Of the many things we’ve learned over the last two decades, the concept that one size fits all is a complete myth in the world of personal finance or planning.
More so then ever, personalized, hand designed strategies and planning are essential for the clients we serve. In some cases, we can create and curate those strategies in house, and in others we choose to strategically partner with other financial and wealth management firms in a way that provides something special and personal for the clients we serve together.
To further that concept, we wanted to share why we have chosen to partner with a small group of Private Investment Council firms and how together we can add extreme value to you and your family.
Our Partnership with Private Investment Council
As a high net-worth Canadian, you have more complex needs than the average investor when it comes to managing and growing your wealth. You require customized expertise, which is why so many Canadians turn to Private Investment Counsel (“PIC”) to manage their wealth.
We’re often asked to explain the unique aspects of working with a private investment counselor, and why we work with our chosen PIC partners. There are many reasons, but first, let’s look at what makes the PIC experience different.
What is a Private Investment Counsel?
A PIC firm offers high-touch discretionary investment management and wealth planning services for high net-worth individuals who feel they have outgrown their retail advisor or broker. In these cases, a more sophisticated approach to wealth management is not only desired but necessary.
As a PIC client you will work with a registered Portfolio Manager (PM) — a full-time professional who operates under a fiduciary standard – which means they are required to act in their client’s best interest. Your risk profile and investment mandate are set down in a written Investment Policy Statement (IPS), and this governs how your money will be managed. Think of yourself as a CEO and the Portfolio Manager as a member of the management team who executes the your vision and reports back on the results.
The Benefits of Private Investment Counsel
Clients of PIC have direct contact with their PM managing their portfolio, which puts them closer to the decision makers. This is not the case when dealing with typical mutual funds. A few PICs, like Newport or Cumberland, also provide access to alternative investment vehicles.
PIC fees are transparent. PMs are not compensated based on trades so PIC firms can focus on building lasting relationships that cater to their clients’ long-term financial goals.
This Month’s Featured PIC Partner
Prior to engaging with Newport Private Wealth, we spent a great deal of time vetting their processes, investment philosophy and company culture. As an independent firm, their team has an entrepreneurial spirit and is dedicated to identifying wealth-building opportunities that meet the unique needs of the individuals and families they serve.
Interestingly, Newport was first launched as a home for their founders’ capital after the sale of a prior investment company. Even now, Newport PMs invest their own money alongside their clients’, ensuring that everyone’s interests are firmly aligned.
We truly value the fact that their 10-person investment committee aims for returns with less volatility across 11 traditional and alternative asset classes. Each asset class is managed by independent specialists, not unlike the strategy which is used to manage the Canada Pension Plan.
We work together with Newport and our other strategic partners in this space to help clients make wise choices to protect what they have worked so hard to build. In those ways, and many more, the Private Investment Council partnership is a perfect match for our SafeBridge family.
