In Canada, people and companies who provide investments to the public are regulated. For Balanced Financial Investments the compliance monitoring on mutual fund investments is done by FundEX Investments Inc. Because it is important that the public be able to clearly identify that only mutual fund activities is under the mutual fund dealer's compliance supervision, you will see Balanced Financial Investments is affiliated with FundEX Investments Inc. FundEX is not liable or responsible for non-mutual fund related business.
I have chosen to work through (I do not work for) FundEX because they value and support advisors' ability to offer independent financial advice, they are a flat fee mutual fund dealer. In a flat fee arrangement, the investment advisor pays a fixed dollar amount for FundEX to provide mutual fund investment statements and back office administrative functions (such as maintaining the system that provides investment statements and analytical tools for advisors and clients).
Unlike what can happen in an arrangement where the investment advisor is part of a distribution channel for a bank or investment company, there is no sales pressure, quotas or sales targets for the advisor. The advisor is free to do what is in the best interest of the client without sales pressure. Since the dealership (FundEX) is given a flat fee, if the advisor’s compensation increases (through their clients investments increasing, or through new clients being added) the advisor keeps 100%, above the flat fee, of what they have worked to achieve.
The advisor and FundEX are motivated to improve efficiency and control the costs associated with FundEX functions in order to keep the flat fee from increasing above the rate of inflation.
Founded in 1995, FundEX Investments Inc., a national mutual fund dealer added a new spin to the mutual fund industry by launching a flat fee dealership specifically designed to satisfy the needs of the successful advisor.
Since then, FundEX has grown to become one of Canada’s largest mutual fund dealerships by maintaining its core principles of valuing and encouraging the independence of financial advisors in Canada. This simple and unique concept has flourished and has positioned FundEX as one of Canada’s best dealerships. FundEX proudly supports over 700 financial advisors across Canada and administers over 14 billion in assets.
Our goal as a mutual fund dealer is to partner with high caliber advisors with outstanding reputation and provide them with a truly independent model that grants them control over their business and the tools necessary to further enhance their practice.
FundEX is a wholly owned subsidiary of Industrial Alliance Insurance and Financial Services Inc., a life and health insurance company whose origins date back to 1892. The fourth largest life and health insurance company in Canada, Industrial Alliance contributes to the financial well-being of over 3 million Canadians, employs over 4,400 people and administers and manages approximately 95 billion in assets.