By Staff | November 16, 2007 | Last updated on November 16, 2007
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(November 16, 2007) When it comes to financial planning for new immigrants, family comes first, according to a study by RBC. Funding their children’s education was a major financial goal for 46% of new immigrants.

Saving for retirement and paying down their mortgage were not far behind, at 41% and 40% respectively. The most common financial goal focused on the short-term, however, as 70% were concerned with just covering day-to-day expenses.

“While covering day-to-day expenses is still top of mind for most, many new Canadians are already looking to the future and their children’s education,” noted Mark Whitmell, RBC’s director, cultural markets. “This doesn’t entirely surprise us as new Canadians are likely to have more education than the overall population. In fact, we learned more than two-thirds [68%] have at least some university education.”

The survey found that educating the next generation was especially important for the newest arrivals. Fifty per cent of those who had been in Canada for under three years mentioned education as a goal, but that declined to 47% for those who had been here for between three and five years, and 44% among those who arrived five to 10 years ago.

“We initiated this study of immigrants who have been in Canada 10 years or less because one of our priorities is to ensure they are in the best position they can be to settle in Canada successfully,” says Whitmell. “Having a better appreciation of what matters most to newcomers gives us a better perspective on how we can help them achieve their goals faster and easier.”

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MFDA warns against “stealth advice”

(November 16, 2007) The MFDA has issued a notice reminding member firms that only properly registered individuals may offer financial advice.

“MFDA staff has become aware of situations where non-registered individuals have engaged in securities-related business through various arrangements with approved persons of MFDA member firms,” the notice reads. Such arrangements usually involve an approved person being the representative of record, while actual account service is conducted by a non-registered individual who directs the registrant to place trades.

Compensation is then shared through a laundering system, which may involve inflated rents or management fees. “Essentially, the non-registered individual maintains a book of business without registration, by executing trades through a registrant,” the notice explains. “This is done without notice to, or approval of, the member.” That, the MFDA points out, is a no-no.

Under MFDA Rule 1.1.1(c), the relationship between the member and any person conducting securities-related business on account of the member must be that of an employer and employee; a principal and agent; or an introducing dealer and carrying dealer.

For more information, check out the MFDA Member Regulation Notice MR-0067.

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Mackenzie alters name of one Keystone fund

(November 16, 2007) Mackenzie Financial has announced it will change the name of the Keystone Elliott & Page High Income Fund to reflect the fact that Manulife Financial has done away with the Elliott & Page brand.

Effective December 3, 2007, the fund will be named Keystone Manulife High Income Fund. Alan Wicks, vice-president and senior portfolio manager with MFC Global Investment Management (Canada), will continue to lead the portfolio sub-advisor team making purchase and sale decisions for securities in the fund’s portfolio.

(11/16/07) staff


The staff of have been covering news for financial advisors since 1998.