Contrary to speculation, Bank of Nova Scotia (BNS) has no plans to sell its 36% stake in Canadian mutual fund company CI Financial, says head of global wealth management Chris Hodgson. If anything, the bank is interested in upping its investment. "We like the asset management business."
Barclays' John Aiken downgrades the Canadian financial services sector to neutral, expecting domestic and global headwinds to cut into earnings growth. "The steam is dissipating from the Canadian economic engine, with greater downside risk (than forecast)," he writes. Among the individual names cut: BMO, BNS, CM, MFC, RY, SLF, TD.