Julie Crothers of Coleford Investment Management is part of Wealth Professional Canada's Portfolio Management Powerhouses 2017
Senior vice-president and portfolio manager
COLEFORD INVESTMENT MANAGEMENT
Years in the industry: 16
Years as a PM: 5
Industry accreditations: MBA
Typical clients: Investors with $2 million or more in investable assets
There are many positives of the information age, but one of the negatives is that patience is a virtue not many people are blessed with. This is something that affects portfolio managers almost every day. Julie Crothers at Coleford Investment Management believes impatience can be overcome, however, as long as one other component is present. “Trust is key for clients,” she says, “but like any other relationship, it takes time to build trust. The big challenge is keeping people focused on the long term, which is challenging when there is volatility and uncertainty in the markets.”
While volatility hasn’t been much of an issue in the North American markets this year, uncertainty is still a big factor. But rather than worrying about hypotheticals or trying to read the future, Crothers instead focuses on being prepared for whichever way the markets turn. “At the moment, we have increased our cash positions because of higher valuations in the market,” she says. “We start off with a capital preservation mindset, so the portfolios are built to withstand any sort of market. What we are concerned most about today is valuations being so high.”
Going overweight in US or Canadian stocks brings with it a certain element of risk, which is what a portfolio manager is trying to reduce. The risk-reward balance needs to be constantly evaluated – after all, a client’s future prosperity is at stake. In Crothers’ opinion, this is an area that needs further involvement by the regulators. “As portfolio managers, we are fiduciaries, so that means placing the clients’ interest ahead of our own,” she says. “I would fully support a move to have the same standard across the industry because it would be good for the clients.”
COLEFORD INVESTMENT MANAGEMENT
Years in the industry: 16
Years as a PM: 5
Industry accreditations: MBA
Typical clients: Investors with $2 million or more in investable assets
There are many positives of the information age, but one of the negatives is that patience is a virtue not many people are blessed with. This is something that affects portfolio managers almost every day. Julie Crothers at Coleford Investment Management believes impatience can be overcome, however, as long as one other component is present. “Trust is key for clients,” she says, “but like any other relationship, it takes time to build trust. The big challenge is keeping people focused on the long term, which is challenging when there is volatility and uncertainty in the markets.”
While volatility hasn’t been much of an issue in the North American markets this year, uncertainty is still a big factor. But rather than worrying about hypotheticals or trying to read the future, Crothers instead focuses on being prepared for whichever way the markets turn. “At the moment, we have increased our cash positions because of higher valuations in the market,” she says. “We start off with a capital preservation mindset, so the portfolios are built to withstand any sort of market. What we are concerned most about today is valuations being so high.”
Going overweight in US or Canadian stocks brings with it a certain element of risk, which is what a portfolio manager is trying to reduce. The risk-reward balance needs to be constantly evaluated – after all, a client’s future prosperity is at stake. In Crothers’ opinion, this is an area that needs further involvement by the regulators. “As portfolio managers, we are fiduciaries, so that means placing the clients’ interest ahead of our own,” she says. “I would fully support a move to have the same standard across the industry because it would be good for the clients.”
