CI Financial inks a deal to buy a strategic interest in Cabana Group

CI Financial Corp., a Canadian asset management company, has recently inked an agreement with the Cabana Group, the holding firm of Cabana Asset Management based in Arkansas, to acquire a strategic interest in the firm. With this acquisition, CI Financial has now become the biggest shareholder in the investment advisor company, possessing US$1.1 billion in assets under management.

For the record, Cabana is known for offering a comprehensive suite of wealth planning and investment management services. It also provides an extremely successful lineup of risk-managed portfolios to its retail customers and on a sub-advisory basis to advisors and RIAs in the U.S.

Reportedly, Cabana’s Target Drawdown Portfolios, which is exclusive in the U.S., have attained robust results, with each portfolio being eligible and receiving the top five-star overall rating from Morningstar Inc. Evidently, these portfolios were created with a goal of curtailing losses amidst a predetermined drawdown parameter, while proactively partaking in supportive market conditions.

Speaking on the development, Kurt MacAlpine, Chief Executive Officer, CI Financial, said that the Target Drawdown Series has managed to produce strong demand and hugely contributed to Cabana’s exponential growth.

In the present market conditions where more and more people are demanding for successful retirement solutions, the Target Drawdown Series would be an ideal and timely opportunity for these customers. Besides, it would be able to tap into a wider audience base spread across both Canada and the U.S., explained MacAlpine.

As for Chadd Mason, Co-founder and Chief Executive Officer, Cabana, the company have always been searching for a strategic partner that would help it to more widely distribute its services and products the U.S. With CI’s clear vision, financial strength, dedication to creating a client-focused RIA business and expertise in wealth and asset management could massively benefit Cabana’s market share.

Source Credit: https://www.cifinancial.com/ci-financial-continues-us-wealth-expansion-acquisition-strategic-interest-cabana-group-0