Skip to main content

The Globe and Mail

CI Financial boosts dividend by 6 per cent

CI Financial Corp. president Stephen MacPhail

MIKE CASSESE/REUTERS

CI Financial Corp. hiked its dividend Thursday after the wealth management company posted an 8 per cent increase in fourth-quarter profit.

The Toronto-based company will raise its monthly dividend by 6 per cent to 8.5 cents per share starting March, for an annual payout of $1.02.

"While this was broadly expected, it should be well regarded by the market," Barclays Capital analyst John Aiken said in note to clients. "CI enjoyed positive net sales in the fourth quarter, while its competitors continue to face net redemptions."

Story continues below advertisement

CI Financial's chief executive officer Stephen MacPhail said in a statement that the company ended 2012 with strong sales growth from both retail and institutitonal funds.

"The trend has continued in 2013 with our net sales for the month of January reaching the highest level since 2001," Mr. MacPhail said. "This growth has been accompanied by increased interest in our equity funds."

CI, which reports its sales quarterly, saw net inflows jump to $724-million for the three months ended Dec. 31, compared to net redemptions of $360-million a year ago.

"While markets in 2012 faced challenges, including lingering concerns over the European debt crisis, the slowing Chinese economy and the U.S. 'fiscal cliff' [concerns about tax increases and spending cuts], the volatililty eventually subsided and investors have responded," CI said in a report to shareholders.

Profit for the latest quarter rose to $95-million, or 34 cents a share, from $87.8-million, or 31 cents a share, a year earlier. Total revenue rose to $371.3-million from $356.7-million. Assets under management grew to $75.7-billion by Dec. 31 from $$69.6-billion a year earlier.

Report an error Licensing Options
Comments

The Globe invites you to share your views. Please stay on topic and be respectful to everyone. For more information on our commenting policies and how our community-based moderation works, please read our Community Guidelines and our Terms and Conditions.

We’ve made some technical updates to our commenting software. If you are experiencing any issues posting comments, simply log out and log back in.

Discussion loading… ✨

Combined Shape Created with Sketch.

Globe Newsletters

Get a summary of news of the day

Combined Shape Created with Sketch.

Thank you!

You are now subscribed to the newsletter at

You can unsubscribe from this newsletter or Globe promotions at any time by clicking the link at the bottom of the newsletter, or by emailing us at privacy@globeandmail.com.