MD Financial Management Inc. Announces Enhancements to Dividend Growth Mandates

March 24, 2016

MD Financial Management Inc. (MD), a wealth management organization owned by the Canadian Medical Association, today announced changes to investment advisors for two dividend growth mandates. These amendments were approved on March 22, 2016, by the MD Financial Management Inc. Board of Directors.

Impacted Fund or Pool Revised Investment Advisor Structure
MD Dividend Growth Fund
  • Montrusco Bolton Investments Inc.
  • Beutel, Goodman & Company Ltd.
  • CIBC Asset Management Inc.
MDPIM Dividend Pool
  • Montrusco Bolton Investments Inc.
  • Beutel, Goodman & Company Ltd.
  • CIBC Asset Management Inc.

“These changes support MD’s long-standing commitment to ensure our funds and pools are best positioned to meet the long-term investment goals of physicians and enhance their financial well-being,” said William R. Horton, Jr., Chief Investment Officer at MD. “While these two funds have performed well since inception, we are updating our strategy in an effort to reduce the variability of the returns. We will accomplish this through increased diversification of individual security risk and, consequently, a slightly lower dividend yield target than in the past.”

The overall goal is to explore more areas of opportunity, such as broader sector diversification and foreign securities, as well as to combine the unique expertise of the investment advisors to enhance risk management. MD PrecisionTM, MD’s patent-pending fund management process, was used to update the strategy and select experienced investment advisors to assist in the management of the funds. The result is an optimized solution using a multi-advisor approach.

MD will utilize investment advice from Montrusco Bolton based on the expectation that a portfolio built using their selection of a concentrated portfolio of stocks with elevated dividend yield and low risk relative to the broad-based market will deliver a return profile that is consistent with our performance objectives.

To manage the risk of the funds relative to the benchmark, MD will combine advice from Montrusco Bolton with investment advice from Beutel, Goodman to achieve our desired portfolio of stocks. MD’s expectations for the portfolio selected by Beutel, Goodman stem from their philosophy that stresses the preservation of capital, which is consistent with our desire to provide enhanced risk management in volatile market environments. In addition, CIBC Asset Management will dynamically manage the foreign currency exposure within the funds, following the MD currency management methodology.

For more information, please contact an MD Advisor or call the MD Trade Centre at 1 800 267-2332.

About MD Financial Management

Owned by the Canadian Medical Association , MD Financial Management’s only business imperative is to enhance physicians’ financial outcomes by focusing on their distinctive needs and operating in their best interests.

MD has more than $40 billion in assets under administration and is dedicated to serving Canada’s physicians and their families. MD provides financial products and services, the MD Family of Funds and investment counselling services through the MD Group of Companies. For a detailed list of these companies, visit

Media Contacts

Maria Grant
Lead, External Communications
MD Financial Management
613 809-0657

Deborah Thompson
DT Communications
416 918-9551

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