Senior Investment Advisor, Senior Vice President
BMO Nesbitt Burns
885 West Georgia Street
In addition to David's strengths in the areas of
top-down, value investing in equities as well as conservative,
income-oriented investing, he is able to add value for his clients by
being a specialist in three distinct areas:
1. Risk Management, Capital Protection and Yield Enhancement Strategies
We believe that it is esential for Investment Advisors to be able to protect their clients' wealth in today's uncertain world.
In terms of risk management, and as part of a portfolio protection strategy, David is able to select Protective Puts for our clients' portfolios. To be sure, capital markets can be
volatile, and David aims to offer his clients greater peace-of-mind by
selecting, where appropriate, common shares of Canadian and
International companies that are option-eligible.
David is also able to generate further income for his clients' portfolios by writing Covered Calls.
Unlike interest income, which is taxed at the investor's marginal tax
rate, and unlike Canadian dividends, which are eligible for a dividend
tax credit, the income earned from option premiums is treated as capital
gains*. We believe these strategies are more conservative than simply
owning the underlying equities in your portfolio as they may protect
your downside or may generate tax efficient income. Additionally, for
our sophisticated clients, David is also able to implement advanced
equity options strategies.
*The comments included in the
publication are not intended to be a definitive analysis of tax law: The
comments contained herein are general in nature and professional advice
regarding an individual's particular tax position should be obtained in
respect of any person's specific circumstances. In addition, trading in
equity options may not be suitable for all investors.
2. Equity Hedge and Monetization Strategies
hedge and monetization strategies are structured to meet the needs of
high net worth clients with concentrated equity exposure. Working with
our team of investment banking specialists, David is able to offer those
clients who are looking to either hedge (reduce single stock risk) or hedge and monetize (reduce risk and raise cash) their equity holdings with innovative tax and risk management strategies.
you are company executive, founder, insider, or investor holding a
large position in a single stock, where an outright sale of the position
is not desirable due to significant tax consequences, David would be
pleased to discuss suitable and inexpensive equity monetization and
hedging strategies with you.
3. International Investments and Non-Traditional Investments
Canada constituting only 3% of the world's stock market capitalization,
we believe it is prudent for investors to enhance their returns and
reduce their risk through international diversification. Depending on
your objectives and tolerance for risk, David is pleased to be able to
recommend a wide range of investments, including foreign currency bonds
for investors with liabilities in another currency; American Depository
Receipts (ADRs); Global Investment Funds; and Country and Regional
Exchange-Traded Funds (ETFs).
Moreover, depending on your unique
circumstances, investment objectives and tolerance for risk, David is
also able to offer qualified and accredited sophisticated investors a
wide range of alternative, non-traditional investments that have
historically provided superior, uncorrelated returns. These may include
access to private placements for early-stage companies principally in
the natural resources sector that are either publicly-traded or