Canada Life acquires Winnipeg’s Value Partners
On June 13, 2023, Canada Life Assurance Company (Canada Life) announced that it reached an acquisition agreement with Value Partners Investments, in a move to expand Canada Life’s growing wealth management platform.
According to Canada Life, it’s an exciting time for the company. “This is a fantastic story for Manitoba,” says Hugh Moncrieff, executive vice president, advisory network and industry affairs. “Canada Life got its start here and we’re a proud Manitoba company. Value Partners is the same, with close to 20 years in investment management and deep roots here.”
Coming together
The attraction to Value Partners was more than just doing business in the same place. “We chose to work with Value Partners because of its reputation, culture, client experience, management team and advisors,” says Moncrieff. “We saw their capabilities and how they could complement our vision.”
The deal, more than a year in the works, brings Value Partners into the Canada Life family but leaves Value Partners to do what they do best. The management team, employees and brand will remain the same, but will now be able to access Canada Life’s wealth products, services, support and technology.
“We started Value Partners to improve the lives of families across Canada by partnering with the best advisors and investing in the best businesses. Today, our clients have $1.45 billion more than they initially invested,” said Gregg Filmon, president, Value Partners when the announcement was made. “Together with Canada Life’s world class insurance and investment products and exceptional advisors, we’re going to help far more Canadians build their wealth.”
Thinking big
The Value Partners move is a strategic one for the company to help Canada Life further provide end-to-end private investment counselling. It also comes on the heels of its acquisition of Investment Planning Council (IPC) in April.
“The decision started with the strategy to build investment counselling into our business,” says Moncrieff. “We had to decide if we wanted to build from the ground up or focus on partnerships and acquisitions.” Canada Life has opted for the latter, looking for existing, successful companies that offer what they’re looking for. “IPC was a larger transaction that brought us an IIROC dealer and doubled our mutual fund business. That has helped us scale and build our reach.”
“IPC founder Chris Reynolds and I are thrilled to embark on our next chapter of growth with Canada Life,” said Blaine Shewchuk, president and chief executive officer, IPC in April. “The access to capital will support our ability to attract new advisors, provide innovative portfolio solutions, and continue to invest in helping advisors better serve their clients. Advisors will continue to enjoy the advantages that come with being part of an independent wealth firm, which includes an open architecture investment platform.”
The two acquisitions will position Canada Life as one of the largest non-bank wealth providers in Canada, with over 4,000 advisor relationships and $85 billion in assets under administration. Both transactions are expected to close by the end of the year, subject to customary closing conditions including regulatory approvals.
Plus, there’s more to come.
Looking ahead
Moncrieff says that there is work yet to be done. He says that the Canadian marketplace is a patchwork of products, services and technologies for advisors, and it can be difficult to navigate. For Canada Life, they’re looking to bring their pieces together with a single, independent wealth platform that better serves both advisors and their clients.
“There is nothing but good things ahead,” Moncrieff hints. “We’re an iconic company in Manitoba and Canada, and we got there through innovative, long-term thinking for clients and advisors. It’s an exciting time. Our job is about investing in the future, and the Value Partners transaction is a thrilling one. It’s good for Manitoba, good for our clients, and good for the future.”
