Agf Management

Content and Background

American Growth Fund (AGF) is a major player in the Canadian Mutual fund industry, established in 1957 with the original purpose of providing average Canadians a way to invest in the American economy. Since its inception the independent Canadian company has seen significant growth becoming the 7th largest mutual fund company in Canada in terms of Market Share (6.6%) and Net Assets (26.351 billion). The company had only recently started a globalization that resulted in AGF having 42 % of their AUM (Assets Under Management) in Canada and Global each with the remainder in the United States. The company now was a stark contrast to the one in the mid 90’s when they were still relatively small and struggling to keep up with the bigger Canadian Mutual funds giants like the Investors Group based out of Winnipeg. In an effort to consolidate their position AGF merged with 20/20, a company two-thirds the size of AGF. Warren Goldring, the founder and controlling shareholder saw this move as an effort to cement and strengthen their market position in the Canadian economy. In 1995 when the merger went through AGF nearly doubled in size ($7 billion in assets under administration) overnight with John Wood president of 20/20 taking over the duties of president at AGF. The merger was not as smooth as planned but with Wood at the helm the company forged itself into a real contender in the overpopulated Canadian mutual fund industry.

Central Issues and Objectives

AGF as organization set goals to transform into a global powerhouse with a Canadian home. The companies mission and vision is to expand globally and target aggressive growth to keep pace with the larger industry powerhouses not only locally but also on a global scale.

AGF despite all of its success still wasn’t big enough or growing fast enough and this became apparent in 2002 when there was high merger activity in the industry as the big mutual fund players started consolidating their market...