According to Shaun Hauser, co-founder and president of Wellington-Altus, the firm established a plan at the board level about 18 months ago to actively look for minority partners that could help strengthen the company’s balance sheet and allow the firm to grow at an even quicker pace.
The new investments from JFI and Cynosure will go toward advisor incentive offers and potential acquisitions, Hauser said.
Wellington-Altus projects to grow its assets under management (AUM) for fiscal 2021 by roughly $6 billion “primarily driven through recruitment,” Hauser said. The firm currently has about $20 billion in assets under management.
“Our incentive offers are a mix of cash and shares. We think we can attract even more advisors going forward if we have more flexibility to offer more cash than shares for very large teams,” he said.
With new capital for advisor incentive offers, “we think we can actually impact our trajectory at an even greater pace,” he added.
Bringing on more advisors and increasing AUM were both reasons Wellington-Altus expanded into the Quebec market in September.
The new capital from JFI and Cynosure will also go toward potential acquisitions, Hauser said, with an eye on the investment counsel portfolio management (ICPM) segment. Hauser said Wellington-Altus “can add a lot of value to” businesses in this space.
Portfolio managers in the ICPM space can plug into Wellington-Altus’s wealth management infrastructure and tech, receiving the same benefits as the firm’s Investment Industry Regulatory Organization of Canada advisors, Hauser said.
“You get to find 30% to 40% more time than you did before,” he said. “You get to focus on what you’re good at, which is talking to clients and finding new ones. And you get to remove the headaches.”
JFI and Cynosure will have one board member each on Wellington-Altus’s board of directors, adding “industry knowledge” and “general business knowledge” to the group, Hauser said.
He added that Cynosure has a lot of industry experience and a deep team of M&A experts that will contribute to the firm’s acquisition strategy and allow it to do “high-quality deals.”
JFI and Cynosure both pointed to Wellington-Altus’s growth and client focus as reasons for their investments.
“After many years of partnering with leading private wealth management businesses in the U.S., we know what success looks like, and Wellington-Altus’ explosive presence and reputation for outstanding client service in Canada is undeniable,” said Keith Taylor, co-founder and managing director of Cynosure, in a release.
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.
