CI Financial reports asset growth of 14.3% in 2010

TSX Symbol: CIX

TORONTO, Jan. 5 /CNW/ - CI Financial Corp. ("CI") today reported retail assets under management at December 31, 2010 of $71.8 billion, a record month-end and year-end level for the company. This asset level represents an increase of $4.1 billion or 6.1% for the month of December and an increase of $9.0 billion or 14.3% over the year.

Total fee-earning assets at December 31, 2010 were $96.0 billion, representing growth of $4.5 billion or 4.9% on the month and $9.6 billion or 11.1% for all of 2010.

The asset growth was due to fund performance, net sales, and the acquisition of Hartford Investments Canada Corp., which was completed on December 15, 2010. Hartford Investments Canada had approximately $1.8 billion in assets at the time of acquisition.

"Our funds have benefited from the steady recovery in global markets since the summer, and December's strong results capped an excellent fourth quarter and year for CI," said Stephen A. MacPhail, CI President and Chief Executive Officer. "With CI's assets under management at record levels, we are starting a new year well positioned for continued success."

CI's strong position is shown by average retail assets under management, which were $64.5 billion for 2010, an increase of 16.4% over 2009. However, the year-end retail asset level, at $71.8 billion, is 11.3% higher than the average for the year and 5.3% higher than the average for the fourth quarter.

CI has also enhanced its impressive lineup of portfolio managers with the Hartford Investments Canada acquisition. Managers of the Hartford Mutual Funds include the highly regarded firms Black Creek Investment Management and Greystone Managed Investments.

CI's portfolio managers received additional recognition in December, when Eric Bushell, Chief Investment Officer of CI's Signature Global Advisors, was named Morningstar Fund Manager of the Decade at the Canadian Investment Awards. In other developments during the month, CI Investments Inc. launched Signature Gold Corporate Class, a fund specializing in gold and other precious metals and related securities.

Fee-earning assets at December 31, 2010 consisted of retail investment funds of $71.8 billion and pooled assets of $1.0 billion, as well as assets under administration at Assante Wealth Management (Canada) Ltd. of $22.6 billion, and other fee-earning assets of $603 million.

In December 2010, CI had gross sales of $771 million and net redemptions of $110 million. Redemptions in December were significantly affected by institutional rebalancing and year-end RIF payments. For the year-to-date, CI had gross sales of $9.8 billion and net sales of $1.1 billion.

CI will be reporting its 2011 sales on a quarterly basis, as part of its financial results. CI is scheduled to report its quarterly and annual results for the period ending December 31, 2010 on February 23, 2010.

Additional information about CI's sales, assets and financial position can be found below in the tables of preliminary statistics and on its website, www.ci.com/cix, in the Statistics section. These are the only statistics authorized by CI and CI takes no responsibility for reporting by any external sources.

CI FINANCIAL CORP.
December 31, 2010
MONTH-END STATISTICS

FEE-EARNING ASSETS

Nov. 30/10
(millions)
Dec. 31/10
(millions)
%
Change
Retail assets under management $67,640 $71,776 6.1%
Pooled assets 1,031 1,049 1.7%
TOTAL assets under management $68,671 $72,825 6.0%
Assante assets under administration* 22,256 22,611 1.6%
CI other fee-earning assets 594 603 1.5%
TOTAL FEE-EARNING ASSETS $91,521 $96,039 4.9%

MONTHLY AVERAGE RETAIL
ASSETS UNDER MANAGEMENT
Nov. 30/10
(millions)
Dec. 31/10
(millions)
%
Change
Monthly average retail assets $67,897 $70,192 3.4%

QUARTERLY AVERAGE RETAIL
ASSETS UNDER MANAGEMENT
Sept. 30/10
(millions)
Dec. 31/10
(millions)
%
Change
Quarterly average retail assets $63,528 $68,244 7.4%

FISCAL AVERAGE RETAIL
ASSETS UNDER MANAGEMENT
Fiscal 2009
(millions)
Fiscal 2010
(millions)
%
Change
Fiscal year average retail assets $55,430 $64,546 16.4%

EQUITY

FINANCIAL POSITION (millions)

Total outstanding shares
QTD weighted avg. shares
287,434,257
287,428,789
Debt Outstanding
Cash and marketable securities
$874
(135)
Yield at $22.50 3.7% Net debt outstanding $739
In-the-money options
Percentage of all options
All options % of shares
6,261,890
99%
2.2%
 
Terminal redemption value of funds
 
 
$800
 

* Includes CI and United Financial funds administered by Assante advisors.

ESTIMATED GEOGRAPHIC EXPOSURE OF AUM

Canada

53% Asia 4%
United States 23% Other 4%

Europe

9% Cash 7%

CI FINANCIAL CORP.
December 31, 2010
YEAR-END STATISTICS
YEAR-END
SALES DATA
GROSS SALES
(millions)
REDEMPTIONS
(millions)
NET SALES
(millions)
Long-term funds
Short-term funds
$8,916
$927
$7,829
$900
$1,087
$27
TOTAL RETAIL FUNDS $9,843 $8,729 $1,114

FEE-EARNING ASSETS

Dec. 31/09
(millions)
Dec. 31/10
(millions)
%
Change
Retail managed funds $62,773 $71,776 14.3%
Pooled assets 1,453 1,049 -27.8%
TOTAL assets under management $64,226 $72,825 13.4%
Assante assets under administration* 21,489 22,611 5.2%
CI other fee-earning assets 741 603 -18.6%
TOTAL FEE-EARNING ASSETS $86,456 $96,039 11.1%

CI Financial Corp. (TSX: CIX) is an independent, Canadian-owned wealth management company. CI offers a broad range of investment products and services, including an industry-leading selection of investment funds. CI is on the Web at www.ci.com/cix.

This press release contains forward-looking statements with respect to CI and its products and services, including its business operations and strategy and financial performance and condition. Although management believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from expectations include, among other things, general economic and market factors, including interest rates, business competition, changes in government regulations or in tax laws, and other factors discussed in materials filed with applicable securities regulatory authorities from time to time.


SOURCE CI Investments Inc.

For further information:

Stephen A. MacPhail
President and Chief Executive Officer
CI Financial Corp.
(416) 364-1145


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