Briefly:

Previous Brieflies this week: | MON | TUE | WED | THU |

It is not easy being a parent especially when there are not enough assets to go around.

According to a new poll by Edward Jones Canada, 15% of parents with children under 18 at home are favouring their children’s education over their own savings and nearly 26% of parents are primarily saving for retirement. Another 26% say that they are not saving for retirement or for post-secondary education.

“While we are pleased to see that a number of Canadian parents understand the importance of saving for both their own long-term financial needs, as well as their children’s, we are concerned that a large number of parents seem to be choosing one over the other,” says Michelle Kay-Scott, senior retirement planning specialist for Edward Jones Canada. “Anyone balancing these two hugely important financial goals — education and a comfortable retirement — needs to be sure that they are clear about what kind of financial planning is needed to achieve both of these goals.”

To avoid having to choose one over the other or none at all, Kay-Scott advises parents to really define their financial goals, set-up RESPs for their children and save for retirement using a designated account, such as an RRSP.

“Planning is the key to financial success — a financial plan is like a road trip, unless you know where you are going, you are not going to reach your destination,” she said.

• • •

BMO to open bank in China

It is another first for BMO. The first bank to do business with China has become the first Canadian bank to obtain approval to establish a wholly-owned subsidiary bank in the country.

The proposed name of the institution will be the Bank of Montreal (China) Co. Ltd.

“Incorporation gives us an advantaged platform to grow our existing businesses and capitalize on the tremendous growth potential in China,” said Albert Yu, CEO for BMO’s Asian operations. “Incorporation gives us the flexibility we want to expand our product offering, including the possibility of new initiatives in wealth management and retail banking.”

Parliamentarians representing the all-party Canada-China Legislative Association were present for the announcement.

“Canada and China are important trading partners and markets for each other. We are pleased to be here today, on behalf of the Parliament of Canada, to celebrate this important advancement in Canada/China business relations. This announcement provides the opportunity to build upon the mutual strength of our financial services industry,” said Daryl Kramp, member of parliament and co-chair.

Currently, BMO has branches in Beijing, Guangzhou, Hong Kong and Shanghai, and has a 28% equity interest in Fullgoal Fund Management Company Ltd., which manages mutual funds and pension plan assets in China.

• • •

New retirement index available

The National Bank Financial Group has launched a new tool they feel will help Canadians better position themselves for retirement.

The National Bank Retirement Index was developed by wealth management experts at National Bank Financial Group and Saine Marketing. The interactive Web application at www.nbc.ca/retirement, can be used to better understand how an individual feels about their retirement on a financial and personal level.

“Once they have their score, individuals can then meet with our advisors to discuss the aspects of retirement they have qualms or questions about. The concept is simple and the solution, available to everyone,” said Charles Guay, senior vice-president of strategies, marketing and investment solutions, wealth management, at National Bank Financial Group.

The National Bank Retirement Index will be updated regularly and the findings for each age group will be communicated to the media and the public from time to time.

• • •

AlphaPro unveils key appointments

AlphaPro is strengthening its team.

Ken McCord, the former president and CEO of Webb Asset Management, is the new president while Howard Atkinson is taking on the role of chief executive officer and Adam Felesky has been appointed chairman.

“I’m excited to take on this leadership role at AlphaPro,” McCord said. “In less than a year, we have created a meaningful competitive advantage in the actively managed ETF market and raised significant assets in a very difficult economic environment.”

All appointments are subject to regulatory approval.

• • •

JovInvestment to manage Webb Funds

JovInvestment is adding to its workload. The company has agreed to assume the role of portfolio advisor and fund administrator, a role currently performed by Webb Canada. As portfolio advisor, JovInvestment will be responsible for coordinating portfolio management and advisory services. Webb Canada will continue to act as the trustee and manager.

The changes take effect October 19, 2009.

“We’re confident that our relationship with Jovian will provide the necessary resources, experience and strength needed to succeed in a period of significant regulatory change,” said Derek Webb, chairman of Webb Canada. “This will allow us to focus entirely on the investment process and superior client service.”

• • •

Blackheath launches new fund

Blackheath is expanding their shelf by including the new Blackheath Futures Fund LP.

The managed futures fund for Canadian accredited investors will adopt the same strategy used by Blackheath Offshore Limited which as of August 31 of this year has had a 19.20% compound average growth rate since its inception in March, 2003.

(09/23/09)