SanCap Group holds annual shareholders meeting
On March 25, The Sanibel Captiva Trust Company Founder and Chairman Al Hanser welcomed shareholders, board members, advisory board members and employees to the 20th Annual SanCap Group Inc. Shareholders Meeting by teleconference for the first time since inception. Changes were made to the type of gathering for the well-being of all participants due to COVID-19 protocols.
Hanser opened with the company’s mottos: “Always do the right thing” and “Clients come first.”
“The coronavirus has changed everyone’s lives overnight, but The Trust Company will be just fine,” he added. “Our only concern is for the health and safety of our clients and employees.”
Hanser went on to introduce the names of three new board members making the total 14, which include Jeff Powers of Sanibel, James Watrous of Belleair, and Charles Ketteman of Sanibel – a past board member who was re-elected to serve another term. Recently retired President Richard Pyle was elected as a board member emeritus in appreciation for his wisdom and contributions throughout his tenure.
“Along with our expanding client base, The Trust Company team is growing as well,” Hanser said. “We’ve added 11 truly talented new professionals over the last 18 months, bringing the total to 43 across Tampa Bay, Sanibel and Naples.” He went on to thank each market’s advisory board whose members serve as ambassadors in the community and advisors to that market’s trust company team.
Hanser discussed an in-depth strategic planning effort that took place over 2019-2020. Client survey results helped direct the future of the company’s path, and updated mission, vision and values were accepted representing the state of the company and today’s stakeholders.
Chief Executive Officer Terry Igo presented on the financials, highlighting key points:
– The net profit goal for 2019 was set at $4.7 million when the actual net profit came in at $5.5 million. This represented a 32 percent annualized increase over the past consecutive five years.
– The fee revenue goal was set at $17,754,000 and the actual came in at $18,538,000 representing a 14 percent annualized increase over the last consecutive five years.
– The goal for Assets Under Management (AUM) was set to increase by $175 million, but surpassed that by increasing by $262 million, a 34 percent increase from 2018.This also equated to a 14 percent annualized increase in AUM over the last consecutive five years. AUM was approximately $2.5 billion at the end of 2019.
– $300 million in new business from existing and new clients in 2019 accounted for much of the increase, growing the average account size from $4 million to $6 million.
“The health of The Trust Company is robust,” Igo said. “Even if we experience a prolonged downward turn in the economy due to our present circumstances, we feel confident that The Trust Company will produce a net profit in 2020.”
“Our confidence level in the future remains strong and even in this environment, we are continuing to follow through with our plans by adding key employees that will be a benefit through this situation, and continue to serve clients for years to come,” he added.
Afterward, Chief Investment Officer Ian Breusch expounded on the economy and the company’s investment philosophy and process. He reported on the volatile capital markets.
“The S & P 500 is down 24 percent year-to-date yet Trust Company portfolios held up better than average compared to many funds and ETFs,” he said.
Breusch emphasized how the portfolio management team is evaluating each client’s situation and identifying opportunities for clients in this environment. He also touched on the importance of staying calm and seeing this event through to the other side.
“Our investment philosophy plans ahead for these uncomfortable times in the market, keeping income-producing portfolios relatively steady and allowing clients to continue their lives uninterrupted,” Breusch said.