Advisor on the ‘defensive’ to protect assets

Advisor on the ‘defensive’ to protect assets

Advisor on the ‘defensive’ to protect assets Back to work the day after taking home the hardware at the inaugural Wealth Professional Awards, Winnipeg advisor Rob Tétrault discusses his leading edge investment strategy.
 
“I refuse to do the cookie cutter approach. I refuse to do what everyone else is doing,” said Friday’s winner of The BlackRock Award For Portfolio / Discretionary Manager Of The Year. “For Wealth Professional to recognize that is a remarkable thing.”
 
But don’t for a moment think that the one-time lawyer is resting on his laurels because he and his team are only getting started.
 
“There’s nine of us on my team and the focus is and always will be the client,” says Tétrault. “Everything has to be world class. There’s a three-pronged approach: world-class advice, world-class service, and world-class investment opportunities. That’s motivated the team to continue to build and grow and why we’re growing at a ridiculous pace.”
 
Customer service, any good advisor knows, is the key to industry success. Tétrault Wealth Management Group is no different. However, when you look beyond the basic tenets of an advisor’s business, it’s the investment underpinnings that will win new business while keeping existing clients more than satisfied.
 
“We’re using alternatives to both equities and fixed income with a focus on risk-adjusted returns,” says Tétrault. “On the fixed income side I’ve used derivatives to protect some assets and tie the returns to equities. I’ve used MICs like a lot of other PMs; they’re very low volatility historically. On the equity side we’ve used derivatives to increase returns while protecting some of the assets as well. We build structured notes. It allows me to either get acceleration on return on an underlying index or it allows me to protect the capital while getting exposure to the equity.”  
 
Anything but cookie cutter, Tétrault’s derivatives approach could be the sign of things to come from financial advisors in Canada.
 
“It’s something that not many people are doing as far as I know,” says Tétrault. “It’s done remarkable things for reducing volatility without increasing risk.”