Vancouver-based Canaccord Genuity Group Inc. is continuing to increase the number of high-end independent investment advisors at its brokerage division, Canaccord Genuity Wealth Management, according to the company’s most recent quarterly earnings report.
Canaccord reported that it had 150 advisory teams as of Sept. 30, up from 148 advisory teams on June 30 and from 134 such teams a year earlier. In addition, total client assets under administration increased by 54.3% to $19.7 billion as of Sept. 30 vs $12.8 billion the previous year.
“In our Canadian wealth-management business, we have made excellent progress against our strategic priorities of increasing client assets and driving better returns as we help new and existing advisors grow,” Canaccord’s quarterly report states. “This business has delivered its eighth consecutive quarter of profitability, and excluding significant items, recorded a second quarter pre-tax profit margin of 14.7%. Since 2016, we have welcomed 35 advisors and approximately $7.6 billion in new client assets.
In October 2016, Canaccord announced plans to raise $60 million through a private-placement agreement with a large Canadian asset manager in order to recruit 30 to 40 advisors to its seven offices nationwide. Canaccord had 138 advisory teams as of June 30, 2016, but has culled some of its lower-producing advisory teams since.
The firm said at the time that the recruitment period was expected to last about a year and a half, but could stretch to two years. The target number of advisors also could change.
Canaccord noted at the time that it was looking for advisors who have well-established relationships with demanding clients and who want to create customized portfolios for these clients.