Briefly: “NexGen shakes up executive ranks” and more news

NexGen Financial has named Laurie Munro, currently the company’s president, as chief executive officer, succeeding Jim Hunter, who assumes the role of non-executive chairman.

Hunter replaced Geoff Matus in that role. Matus had served as chairman since it was founded in 2006, and now takes on the role of vice-chairman.

“I am delighted that Laurie Munro, who has been instrumental in founding and building NexGen since its inception five years ago, has agreed to step into the role of CEO,” said Hunter. “As we prepare NexGen for our planned exchange listing in 2011, this change also provides me with the opportunity to step back from day-to-day management responsibilities.”

The company has also appointed Abe Goenka as senior vice-president and chief financial officer. He is already the chief operating officer. Jeffrey Young takes on the role of senior vice-president and chief investment officer. Munro has already announced the promotion of Chris Guthrie to senior vice-president, sales.

Moira Saganski, a founding shareholder of NexGen, has relinquished her CFO responsibilities and will continue to work with the firm in fund administration.

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IAM launches alternative manager

Integrated Asset Management has announced the launch of River Plate House Capital Management Inc., a global alternative investment manager focused on government bond long/short strategies.

AIM is a majority partner in the new firm, which is located within its Toronto offices. The firm will provide customized solutions for managing asset / liability and longevity risk.

“We are in a generation where rising real interest rates will be at the forefront of investors’ minds,” said River Plate House co-founder Michael H. Hyman, who is also president, CEO and CIO. “With the support of IAM, River Plate House is poised to take advantage of opportunities in the global government fixed income markets that have not been available for a long time.”

River Plate House describes its strategy as focused on adding “real” value to the single currency return in diversified and liquid multi-currency global government bond portfolios.

“The timing of the launch of River Plate House is ideal as pension funds re-focus on real rates of return and LDI, and insurance companies seek to contain longevity risk and achieve more effective asset / liability matching,” said Victor Koloshuk, chairman, president and CEO of IAM.

– Steven Lamb

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IIROC announces settlement with Malcolm Joseph McKimm

On August 19, 2010, a hearing panel of the Investment Industry Regulatory Organization of Canada (IIROC) accepted a settlement agreement between IIROC staff and Malcolm Joseph McKimm.

As part of the agreement, Mr. McKimm has agreed to pay a fine of $50,000 and costs of $5,000 . Mr. McKimm admitted that from 2002 to 2007 he engaged in conduct unbecoming or detrimental to the public interest, contrary to IDA By-law 29.1 (now IIROC Rule 29.1).

He admitted that he provided business advice and consultation to certain business acquaintances, friends and clients, at times receiving compensation for his services, without the knowledge or consent of his firm. These consulting services on business planning and financing arrangements were offered through MD Associates International Inc., of which he and his wife were the sole directors.

The violations occurred while Mr. McKimm was a registered representative with the Red Deer, Alberta sub-branch of Wolverton Securities Ltd., an IIROC-regulated firm. IIROC began its investigation on January 29, 2008. Mr. McKimm has not been registered with an IIROC-regulated firm since resigning with cause from Wolverton in 2007.

The hearing panel will issue its reasons and decision at a later date.

To read the settlement agreement, click here.

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TD offers corporate class, new fixed income funds

TD Asset Management has launched a corporate class structure providing tax-efficient access to some of TD Mutual Funds’ equity offerings.

“We listened to advisors and clients when they told us they wanted a way to grow non-registered investments in a tax-advantaged way, with no contribution or age limits,” said Thomas Dyck, president TD Mutual Funds. “We’ve launched a solution backed by the strength of TD Mutual Funds to meet those needs.”

TD Mutual Funds has also introduced Premium Series units on its fixed income funds, which require a minimum investment of $100,000 per fund in exchange for lower management fees.

“With the introduction of Premium series for these funds, we are pleased to provide advisors and investors the opportunity to experience the benefits of our leading fixed income line-up, which includes our 2010 Lipper Award winning TD Corporate Bond Capital Yield Fund and TD Income Advantage Portfolio,” said Dyck.

TD has also rolled out TD Ultra Short Term Bond Fund, a new fixed income fund, seeks to deliver a higher potential return than money market funds and lower sensitivity to interest rate changes than longer term bond funds.

– Steven Lamb

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Scotiabank restructuring operations

Scotiabank has announced changes in its organizational structure aimed to help the bank capitalize on opportunities for strategic growth. The changes include a series of new executive appointments.

The bank will be restructured into four business lines: Canadian Banking (CB); International Banking (IB); Scotia Capital (SC); and Global Wealth Management (GWM).

Scotia Capital will be given a broader mandate to capitalize on the significant wholesale opportunities in international markets where Scotiabank has a strong presence, particularly in Latin America and Asia.

Scotia Capital will continue to be led by co-CEO’s and group heads, Mike Durland (responsible for global capital markets) and Steve McDonald (global corporate and investment banking).

Existing Canadian and international wealth management and insurance operations will be combined into GWM, along with Global Transaction Banking (GTB).

To support these structural changes: Chris Hodgson has been named group head of Global Wealth Management; Rob Pitfield becomes Group Head and Chief Risk Officer; Brian Porter has been named group head, International Banking; and Anatol von Hahn becomes group head, Canadian Banking.

“With these changes Scotiabank will be well-positioned to seize significant global business opportunities that align with our strategic plans,” said Rick Waugh, Scotiabank president and CEO. “The changes we are announcing today will accelerate the progress of several initiatives that are well underway.”

– Steven Lamb

(09/08/10)