IGM Financial Inc. Announces July 2020 Investment Fund Sales and Total Assets Under Management and IG Wealth Management Assets Under Administration and Client Net Flows – Canada NewsWire
WINNIPEG, MB, Aug. 5, 2020 /CNW/ – IGM Financial Inc. (IGM) (TSX: IGM) today reported preliminary total investment fund net new money of $153.2 million as shown in Table 1. Investment fund assets under management were $163.0 billion at July 31, 2020, compared with $157.8 billion at June 30, 2020 and $157.2 billion at July 31, 2019. Total assets under management were $170.7 billion at July 31, 2020, compared with $165.4 billion at June 30, 2020 and $162.2 billion at July 31, 2019. Assets under management are shown in Table 2.
Investment fund net new money includes gross sales of $1.5 billion and net new money of $153 million compared to gross sales of $1.7 billion and net new money of $315 million in July 2019.
IG Wealth Management reported preliminary assets under administration of $96.9 billion at July 31, 2020 compared to $93.6 billion at June 30, 2020 and $94.0 billion at July 31, 2019. Net client inflows were $4 million during July 2020 compared to net client inflows of $30 million in July 2019.
Mackenzie Investments reported investment fund net inflows of $226 million in July 2020 compared to net inflows of $352 million in July 2019.
Table 1 – Investment Fund Net Flows Month ended July 31, 2020
($millions) (unaudited)
IG Wealth Management
Mackenzie Investments
Investment Planning Counsel3
Inter-co. Elimin.1
IGM Financial
Mutual Funds
Gross Sales
$618.3
$801.9
$32.1
$1,452.3
Net New Money
($50.0)
$136.1
($20.4)
$65.7
ETFs
Net New Money
$224.9
$224.9
Inter-product Eliminations
($135.4)2
($2.0)
($137.4)
Investment Funds Net New Money
($50.0)
$225.6
($20.4)
($2.0)
$153.2
Other Client AUA Net Flows
$54.0
Net Client Inflows
$4.0
*Mutual Fund Net New Money is defined as Gross Sales less Gross Redemptions and is consistent with the terminology used in the Management Discussion and Analysis (MD&A) issued by IGM Financial. Net Client Flows is defined as net contributions to client accounts and includes IG investment funds, third party investment funds, equity and fixed income securities, high interest savings accounts and deposits held at IG Wealth Management.
Table 2 – Assets under Management and Administration
($billions) (unaudited)
July 2020
June 2020
July 2019
% Change Last Month
% Change YOY
IGM Financial
Total Assets under Management4
$170.73
$165.40
$162.16
3.2
5.3
IGM Financial
Investment Funds
Assets under Management4
$163.00
$157.84
$157.18
3.3
3.7
IG Wealth Management
Mutual Funds
$92.17
$89.53
$90.56
2.9
1.8
Total IG Wealth Management
$92.17
$89.53
$90.56
2.9
1.8
Mackenzie Investments
Mutual Funds
$62.39
$60.13
$59.21
3.8
5.4
ETFs
$7.07
$6.64
$3.81
6.5
85.6
Inter-product Eliminations5
($2.40)
($2.19)
($1.07)
9.6
124.3
Investment Funds
$67.06
$64.58
$61.95
3.8
8.2
Sub-advisory, institutional and other
$8.82
$8.64
$6.15
2.1
43.4
Total Mackenzie Investments
$75.88
$73.22
$68.10
3.6
11.4
Investment Planning Counsel6
$5.14
$5.04
$5.38
2.0
(4.5)
IG Wealth Management Assets under Administration
$96.90
$93.64
$93.99
3.5
3.1
Preliminary average investment fund assets under management and average total assets under management for the quarter to date are set out in Table 3.
Consolidated results eliminate double counting where business is reflected in multiple segments and excludes $2.0 million in net new money by IG Wealth Management and IPC mutual fund investments in ETFs.
2
$135.4 million of net new money in ETFs by Mackenzie Investments mutual funds.
3
IGM Financial and Counsel mutual funds net new money presented does not include sales/redemptions in the IPC Private Wealth program. IPC Private Wealth program flows are included in figures presented in the MD&A.
4
Mackenzie sub-advisory mandates to Investment Planning Counsel mutual funds and investment in Mackenzie investment funds by mutual funds managed by IG Wealth Management or Investment Planning Counsel are reported within Mackenzie’s results and are eliminated within IGM Financial consolidated results:
– Amounts eliminated within IGM Financial consolidated total assets were $2.5 billion at July 31, 2020 ($2.4 billion at June 30, 2020 and $1.9 billion at July 31, 2019).
– Amounts eliminated within IGM Financial consolidated investment fund assets were $1.4 billion at July 31, 2020 ($1.3 billion at June 30, 2020, $709 million at July 31, 2019).
5
Mackenzie mutual fund investment in ETFs of $2.4 billion as at July 31, 2020 ($2.2 billion as at June 30, 2020 and $1.1 billion as at July 31, 2019).
6
IPC’s total assets under management includes Counsel Mutual Funds and the Private Wealth Program.
7
Based on daily average investment fund assets and month-end average institutional, sub-advisory and other assets.
8
Mackenzie sub-advisory mandates to Investment Planning Counsel mutual funds and investment in Mackenzie investment funds by mutual funds managed by IG Wealth Management or Investment Planning Counsel are reported within Mackenzie’s results and are eliminated within IGM Financial consolidated results:
– Amounts eliminated within IGM Financial consolidated total assets were $2.4 billion at July 31, 2020.
– Amounts eliminated within IGM Financial consolidated investment fund assets were $1.3 billion at July 31, 2020.
9
Mackenzie mutual fund investment in ETFs of $2.3 billion as at July 31, 2020.
10
IPC’s total assets under management includes Counsel Mutual Funds and the Private Wealth Program.
IGM Financial Inc. is one of Canada’s leading diversified wealth and asset management companies with approximately $171 billion in total assets under management. The company provides a broad range of financial and investment planning services to help more than two million Canadians meet their financial goals. Its activities are carried out principally through IG Wealth Management, Mackenzie Investments and Investment Planning Counsel.
A MEMBER OF THE POWER CORPORATION GROUP OF COMPANIES.
SOURCE IGM Financial Inc.
For further information: Media Relations: Nini Krishnappa, 647-828-2553, [email protected]; Investor Relations: Keith Potter, 204-955-2404, [email protected]
TORONTO – Canada’s main stock index was down more than 200 points in late-morning trading, weighed down by losses in the technology, base metal and energy sectors, while U.S. stock markets also fell.
The S&P/TSX composite index was down 239.24 points at 22,749.04.
In New York, the Dow Jones industrial average was down 312.36 points at 40,443.39. The S&P 500 index was down 80.94 points at 5,422.47, while the Nasdaq composite was down 380.17 points at 16,747.49.
The Canadian dollar traded for 73.80 cents US compared with 74.00 cents US on Thursday.
The October crude oil contract was down US$1.07 at US$68.08 per barrel and the October natural gas contract was up less than a penny at US$2.26 per mmBTU.
The December gold contract was down US$2.10 at US$2,541.00 an ounce and the December copper contract was down four cents at US$4.10 a pound.
This report by The Canadian Press was first published Sept. 6, 2024.
TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in technology, financial and energy stocks, while U.S. stock markets also pushed higher.
The S&P/TSX composite index was up 171.41 points at 23,298.39.
In New York, the Dow Jones industrial average was up 278.37 points at 41,369.79. The S&P 500 index was up 38.17 points at 5,630.35, while the Nasdaq composite was up 177.15 points at 17,733.18.
The Canadian dollar traded for 74.19 cents US compared with 74.23 cents US on Wednesday.
The October crude oil contract was up US$1.75 at US$76.27 per barrel and the October natural gas contract was up less than a penny at US$2.10 per mmBTU.
The December gold contract was up US$18.70 at US$2,556.50 an ounce and the December copper contract was down less than a penny at US$4.22 a pound.
This report by The Canadian Press was first published Aug. 29, 2024.
The crypto market has recently experienced a significant downturn, mirroring broader risk asset sell-offs. Over the past week, Bitcoin’s price dropped by 24%, reaching $53,000, while Ethereum plummeted nearly a third to $2,340. Major altcoins also suffered, with Cardano down 27.7%, Solana 36.2%, Dogecoin 34.6%, XRP 23.1%, Shiba Inu 30.1%, and BNB 25.7%.
The severe downturn in the crypto market appears to be part of a broader flight to safety, triggered by disappointing economic data. A worse-than-expected unemployment report on Friday marked the beginning of a technical recession, as defined by the Sahm Rule. This rule identifies a recession when the three-month average unemployment rate rises by at least half a percentage point from its lowest point in the past year.
Friday’s figures met this threshold, signaling an abrupt economic downshift. Consequently, investors sought safer assets, leading to declines in major stock indices: the S&P 500 dropped 2%, the Nasdaq 2.5%, and the Dow 1.5%. This trend continued into Monday with further sell-offs overseas.
The crypto market’s rapid decline raises questions about its role as either a speculative asset or a hedge against inflation and recession. Despite hopes that crypto could act as a risk hedge, the recent crash suggests it remains a speculative investment.
Since the downturn, the crypto market has seen its largest three-day sell-off in nearly a year, losing over $500 billion in market value. According to CoinGlass data, this bloodbath wiped out more than $1 billion in leveraged positions within the last 24 hours, including $365 million in Bitcoin and $348 million in Ether.
Khushboo Khullar of Lightning Ventures, speaking to Bloomberg, argued that the crypto sell-off is part of a broader liquidity panic as traders rush to cover margin calls. Khullar views this as a temporary sell-off, presenting a potential buying opportunity.
Josh Gilbert, an eToro market analyst, supports Khullar’s perspective, suggesting that the expected Federal Reserve rate cuts could benefit crypto assets. “Crypto assets have sold off, but many investors will see an opportunity. We see Federal Reserve rate cuts, which are now likely to come sharper than expected, as hugely positive for crypto assets,” Gilbert told Coindesk.
Despite the recent volatility, crypto continues to make strides toward mainstream acceptance. Notably, Morgan Stanley will allow its advisors to offer Bitcoin ETFs starting Wednesday. This follows more than half a year after the introduction of the first Bitcoin ETF. The investment bank will enable over 15,000 of its financial advisors to sell BlackRock’s IBIT and Fidelity’s FBTC. This move is seen as a significant step toward the “mainstreamization” of crypto, given the lengthy regulatory and company processes in major investment banks.
The recent crypto market downturn highlights its volatility and the broader economic concerns affecting all risk assets. While some analysts see the current situation as a temporary sell-off and a buying opportunity, others caution against the speculative nature of crypto. As the market evolves, its role as a mainstream alternative asset continues to grow, marked by increasing institutional acceptance and new investment opportunities.
