March 21, 2023
By Catherine Lafferty of Wealth Professional | Originally published in Wealth Professional on March 13, 2023

This article by Wealth Professional explores the evolution of our fund offerings and how it has resulted in their eye-catching performance. It features Steve Fiorelli, CEO and President, Canada Life Investment Management Ltd. 

This article was produced in partnership with Canada Life. Canada Life funds are available through a segregated fund policy issued by The Canada Life Assurance Company or as a mutual fund managed by Canada Life Investment Management Ltd.

As market volatility played on investors emotions, the Canada Life fund shelves helped investors weather the storm, by delivering solid performance and helping investors navigate these volatile markets to minimize losses.

Canada Life has consistently improved its competitiveness in both risk-on and risk-off environments, demonstrating how diversified its shelves are. This is also a testament to the diversification and mix of its world-class active managers.  

The new Canada Life™ segregated fund shelf marked its three-year anniversary¹ in November and concluded the year with 74% of funds hitting above median performance. Canada Life’s segregated fund shelf also ranks as the second strongest performing shelf over a one-year period (as at Dec. 31, 2022).

“Delivering exceptional investment outcomes for our clients inspires everything we do, and our solutions are designed with this singular goal in mind. We have positive momentum going forward into 2023. Investors are telling us what they want, and we’re listening. We have consistently improved our competitiveness in both risk-on and risk-off environments which demonstrates the strength of our shelves.” said Steve Fiorelli, SVP Wealth Solutions, Canada Life.

Canada Life’s wealth business has undergone a transformative change. And they’ve built up leading capabilities across multiple asset classes that allows you, the advisors, to not only help deliver on your clients’ expectations but to do so in a way that helps expand your productivity and efficiency.

For example, November marked the two-year anniversary of the Canada Life Risk-Managed Portfolios (RMP). These portfolios are specifically designed to help Canadians grow their hard-earned savings by helping guard against volatility while still allowing them to participate in the markets. 100% of the RMPs have been ranked first quartile over the last one-year as at February month-end and have ranked above median over the last two years.

Meanwhile, Canada Life’s in-house manager, Portfolio Solutions Group (PSG), has also demonstrated strong performance. For example, as at February month-end, all Portfolio Funds across the segregated and mutual fund shelves over one year are first or second quartile. Over two-year period and three-year periods, at least 80% (or 4/5) of the portfolio funds were above median. Throughout 2022 our segregated portfolio funds demonstrated resilience as a result of PSG’s broader opportunity sets in fixed income and equities, as well as alternative investments such as real estate and private credit. “You need to diversify thoughtfully and cast a wider net when looking for return opportunities. You also have to put the right buffers in place so that client portfolios remain resilient,” Fiorelli said.

The key to Canada Life’s success story is its multi-manager approach with some of the most sought-after investment managers in the industry. It’s how it creates a full suite of investment options complemented by a range of portfolio management talent. These portfolio managers offer several management styles, investment philosophies and approaches to performance and risk management.

Fiorelli said, “No single asset manager is an expert in every asset class. That’s why we use a multi-manager approach which allows us to deliver a truly global perspective. This will be especially critical in 2023, since active management can help portfolio managers find opportunities to capture upside and minimize losses when the markets are volatile and on edge.”Canada Life also provides access to experts who can help fuel the growth of your business and give you diverse perspectives from investment managers across its shelf through educational events such as its Portfolio Manager Connect Series, market outlook and Investments Live! events or thought leadership through market commentaries and reports on canadalifeinvest.ca.

Canada Life prides itself on providing advisors with world-class wealth solutions. Canada Life is here to help advisors navigate key market trends while helping them take their business to the next level. Canada Life’s commitment is to help advisors like you succeed.

Performance data as at Feb. 28, 2023, F class equivalent (P 75/75). Starting Sept 2021 calculations exclude money market funds. Industry Peer data to the best of our knowledge reflects the equivalent Fee based series platforms of our competitors. CL P 75/75 series achieved its 3-year number in July 2021. AUM weighted performance calculation uses total fund size AUM and includes AUM only for funds with a quartile ranking for the indicated period.

Quartile rankings are from Morningstar Research Inc., an independent research firm, based on the fund’s Morningstar category, and reflect the performance of the fund for the 1-, 3-, 5- and 10-year (or since inception) periods. The quartiles divide the data into four equal regions. Expressed in terms of rank (1, 2, 3 or 4), the quartile rankings compare how a fund has performed relative to other funds in a particular category and are subject to change monthly.

©2023 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.

Canada Life segregated funds are available through a segregated funds policy issued by The Canada Life Assurance Company. Canada Life mutual funds are managed by Canada Life Investment Management Ltd. Both products are offered exclusively through Quadrus Investment Services Ltd. Commissions, trailing commissions, management fees, and expenses all may be associated with mutual fund investments. Please read the prospectus before investing. The indicated rates of return are the historical annual compounded total returns including changes in unit value and reinvestment of all distributions and does not take into account sales, redemption, distribution, or optional charges or income taxes payable by any securityholder that would have reduced returns. Mutual funds are not guaranteed, their values change frequently and past performance may not be repeated. Any amount that is allocated to a segregated fund is invested at the risk of the policyowner and may increase or decrease in value. A description of the key features of Canada Life's individual variable insurance contract is contained in the information folder, available from your advisor.

Canada Life and design, and Canada Life Investment Management and design are trademarks of The Canada Life Assurance Company.