of fees. Funds should move to ETFs.

David Baskin
President, Baskin Wealth Management
Price
$25.870
Owned
Unknown
TOP PICK
TOP PICK
July 5, 2016

*Short* This fits in with the broader theme of being Short financials. Trades at an excessive valuation, 7% of its assets under management. Its peer group in the US would be 2%. Canadian regulatory environment is changing to the extent that investors will now actually see the mutual fund fees they pay in dollar terms. That is going to bring about more conversations about performance, and this company’s performance has lagged the peer group.

*Short* This fits in with the broader theme of being Short financials. Trades at an excessive valuation, 7% of its assets under management. Its peer group in the US would be 2%. Canadian regulatory environment is changing to the extent that investors will now actually see the mutual fund fees they pay in dollar terms. That is going to bring about more conversations about performance, and this company’s performance has lagged the peer group.

Daniel Lloyd
Portfolio Manager, Forge First Asset Management
Price
$26.770
Owned
Yes
DON'T BUY
DON'T BUY
July 4, 2016

It meets his criteria, however the mutual fund space has been played out. He thinks they are struggling with fund outflows. He feels there are better opportunities.

It meets his criteria, however the mutual fund space has been played out. He thinks they are struggling with fund outflows. He feels there are better opportunities.

Jason Del Vicario
Portfolio Manager, HollisWealth
Price
$26.710
Owned
No
BUY
BUY
April 21, 2016

(Market Call Minute.) The whole asset management sector is undervalued. He likes this.

(Market Call Minute.) The whole asset management sector is undervalued. He likes this.

Alex Ruus
Portfolio Manager, Arrow Capital Management
Price
$27.540
Owned
Unknown
COMMENT
COMMENT
April 19, 2016

This has been a really well managed company, and managed to do what most other independent mutual fund companies haven’t. They competed very effectively against the banks, who obviously have an advantageous position with their reach. Recently they’ve gone more into redemption, meaning that some of their unit holders are exiting. Some of their bigger franchises have had slightly less good returns. Also, there is a spotlight on fees, which is an issue. If you take a long term view that equity markets are going to do very, very well over the next number of years, this company will likely be okay. Technically it is close to a 52-week low. This is a bit of a wait and see.

This has been a really well managed company, and managed to do what most other independent mutual fund companies haven’t. They competed very effectively against the banks, who obviously have an advantageous position with their reach. Recently they’ve gone more into redemption, meaning that some of their unit holders are exiting. Some of their bigger franchises have had slightly less good returns. Also, there is a spotlight on fees, which is an issue. If you take a long term view that equity markets are going to do very, very well over the next number of years, this company will likely be okay. Technically it is close to a 52-week low. This is a bit of a wait and see.

David Burrows
President & Chief Investment Strategist, Barometer Capital Management
Price
$27.690
Owned
Unknown
COMMENT
COMMENT
March 31, 2016

Just acquired First Asset Capital which gives them a beachhead into the ETF space. A nice 4.6% dividend, which he sees growing at 10% over the next couple of years. However, he only sees about a 4.7% compound annual growth rate over the next couple of years. If you are really bullish about the market and you think it is going to go straight up, then this is not a bad play. If you think it is going to go sideways and be bouncy, he isn’t sure that this is the most exciting bet. There are headwinds and regulations coming for mutual funds.

Just acquired First Asset Capital which gives them a beachhead into the ETF space. A nice 4.6% dividend, which he sees growing at 10% over the next couple of years. However, he only sees about a 4.7% compound annual growth rate over the next couple of years. If you are really bullish about the market and you think it is going to go straight up, then this is not a bad play. If you think it is going to go sideways and be bouncy, he isn’t sure that this is the most exciting bet. There are headwinds and regulations coming for mutual funds.

Greg Newman
Director & Portfolio Manager, Scotia Wealth Management
Price
$28.700
Owned
Unknown
COMMENT
COMMENT
January 12, 2016

Her preference is to be in the banks and financial services space. If you want more of a direct play on mutual funds, this is probably one of the better names to own. Given the valuation contraction that we have seen in the banking sector, her preference would be to own one of the big banks, or maybe a lifeco.

CI Financial Corp (CIX-T)
January 12, 2016

Her preference is to be in the banks and financial services space. If you want more of a direct play on mutual funds, this is probably one of the better names to own. Given the valuation contraction that we have seen in the banking sector, her preference would be to own one of the big banks, or maybe a lifeco.

Christine Poole
CEO & Managing Director, GlobeInvest Capital Management
Price
$29.680
Owned
No
COMMENT
COMMENT
November 6, 2015

A “steady Eddie” company and a very good company in its area. If you are there for yield, it is slow and steady. If you have something better to buy, then this could be a Sell.

CI Financial Corp (CIX-T)
November 6, 2015

A “steady Eddie” company and a very good company in its area. If you are there for yield, it is slow and steady. If you have something better to buy, then this could be a Sell.