(May 8, 2007) The CD Howe Institute expresses concern that labor organizations have too much power in the venture capital market.
York University Schulich School of Business professor Doug Cumming wrote a study for CD Howe entitled Entrepreneur Financing: Better Canadian Policy for Venture Capital. Cumming argues that better venture capital policy is needed in Canada to promote investment in innovation and entrepreneurship.
Cumming says one of the first issues that needs to be addressed under this policy is the dominance of employee-sponsored corporate venture capital. Cumming argues that LSVCCs are inefficient investment vehicles. They charge high fees, produce disappointing results (very few funds generate positive returns) and gain an unfair market advantage through government tax breaks.
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IA Clarington launches guaranteed income funds
(May 8, 2007) IA Clarington Investments has launched IA Clarington Guaranteed Investment Funds, a group of segregated funds with core protection features.
The funds will be available in two types of guarantees. Guarantee Option A provides 100% death benefit and 100% maturity benefit; Guarantee B option provides a 100% death benefit and a 75% maturity benefit. The warranty is provided by Industrial Alliance Insurance.
“These new funds combine IA Clarington’s investment fund management expertise with the financial strength of Industrial Alliance,” said David Scandiffio, president of IA Clarington. “With IA Clarington GIFs, our clients have the opportunity to benefit from the exceptional investment skills of our sub-advisers while enjoying the many benefits of segregated funds.”
Each IA Clarington GIF invests in units from a group of 10 IA Clarington investment funds. The sale of funds will start on May 7, 2007.
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BullionFund touts the attractiveness of precious metals
(May 8, 2007) Bullion Marketing Services boasts about the success of its Millennium BullionFund to highlight the high returns that can be achieved from investing in precious metals.
Over five years, BullionFund, which invests in an equal portfolio of gold, silver and platinum bullion, has generated an average annual compounded return of 6.9% in Canadian dollars and 15.5% in US dollars.
“The real boom in precious metals began in August 2005, and prices began to rise in all currencies. Until then, it was more of a US dollar bear market than a global precious metals bull market,” says Nick Barisheff, president of Bullion Marketing Services. “As the gold, silver and platinum markets continue to rally, more investors and financial advisors are realizing the importance of including precious metals in every portfolio.”
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BMO Capital Markets has a new managing director
(May 8, 2007) BMO Capital Markets has named Elizabeth Marin as managing director of the firm’s financial institutions group. Marin will focus primarily on identifying and delivering strategic and financial solutions to a range of specialist financial firms.
Marin most recently worked at Wachovia Securities, where she was a director in the Financial Institutions Group, focusing on the specialty finance sector. Previously, she spent four years at Bank of America Securities, LLC as a director and vice president in the financial institutions group.
“Liz brings over 12 years of industry experience and will be a great partner as we continue to expand our efforts in this important sector,” said Erik van Nispen, head of BMO Capital Markets’ U.S. financial institutions group
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(08/05/07)
