Do What I Say, Not What I Do.


When institutional fund managers, portfolio managers to high net worth clients, and pension funds want to decrease the market volatility and increase their investment return, what do they do? They move money out of the stock market and into private (or exempt) investments.


A great piece in the Investment Executive talks about the shift to assets that are not tied to the stock market. One quote basically sums it all up:

“(Institutional funds) are increasingly looking to the alternatives asset class for long-term assets that are better matched to their liabilities, and less tied to the swings of the stock markets”

When YOUR financial advisor, who may be working for one of these financial institutions, wants to decrease market volatility and increase YOUR investment return, what does he do? I contend that the simple “solution” of transitioning funds to another set of correlated funds that have may have performed better in the short term, is just plain poor advice.

If your financial advisor had an upgraded toolbox, she could reach into it and provide some investments that do NOT mimic the performance of the stock market. Doesn’t that sound like you are taking advantage of all the tools that you have available to you?

Calvin’s Dad: The world isn’t fair, Calvin.
Calvin: I know, but why isn’t it ever unfair in my favor?
– Calvin and Hobbes

The exempt market does not have the marketing power of mutual funds, nor does it have 50,000 sales agents who go out and advise clients to purchase funds. If you are interested in getting in front of qualified advisors who can offer this expanded toolbox of exempt market investments, seek out qualified dealing representatives who work with strong exempt market dealers.  A search tool to find all the exempt market dealers in Canada, can be found here.


Marty Gunderson is an expert who helps companies navigate through the Exempt Market. He has served in a variety of leadership positions in the industry, from sales to issuer to dealer. He is the founder of, a site that highlights a few quality exempt market offerings. To contact Marty, please email marty (at)