So think about the spectrum of competitors that exist. You will see that we are now organized by investment capability not by boutique or sub-brand. At WisdomTree, MacAlpine was responsible for all client-facing functions and oversaw most of its international businesses. Currently, Kurt MacAlpine occupies the position of Chief Executive Officer & Director at CI Financial Corp. and Chief Executive Officer & Director at CI Private Wealth. We have a very high concentration of Canadian equity and Canadian balanced funds that have been higher redeemed categories in the industry and the concentration of advisers that are holding them tend to be those, as I mentioned, that are older MFDA advisers that might not be in growth mode on their businesses. First, on the U.S. wealth management initiative. Harbour in the old model prior to this week had the ability to deliver $3 billion to $4 billion of total scale. I would say the vulnerabilities remain the vulnerabilities that we currently have. In just two years, Toronto-based CI Financial has assembled, via acquisition, a $115 billion-asset independent RIA empire in the U. Prior to that, he held a variety of roles in the financial technology industry at companies such as DST Systems (now IFDS). It also excludes any strategic or cost synergies, asset management product sales, business model improvements or planned but unannounced transactions. So, we built that over the course of the winter. Mr. Urbanky holds an MBA from Rotman School of Business and a masters degree in computer science from University of Toronto and has attended leadership and management programs at Queens School of Business. And I think we're off to a really great start in Liquid Alternatives. So that really seems to be where our institutional business has experienced the vast majority of our redemptions over the past year. The next question will come from Tom MacKinnon with BMO Capital. To that end, CI is spinning out its RIA business through an IPO that will open up 20% of the division to the public markets. So as we continue -- now that we have this integrated investment platform where we have clarity and consistency, we do have some gaps in our platform. You can sign up for additional alert options at any time. And we have announced 12 deals in the marketplace than it was several months ago when we were starting to build story and build that momentum from scratch. If not, we're pretty close. The next question will come from Tom MacKinnon with BMO Capital. If you fast forward to today just looking at the deals, we've done over the past six or seven months, we believe we have the fastest-growing RIA platform ever.
If I look at just the pipeline of firms that we are having conversations with it's really increasing on an ongoing basis. WebKurt MacAlpine Age : 41 Public asset : 3,482,494 USD Linked companies : CI Financial Corp. Summary Currently, Kurt MacAlpine occupies the position of Chief Executive And why would that be? On the other end of the spectrum you essentially have aggregators or integrator platforms that will do a deal with you but the terms and conditions by which they'll transact with you are that you need to change everything about your platform to fit into their platform. SG&A declined nearly $16 million, or 13% from a year ago, and was flat on a sequential basis despite on-boarding several new businesses. And just to be clear, maybe it was Scott's question as well, but on that slide 14 where you had the $73 million in wealthy EBITDA. So, I would say Scott, it's still very early days. We are in the early stages of the strategic transformation of our sales function and our investment platform and we are confident that these actions will lead to better flows. So it is a lever that, we could use, but we'll do it in a very disciplined manner when they do. This approach limits or eliminates the client disruption typically associated with investment platform changes. His responsibilities included strategic asset allocation, quantitative research and alternative indexing activities, as well as sitting on the executive and tactical asset allocation committees for its Strategy and Planning Department. We are confident that meaningful synergy opportunities exist, but we prefer not to give guidance. His diverse experience spans asset allocation, portfolio construction, risk management, public and private markets, and fundamental and quantitative strategies. And it would be more opportunistic in nature. MacAlpine takes over from Peter Anderson on Sept. 1. And I think that's really resonating. In terms of when we choose to pass and we absolutely pass on a lot of platforms that get presented to us we're really looking for high-quality well-run businesses, great profitability and dynamic management teams that collectively feel that they will benefit and we will all benefit from working together as opposed to working independently. This slide provides a recap of our 3 corporate strategic priorities. And then on top of that if you look at the marketplace, I'd say somewhere around $0.90 on the dollar ex-CI of money in the space right now is private equity or private equity related. The infrastructure of a bank, but with a boutique feel, NBFWM offers broad services and security for clients. Wallmine is a radically better financial terminal. So does that include the acquisitions that are announced, but not closed such as the Roosevelt or the Doyle acquisitions that were announced earlier this week last week? [Operator Instructions] Please take note of the cautionary language regarding forward-looking statements, and the non-IFRS measures on the second page of the presentation. This information is meant to help quantify the impact we've made in a short period in executing against our wealth management strategy. On the sales front, although the company continues to be in redemptions, we generated strong gross sales results, which increased 23% from a year ago and 8% sequentially. Just maybe one last one if I could. So as we work through and announce and finalize these acquisitions, the goal is to provide our investors with a roadmap essentially for how our business is evolving. We had another strong quarter as markets and our AUM continued to rebound. At WisdomTree, a global asset manager and exchange-traded fund sponsor based in New York, Mr. MacAlpine was responsible for all client-facing functions globally, including distribution, marketing, data intelligence and strategy, business development and client solutions. The next question will come from Gary Ho with Desjardins Capital Market. Current Address: 254 Park Avenue S Apt 6b, New York, NY 10010 Has Lived In: 101 Canal Street Apt 512, Boston, MA 02114. Sure. Prior to joining CI GAM in September 2021, Mr. Lewis was Head of Portfolio Construction at the Abu Dhabi Investment Authority (ADIA), one of the worlds largest sovereign wealth funds. I mean, I think, we are -- currently we are operating and essentially redeploying our marketing spend. We continue to scale our wealth management platforms in the U.S. having completed or announced 12 transactions for the year-to-date, representing nearly $22 billion of AUM. I am optimistic that we're going to work through the redemptions and put ourselves on a better path forward. Sub-advisory mandates that have been outsourced to us specifically by funds that have their own competing capabilities internally and then sub-advisory mandates that have been outsourced to us by firms that don't. Kurt currently lives at 254 Park Avenue S Apt 6b, New York, NY 10010. So you've had some redemptions in recent quarters just from some companies that are bringing in-house mandates that you were sub-advising on. And that's really important to us because these are people businesses and the ultimate goal of them is to deliver great investment and planning outcomes for clients. How to Geta Free Flight to Hong Kong in 500,000 Airline Ticket Giveaway, Apple Suppliers Are Racing to Exit China, AirPods Maker Says, Microsoft Expands Game Pass as Regulators Fret Over Activision Deal, Stocks Pare Drop as Traders Assess Data, Fedspeak: Markets Wrap, Cash Is Paying More Than Traditional Stock-Bond Portfolio. Maybe you can just share with us, what the margins would be on that business. And then just on the RIA acquisition pipeline like how would you describe the size of it today? On that wealth management slide, the -- I guess the EBITDA progression year-to-date from $15 million to $73 million. CI noted that Anderson will remain with the firm in the short term to assist with the transition of responsibilities.. So sorry, Tom a little bit long-winded, but we really do kind of sit in the middle of these two kind of more extreme models. We are making these changes while protecting the elements of our investment platform that make us unique. The next question will come from Scott Chan with Canaccord. Financial industry executive Kurt MacAlpine will become the new CEO of independent asset management giant CI Financial Corp. MacAlpine, who takes over as chief executive from Peter Anderson on Sept. 1, was previously executive vice president and head of global distribution for WisdomTree Asset Management in New York. document.write(CurrentYear)
Once we started to do deals in this space we started to hit the radar of a lot of the banks that are working with these firms to help them transact. It's designed to deliver a better experience and ultimately better investment performance. Prior to ADIA, Mr. Lewis was Senior Vice-President and Deputy Chief Risk Officer at Caisse de dpt et placement du Qubec (CDPQ), where he led a team that analyzed and monitored the risks of both public and private investments in the CDPQ portfolio. In his role as a Partner, he managed global consulting teams working with some of the largest asset and wealth managers in the world on topics related to strategy, distribution, marketing, international expansion, mergers and acquisitions, and product development. I mean, the biggest challenge was we would constantly get feedback from clients that, it's complex and challenging to do business with CI. He has been with CI Global Asset Management for over 20 years, serving in progressively more senior roles in Information Technology. As Executive Vice President and Chief Financial Officer, Mr. Muni overseas the companys global finance operations and investor relations teams. Just a follow-up is on M&A but outside of the wealth business, can you describe what your appetite is for asset managements M&A or other businesses that you would view as being complementary to your growth strategy? Kurt Macalpine . One of the I guess, call it more minor reasons based upon interest from RIAs is the ability to take stock as part of the transaction. He also oversaw the majority of the firms international businesses, which during his tenure included employees in Canada, Europe, Japan, Israel and Latin America and strategic partnerships in Asia and Australia and New Zealand. LinkedIn is the worlds largest business network, helping professionals like Kurt MacAlpine discover inside connections In the process, its drawn the ire of rivals who say CI has overpaid to take elite firms off the market. Kurt MacAlpine has been facing his share of headwinds with CI Financials recent business decisions, but hes convinced hes charted the right course for the company, and he plans to stick with it. Or at some point, if you're going to keep this run rate going of acquisitions do you need to start using equity a bit? The Canadian equity and Canadian balance categories are two of the three most redeemed categories in the industry year-to-date. I had a good understanding of their particular businesses, their capabilities, their teams and their growth rate. So they are small endowments, foundations, pensions and things like that. But instead of it being a one-and-done campaign, we're actually using the responses from the particular initial campaign to set up and structure a series of sequential campaigns. For non-personal use or to order multiple copies, please contact Dow Jones Reprints at 1-800-843-0008 or visit www.djreprints.com. So you are right, through the legacy model we had, we naturally have a lot of overlapping and redundant capabilities which over time might clear themselves up, but that wasn't the reason we initiated this process, and it hasn't been a focus for us so far. Layan Odeh (Bloomberg) | Aug 30, 2022 The directors of CI Financial Corp. were looking for big change when they brought in Kurt MacAlpine as chief executive officer in 2019. acquisitions we have made this year were down $19.4 million, or almost 16% from the third quarter of 2019, and down $1.7 million sequentially. During the height of the pandemic, we did feel the leverage was a little bit high relative to our comfort zone, and we reduced our credit revolver by $175 million in short order by redeploying. And there is a few firms that fit this mold and may be called serial aggregators or something like that. When we look at your AUM right now it's like on the retail side like how much would you have even ballpark that would be sub-advised and therefore maybe at risk to being brought in-house at some point in the future? One would be capability expansions. As a reminder, here is a quick review of our three strategic priorities which are modernizing asset management, expanding wealth management and globalizing our company. So some of the deals that we are doing are part of an auction process we're participating. Mr. Kelterborn is Executive Vice-President and Chief Legal Officer of CI Financial and leads the team responsible for all legal affairs of the corporation and its subsidiaries. If you experience any issues with this process, please contact us for further assistance. Yes. It's a smaller portion of the line, Scott. I think we're ahead of schedule relative to what we would have initially anticipated. So, it's not easy to say here's the specific number because, it really depends upon the mandate, the strategy, the platform size and things like that. They recognize the need to get bigger. And we're operating a very differentiated value proposition which is the goal is to build the leading integrated platform in the U.S., but instead of just focusing on the financial element or pursuing a full integration, we are working with our partners to collectively build that platform. So while we have experienced a couple of lumpy quarters of redemptions, virtually all of those have come from bank and insurance-owned platforms that are moving those assets in-house, specifically to an in-house team doing essentially the same thing. 100 University Avenue, Eighth Floor. 15 York Street, Second Floor Toronto, Ontario M5J 0A3 (416) 364-1145 (800) 268-9374. Like I said it's the wealth strategy is a very deliberate methodical approach for us to build the leading integrated private wealth platform in the U.S. This includes $125.4 billion of assets under management and $77 billion of wealth management assets. Free cash flow was up 12% to $143.9 million from $128.3 million last quarter. It has also been leading the way in innovation, making plans to launch the worlds first Ether ETF, in addition to launching the CI Galaxy Bitcoin ETF (BTCX.B and BTCX.U) in March. But yes, the margins on the institutional business are lower than what we would see on retail. This copy is for your personal, non-commercial use only. We are also taking this opportunity to better structure our investment platform to foster improved communication and collaboration across the organization, positioning us to deliver the full-scale and capabilities of CI to our clients not just the capabilities of our legacy investment boutiques. WebKurt MacAlpine is Chief Executive Officer at CI Financial Corp. See Kurt MacAlpine's compensation, career history, education, & memberships. At CI Financial, we promise to treat your data with respect and will not share your information with any third party. CI And I don't think that's necessarily true for businesses like these particularly, the businesses that we're acquiring. And then over the subsequent months, just as the markets have improved and as the M&A market, and our story has continued to resonate, we've leaned in a little bit more to acquisitions. I would anticipate over time, when you think about the SG&A reductions that we've made overall, what we're trying to do is to rightsize the businesses that are -- have declined or are experiencing some declines and redeploying that SG&A to growth areas and growth initiatives of our business. A former McKinsey consultant and executive at WisdomTree Asset Management Inc., MacAlpine landed the job three years ago with a pitch to shake CI out Yes. Please contact us at, We encountered an error. Welcome to Barrons Advisor! 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