[handwedge11]

Hi all -
Just wondering if anyone has any thoughts on IG WEALTH (Investors Group) as an investment advisor/brokerage. I've been with them for a few years now (mainly because my parents were with them forever). While I like their hands-on services (customer service), I find their transparency to be lacking. Unlike other platforms (TD Direct, Wealth Simple etc) it's very hard to determine HOW MUCH MONEY HAVE I MADE OR LOST. Seems like that should be priority one, but it's not. I also feel like their fees are high for what I'm receiving in return.

I'm 44. Family of four. Small mortgage debt. 1.2 million in assets (not including my house). I have registered personal, non-registered personal, and corporate investment accounts. Rather than putting me in funds/stocks/bonds etc that I can track online, IG uses their own managed funds called iProfile which are constantly in flux (actively managed by the company, so the asset mix is constantly changing). I wonder if I'd be better off just using WealthSimple/TD and investing in reliable long-term funds/efts etc (something that tracks the s&p or what have you).

If anyone has stories to share or advice, I'd really appreciate it.
Thanks!

 

[like_to_retire]

I also feel like their fees are high for what I'm receiving in return.

That pretty well sums it up.

ltr

 

[Johnny199r]

Hi all -
Just wondering if anyone has any thoughts on IG WEALTH (Investors Group) as an investment advisor/brokerage. I've been with them for a few years now (mainly because my parents were with them forever). While I like their hands-on services (customer service), I find their transparency to be lacking. Unlike other platforms (TD Direct, Wealth Simple etc) it's very hard to determine HOW MUCH MONEY HAVE I MADE OR LOST. Seems like that should be priority one, but it's not. I also feel like their fees are high for what I'm receiving in return.

I'm 44. Family of four. Small mortgage debt. 1.2 million in assets (not including my house). I have registered personal, non-registered personal, and corporate investment accounts. Rather than putting me in funds/stocks/bonds etc that I can track online, IG uses their own managed funds called iProfile which are constantly in flux (actively managed by the company, so the asset mix is constantly changing). I wonder if I'd be better off just using WealthSimple/TD and investing in reliable long-term funds/efts etc (something that tracks the s&p or what have you).

If anyone has stories to share or advice, I'd really appreciate it.
Thanks!

I used to be with Assante. Same experience as you. These places provide no value and just suck up your returns. Put all of your investments in an ETF or two at Questrade or Wealthsimple. I moved to Questrade and it was very easy and I'm glad I did.

 

[kcowan]

Yes switch as fast as you can and beware trailer fees.

 

[Money172375]

Be aware of any unrealized capital gains before you start switching and selling.

 

[Johnny199r]

If you just transfer as is to wealthsimple/questrade there won’t be any unrealized capital gains. Of course, if you sell/buy different ETFs/stocks, unrealized capital gains will be triggered.

 

[londoncalling]

As a shareholder of Power Corp I advise you stay.
As a DIYer and responsible forum member I advise you look into moving your investments in a timely and cost effective manner.

 

[AltaRed]

If you just transfer as is to wealthsimple/questrade there won’t be any unrealized capital gains. Of course, if you sell/buy different ETFs/stocks, unrealized capital gains will be triggered.

As I understand it, most of IG funds are proprietary and not transferable. Thzt means they would have to be sold triggering cap gains and even DSC redemption fees. IG is a very predatory evil group in my opinion that effectively holds clients hostage with ongoing fees to stay, and hemorrhaging to leave. There should be a law against such parasites.

 

[pwm]

As AltaRed just said, using IG is the worst possible way to invest. There is no good, only bad and ugly at IG. Take your punishment and get out ASAP. Open a self directed account at any discount broker and buy some low MER ETFs.

 

[Beaver101]

As I understand it, most of IG funds are proprietary and not transferable. Thzt means they would have to be sold triggering cap gains and even DSC redemption fees. IG is a very predatory evil group in my opinion that effectively holds clients hostage with ongoing fees to stay, and hemorrhaging to leave. There should be a law against such parasites.

... sounds about right given the subsequent explanations and add to that when you know how their financial "advisors" come about.

 

[Mortgage u/w]

Any agency is only as good as its Advisor. The platforms are worth what they're worth. For some reason, I associate IG and the likes to a pyramid scheme. The advisors seem brainwashed. If they can't sell you an investment, they offer you a job.

Asking the question on this forum will result in most advising you to transfer everything to self directed accounts and DiY.
I'm no different - I know enough about investments that I wouldn't pay someone else to manage my money.

 

[MrMatt]

DIY, or hire a planner to direct you.

a 1.2M portfolio is a decent profile, giving 2% to an advisor is a lot of money. Go speak to a fee based planner, who doesn't sell investments, and get advice.

 

[Mechanic]

I was with them for quite a few years but fortunately, invested more in my own business than with them, even though they didn't think that was what I should do. After I retired and started to learn more and a little DIY, it opened my eyes to a lot. When I questioned a lot of the fees I was paying, my advisor changed the subject and then stopped returning my calls. I do own shares though, so would encourage everyone to invest with them

 

[AltaRed]

I would recommend not owning* the shares of a predatory firm like IG. Even though I am not into flavours of the month/year such as ESG investing, I do have certain social principles against blatant slime bags.

* I am embarassed to admit I once owned Power Financial shares.

 

[gardner]

I do own shares though, so would encourage everyone to invest with them

I used to own IGM but even as an investment I found them lacking.

I would definitely concur wit the others that the OP should be making a plan to move to a self-directed discount broker. I would recommend reading the Canadian Couch Potato guide: Your complete guide to index investing | Canadian Couch Potato

There are other searchable threads on here as regards exiting IGM and their ilk.

I would ask them immediately to give you a report detailing the Deferred Sales Charges (DSC) on your holdings. Generally there is some percentage of your holdings you can exit each year without DSCs. Also, on portions you've held long enough, the DSCs may be discharged already. They will know and you will have to ask them to explain it all. You may find it cheapest to exit 50% now, then the remaining 25% in a year and 25% a year later, just to keep the fees at bay -- or something similar.

Some of your holdings MAY be portable MacKenzie funds, but likely as others have mentioned, they will be proprietary funds that cannot be transferred in-kind. On the bright side, this is likely a good time to transfer as cash since values are depressed.

If your account is registered (TFSA, RRSP, RRIF) make sure you transfer AS REGISTERED into a like account. Don't make the mistake of withdrawing from a registered account to do the transfer. Transfers will be initiated at the receiving institution with a set documents that empowers them to go to IGM and get the holdings/units/cash on your behalf and maintain the registered status of your holdings. It's easy and painless.

Good luck and please let us know how you get on.

 

[AltaRed]

I would definitely concur wit the others that the OP should be making a plan to move to a self-directed discount broker. I would recommend reading the Canadian Couch Potato guide: Your complete guide to index investing | Canadian Couch Potato

Or another option for those not wanting to go 100% solo, consider a robo-advisor at perhaps 0.5% or so fee. My favourite happens to be RBC InvestEase. Straight forward no nonsense using core iShares ETFs with a live person to help set up the right 'risk-volatility' selection. The simpler the model, the more efficient and understandable it is.

 

[handwedge11]

Thank you all for your honest advice. It confirms what I've been feeling for quite some time. I've reached out to IG and asked for a rundown of DSC / fees/penalties etc (as @gadner recommended). I'd imagine I should prepare myself for a big sell from my advisors - trying to talk me out of it. But I think I have enough of a handle on long term investing that it's time to go self-directed.

At the moment, I also use TD Direct and Wealthsimple. I like TD's interface (more data available -- and I do all my banking at TD) but TD charges trading fees ($9.99 per trade). TD waives quarterly fees if you keep minimum balances. I can also do my corp investing with TD. Wealthsimple doesn't charge fees, but it's a pretty simple platform. Not bad if you're just buying and holding.

Any other platforms that you'd recommend?

Oh, my phone just rang. IG!

Wish me luck
Thanks

 

[AltaRed]

FWIW, $10 trading fees are not a burden if one does not do a bunch of silly small trades. With Couch Potato passive investing using ETFs, there is no need to do more than about one trade per month in accumulation mode. With the horrendous bleed at IG, a few $10 commissions should be just noise in the scheme of things.

 

[handwedge11]

According to my advisor, good news:

"There are no DSC fees or any penalties with any of your investments, nor have there been since you began working with us. I checked, and all your investments have been held for more than 30 days so there would be no short-term trading charges either. Capital loss would be triggered."

So... all in all, good news! I'm going to transfer it over in chunks.
Thank you, all!

While I have ya'll -- what the hell are people getting into (long term) during this crazy market?!?

Cheers!

 

[gardner]

what the hell are people getting into (long term) during this crazy market?

Still couch potato -- I'm just buying the same mix of XIC, ZAG, ZEA, VUN. Still holding the same banks, trains, phone companies and so forth. I do recommend looking at the recommendations on the couch potato web site and similar long term strategies. The danger with going it on your own is getting into some fad or boutique thing, trying too hard to time the market or making rash decisions.