IGM Financial Q3 2026 Earnings Results & Report

IGM Financial EPS Results

• Actual EPS: C$1.51
• Consensus EPS: N/A
• Beat/Miss: N/A
• One Year Ago EPS: N/A
• EPS Beat Rate: 5 of last 8 quarters

IGM Financial Revenue Results

• Actual Revenue: C$1.32 billion
• Expected Revenue: N/A
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Mackenzie Investments ("Mackenzie") is a Canadian investment management firm with approximately $244 billion (CAD) in assets under management as of December 31, 2025. Mackenzie seeks to create a more invested world by delivering strong investment performance and offering innovative portfolio solutions and related services to more than one million retail and institutional clients through multiple distribution channels. Founded in 1967, it is a global asset manager with offices across Canada as well as in Beijing, Boston, Dublin, Hong Kong and London. Mackenzie is a member of IGM Financial (TSE:IGM) (TSX: IGM), part of the Power Corporation group of companies and one of Canada's leading diversified wealth and asset management organizations with approximately $310 billion (CAD) in total assets under management and advisement as of December 31, 2025.

IGM Financial Q3 2026 Earnings Call Transcript

Key Takeaways

• Positive Sentiment: IGM reported strong year-over-year growth: adjusted EPS rose 19% to CAD 1.51, while assets under management and advisement increased 15%. Reported EPS of CAD 2.10 included a CAD 144 million non-cash gain related to consolidating Northleaf.
• Positive Sentiment: IG Wealth continued to attract clients and assets: quarter-end client assets reached a record CAD 178 billion, up 14%, and quarterly net flows were CAD 666 million. New-client inflows were a record CAD 1.4 billion, with most coming from mass-affluent and high-net-worth households.
• Positive Sentiment: Mackenzie’s sales momentum improved: quarterly net sales were CAD 2 billion, including stronger retail sales, and the company reported a CAD 5 billion awarded institutional pipeline that has yet to fund. It also said its share of assets in five-star funds was at a nearly five-year high.
• Positive Sentiment: Strategic investments and shareholder returns supported the growth outlook: Wealthsimple assets under administration rose 68% year over year, while Rockefeller client assets increased 27%. IGM returned CAD 343 million to shareholders in the quarter and ended it with CAD 830 million in unallocated capital.
• Negative Sentiment: Some fee and market pressures remain: IG expects its advisory fee rate to decline slightly in the fourth quarter as cash moves into longer-term solutions, and Mackenzie also expects fee-rate declines as institutional mandates fund. ChinaAMC earnings fell amid weaker equity markets, while mortgage funding at IG was down 13% year over year.

Presentation

[Operator]

Thank you for standing by. This is the conference operator. Welcome to the IGM Financial third quarter 2026 analyst call and webcast. As a reminder, all participants are in a listen-only mode, and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star, then one on your telephone keypad. You will hear a tone acknowledging your request. Should you need assistance during the conference call, you may reach out to an operator by pressing star, then zero. I would now like to turn the conference over to Kyle Martens, Senior Vice President, Corporate Development and Investor Relations. Please go ahead.

[Kyle Martens, SVP of Corporate Development and Investor Relations at IGM Financial]

Thank you, Danielle. Good morning, everyone, and thank you for joining us. On the call today, we have Damon Murchison, President and CEO of IGM Financial and IG Wealth Management, Luke Gould, President and CEO of Mackenzie Investments, and Keith Potter, Executive Vice President and CFO, IGM Financial. Before we get started, I would like to draw your attention to our cautions concerning forward-looking statements on slide two of the presentation. Slides three and four summarize non-IFRS financial measures and other financial measures used in the presentation. In slide 50 in the appendix, we provide a list of documents available on our website related to IGM Financial's 2026 third quarter results. With that, I'll turn it over to Damon on slide seven.

[Damon Murchison, President and CEO at IGM Financial]

Thanks, Kyle, and good morning, everyone. We delivered another strong quarter with continued momentum across our businesses, driving a 15% increase in assets under management and advisement, and 19% increase in adjusted earnings per share compared to last year. Our leadership teams continue to execute, and we're making progress against our three strategic priorities. First, we continue to grow our core wealth and asset management businesses. IG Wealth and Mackenzie generated a combined CAD 2.7 billion in net flows during the quarter. At IG, client assets reached CAD 178 billion, up 14% year-over-year. We're still seeing continued success in attracting mass affluent and high-net-worth Canadians, supported by abilities to build long-term trusted relationships and our comprehensive financial planning expertise. At Mackenzie, we have strengthened our competitive position, allowing us to accelerate momentum across this business.

[Damon Murchison, President and CEO at IGM Financial]

The changes we made to sharpen and strengthen our investment capabilities are translating into tangible results. Institutional continues to outperform, while we're seeing real momentum in retail, with year-to-date mutual fund gross sales up 58% and improving retail net sales up CAD 1.4 billion, driven by stronger investment performance and expanding advisor relationships. Mackenzie is a stronger, more competitive business today, with significant opportunities ahead. Luke will discuss this a little bit later on in the call. Across IGM, we are building on both businesses' strength by sharing expertise, simplifying processes, improving data and technology, and investing in AI. Our goal is to create better client advisor experiences and drive greater advisor and sales team productivity, leading to profitable growth. I will detail our progress here shortly. Second, we continue to amplify growth through our strategic investments.

[Damon Murchison, President and CEO at IGM Financial]

Northleaf's net flows were CAD 798 million, which are now included in IGM's consolidated net flows beginning in the third quarter. Wealthsimple and Rockefeller delivered particularly strong client asset growth of 68% and 27% year-over-year respectively, with Wealthsimple's recent financing representing another important demonstration of value creation. The opportunity for us here extends beyond financial contributions. These partnerships continue to create opportunities for strategic connectivity that will benefit all businesses, and we are continuing to activate these relationships. Year-to-date, Mackenzie leveraged its presence and established relationships in China to onboard additional assets from one of Asia's largest sovereign wealth funds. IGM boarded assets in partnership with Rockefeller, and Northleaf is providing private market capabilities to IG, Mackenzie, and Rockefeller. Third, we continue to allocate capital with discipline. We returned CAD 343 million to shareholders during the quarter, including CAD 144 million in dividends and CAD 199 million in share repurchases.

[Damon Murchison, President and CEO at IGM Financial]

In October, we invested an additional CAD 96 million in Wealthsimple. At the end of the third quarter, we have approximately CAD 830 million in unallocated capital. This, combined with our conservative leverage profile, gives us flexibility to continue to invest in our businesses and return capital to shareholders. Our businesses have momentum, and we have a laser-like focus on execution, profitable growth, and long-term value creation. Turning to slide eight, I would like to update you on our progress we are making with simplification and AI. Simplification and personalization guide our work, making it easier for our employees, advisors, and clients. AI is an enabler, allowing us to elevate the stakeholder experience, drive productivity, and sharpen our competitiveness. Our June simplification actions create a capacity to reinvest without layering on costs. Keith will give you an update on our savings a little later.

[Damon Murchison, President and CEO at IGM Financial]

We have integrated technology and the business teams more closely and added AI leadership to improve alignment, delivery, and accountability. We are beginning to invest in the foundational capabilities needed to use AI responsibly at scale, which include common data services, a platform for AI solutions, and appropriate monitor and controls. These investments will support broader deployment in 2027 and help us share effective solutions across IGM. Meaning we are not trying to build isolated tools in every business. We want to establish common capabilities that our teams can use to solve real problems across the enterprise where possible, with clear accountability for results. At IG, for example, we have expanded AI access and training across our advisor network and piloted supporting advisors before, during, and after client meetings by preparing personalized meeting packages, documenting discussions, and simplifying follow-ups.

[Damon Murchison, President and CEO at IGM Financial]

We are also piloting chat-enabled requests to simplify routine transactions through our corporate channel.

[Damon Murchison, President and CEO at IGM Financial]

The opportunity to give advisors time back means more time with clients and greater capacity to deliver better advice. At Mackenzie, we are seeing tangible progress across investment research, distribution, and client services. We are integrating data and research to support AI-assisted analysis and expanding AI use cases across our investment boutiques. We have also piloted agentic AI for content creation and AI-powered competitive intelligence to strengthen our prospecting efforts. Together, these initiatives are helping our investment teams make better-informed decisions, strengthen our distribution capabilities, and simplifying how we operate. We are in the early stages of this journey, and we have been deliberate about putting the right foundations in place. As we look forward to 2027, our focus will increasingly shift towards deploying solutions and demonstrating tangible business value through better client advisor experience, improved advisor and sales team productivity, and stronger operating performance.

[Damon Murchison, President and CEO at IGM Financial]

We will provide regular quarterly updates on this progress going forward. Turn to slide nine. The operating environment remained resilient, although markets were more mixed than in the first half of the year. Canadian and U.S. equity markets rose, while Chinese equities and fixed income weakened. Client investment returns were 0.2% for Q3 and 9.4% year-to-date. Despite economic uncertainty, the industry flows remained positive. We cannot control the markets, but what we control is the advice, sales, service, and investment experience we deliver. Slide 10 illustrates the breadth of our earnings. Adjusted net earnings available to common shareholders increased 17% to CAD 351 million. Wealth management earnings rose 30%, supported by IG and Rockefeller. Asset management was slightly lower as Mackenzie and Northleaf growth was offset by China Asset Management. Corporate and other was also a contributor in the quarter.

[Damon Murchison, President and CEO at IGM Financial]

Our core businesses are delivering, and Keith will cover the financial drivers in his comments. Now I will turn to IG Wealth's continued momentum. Turn to slide 12. I would like to start by recognizing a very special milestone for IG Wealth as we celebrated our 100th anniversary this year. For a century, we have helped Canadians achieve their financial goals through comprehensive financial planning and trusted advice. It is a legacy that we are incredibly proud of, and what is particularly encouraging is that we are celebrating from a position of strength. IG ended September with record quarter-end client assets of CAD 178 billion, up 14% year-over-year, and generated CAD 666 million in net flows. We also delivered record third quarter new client gross inflows of CAD 1.4 billion, with 80% coming from mass affluent and high-net-worth Canadians, which is exactly where we have been pointing this business.

[Damon Murchison, President and CEO at IGM Financial]

Gross inflows per advisor practice increased 23% year-over-year and 69% since our 2023 Investor Day. We have also strengthened our offering with a tiered interest cash solution and partnerships, including Goldman Sachs and National Bank. This anniversary was an opportunity to recognize what our advisors and employees have built together, but it is also about the next chapter. Going forward, we will continue investing in our advisors, technology, and client experience to help more Canadians navigate their complex financial needs. Rockefeller and Wealthsimple continue to execute their strategies and delivered impressive growth in Q3, which I will also detail. Turn to slide 13. Gross inflows increased approximately 18% to CAD 4.5 billion, while our gross outflow rate improved modestly. That supported CAD 666 million in quarterly net inflows and a trailing 12-month net flows rate of 1.6%. This consistency reflects sustained new client acquisition and strong existing client relationships.

[Damon Murchison, President and CEO at IGM Financial]

At quarter end, 76% of IG's investment solutions were rated four or five stars by Morningstar, and 98% were rated three stars or higher. We believe the combination of competitive investment solutions and comprehensive financial planning advice will continue to fuel our growth, and we continue to see an opportunity to improve how we support our advisors so they can spend more time building relationships and less time navigating administrative work. Slide 14 shows how our client mix has evolved. New client gross inflows reached approximately CAD 1.4 billion in the quarter. Over the past five years, inflows from high-net-worth households have increased by more than 150%, and those from mass affluent households grew by more than 40%. This reflects years of investment in technology, financial planning tools, and our advisors' capabilities, allowing us to serve more mass affluent and high-net-worth clients in a more meaningful way.

[Damon Murchison, President and CEO at IGM Financial]

Tax planning, wealth transfer, business succession, and retirement all create growing demand for personalized financial planning advice that we provide at scale. Our value proposition goes well beyond managing investments. Our clients' financial needs become more complex, having a trusted advisor who understands their family's full financial picture becomes increasingly more important. That's why we've been so deliberate about building our business around comprehensive financial planning and long-term relationships that span multi-generations. We believe there's a significant runway to attract more affluent clients and deepen those multi-generational relationships. Turning to slide 15, this covers two important parts of comprehensive financial planning, insurance and mortgages. With insurance, we delivered another strong quarter with new annualized premiums increasing 33% year-over-year to CAD 27 million. Mortgages, funding declined 13% year-over-year in a more challenging environment. Both mortgages and insurance remain important ways to support our clients as they make significant financial decisions.

[Damon Murchison, President and CEO at IGM Financial]

Going forward, our opportunity is to bring these two capabilities together more seamlessly, helping our advisors deepen client relationships and serve more of their credit and protection needs through comprehensive financial planning. Slide 16 highlights our strong advisor satisfaction in the Investment Executive 2026 Dealers' Report Card. IG ranked first among direct peers with an overall score of 8.9%, up from 8.8% last year. We also ranked first in 14 of 25 categories, including financial planning support, high net worth solutions, and advisor development. Our advisor net promoter score remained exceptionally strong at 92. Why does this matter? It matters because great advisors are central to our competitive advantage.

[Damon Murchison, President and CEO at IGM Financial]

It's proven that when we have the right support, technology, and capabilities, that they can spend more time with clients building stronger practices and delivering better outcomes, which drives value through greater share of wallet, new client acquisition, and stronger advisor recruitment. We believe this matters more today than ever before as the industry faces advisor succession and Canadian financial needs become more complex. These results reinforce the strength of our platform and advisor proposition, and we're going to keep on investing in it. Turning to slide 17 and Rockefeller. Client assets reached approximately $237 billion, up 27% year-over-year. Rockefeller generated $5.3 billion in record third quarter organic asset growth and $4.8 billion from inorganic growth via new advisor teams. Its private advisor count reached 482, up 15% or 62 advisors year-over-year. Its family office offering continues to attract leading advisors and ultra-high net worth clients.

[Damon Murchison, President and CEO at IGM Financial]

We see meaningful runway for further expansion in the U.S. alongside opportunities to share expertise and strengthen collaboration with IG Wealth. It's another example of how strategic investments can bring both attractive growth and capabilities that are relevant to the broader organization. Finally, turning to Wealthsimple on slide 18. This business continues to demonstrate exceptional growth. Assets under administration reached $169.2 billion, up 68% year-over-year, with approximately $11 billion in net flows during the quarter. Wealthsimple now serves more than 3.8 million clients, up 27%, including one in four Canadians aged 18-40, and more than 30,000 business clients. It's broadening its banking, business, and trading offerings, supported by simple, personalized client experience. With the recent announced financing, IGM invested an additional CAD 96 million, bringing the pro forma value of our investment to approximately CAD 3 billion. We remain Wealthsimple's largest single shareholder.

[Damon Murchison, President and CEO at IGM Financial]

The combination of client growth, broader product offerings, and deeper relationships creates significant opportunity for Wealthsimple over time. For IGM, the value of this relationship extends beyond our financial investment. Wealthsimple's approach of simplification, personalization, and client experience provides important insights as we continue to strengthen our own business. With that, I'll turn the call over to Luke Gould to go over Mackenzie's results.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Great. Thanks, Damon. Good morning, everyone. Turn to page 20, you'll see highlights from Mackenzie and the asset management segment in the quarter. We're pleased with the continuing momentum in the quarter across many dimensions. Our AUM is up 12.5% in the last year to a record high of CAD 269.5 billion, and we had net sales of CAD 2 billion in the quarter and CAD 5.6 billion year-to-date. Investment fund net sales of CAD 664 million in Q3 were up noticeably from 2025, with all of this increase relating to retail net sales improvement of approximately CAD 300 million from last year. We continue to experience significant sales momentum from global institutional clients, and I'll provide a bit more color on this in a few slides.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

At the bottom left of the page, we've reiterated our three strategic priorities at Mackenzie: raise the bar in investment excellence, build better products, and deliver a great service experience. All of our initiatives to enhance the business are focused around these three priorities. We've highlighted a few milestones on each of these priorities in the quarter. On investment excellence, we continue to see improvements in overall Morningstar ratings in the quarter, and this is the highest share of our AUM in five-star funds in almost five years. We also completed the implementation of our middle office and data foundation with BNY Mellon. This was a multi-year program that provides our investment professionals with a world-class operating environment to do their best work.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

On the product front, we added to our Mackenzie Modus systematic suite of ETFs, leveraging capabilities within our multi-asset team, and we also launched our novel Mackenzie Global Equity & Gold Overlay ETF, MGEG, for those seeking protection from currency debasement or otherwise wishing for gold exposure as part of a single-ticket solution. Within delivering a great service experience, we have a number of rollout milestones coming in Q4 on our digital platforms to advisors and clients in partnership with OneVest and Salesforce. This new online platform addresses feedback we've received from clients over time on how to enhance their experiences with Mackenzie. On the bottom right, we've highlighted that we have received the results of the 2026 Advisor Perception Study from Environics, and we are very pleased with these results. We've increased our overall score and had increases on most of the 40 measures in the survey.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Our overall score rank is second out of 25 assessed competitors. We are also pleased to have increased our advisor sales penetration, the percent of advisors in Canada actively purchasing Mackenzie, and we maintained a rank of number two on this measure across advisor types. You will see in a few slides, we have introduced supplemental disclosures this quarter on new client acquisition, and these measures are consistent with what we have seen from the Advisor Perception Study and the number of advisors working with us. We also saw our net promoter score improve to number three relative to our rank in 2025 of number eight. I just close by saying it is so good to get this feedback from Canadian financial advisors, and to Environics, we do appreciate your study and get a lot out of it.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Turning to page 21, you can see the trend and history of Mackenzie's net sales.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

On the middle left, you can see solid flows and continued improvement on our investment fund net sales year-to-date. On the right, you can see that this improvement has been driven by ongoing improvements in retail. At the bottom left, you can see the strong year-to-date net sales overall, at the same level as 2025, which was a record high year for us on this measure, and this was driven by continuing inflows from institutional investors. We are expecting continued improvement in net sales across channels over the coming quarters as we continue to have winning conditions in a number of places within our offerings. Turning to page 22, I would highlight in the bottom left that the industry environment remains healthy, and the mutual fund net sales rate for the industry peers is around 2%, and we are slightly above this.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

In the top right, we have highlighted the continued growth in retail with CAD 292 million in improvement, as well as meaningful institutional net sales in the period. If you look at the institutional SMA line, you will see that CAD 1.362 billion reflects onboarding from some of the awards in Q2 that we telegraphed last quarter. We had a number of these new awards fund in the third quarter, and also we had many new awards during Q3. Right now, the awarded pipeline, meaning we have been awarded the mandates but they have not funded yet, totals about CAD 5 billion, and that is going to be coming in in the coming months. Beyond this, we do have a very strong, high-probability pipeline as we enter 2027.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

I would comment the institutional onboarding continued to reflect a good mix of some of the largest public pensions globally, some advisory to financial institutions, many foreign clients, a few Canadian clients. I would also highlight that while a lot of the institutional growth has come from our global quant equity team, we also saw very good growth from our Canadian equity team during the quarter. In the bottom right, overall investment performance continues to be solid, and the share of assets residing in five-star funds, as mentioned, remains at the highest level in almost five years. We have very compelling performance across a broad range of relevant strategies. Moving to page 23, we have provided some new disclosure relating to our Canadian retail business serving financial advisors.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

At the top, we presented the quarterly sales trend for the last seven quarters and year-to-date, and I'd remind and look at the quarterly numbers, they're seasonal in our business. At the top right, you can see the improvement in retail gross mutual fund sales at 58% year-to-date, and you can see net sales improvement of CAD 1.35 billion. At the bottom, we want to provide some context on new client acquisition, highlighting the sale activity we're seeing from new advisors who've started doing business with us. At the bottom left, you can see a contributor to the gross sales increase has been meaningful improvement in sales from new advisor relationships, which are up 129%. I'd also note that these numbers exclude ETF purchases. Year-over-year increases would be much larger when this activity is included, as we've seen success in our active equity ETFs in particular.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

In the middle, you can see that we are at an all-time high in new advisors choosing to work with Mackenzie, with very strong momentum here as we enter 2027. And in the bottom right, we're pleased to see this reflected in the advisor sales penetration numbers from the Advisor Perception Study. Turning to page 24, you can see the performance and net sales for our retail investment funds by boutique. I'd highlight a few things on this slide. First, in the third column from the left, we continue to see noteworthy retail flows and momentum into our global quant equity boutique. As mentioned last quarter, I would note that we do not see these flows as being near their potential yet.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

We have 15 retail mandates here in large categories, and the track records are exceptional, and we're working hard on continuing to get the word out on this holistic quant approach. As you scan across the top section of the slide, looking at the other boutiques, you'll see that we have very compelling performance in a number of relevant product categories at this moment that we're going to lean into. This includes our multi-asset strategies team, our value team, our Resources and Energy Evolution, Greenchip team, among others. Turning to page 25, a few quick comments on the Chinese investment fund industry. You'll see that industry assets declined 1% in the quarter, and you can see at the very bottom, there were relatively healthy long-term net sales of CNY 1.1 trillion, and this was offset by the equity market declines during the quarter.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Around half of industry net sales were into fixed income products, with the remainder into index equity products. And on the right, ChinaAMC maintained its rank of number two in the industry, with a 5.4% market share, up slightly from 5.2% in June. Turning to page 26, ChinaAMC ended the quarter with total AUM of CNY 2.9 trillion, down 2% in the quarter. I would note, if you look at the bottom right, you'll see ChinaAMC had a solid CNY 145 billion in long-term fund net inflows during the quarter, and the composition of these flows was generally aligned with the industry, with a mix of fixed income and equity index products. Turning to slide 27, it was another good quarter for fundraising for Northleaf, with around CAD 800 million raised primarily across private equity and private credit offerings.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

This brings fundraising over the last 12 months to CAD 3.6 billion, and they've continued to average around CAD 1 billion in fundraising consistently since we commenced our partnership with them just over five years ago. We continue to be very pleased with the results at Northleaf and with the management team's execution against its strategic vision and priorities. As you know, we started consolidating the results of Northleaf into ours effective July 1st. I'll now turn the call over to Keith Potter, and Keith will cover the financial results as well as the accounting impacts relating to our consolidation of Northleaf.

[Keith Potter, EVP and CFO at IGM Financial]

Thank you, Luke, and good morning, everyone. Turning to slide 29, IGM delivered another record quarter of strong broad-based results with adjusted EPS of CAD 1.51, up 19% year-over-year. Reported EPS was CAD 2.10. The main adjustments that are new this quarter include the non-cash gain of CAD 144 million that stems from the change in Northleaf's equity accounting to consolidation accounting, where we remeasured our existing investment prior to consolidation, and the amortization of acquisition-related intangible assets driven by the purchase price allocation associated with Northleaf. Turning to capital allocation, we returned CAD 343 million to shareholders in the quarter, including CAD 199 million in share repurchases.

[Keith Potter, EVP and CFO at IGM Financial]

We also ended the quarter with unallocated capital of CAD 830 million and reduced our gross debt-to-EBITDA ratio to 1.22x, which leaves us with substantial financial flexibility as we continue to invest in our businesses and return capital to shareholders. In other highlights, as you have seen in recent press releases, we participated in a Wealthsimple financing round and increased the fair value by 13%. IGM now has an equity interest valued at CAD 3 billion. As discussed last quarter, we are consolidating results for Northleaf. As you review our disclosures, you'll see this impact the consolidated financial statements as well as our AUM, A&A, and net flows reporting. If you have any questions as you review the disclosures, please reach out to Kyle on the IR team, and they can help you out. Turning to slide 30, you can see our AUM, A&A, and flow trends.

[Keith Potter, EVP and CFO at IGM Financial]

AUM, A&A for IG and Mackenzie combined increased 0.7% relative to Q2. As I commented, you can see in the table, we started to include Northleaf in our consolidated AUM, A&A metrics starting in Q3, consistent with the consolidation of financial results. Slide 31 consolidates IG, Mackenzie, and Northleaf. Average AUM, A&A for IG and Mackenzie combined increased 17.1% year-over-year to support adjusted EPS growth of almost 20%. Excluding Northleaf, Q3 operations and support and business development expenses were flat year-over-year and up 3.6% year-to-date. Our results benefited from simplification initiatives we announced in June, which are progressing as expected. We expect to generate approximately CAD 15 million in savings in 2026, which will be reinvested to strengthen our capabilities across IGM. We've begun that reinvestment with an initial focus on foundational AI capabilities and other priorities, as Damon discussed.

[Keith Potter, EVP and CFO at IGM Financial]

We are on track to meet both our 2026 savings and reinvestment milestones. Looking ahead to the fourth quarter, we are maintaining our full-year operations and support and business development expense growth guidance of 4%, excluding Northleaf. I will speak more to this. We will also look forward to providing our 2027 expense guidance on the February call. Slide 32 presents key profitability drivers for IG Wealth Management. On the left, you can see average AUM, A&A was up 3.9% from last quarter. On the right, our advisory fee rate decreased 0.7 basis points, which was slightly higher than guidance provided last quarter. The decrease was driven by more cash being invested into long-term solutions. As a reminder, cash spreads are higher than the standard advisory fee rate.

[Keith Potter, EVP and CFO at IGM Financial]

Looking ahead to Q4, we expect the advisory fee rate to decline slightly as cash is put to work in long-term solutions. This trend is expected to reverse in Q1 of 2027 from investment fund year-end cash distributions, similar to what we saw in Q1 of this year. Asset-based compensation rate was up slightly in the quarter and expect a modest increase in Q4. On slide 33, IG's overall earnings of CAD 197.9 million is another record quarter and up 27.4% year-over-year on revenue growth of 15%. The business continues to demonstrate strong and positive operating leverage. On point two, other financial planning revenue continues its positive growth trend year-over-year, supported by strength in the mortgage and insurance businesses. Other product commissions is up in line with growth of insurance sales.

[Keith Potter, EVP and CFO at IGM Financial]

Finally, expenses for the quarter are down year-over-year, mainly due to simplification savings and timing of expenses. As Damon mentioned, we are reinvesting savings in AI capabilities in Q4 and expect conference expense to be higher, including the IG 100th anniversary celebration, and expect full-year expense growth of around 4%. Moving to Mackenzie on slide 34, average AUM was up 3.8% versus Q2. On the right, the third-party rate, excluding Canada Life, decreased 0.6 basis points, which was less than guided to last quarter, and mainly due to timing of institutional fundraisings. As we look to the next quarter, our best estimate for the third-party fee rate, excluding Canada Life, is to decrease approximately 1 basis point, and overall third-party rate to decline approximately 0.5 basis points.

[Keith Potter, EVP and CFO at IGM Financial]

This reflects institutional businesses onboarding of approximately CAD 1 billion in Q3, CAD 1.3 billion in October, and an estimated CAD 2 billion for the remainder of the year. Turning to slide 35, Mackenzie's earnings were CAD 73.9 million, up 8.4% year-over-year, with underlying growth of approximately 14.5%, excluding net investment income and other, which benefited from high seed capital gains in the prior year. Operations and support business development expenses increased 4.6% year-over-year, primarily reflecting higher business development costs associated with variable wholesaler compensation. These commissions were higher this quarter given the strong retail flows and growth in new supporters, as Luke discussed. It is important to recognize that timing dynamics of wholesaler commissions are expensed as paid, while the related revenue is earned over time, unlike IG, where sales commissions are capitalized and amortized.

[Keith Potter, EVP and CFO at IGM Financial]

If we see a strong finish to the gross and net retail sales, this could result in some incremental variable commission expense in the fourth quarter. Turning to ChinaAMC on slide 36, Luke already commented on AUM. Q3 earnings were CAD 33.5 million, down year-over-year and sequentially. Both comparative periods benefited from strong equity markets, while the CSI 300 index declined nearly 12% this quarter. This drove unfavorable fair value movements on ChinaAMC's investment holdings, and disciplined expense management helped offset much of the impact. Slide 37 has earnings contribution from companies in each segment. Rockefeller earnings have improved significantly, driven by continued growth of the core business and transaction-related revenue from their ALTS platform. While these fees are part of Rockefeller's ongoing business, their timing and magnitude can vary from quarter to quarter. Transaction-related revenue contributed approximately CAD 6.5 million to earnings.

[Keith Potter, EVP and CFO at IGM Financial]

Northleaf contributed CAD 4.9 million to adjusted earnings, net of non-controlling interest, in line with expectations. On slide 38, we continue to make progress against our capital allocation priorities. We returned CAD 343 million in capital to shareholders in Q3, including CAD 199 million in share repurchases and CAD 144 million in dividends. At the same time, we maintained CAD 830 million in unallocated capital. Our gross leverage ratio ended the quarter lower at 1.22x compared to 1.25x in Q2. Our cash dividend payout ratio was 52%, reflecting continued growth in earnings. Overall, we remain focused on investing in our core wealth and asset management businesses, investing in strategic investments we own today, returning capital to shareholders, and maintaining financial strength and flexibility to support our long-term priorities. Turning to slide 39, IGM's indicative value is at approximately CAD 91 per share.

[Keith Potter, EVP and CFO at IGM Financial]

We derive the indicative value of our core operating companies using average forward PE multiples from a diversified group of wealth managers for IG and asset managers for Mackenzie as of market close on October 30. Worth providing some context on how these multiples have evolved. Global wealth peer multiples have declined from approximately 15x forward earnings earlier in 2025 to 10x-11x today, approaching decade-low levels, while asset manager multiples have remained relatively stable at approximately 10x-12x. In contrast, Canadian banks and insurers are trading at approximately 15x and 14x respectively, reversing the historical valuation relationship with global wealth and asset managers. Our indicative valuation reflects a consistent approach using the global wealth and asset manager peer multiples. That will end our prepared remarks, and I'll turn it back to the operator to open it for questions.

[Operator]

Thank you. We will now begin the question-and-answer session. To join the question queue, you may press star, then one on your telephone keypad. You will hear a tone acknowledging your request. If you are using a speakerphone, please pick up your handset before pressing any keys. To withdraw your question, please press star, then two. We will pause for a moment as callers join the queue. The first question comes from Étienne Ricard from BMO Capital Markets. Please go ahead.

[Étienne Ricard, Analyst at BMO Capital Markets]

Thank you, and good morning. At IG Wealth, it is interesting to see flows from high-net-worth clients, which appears to be accelerating. What do you see as the key drivers of this trend, and would you expect a continued mix shift towards higher-wealth households to support higher margins?

[Damon Murchison, President and CEO at IGM Financial]

Yeah. It is Damon here. The reason why you see that growth is quite simple. It is the services that we are providing, quite frankly, which is we solve complex financial challenges for Canadians through our financial planning expertise is needed in this country. More and more Canadians that we are in front of are looking for advice that extends beyond just investment advice. They are looking for tax planning. They are looking for intergenerational conversations and estate planning. They are looking for, "How can you help me with my business?" and, "How do I structure my business?" or, "How can you help me value my business and sell my business?" "How can you help me explain my wealth to my kids?

[Damon Murchison, President and CEO at IGM Financial]

Because they are going to inherit wealth the likes of which they have never seen." And then, "How can I give to the causes that matter to me while I am living so I can leave a legacy?" These are all just examples of the type of advice that we provide at IG Wealth. And then, we provide it at scale because we have advisors that are in every community across the country. In terms of forward-looking, we see it just this continuing. We have a very, very long runway. When I take a look at our penetration of clients or Canadians that have investable assets between CAD 1 million and CAD 5 million, so the start of high net worth, we are sub 2% penetration. And when I look at Canadians that are CAD 5 million plus, we are sub 1% penetration.

[Damon Murchison, President and CEO at IGM Financial]

Given that we are providing a service that few others can provide, and we are doing it across the country at scale, we have a huge opportunity here to continue this.

[Étienne Ricard, Analyst at BMO Capital Markets]

Just to circle back on margins, how would you expect the continued mix shift to help maybe raise the margin profile?

[Keith Potter, EVP and CFO at IGM Financial]

Yeah, it's Keith here. It really impacts the advisory fee rate. If you look at the advisory fee rate and the trend over the past couple of years, I would expect it to continue to come down as we put on more high-net-worth clients that typically pay a lower fee rate than other clients. But I would also expect it to move down at a decelerated pace relative to what we've seen in the past.

[Étienne Ricard, Analyst at BMO Capital Markets]

Okay. To come back on Wealthsimple, you maintained your ownership stable in the last equity raise. Where do you see IGM's ownership in the company move over the next few years to the extent more capital is raised? An update on how meaningful Wealthsimple is for Mackenzie from a distribution channel perspective, that would be appreciated.

[Damon Murchison, President and CEO at IGM Financial]

Yeah, so I'd say let's all start off that, and then Luke can talk about Mackenzie. But we've gone on record saying that Wealthsimple is strategic for us. It's strategic for us for a number of reasons. Obviously, they are phenomenal at what they do, and not just attracting new clients, but really embracing their existing clients and being able to broaden out relationships and deepen relationships over time across a number of different verticals. Michael and team are very adept at that, and we believe they're going to continue to do so. They're also very valuable for the organization because we learn from them on a day-to-day basis. We're on a journey of personalization and simplification, and there's probably no other organization in the financial services side of this business in this country that does that better than Wealthsimple. So, they make us better each and every day.

[Damon Murchison, President and CEO at IGM Financial]

So, we are very proud to be their largest shareholder, and we want to continue to be their largest shareholder.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Hey, Étienne, it is Luke. Welcome. Yeah, in terms of the Mackenzie relationship, we are very pleased to support Wealthsimple and their product offering. We support them through ETFs. The ETFs are substantially all passive. We do have some private label ones that we worked on with them. So, think of it as about just north of CAD 5 billion in ETF business, and think of it being a very, very small part of our revenue.

[Étienne Ricard, Analyst at BMO Capital Markets]

Thank you very much.

[Operator]

The next question comes from Scott Fletcher from CIBC. Please go ahead.

[Scott Fletcher, Analyst at CIBC]

Hi, good morning. Just wanted to ask on the Mackenzie advisor relationships, some good data there on the acceleration of new sales. Could you unpack some of the strength there and what you are seeing resonate with the new advisors and how they are able to sort of increase their gross sales rates?

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Yeah, absolutely. We have It is interesting. Environics has been doing this study for over 30 years, and it has been such a gift for us. We really, in earnest, started using the feedback from this study to guide where we needed to make changes and make investments over a decade ago. This is one of our key measures of how advisors feel about us. When you look at the study itself, it does have 40 measures, so you can think of it as covering everything that matters to an advisor from a product provider. So that includes the strength of product offering, the breadth of the offering, the strength of sales support, brand, sales and service, every single dimension. This year, we are so pleased to see improvements across the board.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

We have generally been, overall, in the last, I will call it the last eight years, a consistent top three.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

We really do have as our KPI for the company to be number one. Nobody wants to be number two. It is a big rally cry for us. We want to be the very best, the most relevant, respected, and admired, and we do believe this study would inform who actually is holding that position. So we are very pleased to see the success, and again, we are generally top three in most measures, and we are aspiring to be number one on every measure. We have got all of our initiatives lined up to do that, and all the investments we keep making in the business to help us be the very best in this country. On the new advisors to supporters, a lot driving that.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

We have got the feedback across the board on where things are getting better and why advisors should be proud to work with us as a trusted partner in their business. Right now, there is a lot of relevance across a number of product offerings. A lot of the new advisors coming on have come for quant. That has been a lead offering that we have had right now, and so that has been nice to see, having these new relevant and compelling offerings to really provoke discussions with new folks who are adding us to their practice.

[Scott Fletcher, Analyst at CIBC]

Okay, thanks. On the quant boutique, really the engine of flows on the retail side of things, I was curious, on the mandates that you transferred over into that boutique, are you seeing the flows in those funds improve after you moved them over?

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Yeah, for the ones we talked about last quarter, that was our U.S. mid mandates. Yeah, we have seen improvements. Again, on this holistic quant approach, we now have over 30 mandates. Of those 30, about 15 have been launched in retail in Canada. Yeah, the level of alpha has been impressive. The approach is proven. What's been most compelling for us is the consistency of alpha across different style-led environments or factor-led environments. Yeah, the reassignment of mandates has gone very well in U.S. mid. More broadly, again, the focus is just getting the word out. This combination of AI and HI, artificial intelligence and human intelligence, it's really paying dividends in this space at this point in time.

[Scott Fletcher, Analyst at CIBC]

Great. Thanks, Luke. I'll pass the line.

[Operator]

The next question comes from Bart Dziarski from RBC Capital Markets. Please go ahead.

[Bart Dziarski, Analyst at RBC Capital Markets]

Great. Thanks for taking the question, and good morning, everyone. Just wanted to ask on Wealthsimple, there was a product release day yesterday. Could you maybe walk us through kind of just the flavor of those product launches and how you expect the product mix to evolve for Wealthsimple going forward? Thanks.

[Damon Murchison, President and CEO at IGM Financial]

Yeah. Hey, Bart. It's Damon. I will say that in terms of the announcements, they focused on three key areas of their business. First off, just making sure that they're focused on AI and offering new tools to their clients that leverage AI, so it makes it easier for them to manage their money and do analysis and do all the wonderful things that they need to do to be able to understand their financial situation a little bit better, including a little bit of a concierge or private banker, as they would say. The second theme was just around investing and trading. They want to step change and have the most sophisticated investing platform in the country, but also the simplest investing platform to use in the country.

[Damon Murchison, President and CEO at IGM Financial]

They've gone on record in saying that, which is certainly ambitious, and they're more than capable of delivering that. Then they want to enhance their app experience for their clients. So those are the three areas, as well as continue to launch products in the banking space and the investing space. They've got an ambitious plan to be able to do so, and we fully support Michael and his team.

[Bart Dziarski, Analyst at RBC Capital Markets]

Got it. Thanks, Damon. That's helpful. Then maybe for Luke, you commented that you've seen the highest share of AUM in the last five years with five-star performance, so obviously a strong result, and there's changes there earlier this year. Can you maybe walk us through just where you're seeing the momentum and what's sort of driving that strong performance? Thanks.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Yeah, absolutely. Page 24 had a good summary by boutique, and you can think of Morningstar ratings generally being a weighted average of the percentile rankings of the 10-year, the five-year, and the three-year returns. When you look at the roster, we have now got 13 of our 20 largest funds have a rating of four-star or five-star, and so it has been nice to see that trend evolve. When you think of the offerings that have that relative strength, just eyeballing page 24, you can gather where they are. Our multi-asset strategies team with their managed solutions have exceptional performance, the best they have ever had. Our global quant team, global equity income has also seen a real recovery in performance recently. Resources, Greenchip, lots of five-star products there as well. You can see we have got a big range.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

I would also comment on the quality teams, Ivy and Bluewater, where the quality style and the defensive style in the last few years has not been a style that has been in favor, and it has been interesting to watch the last six weeks how markets have changed and to see a lot of these styles start getting legs under their feet again. The shelf is evolving quite nicely as we enter 2027.

[Bart Dziarski, Analyst at RBC Capital Markets]

Got it. That is helpful. Thanks for taking my questions.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Yeah, thank you.

[Operator]

The next question comes from Graham Ryding from TD Securities. Please go ahead.

[Graham Ryding, Analyst at TD Securities]

Hi. Maybe just a follow-up question there. Luke, when you talk about the quality team sort of lighting up a little bit in the last six weeks, are you talking about performance noticeably outperforming, or are you talking about interest from advisors and clients?

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

That was performance starting to turn. Yeah. For those two, it has been a different environment, an environment much more suited to their style. I would say on the flow side, we do see this as being a tailwind that, as you can see on page 24, those franchises have been in net redemptions over the past number of years, and we are seeing those net redemptions starting to kind of peak and come back the other way. So, we do have a few tailwinds there as we enter 2027.

[Graham Ryding, Analyst at TD Securities]

Okay, great. Maybe Damon, similar sort of theme, but just anything at the margin that you are seeing in terms of client behavior or feedback from your advisor network, just given the recent market volatility with interest rates the last sort of, I guess, six weeks, and obviously market volatility more recently. Are you seeing anything with client behavior or feedback, and/or are you expecting any sort of impact here if this volatility persists?

[Damon Murchison, President and CEO at IGM Financial]

Yeah, I think what we're seeing from, or we're hearing from our advisors and we're hearing from our clients is traditionally what we've always heard in periods of significant volatility at IG Wealth, where our advisors really look to their clients to start to dollar average cost into the markets during periods like this versus commit all at once. This is something that we always traditionally do. You're paid to wait right now, particularly if you want to go a little bit longer. That's something that is just consistent with our business. If the volatility persists till the end of the year, then you will certainly see more of that.

[Graham Ryding, Analyst at TD Securities]

How do you sort of feel your position maybe relative to some of your peers if we are in a more volatile market? Do you feel like your scale or you're more defensively positioned perhaps?

[Damon Murchison, President and CEO at IGM Financial]

Yeah, you know what? In volatile markets, we tend to do quite well for a few reasons. Number one, our clients tend to be invested for the long term. We talk to them about investing in the long term, and we hold their hands. They're less adept to try to make rash decisions, and it just becomes, okay, when do we commit the monies that we have on the sidelines? That's where dollar average costing comes in. Number two, it allows us to talk about other levers in their lives that matter, particularly protection, credit, wealth transfer, all the other things that people start to think about when they see the markets kind of go a little bit wonky. They start to look at the other parts of their life. It allows us to really get into that financial planning conversation.

[Damon Murchison, President and CEO at IGM Financial]

When we do that, you fortify your existing relationships, but then you're in a position to get referrals that drive new client acquisition. For us, periods of volatility, we tend to do quite well.

[Graham Ryding, Analyst at TD Securities]

Great. My last question would just be buybacks. They've been elevated this year relative to what we saw in 2024 and 2025. Should we expect this sort of cadence of buybacks to continue going forward, or is this perhaps somewhat of an elevated year?

[Damon Murchison, President and CEO at IGM Financial]

Yeah. Let me take a step back first and just talk about year-to-date. The organization's in a very strong financial position, unallocated capital of CAD 830 million, low leverage profile, which has allowed us to continue to invest in the business and return capital to shareholders in a disciplined fashion. We're very proud that year-to-date, we've returned a record amount of capital to shareholders. Our priorities remain consistent. So first, we want to invest in our core businesses, IG Wealth and Mackenzie. Two, we do want to grow our dividend commensurate with our ability to grow our earnings. And three, we do want to continue to return capital to shareholders, in context of continuing to invest in our core businesses.

[Damon Murchison, President and CEO at IGM Financial]

The momentum that we have now at IG and Mackenzie, along with our unallocated capital position and low leverage, gives us a lot of flexibility going into 2027 as it relates to continuing to invest in these businesses and return capital to shareholders. And we look forward to going to our board with our capital plan at the end of this year.

[Keith Potter, EVP and CFO at IGM Financial]

Yeah. It's Keith here. I'll just add as well. If you look at October, I mean, we're on pace for the same share buybacks we had in Q3. As Damon mentioned, we'll be going to the board in [October] with our capital plan. I'll just remind as well that late last year, we did have the proceeds from the Rockefeller transaction, which was part of the proceeds that we're using to buy back shares this year. And as Damon mentioned, after we invest in the core, we'll review dividend with the board. That gives us a lot of flexibility for share buybacks, and we'll weigh that against other opportunities, capital allocation opportunities in the new year.

[Graham Ryding, Analyst at TD Securities]

Okay, great. That helps. Thanks.

[Operator]

The next question comes from Adi Gupta from Desjardins Capital Markets. Please go ahead.

[Adi Gupta, Analyst at Desjardins Capital Markets]

Hey, good morning. Thanks for taking my question. Just a quick one here on Northleaf and the strategic connectivity with your other businesses. We've seen decent growth in the amount of assets that it manages for Mackenzie, and I'm assuming it manages assets for IG Wealth and Rockefeller as well. Is there any room here for you to kind of put the pedal to the metal here and maybe just kind of doing more? And maybe just thoughts around timeframe of that. Thanks.

[Damon Murchison, President and CEO at IGM Financial]

Yeah, so it's Damon started off, in terms of IG Wealth, Northleaf has been a fantastic partner of ours, and we're always looking for ways to leverage their expertise in infrastructure and private credit and private equity through our managed assets program. And our managed assets program allow us to invest in Northleaf in ways where we do not have to provide liquidity at their product level, but at the program level, so we get the pure play. So, over time, I think that the opportunity is significant for Northleaf and for IG. And then Rockefeller, they certainly are on Rockefeller's shelf, and they will look to, over time, to increase that.

[Luke Gould, President and CEO of Mackenzie Investments at IGM Financial]

Yeah, Luke, I'll just say we've added five products, Mackenzie Northleaf products for Canadian households, and we're very proud of those and our continued work on getting those products into Canadians' portfolios. I'd say another area of growth that we see at Mackenzie is more inclusion of Northleaf within our managed solutions, much like Damon was speaking. So that's something you can expect to see more of here. I'll also expand on Damon's comments on Rockefeller. Within the Power Group ecosystem, we do see a lot more opportunity for Northleaf inclusion. That includes Empower in the United States of America which is the second-largest retirement service platform in the States. That's something the Northleaf and Empower teams are actively working on. So we do see a lot more opportunity within the group for Northleaf to shine.

[Adi Gupta, Analyst at Desjardins Capital Markets]

Awesome. No, that's great color. Just one quick question on Rockefeller. We saw a pretty decent uptick in adjusted earnings. I think you talked about transactional revenue being a portion of that. Maybe just how to think about the earnings trajectory for Rockefeller as we head into 2027. Any color there would be appreciated. Thanks.

[Keith Potter, EVP and CFO at IGM Financial]

Yeah, it's Keith here. We sit on the board of Rockefeller, so they're going to put a plan in front of us in the new year, and we can give you more perspective then. What I would say is if you look at kind of their core base business on a quarterly basis, you can kind of look at earnings growing at about $1 million-$1.5 million per quarter. That would exclude a key part of their business, which is transaction revenue, and they generate that in two areas of their business. One is their M&A advisory, and the other one is their ALTS platform. So in this quarter, obviously, they have generated meaningful growth from that part of the platform. As I said, we'd expect that to be part of their earnings going forward.

[Keith Potter, EVP and CFO at IGM Financial]

It will be lumpy over time, but I would go with kind of a base $1 million-$1.5 million per quarter, but upside to that as they have other transactional revenue associated with M&A and their ALTS platform.

[Adi Gupta, Analyst at Desjardins Capital Markets]

Great. Thank you.

[Operator]

The next question comes from Romel Sabat from Jefferies. Please go ahead.

[Romel Sabat, Analyst at Jefferies]

Hi, good morning. Thank you for taking my question. We've seen significant margin improvements, notably in IG Wealth. I understand that this is driven from the cost savings that you mentioned that is going to be reinvested into AI and technology. I understand from an absolute basis, operating expenses shouldn't change much. But when we think about the margins, should those productivity gains and cost efficiencies drive meaningful margin expansion in 2027, or is that something further down the line?

[Keith Potter, EVP and CFO at IGM Financial]

Yeah, it's Keith here. The savings that we're generating, we're going to reinvest in AI capabilities, whether that be people, processes, or technology. Our expense growth guidance for this year is 4%. We'll provide you with guidance for next year. But that'll help us build stronger businesses and generate the growth in revenue and the top line of the business. I wouldn't necessarily say that that specifically is going to drive margin expansion, but it's just contributing to a stronger business that we can achieve our objectives and priorities.

[Romel Sabat, Analyst at Jefferies]

Okay, I get it. That makes sense. Thank you. That is the only question I had. Thank you.

[Operator]

This concludes our question-and-answer session. I would like to turn the conference back over to Damon Murchison for closing remarks.

[Damon Murchison, President and CEO at IGM Financial]

Thank you, operator. Let me close the call on a few points. First, our core business at IGM continues to demonstrate strong momentum. Second, our strategic investments provide additional opportunities for growth and value creation. And thirdly, we are taking meaningful steps to simplify IGM and invest in our capabilities that will strengthen our competitiveness. And lastly, we have the financial strength to compound value while returning capital to shareholders. Our strategy is working, and our focus remains on execution, profitable growth, and long-term shareholder value. I want to thank our employees and advisors for their continued dedication and our clients for the trust they place in us. Thank you for joining us today's call and your continued interest in IGM. With that, I will turn it back over to the operator to close today's call.

[Operator]

This brings to a close today's conference call. You may disconnect your lines. Thank you for participating, and have a pleasant day.

Participants

Executives

• Kyle Martens, SVP of Corporate Development and Investor Relations
• Damon Murchison, President and CEO
• Luke Gould, President and CEO of Mackenzie Investments
• Keith Potter, EVP and CFO

Analysts

• Étienne Ricard, Analyst at BMO Capital Markets
• Scott Fletcher, Analyst at CIBC
• Bart Dziarski, Analyst at RBC Capital Markets
• Graham Ryding, Analyst at TD Securities
• Adi Gupta, Analyst at Desjardins Capital Markets
• Romel Sabat, Analyst at Jefferies