A Surrey-based portfolio and investment fund manager has been permanently shut down and three former executives fined $210,000 total by the B.C. Securities Commission (BCSC) after reaching a settlement agreement.
Chartwell Asset Management Inc. is now permanently prohibited from purchasing any securities and from becoming or acting as a registrant or promoter for failing to meet the standard of care for an investment manager when it invested $5 million in a company named Health Capital in 2011 to support an income fund.
“In the settlement agreement with the BCSC, Chartwell admitted that it did not have sufficient information about Health Capital to support its calculation of the value of the fund, nor did it re-evaluate the fund’s valuation in light of multiple risk indicators,” the commission stated March 7.
The company, according to a hearing notice, did not re-evaluate risk to its income fund despite Health Capital’s missed or late payments, among other concerns.
“By doing so, Chartwell failed in its duty as an investment fund manager to exercise the degree of care, diligence and skill that a reasonably prudent person would exercise in the circumstances,” the commission added, via a media release.
The commission’s hearing notice and settlement agreement does not indicate there was any harm to investors.
Three former executives agreed to fines for violating the B.C. Securities Act.
Gregory Paul James Cameron, president and CEO since 2003, is ordered to pay $100,000; Wah Bo Chew, a past president and dealer up to 2017, is to pay $70,000; and Matthew Evans Cameron, the vice-president, advisor and chief compliance officer, is to pay $40,000.
The trio admitted that they authorized, permitted or acquiesced in Chartwell’s contraventions.
They also face sanctions:
Gregory Cameron is prohibited for 15 years from becoming or acting as a director or officer of any reporting issuer or registrant and from becoming or acting as a registrant or promoter.
Chew is prohibited for 10 years from becoming or acting as a director or officer of any reporting issuer or registrant.
Matthew Cameron is prohibited for four years from becoming or acting as a chief compliance officer.
That the individuals came to a settlement before heading to a hearing is said to be a mitigating factor.
TORONTO – Canada’s main stock index was up more than 100 points in late-morning trading, helped by strength in base metal and utility stocks, while U.S. stock markets were mixed.
The S&P/TSX composite index was up 103.40 points at 24,542.48.
In New York, the Dow Jones industrial average was up 192.31 points at 42,932.73. The S&P 500 index was up 7.14 points at 5,822.40, while the Nasdaq composite was down 9.03 points at 18,306.56.
The Canadian dollar traded for 72.61 cents US compared with 72.44 cents US on Tuesday.
The November crude oil contract was down 71 cents at US$69.87 per barrel and the November natural gas contract was down eight cents at US$2.42 per mmBTU.
The December gold contract was up US$7.20 at US$2,686.10 an ounce and the December copper contract was up a penny at US$4.35 a pound.
This report by The Canadian Press was first published Oct. 16, 2024.
TORONTO – Canada’s main stock index was up more than 200 points in late-morning trading, while U.S. stock markets were also headed higher.
The S&P/TSX composite index was up 205.86 points at 24,508.12.
In New York, the Dow Jones industrial average was up 336.62 points at 42,790.74. The S&P 500 index was up 34.19 points at 5,814.24, while the Nasdaq composite was up 60.27 points at 18.342.32.
The Canadian dollar traded for 72.61 cents US compared with 72.71 cents US on Thursday.
The November crude oil contract was down 15 cents at US$75.70 per barrel and the November natural gas contract was down two cents at US$2.65 per mmBTU.
The December gold contract was down US$29.60 at US$2,668.90 an ounce and the December copper contract was up four cents at US$4.47 a pound.
This report by The Canadian Press was first published Oct. 11, 2024.
TORONTO – Canada’s main stock index was little changed in late-morning trading as the financial sector fell, but energy and base metal stocks moved higher.
The S&P/TSX composite index was up 0.05 of a point at 24,224.95.
In New York, the Dow Jones industrial average was down 94.31 points at 42,417.69. The S&P 500 index was down 10.91 points at 5,781.13, while the Nasdaq composite was down 29.59 points at 18,262.03.
The Canadian dollar traded for 72.71 cents US compared with 73.05 cents US on Wednesday.
The November crude oil contract was up US$1.69 at US$74.93 per barrel and the November natural gas contract was up a penny at US$2.67 per mmBTU.
The December gold contract was up US$14.70 at US$2,640.70 an ounce and the December copper contract was up two cents at US$4.42 a pound.
This report by The Canadian Press was first published Oct. 10, 2024.
