Briefly: “Next OSC chair named” and more news

Ontario Finance Minister Dwight Duncan has named Howard Wetston, Q.C. as the next chair of the Ontario Securities Commission (OSC). Wetston will succeed David Wilson, whose five-year term expires Oct. 31.

“Howard knows the OSC, the quality of its people and its work as an effective securities regulator,” Wilson said. “I offer my best wishes to him in the role of guiding the OSC through the immediate challenges of regulating the province’s capital markets.”

Wetston is currently chair and CEO of the Ontario Energy Board, and is a former vice-chair of the OSC. His nomination is subject to a review by the provincial Standing Committee on Government Agencies.

– Steven Lamb

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Claymore offers broad commodity ETF

Claymore Investments has launched the Claymore Broad Commodity ETF, which it claims is “Canada’s first broadly diversified commodity ETF”. The ETF will track the performance of the Auspice Broad Commodity Total Return Index.

“Commodities have proven to become an important asset class for diversifying portfolio risks and returns,” said Som Seif, president and CEO of Claymore Investments, Inc. “Their historically low correlation to stocks and bonds, along with their high correlation to inflation, makes commodities even more important in today’s market environment.”

– Steven Lamb

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Front Street files income fund prospectus

Front Street Capital has filed an amended and restated preliminary prospectus for a proposed initial public offering for the Front Street MLP Income Fund Ltd.

The fund aims to provide investors with exposure to the performance of an actively managed, diversified notional portfolio of energy infrastructure master limited partnerships (MLPs).

Front Street Capital 2004 is the manager of the Fund, and SteelPath Fund Advisors, LLC is the specialist MLP portfolio advisor.

The fund will seek to provide investors with quarterly tax-advantaged cash distributions, initially targeted to yield 5.5% on the initial subscription price of $10.00 per unit.

– Steven Lamb

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Scotia Private Client adds to lineup

Scotia Private Client Group has launched two new portfolios and five new investment solutions aimed at high net worth clients. The new products include short-term and high-yield fixed income investments, U.S. mid-cap growth and value and emerging markets investments.

“As financial markets around the world continue to recover from the recent global financial crisis, Canadian investors continue to balance a shift to more conservative investment solutions with reasonable opportunities for growth,” says Tuula Jalasjaa, managing director and head, investment management distribution, Scotia Private Client Group.

The new fixed income and equity portfolios are managed by Scotia Asset Management. The fixed income portfolio is geared toward more conservative investors focused on volatility and capital preservation. The equity portfolio is Canadian-focused, but will include greater geographic and sector diversification.

“The new portfolios and investment strategies are an important expansion of our customized solutions for our high net worth clients, and we are pleased to partner with Guardian Capital LP, TCW Investment Management Company, Integrity Asset Management LLC and Trilogy Global Advisors, who bring an impressive track record and wealth of experience in these investments,” says Jalasjaa.

– Steven Lamb

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Canadians find it difficult to save

More than half of Canadians (57%) are having a tough time saving money, and 38% are unable to save either due to difficulty juggling personal expenses or managing debt, according to the RBC Savings poll.

“One of the main challenges to saving is paying yourself first — being able to put aside money before it gets spent,” said Maria Contreras, product manager of savings accounts at RBC. “Setting up a separate, dedicated savings account and an automatic saving program with a small amount each week from your paycheque can go a long way in helping you reach your savings goals.”

Of the 1,121 people polled, 33% save by making regular contributions to a savings account, while 29% only put aside money from time-to-time.

Canadians cited creating an emergency fund (47%) or vacation/travel (35%) as the most common reasons to save.

– Suzanne Sharma

(10/13/10)