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(October 22, 2007) PEAK Financial Group’s president and CEO, Robert Frances, has been elected chairman of the board of directors of the Investment Funds Institute of Canada.

As chairman, Frances will play a leading role in the direction of the Institute by presiding over all directors’ meetings and working closely with IFIC’s president and CEO, Joanne De Laurentiis.

Frances is the founder of PEAK Financial Group, which celebrates its 15th anniversary this year.

“The industry and the regulators have a collective responsibility not just to understand each other but to come to a consensus about the best way forward,” Frances said in his inaugural speech. “We have a joint duty of care to make certain that the financial services system functions efficiently and effectively for the ultimate end user — the investor.”

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United Financial introduces corporate class shares

(October 22, 2007) United Financial Corporation has launched corporate class share versions of the United Pools in an attempt to give advisors and their clients enhanced tax efficiency for investment portfolios.

The corporate class option is being added to United Financial’s Optima Strategy and Private Client Managed Portfolios programs.

Corporate class shares are structured as part of a corporation — rather than as a traditional mutual fund trust. This structure provides investors with a number of tax advantages, including the ability to rebalance their non-registered portfolios without triggering taxable capital gains.

“This new option empowers our advisors to bring more sophisticated solutions to clients, to reduce taxes and costs and ultimately benefit from the power of enhanced compounding afforded by this structure for many years into the future,” said Joseph Canavan, CEO of United Financial.

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ScotiaMcLeod looking for best student stock-pickers

(October 22, 2007) ScotiaMcLeod Direct Investing is issuing a challenge to all students in Canadian colleges and universities to build a virtual stock portfolio with a budget of $100,000.

Participants in the Stock-Trak Global Portfolio Simulation will have a chance to win a four-year car lease, and students with the five top-performing portfolios will each win a prize of $1,000 in a ScotiaMcLeod Direct Investing account.

“We are very pleased to co-sponsor Stock-Trak’s 2007–2008 college and university stock market simulation program,” says Cathy Welling, managing director, SMDI. “This simulation gives students risk-free hands-on insight and experience with online investing.”

The contest runs from October 29 to November 30, 2007, and is open to all college and university students across Canada.

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Asia, trade finance key money laundering concerns

(October 22, 2007) Asia and trade finance are the two areas that have experienced the greatest increase in money laundering risk, a survey of top money laundering compliance officers reveals.

The survey, conducted by compliance solutions provider Fortent, polled senior executives from 21 global, national and regional financial institutions. Among respondents at institutions with global operations, 30% identified Asia as the region experiencing the biggest increase in money laundering risk.

“China and Southeast Asia is an area of tremendous economic expansion and increasing trade to, from and through the countries in that region,” says Jim Richards, executive vice-president and BSA [Bank Secrecy Act] officer at U.S.-based Wells Fargo. “With the positive benefits of economic expansion and trade come the negative aspects of increased fraud and money laundering. We need to be inventive, determined and proactive if we’re going to identify and investigate suspicious activity tied to finance in these areas.”

The survey also identified trade finance and beneficial ownership as top areas of regulatory interest over next five years. The majority of respondents (71%) expect that most money laundering in these areas will be conducted through the retail banking channel.

In addition, with global markets hitting a soft patch, nearly two-thirds of respondents expect attempts at criminal activity to increase over the next year because there is a perceived correlation between economic downturn and increased criminal activity. Also cited was an expectation of an increase in “mortgage-related suspicious activity.”

(10/22/07)