Canada

Fiscal 2013 was an important year for Canaccord’s Canadian wealth management business, as we refocused our operations, enhanced our support systems, and expanded our training programs to cater to the changing needs of Canadian investors. The business has made significant progress in providing comprehensive financial planning solutions, and is well positioned to leverage opportunities in the maturing Canadian market.

In order to strengthen Canaccord Genuity Wealth Management’s national platform in Canada, the business refocused its operations on 16 core locations and closed offices in smaller, more challenging markets. As expected, the impacts of this strategy decreased assets under administration during fiscal 2013; however, it was a calculated decision, made in order to strengthen the overall platform and allow us to invest in areas of the business we see significant opportunity in.

As part of our repositioning of the Canadian wealth management business, a strong focus was directed towards delivering comprehensive financial planning solutions, to complement our existing strong brokerage services. As part of this effort, revenue from fee-based services increased to an all-time record high within our Canadian business, to 26.2% of total revenues, enhancing the consistency of the business’ revenue stream. Client interest in conservative portfolio management and ETF solutions also continued to increase during the year.

In addition, the business significantly bolstered its training programs throughout fiscal 2013, and is committed to providing ongoing, high quality education and support to all Advisors to assist them in providing the best advice and solutions to clients. Over 3,000 Advisor training engagements occurred through Canaccord University last year, with nearly 170 professional development events and webinars.

Fee-based revenue grew to 26.2% of total revenue during fiscal 2013 – a record high for Canaccord’s Canadian wealth management business.

Australia

In Australia, Canaccord’s growing wealth management business now has 12 Investment Advisors located in Melbourne and Sydney. The business continues to expand at a meaningful rate, with assets under management increasing by 48% during fiscal 2013, to $451 million.