Strength Through Diversification

2016 Annual Report

Strength Through Diversification

2016 Annual Report

  • Montreal
  • Toronto
  • New York
  • London
  • Los Angeles

Adding Value for Investors and Shareholders Alike

For clients seeking diversification opportunities to help them achieve superior returns, Fiera Capital boasts a unique array of best-in-class traditional and alternative strategies, including an expanded suite of private alternative investment solutions.

The sheer depth of our offering – more strategies, more platforms, enhanced distribution channels, and a growing global footprint that now extends to markets in North America, Europe and beyond – provides clients with myriad opportunities to expand their investment horizons.

Looking to the future, our shareholders also stand to benefit from continued growth and diversification as we strive to add value and deliver outstanding results.

2016 Financial Highlights

15%YEAR-OVER-YEAR AUM GROWTH

Reaching $116.9 billion

$58.1B
$77.5B
$86.6B
$101.4B
$116.9B
2012
2013
2014
2015
2016
  As at December 31, 2016 As at December 31, 2015
ASSETS UNDER
MANAGEMENT
$116.9B $101.4B
For the 12 months ended
December 31, 2016
For the 12 months ended
December 31, 2015
Revenues $344.1M $258.4M
Adjusted EBITDA1 $107.2M $84.8M
Net Earnings2 $20.8M $27.6M
Adjusted Net Earnings $95.2M $70.9M
1 Excludes non-cash compensation, acquisition and restructuring related costs.
2 Attributable to the Company’s shareholders.

ADJUSTED NET EARNINGS PER SHARE (BASIC)

$0.55
$0.74
$0.97
$1.01
$1.25
2012
2013
2014
2015
2016
*15 months in fiscal 2012 due to fiscal year change.
CAGR 17.2% Q5-2012* Q2-2013 Q4-2013 Q2-2014 Q4-2014 Q2-2015 Q4-2015 Q2-2016 Q4-2016
Quarterly Dividend
Declared per
Participating Share
$0.09
$0.10
$0.11
$0.12
$0.13
$0.14
$0.15
$0.16
$0.17
*Q5 2012 ended December 31, 2012, due to fiscal year change.

AUM per Asset Class

(as at December 31, 2016)
AUM per Asset Class AUM per Asset Class AUM per Asset Class AUM per Asset Class AUM per Asset Class

Asset Class

  • FIXED INCOME
  • CANADIAN AND GLOBAL EQUITY
  • ALTERNATIVE STRATEGIES
    AND ASSET ALLOCATION

AUM per Client Type

(as at December 31, 2016)
AUM per Client Type AUM per Client Type AUM per Client Type AUM per Client Type AUM per Client Type

Client Type

  • INSTITUTIONAL
  • RETAIL
  • PRIVATE WEALTH

AUM per Geography

(as at December 31, 2016)
AUM per Client Type AUM per Client Type AUM per Client Type AUM per Client Type ASG par catégorie de clients

Geography

  • CANADA
  • UNITED STATES
  • EUROPE AND OTHER
TSX:FSZ
24%
INCREASE IN ADJUSTED NET
EARNINGS PER SHARE
33%
INCREASE IN
TOTAL REVENUES
$8.3B
IN NEW MANDATES
WON IN 2016
5
STRATEGIC
ACQUISITIONS
26%
YEAR-OVER-YEAR INCREASE
IN ADJUSTED EBITDA
Unless otherwise indicated, all dollar figures are expressed in Canadian dollars.

Increasing Our Global Footprint

Headquartered in Montreal, Fiera Capital has offices in Toronto, Calgary, Vancouver and Halifax, as well as New York, Boston, Los Angeles, San Francisco and Dayton in the United States, London in the United Kingdom and Isle of Man as well as Frankfurt in Germany.

The firm has more than 600 employees, including some 160 investment professionals.

Increasing Our Global Footprint

Message from the chairman of the board and chief executive officer

Maintaining Our Focus on Performance

Jean-Guy Desjardins

Jean-Guy Desjardins

Chairman of the Board and
Chief Executive Officer

The year 2016 was transformative for Fiera Capital. We further strengthened and diversified our firm, leveraging our leadership position in Canada while increasing critical mass in the key U.S. marketplace and gaining a strong foothold in Europe.

What is truly remarkable is that we were able to accomplish all that and more from a strategic perspective, while delivering another robust financial performance and launching a number of innovative strategies that affirmed Fiera Capital’s leadership in the flourishing alternative investments space. As well, we clearly demonstrated our ability to raise capital by capturing significant inflows from new clients in North America.

Year in Review

  • Innovative Investment Solutions

    Fiera Capital has continually added to its line-up of innovative products and strategies designed to provide investors with complete investment solutions and superior risk-adjusted returns. Our objective is to provide investors with made-to-measure solutions encompassing the full spectrum of traditional and alternative asset classes that will help them achieve optimal performance at an appropriate level of risk.

    ASSET ALLOCATION

    • BALANCED MANDATES
    • OVERLAY STRATEGIES
    • ADVISORY
    FIXED INCOME STRATEGIES
    Money Market High Yield
    Short-Term Bonds Global Fixed Income
    Corporate Bonds Term Loans
    Long-Term Bonds  
    Infrastructure Debt  
    Aggregate Universe Bonds  
    Tax-Efficient Bonds  
    Preferred Shares  
       
    EQUITY STRATEGIES
    Canadian Equity U.S. Equity Small and Mid
    High Income Equity Emerging Markets
    Low Volatility Frontier Markets
    Small Capitalization  
    Micro Cap  
    Global Equity  
    International Equity  
    U.S. Equity  
       
    ALTERNATIVE STRATEGIES
    Real Estate Long/Short Equity
    Infrastructure Income Opportunities
    Agriculture Fund of Hedge Funds
    Private Lending Emerging Market
    Neutral Equity
    Commercial Real Estate
    Debt
    Short-Term Arbitrage
    Residential Loans Global Macro
    Multi Strategy Income Private Equity
    Market Neutral Equity
       

    MULTI-ASSET-CLASS SOLUTIONS

    • LIABILITY-DRIVEN
      INVESTMENTS
    • SYSTEMATIC
      SOLUTIONS
    • CURRENCY
      HEDGING
  • Leveraging Our Leadership

    Fiera Capital’s continued rapid growth and expanding global footprint prompted the firm to adopt a decentralized corporate structure that was introduced in late 2015 and fully implemented over the course of 2016. The aim was to create a scalable organizational model that remains intensely client-focused while ensuring that decision-making remains relevant and close to the respective markets served.

    Today, Fiera Capital is led by a global leadership team that oversees three distinct divisions in North America as well as a newly established European platform, each focused on serving its geographical market and distinct client base.

    Leveraging Our Leadership
    Leveraging Our Leadership
  • Leading in Private Alternative
    Investment Strategies

    Today, the firm offers a broad spectrum of best-in-class private alternative strategies that provide exceptional opportunities for increased diversity and state-of-the art asset allocation. Private alternative solutions focused on real estate, infrastructure, private lending and, beginning in 2017, agriculture and private equity – sectors which customarily have been difficult for many investors to access – enable clients to address their capital-appreciation and income objectives while enjoying a measure of protection against inflation.

    • Fiera Properties
    • Fiera Infrastructure
    • Fiera Private Lending
    • Fiera Comox