Canaccord Genuity’s Canadian wealth management segment doubled its assets under management over the past year, with the average advisory team book size reaching nearly $100 million, the company said in its fiscal year-end results.
The Canadian segment’s AUM at the end of March was $2.6 billion, rising 109.8% from $1.3 billion at the end of the same period a year earlier, the company said. Q4 AUM was up 4.4 %, from $2.5 billion at the end of Q3.
Assets under administration rose to $13.2 billion, climbing 43.9% from $9.2 billion at the same time a year earlier.
Profits for the Canadian segment were $1.5 million in Q4. It had 141 advisory teams in Canada at the end of March, an increase of two teams since the end of 2016.
“Importantly, the average book size per advisory team in this business increased to almost $100 million at the end of fiscal 2017, a year-over-year improvement of 42%,” chief executive Dan Daviau said in a statement to shareholders. “While we have continued to increase revenues from fee-based activities, revenue generated from transactional activities has also strengthened, as clients more actively accessed the markets through our leadership in early-stage financing activities for key growth sectors of the economy.”
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Daviau said Canaccord’s acquisition of advisors in Canada has helped increase share of wallet from existing clients. “The teams that have joined since we announced our private placement [for recruiting] in October have contributed new assets of $1.7 billion,” Daviau said.
The Vancouver-based financial services firm has wealth management offices in Canada, Australia, the U.K., Guernsey, Jersey and the Isle of Man.
Globally, Canaccord Genuity’s wealth management business had AUA and AUM of $38.6 billion at the end of March, up 18%, or $5.9 billion, from the same time a year earlier.
In March, its U.K. and Europe wealth management segment acquired client portfolios from Duncan Lawrie Private Banking in the Isle of Man, as well as a U.K.-based investment dealing and custody business from C. Hoare & Co.
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