Ownership Change for FI Capital, Investment Subsidiary of FaithLife Financial

Posted on Thursday May 05, 2016

News Release                                                                    

FOR IMMEDIATE RELEASE

 

Ownership Change for FI Capital – Investment Subsidiary of FaithLife Financial

 

WATERLOO, ONTARIO – May 5, 2016 – Since 2007, FI Capital Ltd., a wholly owned investment management subsidiary of FaithLife Financial, has successfully provided investment management services to nearly 100 clients including charitable organizations, foundations, fraternal institutions, and high net worth individuals. Throughout this 9-year period, FI Capital’s investment management of client assets has consistently generated very strong results compared to benchmark targets. FI Capital has progressively grown its assets under management, while having a very high client retention rate.

 

Parallel to this track record of success, global markets and economic volatility have increased substantially, the expectations of the client base for complex and increasingly sophisticated products has grown, and the regulatory compliance and technology infrastructure costs have escalated, demanding economy of scale. 

 

In view of these key factors, the FI Capital Board has undertaken a lengthy process of exploring its strategic options for best serving its clients going forward. In January 2016, as a result of that process, the FI Capital Board recommended to the FaithLife Financial Board that in light of these external market pressures, the best way to meet the future needs of FI Capital’s clients would be to sell FI Capital to a larger investment management firm that shared the same values and could serve FI Capital’s clients well. With the interests of FI Capital’s clients in the forefront, FaithLife Financial has sold the shares of FI Capital to Waterloo-based Rae & Lipskie Investment Counsel Inc. (Rae & Lipskie). The transaction was completed on May 4, 2016.

 

FaithLife Financial CEO, Karen Bjerland said, “FaithLife Financial is pleased that Rae & Lipskie will continue to provide the level of service FI Capital’s clients deserve and have come to expect. Rae & Lipskie is in sound financial condition and has developed a positive reputation as a reliable, service-oriented portfolio manager since opening its doors in 1989. The firm serves both retail and institutional clients, including religious and charitable organizations.”

Rae & Lipskie’s value proposition is similar to that of FI Capital’s with a focus on providing the kind and level of service that FI Capital’s clients have come to expect:

  • A service-oriented approach that takes the time to do a thorough needs analysis and then design a portfolio that meets the needs of the client.
  • A total focus on managing clients’ investments and meeting their objectives.

Brian Lipskie, President and COO of Rae & Lipskie said, “We are very pleased to be acquiring FI Capital Ltd. We appreciate their strong history of serving clients and delivering solid investment returns, which are also the hallmarks of Rae & Lipskie. Together, the two companies will be able to offer stronger and more diversified investment choices and continue to provide exceptional service to FI Capital’s and Rae & Lipskie’s valued clients.  We believe the depth and experience of our combined portfolio management and administrative team will benefit them all."

FI Capital will work closely with its clients to ensure that the transition process is seamless.

 

 

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About FaithLife Financial

FaithLife Financial is a Christian financial services organization that provides insurance and investment solutions to more than 31,000 Members in Canada. The organization reinvests a portion of its earnings in Member-directed community outreach to strengthen Canadian families, churches and communities. FaithLife Financial’s mission is to help people protect their financial future, live their Christian values and build a better world.

 

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