mb magazine business - 19 may issue

How To Create A Business

Vancouver Property Assessments

Growth Foundations for Canada

ProfileShaun ChenProfileShaun Chen

ISSUE 19 | MAY 2016

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ST. JOHNS , YOULL BE

GLAD YOU DID.

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EDITOR'S NOTEDear Readers,

Pilgrims have a favorite part of the Easter story. Youd think it might be the arrival at the tomb by the women or by the two disciples; tombs have historically been the endpoint of religious pilgrimages. But for most pilgrims, its later on Easter Sunday, with two obscure disciples walking away from Jerusalem for an unnamed reason. The resurrected Christ appears, but they dont recognize him. Its only after their encounter, as Jesus vanishes, that they start to understand Easter. Its only after their journey that they recognized its significance: Were not our hearts burning within us, they asked each other, while he talked with us on the road?

We got an incredible response from our readers with our last edition. The readers gave positive responses on the articles Create Success, Auto Show and You Can Never Succeed. They also appreciated the redesigned layout and the new ideas. We also received overwhelming feedback regarding last issues cover.

In May, we are thrilled to have Sissi Wang back in our pages with another article Four ways to make tax time less painful for small business. Its not an Easter article per se, but it reminded me of that Emmaus journey, mixing pain, joy, and hope.

Our Facebook group is going well so far. Thanks to everyone who has joined in already. We ran into some spam issues with Facebook, so if you didnt get an invitation yet, please email us at [email protected] or call us at 1-866-667-1377. Were truly eager to share awe and wonder with you more often than once every month!

Sincerely,Editor In Chief,Aurora Zabala.

Publisher MB EnterprisesEditor-in-chief Aurora Zabala

Senior EditorPeter Z. Vaisey

Managing EditorsSteve Montgomery

DesignCynthia Tolson

A. KhanZ. Zaidi

Production, Technology & PrintSimon Wilson

R.J

AdvertisingS. Hassan

Shoeib Kamal

AdministrationAlamdaar Hussein

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MB Business Magazine is a monthly issuebusiness magazine published byMB Enterprises Ontario,Canada.

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Contents Copyrights 2016 byMB Enterprises, may not be reprintedwithout written permission.

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CONTENTSHow to Create a BusinessPunctuality, Relationships, Planning, Execution, Results.

Teamwork and SuccessGroup Effort Is More Effective Than Individual Effort

Small BusinessAt the mercy of political red tapes.

Vancouver PropertyAssessments go through the roof

MB GlobalThat add value to your business.

Life MarketSolid growth foundations for Canada.

ProfileShaun Chen - MP Liberal Party.

Why St. John'sBeing the most easterly point in North America.

05

06

07

08

10

12

15

16

Four ways to make tax time... Dont't leave tax planning to the last minute

World Interest RatesCentral banks tend to rise rates when the economy is growing

Ernie HudsonGhostbusters, The Crow, Hollywood and humanity

MoviesFive anticipated movies of the summer

Men Get NaughtyAt the age of 40 - Be Careful!

Quit Your Job And TravelWhy i don't tell people

DepressionWhat causes depression

ClassifiedBusiness Ads

17

20

22

27

28

29

30

73

IMAGINATIVESOLUTIONSTHAT REINVENT BUSINESS

ATM SolutionsCard SolutionsMobile SolutionsAccount ProcessingInternet Banking SolutionsAutomated Clearing House

OUR SERVICES

Rewards & Loyalty SolutionsPayment Network & SwitchesBusiness Intelligence SolutionsInformation Management SystemsCredit & Debit Processing SolutionsElectronic Billing & Payment Solutions

1-866-667-1377 [email protected]

www.mbeforyou.com

For all business inquiries

ABOUT USMB Global is a software house and IT firm that specializes in providing financial technology solutions to enterprises and firms worldwide.

We serve more than 10,000 clients worldwide with the vision of becoming the largest provider of information technology services to the financial services industry.

04

The meaning of a Business is to make

space in the premises and to save and

create revenue. Is there anyone that is

thinking about why you have not achieved

your goals and why you are not at a point

in life where you are satisfied? There are

some major factors that a person needs to

follow and work upon diligently. The

following points will help you create stability

in your life and help you achieve the

success you have been striving for.

1. Punctuality

2. Relationships

3. Planning

4. Execution

5. Results

Punctuality: If you are working you have to

dedicate yourself to what time you will start

the work and how you will mange the day

effectively. Never delay the work for

tomorrow because tomorrow never comes.

Procrastination will always let you do down

and will not help you get anywhere in life. If

this is a problem one must rectify it in order

to produce maximum person efficiency.

Another tip to fix yourself is what time you

are starting your job. If you are always early

you will be the best performer. If you are on

time you will go to the next level and if you

are late than you are just passing time

in life.

Relationships: Finding strong, trustworthy

and lasting relationships are a major key

towards success. If you find that you are

not able to convey your message to your

own family and feel the need to hide

information from them then you must fill this

gap. Along with family it is also vital to

create strong bonds with your colleagues

at work. If your colleagues do not trust you

and do not respect you then you will never

be able to achieve anything with them.

Planning: Planning is very similar to

organizing data. For example; if you are

working in an office then every day you will

learn something new and it is your

responsibility to compile this new

information and data you are receiving. The

example I always give to my marketing

team is that if you are meeting new people

every day consider this as gathering data.

This data if you compile and follow up on

properly you will be able to achieve the

results you have set out to achieve.

Execution: Execution is vital in our

everyday lives and work places. In my eyes

execution refers to planning a strategy and

delivering upon it. For Example:

Whoever is reading the article everyone is

executing one thing. Executing a plan can

be as simple as driving to somewhere.

When you sit in the car you map out a

direction and use this to reach from point A

to point B. Every single person has the

ability to achieve what they set out to as

long as they have a proper plan and

strategy for execution.

Results: In the field of marketing you will

always hear about how you have to collect

both nos and yes. One of those is seen

as a positive result and one is seen as a

failure. In my world both of them are your

results. So never be sad when you fail

because it is a part of learning. When you

start something never leave it incomplete in

the middle. If you take it to the end you will

always learn something and will never be

depressed.

My message to you today is, when you

dream about something and make a plan

to achieve it you have to take it all the way

till you have achieved success without

giving up.

Courtesy: MANSOOR NAQVIPresident MB Enterprises

How to create aBUSINESS

RESULTSRESULTS

PUNCTUALITYPUNCTUALITY RELATIONSHIPSRELATIONSHIPS PLANNINGPLANNING

EXECUTIONEXECUTION

MB BUSINESS MAGAZINE MAY 2016

05

Working as part of a team is an essential

part of character building. It is not an easy

task building a team and managing a team.

When building a team one must first set

themselves as an example to follow.

When it comes to working as a team there

must be no excuses and one must be

willing to step above and do the job

whenever they are required. The

development of a team comes with time

and effort and a developed team can take

upon any task that they are presented with.

Group Effort Is More Effective Than Individual Effort

Small business ventures can be

run independently,

however if

you are ever trying to expand your

business and move on to the next level

having a strong core team is very

important. The most impressive feats are

accomplished by groups of people, not

individuals.

Leadership

The purpose of a leader is to work with the

people to find solutions that work best

collectively. Leaders bring people together.

The best leaders dont act with a sense of

superiority or try to patronize the people

working for them; they act like a father.

Improving Others = Improving Yourself

If you are working as a team the people

around you in the team will try and emulate

you. If you work hard and set the bar high,

then others will follow this example. Most

people also have a competitive spirit and

this is fueled more when they see others

around them succeeding. So if you set a

good example for the team they will follow

you. This will work both ways as it will also

inspire you to do better in order to be a

good example for others.

Attitude Matters

You should be the kind of person who

wants to be a team player. People respect

the ability to work well with others more

than anything. Your individual actions have

an impact, but if youre reluctant to do

something to help your team, itll have a

negative impact on whatever task you are

trying to complete

Dont Ever Think There is No Team

The amount of work you put in with your

team will directly result in more success.

And always remember: the success of

your team is your success.

Why I Don't Tell People 'QuitYour JOB ANDTRAVEL'

TEAMWORK andSUCCESS Courtesy: MAHMOOD NAQVIVice President MB Enterprises

06MB BUSINESS MAGAZINE MAY 2016

Liberal Party of Canada recently suggested

that while small businesses should indeed

be paying a lower corporate tax rate, the

rules should be tweaked to ensure that

wealthier Canadians dont use the lower

rate simply to reduce their tax bills. The

suggestion precipitated howls of outrage

from other political parties and business

advocacy groups. But liberals comments

invite debate on a broader issue: Is it time

to abolish the preferential rate altogether?

The small-business deduction reduces the

federal tax rate on the first $500,000 of

annual business income earned by a

Canadian-controlled private corporation (or

by an associated group of such

corporations), provided taxable capital

does not exceed $10-million. The federal

small-business rate is 11 per cent, and the

general federal rate is 15 per cent, a

four-percentage-point differential.

The 2015 Canadian federal budget last

year announced a further

two-percentage-point decrease in the

small-business rate (to 9 per cent) to be

phased in over four years. The New

Democrats have also proposed a

9-per-cent small-business rate, and the

Liberals also seem comfortable with the

general concept of a lower rate. Rarely has such a simple issue been misunderstood by so many.

It is true that many small businesses have

only one or two employees (including, for

example, professionals who may

incorporate primarily to avoid personal

taxes and access the lower corporate

rates), and that an incorporated small

business may benefit from income splitting

and other tax-planning arrangements.

It is also true that there is no tax rule

requiring that savings from the lower rate

be invested in the business. However,

Industry Canada estimates that 70 per cent

of Canadas non-government labour force

is employed by small businesses, and so

surely a few percentage points of tax (and

a bit of tax planning by wealthier

Canadians) is a small price to pay to

encourage job creation and economic

growth. Or is it?

Based on Department of Finance

estimates, the existing four percentage

point differential reduces annual federal tax

revenue by more than $3-billion. If the small

business rate is further reduced to 9 per

cent, the annual cost will be more than

$5-billion. This is a significant cost that

other taxpayers must bear, and there is little

if any economic evidence supporting the

proposition that the lower tax rate

contributes to job creation in any significant

way.

This is not surprising: A small business that

takes full advantage of the lower rate this

year would save just $20,000 (4 per cent

of the $500,000 limit), hardly a springboard

for business expansion. But with close to

700,000 small businesses claiming the

lower rate, the aggregate cost is significant

indeed.

Britain faced a similar problem. In 2006, its

general corporate rate was 30 per cent,

versus a small profits rate of 19 per cent.

The 2007 budget announced a reduction

in the general rate and an increase in the

small profits rate, to reduce the differential

between incorporated and unincorporated

businesses, and to discourage individuals

from incorporating as small companies to

avoid paying their due share of tax. In April

of this year, Britain repealed the small

profits rate altogether, and all British

corporations are now taxable at the general

rate of 20 per cent.

There is no doubt that small businesses

are critical to job creation and economic

growth in Canada. But it is precisely

because they are so critical that it is

important that tax incentives be as targeted

and effective as possible. The

small-business rate is neither, and it is time

to stop spending billions of dollars of our

federal taxes every year on a program of

such dubious merit.

The Canadian economy small

businesses included would be better

served by a complete repeal of the lower

rate, replaced by targeted measures such

as tax credits and accelerated deductions

for capital expenditures by small business.

Small Business at the mercy

of POLITICAL RED TAPES Courtesy: ALLAN LANTHIER


07

Assessed values of both Vancouver east

and west side single-family properties

climbed dramatically over the past year,

according to B.C. Assessment.

It released its annual assessment figures

January 4 and it provided a few examples

of some individual assessments including

one for an East Side, single-family, 33-foot

lot, which jumped by 28% from $993,000

to $1,267,000, and one for a West Side,

single-family, 33-foot lot that rose by 23%

from $1,575,000 to $1,940,000.

Assessed values for strata properties didnt

grow nearly as significantly. In one example

provided by B.C. Assessment, a West

Side low-rise strata unit increased by 8%

from $615,000 to $662,000, while the

value of an East Side high-rise strata

increased 6% from $381,000 to

$405,000.

The real standout [in Vancouver] this year

would be the market movement for

single-family properties. You would

probably have to go back if you went

back to 1980, theres probably only two or

three other times when single-family

properties in Vancouver have moved by

this much this quickly, Jason Grant,

regional assessor for B.C. Assessment,

told the Courier.

What really contrasts this year as well is

the strata market would really be down in

that five to 10% range, so its not moving

the same amount. Its a significant contrast

this year.

Grant added that in any given year there

might be extreme pockets of movement,

but whats notable this year is that the

assessed value of the majority of

single-family properties across Vancouver

climbed by between 15 and 25% and

some in excess of that figure.

The fact many East Side residential

properties, on a percentage basis,

outperformed West Side ones also doesnt

happen very often, he said.

Property owners should note that the

assessment roll reflects market values as of

July 2015 and the value of many

single-family properties have grown in

some cases significantly since then.

So the other big difference this year is

people might open their assessment and

its reflecting July values and their values

might have risen fairly dramatically since

then depending on whereabouts theyre

located. That also doesnt happen very

often to that degree, Grant said.

Vancouver propertyassessments go

THROUGH THEROOF Courtesy: NAOIBH OCONNOR


B.C. Assessment sent 37,000 warning

letters, in a province of more than

2,000,000 property owners, advising of

extreme changes in assessments that

is, if a propertys assessed value was going

up more than 15% above the typical for the

taxation jurisdiction.

Grant said 22,000 of those letters went to

property owners in the Greater Vancouver

region.

If the typical was 25% in a particular

jurisdiction, we would send letters to

people who went up 40% or above, he

explained. You probably wouldnt get a

letter in Vancouver unless you were going

up more than about 40%. If youre in the

20 to 30% range or the 25-35% range that,

believe it or not, is fairly typical.

Assessments for single-family properties in

many Lower Mainland communities

including North Vancouver, West

Vancouver, Burnaby, Tri-cities, New

Westminster and Squamish also saw large

assessment increases in the 15 to 25%

range, but assessed values of single-family

and strata properties outside the Lower

Mainland didnt grow as much. They

ranged from 0-10%.

Overall, the Greater Vancouver regions

total assessments increased from $546.7

billion in 2015 to $636.2 billion this year.

Assessments are in the mail this week, but

they can be found online already. B.C.

Assessments e-valueBC service went live

January 1.

Its been overhauled since last year. Now

its map-based, so you dont have to know

the address of a property you can

simply click on it. The site allows users to

check other properties assessed values

and compare them to their own.

Typically, only 1-2% of property owners ask

for a review of their assessment, a figure

that usually doesnt change even in years

where assessment values rise significantly.

A notice of appeal must be filed by

February 1.

Grant said changes in assessments dont

automatically translate into a corresponding

change in taxes.

Its going to depend on where you are

relative to the average, he said.

So, what should property owners expect next year?

We are already, believe it or not, six

months in towards our next valuation cut

off of July 2016 and the market has moved

significantly already since July. So if it

keeps on this trajectory, there will be an

increase again next year for 2017,

Grant said.

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09

MB Global is a software house and IT firm

that specializes in providing financial

technology solutions to enterprises and

firms worldwide. We serve more than

10,000 clients worldwide with the vision of

becoming the largest provider of

technology solutions to the financial

services industry.

At our heart, we are a company with an

inventive and forward thinking approach,

our services extend beyond financial

solutions and our portfolio incorporates

services such as Information Management

Systems and Intelligence based IT

Solutions for a wide variety of institutions.

Rewards & Loyalty SolutionAt MB Global, we design our rewards

programs to suit your objectives; theyre

built to increase revenues and enable you

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Branchless BankingConsidering the needs of our valuable

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E-CommerceE-Commerce is revolutionizing the market

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Mobile SolutionsStaying on the edge requires delivering the

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Payment Networks and SwitchesMB Global hosts a leading payments

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MB Global is a software house and IT firm

that specializes in providing financial

technology solutions to enterprises and

firms worldwide. We serve more than

10,000 clients worldwide with the vision of

becoming the largest provider of

technology solutions to the financial

services industry.

At our heart, we are a company with an

inventive and forward thinking approach,

our services extend beyond financial

solutions and our portfolio incorporates

services such as Information Management

Systems and Intelligence based IT

Solutions for a wide variety of institutions.

Rewards & Loyalty SolutionAt MB Global, we design our rewards

programs to suit your objectives; theyre

built to increase revenues and enable you

to direct business growth the way you

choose.

Branchless BankingConsidering the needs of our valuable

clients MB Enterprises have mounted the

milestone for easy access to financial

services without the hassle of visiting the

branch.

Card PersonalizationBy using our customized card

personalization solutions, banks and other

institutions can offer customized and

dynamic cards to their consumers on EMV

or non-EMV

E-CommerceE-Commerce is revolutionizing the market

and giving businesses the opportunity to

open up their doors to a global base of

clients instead of operating locally. MB

Global works with firms to design

E-commerce platforms that fit their needs.

Mobile SolutionsStaying on the edge requires delivering the

latest in mobile technology in todays fast

paced world. More customers' access

markets over smartphones & are

increasingly looking forward to mobile

based solutions.

Payment Networks and SwitchesMB Global hosts a leading payments

network that enables financial institutions

to open multiple channels for their

customers to access their funds, make

purchases online and send and receive

money in real time and stay financially

connected any place, any time.

Electronic Billing & Payment SolutionsWith a considerable shift in the way

people, process transactions, we see

billions of transactions shifting from paper

to electronic in the next few years.

Electronic Billing & Payment Solutions for

MB Global can help you meet the

demands of todays customers and enable

you to keep a competitive advantage.

Bank Intelligence SolutionsBank Intelligence Solutions for MB Global

use information from existing and new

sources to develop an intelligent solution

that foresees and predicts market changes

by analysing current and past trends. Our

intelligence solutions enable you to make

the right financial

decisions for your firm.

Information Management SystemsInformation Management Solutions from

MB Global help you collect, organize and

manage data from multiple sources across

your organization to help you control

expenses, generate more revenue and

manage your day to day operations in a

better way.

Account Processing SolutionsAccounts Processing Solutions from MB




Card SolutionsCard Solutions for MB Global provide

complete debit, credit, prepaid and ATM

payment services to financial institutions.

ACH SolutionsWhether you're a new start-up or a large

financial institution, we offer effective and

sensible automated clearing house (ACH)

solutions.

ATM SolutionsAccounts Processing Solutions from MB




Online Banking SolutionsOnline Banking Solutions for MB Global

empowers you to improve the banking

experience of your clients by adding

convenience and easier accessibility.

Credit and Debit SolutionsWe combine inventiveness, superior

performance and remarkable service to

offer everything you need for a successful

full-service payment card program.

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11

Despite historic low interest rates, there are

several factors expected to drive growth in

the Canadian life insurance market by

2018 including insurers' strong capital

base and innovative product development

Rising employment and increased

consumer confidence, together with

insurers in Canada adopting innovative

pricing and risk-averse strategies for their

products, mean the gross written premium

of the Canadian life segment is expected

to increase from CAD53.4bn ($43.4bn) in

2013 to CAD63.6bn by 2018.

This is one of the highlights from the

Timetric report, Life Insurance in Canada,

Key Trends and Opportunities to 2018,

which is available at the Insurance

Intelligence Center.

Life insurance is the largest segment in the

Canadian insurance industry, accounting

for 39.8% of its gross written premium in

2013. It is also the most developed

segment, with a penetration rate of 2.3% in

2013.

However, the segment posted a

compound annual growth rate (CAGR) of

-0.2% during 2009-2013 to reach a value

of CAD53.4bn in 2013. The segment's

decline was associated with prolonged low

interest rates, rising levels of household

debt and weak economic development.

Looking ahead to 2018 though, the main

factors expected to drive growth in the

Canadian life insurance market include:

Strong capital base of insurers

Revised eligibility criteria for old age securit

Innovative product development

Increasing life expectancy

Strong capital base of insurers:

The Canadian life segment is open to

foreign insurers and therefore has access

to capital from foreign sources. The

minimum continuing capital and surplus

requirement (MCCSR) ratio (which

measures an insurer's capital strength)

among Canadian life and health insurers

stood at 242% in 2013 - significantly above

the minimum requirement from the Office of

the Superintendent of Financial Institutions

(OSFI) in Canada of 150%.

A sufficiently-capitalized life insurance

segment is expected to present a stable

performance with minimum systematic risk

over 2013-2018.

Revised eligibility criteria for old age security:

The government has increased the age

eligibility criteria for old-age security (OAS)

and guaranteed income supplement (GIS)

benefits from 65 to 67 years, with effect

from April 2023.

The change will enable individuals to plan

retirement solutions in advance and

encourage insurers to launch products to

suit customers' needs.

Innovative product development: Demand

for products has changed with the

changing economic environment, with

insurers introducing customized policies to

suit customers' needs.

For example, Manulife Financial

Corporation launched Manulife UL in May

2014, a universal life plan which provides

both life insurance and investment benefits.

Under this plan, the insurer can select the

level cost of insurance and a yearly

renewable term. Customers can choose

between a professionally managed

balanced fund and customized investment

option.

Increasing life expectancy: A World Health

Organization report states that the life

expectancy for men in the country

increased from 74 years in 1990 to 80

years in 2013, while for women it rose from

81 to 84 years.

Rising life expectancy is expected to

contribute to the Canadian life segment's

growth over 2013-2018.

There are also several challenges facing

the Canadian life insurance market. These

include:

A persistent low interest rate

Increase in underwriting losses

Solid growth foundationsfor Canadas

LIFE MARKET Courtesy:RONAN MCCAUGHEY


A persistent low interest rate:

The benchmark interest rate has remained

at 1% since 2010. However, the Bank of

Canada's initiative to stimulate economic

recovery had a negative impact on life

insurers' earnings during 2009-2013.

According to the IIC, insurers are suffering

from reinvestment risk as assets are

reinvested at lower interest rates, yielding

lower returns. Consequently, insurers will

find it hard to sell new policies when

promised returns will diminish.

Increase in underwriting losses:

Canadian life insurers are suffering from a

reduction in income due to low interest

rates coupled with underwriting losses due

to a high combined ratio.

The combined ratio of the life segment rose

from 98.1% in 2009 to 118% in 2013 due

to a rise in commission and expenses. The

combined ratio is expected to remain at

more than 100% between 2013 and 2018,

which is likely to put pressure on the overall

earnings of life insurers.

A.M. Best notes that despite the continuing

low interest rates and a lagging economic

recovery, the Canadian life industry's

overall profitability increased in 2013 for the

third straight year.

The ratings agency said the industry

benefited from strong equity market returns

and a benign credit environment, as well as

self-directed actions such as re-pricing

products and focusing more on fee-based

income.

According to A.M. Best, the Canadian l life

insurance sector continues to benefit from

solid risk-adjusted capitalization,

risk-focused decision making by

management, improved earnings with low

credit impairments, strong growth in assets

under management and an ongoing focus

on wealth management.

In a report titled Canada's Growth Offsets

Turbulent Industry Climate, A.M. Best said:

"While continuing to concentrate on

investments, life insurers have reinvested

organically as well as through acquisitions

in chosen growth areas. Reduced leverage

and refinancing of existing debt also have

been positive rating factors for the

industry."

Consumer segmentation

Individual life products dominated the

Canadian life insurance market with 95.5%

of the volume of products in 2013,

according to the IIC.

Group life products accounted for the

remaining 4.5%. However, in terms of

gross written premium, individual life

insurance accounted for 80.8% of the

overall segment, while group life accounted

for 19.2% in 2013.

To target the individual segment, Forresters

Life Insurance Company introduced Family

life, a whole life insurance product in April

2013 which offers customized financial

protection to policyholders.

As a participating policy, the plan provides

dividends to the insured that can be used

to increase cover, decrease premiums, or

can be received in cash.

The policy provides built-in children's term

insurance, a quit-smoking incentive and

convenient pay periods. A recent fall in the

unemployment rate is also encouraging for

life insurers in Canada.

Distribution

The Canadian insurance distribution

network has undergone a shift during the

last two decades, with the advent of new

distribution platforms and the internet.

During the 1980s and 1990s, all Canadian

life insurance policies were sold by captive

agents. Some firms such as State Farm,

Co-operators and Primerica still distribute

life policies through captive agents.


13

Aside from selling life insurance products

directly to customers, distribution channels

such as brokers, banc assurance,

agencies, ecommerce and others enabled

life insurers to generate new businesses in

2013.

Agencies were the largest distribution

channel for the life segment with 61.3% of

the new business gross written premium in

2013.

The number of agencies rose from 9,515

in 2009 to 10,423 in 2013, as they have

close relationships with insurers and

pension providers, and operate in insurers'

interests.

However, the number of policies sold

through agencies fell from 6.8m in 2009 to

6.3m in 2013, due to the emergence of

new cost-effective distribution channels

such as e-commerce. Furthermore, the

share of agencies is expected to decline to

60.7% by 2018.

Brokers were the second-largest

distribution channel, accounting for

32.5% of the new business gross written

premium in 2013.

The number of policies sold through

brokers fell from 3.8m in 2009 to 3.4m in

2013; however the number of brokers rose

from 18,356 in 2009 to 19,600 in 2013,

driven by the performance of the life

segment during the review period.

Direct marketing was the third-largest

distribution channel in 2013 in terms of

new business gross written premium.

Unlike Europe, where bancassurance is

well developed, Canada has a strict

demarcation between banks and life

insurers. Even banks that own life

insurance businesses are not permitted to

actively promote products.

This restricts Canadian banks from using

their client databases to cross-sell

insurance.

However, the number of bancassurance

channels rose from 54 in 2009 to 64 in

2013.

Regulation

Canada is a federal state consisting of 10

provinces and three territories. The

Canadian insurance industry is regulated

on both federal and provincial levels.

In addition to the federal insurance

regulator, OSFI, there are regulators for

each province and territory.

However, in order to maintain uniformity in

insurance regulation across Canadian

provinces and territories, an

interjurisdictional association of insurance

regulators called the Canadian Council of

Insurance Regulators (CCIR) was set up in

1914.

The regulatory frameworks at the federal

and provincial levels differ. A company

operating in more than one province is

regulated by the federal regulation, but it

has to obtain a licence in each province in

which it carries out the insurance business.

OSFI also regulates the established foreign

insurance companies and the branches of

foreign insurers licensed to conduct

insurance business in Canada.

In order to strengthen the existing

regulatory framework for federally regulated

life insurance companies, OSFI released

the new Life Insurance Regulatory

Framework in September 2012.

The new framework proposed many

changes in the existing regulatory

framework, which are to be implemented

over a period ending 2016.

Through the issued regulatory framework,

the OSFI is seeking feedback and

consultation from various stakeholders.

The proposed regulatory initiatives are

expected to overhaul the existing life

insurance regulatory framework in the

country in terms of corporate governance,

risk management and capital requirements

of life insurance companies operating in the

country.

Competitive landscape

Canada's life segment is dominated by

domestic insurers. The segment is highly

concentrated, with the 10 leading

companies accounting for 97.1% of the

segment's gross written premium in 2013.

Manulife Financial dominated the segment

with a 36% share in 2013, and the three

leading operators, Manulife Financial,

Great-West Life and Sun Life Financial,

collectively accounting for 87.7% of the

segment's total gross written premium.

Maintaining market share for leading

companies is challenging, and requires a

constant focus on cost-efficiency and

product innovation.

Low interest rates and volatile

equity-market conditions are also

prompting companies to re-examine their

product and pricing strategies.

Manulife Financial, Great-West Life, Sun

Life and Standard Life recorded declines in

investment income in 2013 compared to

2012.

Overall, the future growth prospects for the

segment will depend on insurers' approach

to issues, such as streamlining cost

structures and focusing on consumer

behaviour.


SHAUN CHENMP Liberal Party

Named by Maclean's magazine as one of "100 young

Canadians to watch," Shaun Chen is a prolific community

leader who has articulated with passion the voices of his

generation a characteristic he will continue as representative for

Scarborough North.

A lifelong advocate

for children and

youth, Shaun was

first elected to the

Toronto District

School Board

(TDSB) in 2006 as

Trustee for ScarboroughRouge River. As Trustee, Shaun

championed programs to support newcomers, launched an

annual tree planting

initiative in the Rouge

Park, and initiated a

popular leadership

training program for

parents. In 2014,

Shaun was elected

Chair of the TDSB on

a pledge to restore

transparency

and accountability at Canada's largest school

board. He has served as director of the

Ontario Public School Boards'

Association and member of the City

of Toronto Children's Services

Advisory Committee, where he

worked to support a multi-year

strategy to expand Toronto's child

care system.

Shaun holds a BSc in Computer

Science and Equity Studies and an

MA in Sociology in Education from

the University of Toronto, and is

currently a PhD student in Social

Justice Education at the Ontario

Institute for Studies in Education.

15

For starters, we have our very own time

zone. In Canada, the sun rises first on

Newfoundland and Labrador. Were the

closest province to Europe, which means

St. Johns harbour is a safe haven for

transatlantic travelers and a bustling

commercial port. Were the youngest and

coolest province in Canada, home to the

oldest street in North America, and weve

been welcoming adventurers from all

corners of the world for over 500 years.

A city rich in culture, we honour tradition

while embracing eclectic sophistication.

When in St. Johns, you hear your fair

share of tall tales and yarns, and thats not

all. As you walk through the winding

alleyways of our vibrant downtown, youll

encounter fashionistas, chefs, musicians,

and more, all elements of a colourful

tapestry of experiences unfolding before

your eyes.

Thirsting for adventure? Its easily

quenched by skirting the dramatic coastline

on foot, or enjoying a day on a boat on the

bay having close encounters with

humpback whales, puffins, or icebergs

(and maybe all three!). Beautiful vistas,

unique culinary pleasures, and unique

architecture are just tiny slices of an urban

experience that will feel like no other. But

its the colourful characters who are most

memorable, in a place where strangers

quickly become friends, and the local

vernacular has you smiling and scratching

your head all at once. Performances

abound: sing along. Toe tapping is

welcome.

Conferences,

conventions, meetings,

events with superb

facilities and amenities,

and a knack for

hospitality that cant be

beat, St. Johns is an

excellent choice, one of

the best in the world!

Heres something that

might surprise you:

those who attend conferences in St.

Johns tend to travel with more people and

stay longer, on average, than when they

travel to other destinations. St. Johns

hosts an average of 95 conferences per

year.

"Colourful experiences. Colourful

characters. Colourful encounters. Make

your destination St. Johns - youll be glad

you did."

WHYST. JOHNS ?Colourful Experiences.Colourful Characters.Colourful Encounters.BEING THE MOST EASTERLY POINT IN NORTH AMERICA HAS ITS ADVANTAGES.

Courtesy:ERUM ASGHAR


Ian DiNovo has been settling small

business owners concerns about

accounting matters for 16 years. At his

firm, the Certified General Accountant

who also vlogs about tax planning on

YouTubehas witnessed numerous cases

where a stressed client approaches him for

help in tax planning just days before tax

returns are dueat which point its far too

late for any real planning. Its no wonder

these entrepreneurs find filing taxes to be a

terrible exercise. DiNovo, however, believes

with a bit of forward thinking and regular

bookkeeping, it can be a less painful task

for small business owners. Here are his

four top tips:

1. Dont leave tax planning to the last minute

If your businesss filing due date is March

or April, then now is not the time to do tax

planning, says DiNovo. Tax planning (a

plan for how to accomplish all your financial

goals in the most tax-efficient way) should

be done beforehand, during the year, not

near the filing date, he explains. By

planning early, I can put more plans in

place and tax time just becomes a matter

of filing the actual tax return, rather than tax

planning, explains DiNovo. He tells his

clients that tax time should be strictly for

filing the returns and creating tax plans for

the following year.

2. Have a sit-down discussion with your accountant

DiNovo encourages business owners to

hold face-to-face meetings with their

accountants when they relay their financial

information. Busy entrepreneurs often just

drop off their documents at their

accountants office and leave. But DiNovo

says a one-on-one meeting allows him to

discover additional information that could

save his clients money.

For example, if he learns his client is

planning to borrow money to invest in

properties, he can structure the investment

in a way that would grant them a bigger tax

write-off. This would only work if his client

told him about it before the purchase is

made.

3. Keep your accounting up to date

Business owners get too involved in

their business and are not good

bookkeepers, says DiNovo. Their books

are often not up to date, since they expect

their accountant will help them piece

everything together before the filing date,

but accountants are busy serving multiple

clients during tax time, and arent going to

have as much time to work on a specific

clients file then as they would throughout

the year, explains DiNovo.

To circumvent this problem, DiNovo would

set up a spreadsheet system for his clients

where they only need to spend one to two

hours each month to keep their books up

to date. This makes the work much easier

during filing time, and avoids accounting

mistakes.

4. Stay off the Canadian Revenue Agencys radar

Make it a priority to pay your tax

instalments on time in order to stay off the

CRAs radar, says DiNovo. The

consequences of not paying your dues on

time can be severe, he says. Business

owners may be selected for an arbitrary

assessment, where the CRA will personally

audit their finance if they dont respond to

the agencys calls and letters. It usually

ends up being ten times the amount the

business owner actually owns, and they

end up giving the CRA more money than

they would have originally.

Four ways to make tax timeless painful for

SMALLBUSINESS Courtesy: SISSI WANGwww.canadianbusiness.com


17

A FINANCIALLY STABLE AND CONSERVATIVE BANKING SYSTEM Canada has a national banking system with diversified, well-managed institutions.

Canada has a strong regulatory system.

Canada's banks are well-capitalized.

Mortgage lending in Canada is stable and prudent.

A strong and stable banking system benefits all Canadians.

CANADA HAS A NATIONAL BANKING SYSTEM WITH DIVERSIFIED, WELL-MANAGED INSTITUTIONS Canada's banks are well-diversified organizations; investment banks are anchored by solid deposit-taking institutions.

Canada's system of national institutions diversifies regional risk, so a downturn in an individual economic sector is balanced. And a national system contributes to economic growth by moving funds from areas of excess deposits to regions where growth is creating demand for new credit.

Banks in Canada make lending decisions on a case-by-case basis, extending credit to those who have the capacity to repay their loans. This prudent approach is a key reason why banks in Canada have largely avoided the problems that have plagued banks elsewhere.

In a survey by the Strategic Counsel, 81% of respondents believe that prudent lending is a key reason Canadian banks have performed better than their international peers.

CANADA HAS A STRONG REGULATORY SYSTEM Canada has a streamlined bank regulatory system, with two primary regulators: the Office of the Superintendent of Financial Institutions (OSFI) for prudential regulation and the Financial Consumer Agency of Canada (FCAC) for consumer matters. In contrast, the United Stated has a complex network of different regulators.

Canada's Bank Act is reviewed and updated every five years to ensure the regulatory structure is keeping pace with changes in the industry.

Canada has been recognized by the International Monetary Fund and others as having a sound regulatory system.

CANADA'S BANKS ARE WELL-CAPITALIZED Banks in Canada are among the best capitalized in the world, exceeding Bank for International Settlements' norms by significant margins. This allows banks to continue lending and provides a cushion against loan losses which tend to increase during economic downturns.

Banks have been strengthening their capital levels by raising new capital from investors in the marketplace.

MORTGAGE LENDING IN CANADA ISSTABLE AND PRUDENTCanada's mortgage market has several fundamental differences from the US market.

Canada does not have the same problems with sub-prime mortgages that have been at the root of the problem in the US. In Canada, the vast majority of mortgage loans are prime.

There are many high-risk mortgage products in the US that do not exist in Canada. These include: adjustable-rate mortgages, with unrealistically low introductory interest rates that can rise substantially; interest-only payments, where the mortgage principal is never lowered; negative amortization payment schedules, with payments that are less than the interest charged; and no-documentation lending.

When American house prices decreased, many borrowers found that their mortgage was higher than the value of their house and unaffordable. Canadian mortgage products have not had these high-risk features and have stood the test of time as interest rates and house prices go up and down. As a result, Canadian homeowners have maintained a healthy amount of equity versus debt in their homes. Among homeowners with mortgages, the average amount of home equity in Canada stands at 66 percent of total home value.

Canadian lenders tend to hold the mortgages they originate. In the US the model was an "originate to distribute" model (through securitization). Canadian mortgage originators have a much greater incentive to be prudent because they directly bear the consequences of imprudent lending decisions.

In Canada bank mortgages with less than 20% down must be insured. This is not the case in the US.

CONSERVATIVE AND STABLEBANKING SYSTEM IN CANADA

ANOTHER REASON OF STRONG REAL ESTATEMARKET IN CANADA

Courtesy:SYED HASSAN


A FINANCIALLY STABLE AND CONSERVATIVE BANKING SYSTEM Canada has a national banking system with diversified, well-managed institutions.

Canada has a strong regulatory system.

Canada's banks are well-capitalized.

Mortgage lending in Canada is stable and prudent.

A strong and stable banking system benefits all Canadians.

CANADA HAS A NATIONAL BANKING SYSTEM WITH DIVERSIFIED, WELL-MANAGED INSTITUTIONS Canada's banks are well-diversified organizations; investment banks are anchored by solid deposit-taking institutions.

Canada's system of national institutions diversifies regional risk, so a downturn in an individual economic sector is balanced. And a national system contributes to economic growth by moving funds from areas of excess deposits to regions where growth is creating demand for new credit.

Banks in Canada make lending decisions on a case-by-case basis, extending credit to those who have the capacity to repay their loans. This prudent approach is a key reason why banks in Canada have largely avoided the problems that have plagued banks elsewhere.

In a survey by the Strategic Counsel, 81% of respondents believe that prudent lending is a key reason Canadian banks have performed better than their international peers.

CANADA HAS A STRONG REGULATORY SYSTEM Canada has a streamlined bank regulatory system, with two primary regulators: the Office of the Superintendent of Financial Institutions (OSFI) for prudential regulation and the Financial Consumer Agency of Canada (FCAC) for consumer matters. In contrast, the United Stated has a complex network of different regulators.

Canada's Bank Act is reviewed and updated every five years to ensure the regulatory structure is keeping pace with changes in the industry.

Canada has been recognized by the International Monetary Fund and others as having a sound regulatory system.

CANADA'S BANKS ARE WELL-CAPITALIZED Banks in Canada are among the best capitalized in the world, exceeding Bank for International Settlements' norms by significant margins. This allows banks to continue lending and provides a cushion against loan losses which tend to increase during economic downturns.

Banks have been strengthening their capital levels by raising new capital from investors in the marketplace.

MORTGAGE LENDING IN CANADA ISSTABLE AND PRUDENTCanada's mortgage market has several fundamental differences from the US market.

Canada does not have the same problems with sub-prime mortgages that have been at the root of the problem in the US. In Canada, the vast majority of mortgage loans are prime.

There are many high-risk mortgage products in the US that do not exist in Canada. These include: adjustable-rate mortgages, with unrealistically low introductory interest rates that can rise substantially; interest-only payments, where the mortgage principal is never lowered; negative amortization payment schedules, with payments that are less than the interest charged; and no-documentation lending.

When American house prices decreased, many borrowers found that their mortgage was higher than the value of their house and unaffordable. Canadian mortgage products have not had these high-risk features and have stood the test of time as interest rates and house prices go up and down. As a result, Canadian homeowners have maintained a healthy amount of equity versus debt in their homes. Among homeowners with mortgages, the average amount of home equity in Canada stands at 66 percent of total home value.

Canadian lenders tend to hold the mortgages they originate. In the US the model was an "originate to distribute" model (through securitization). Canadian mortgage originators have a much greater incentive to be prudent because they directly bear the consequences of imprudent lending decisions.

In Canada bank mortgages with less than 20% down must be insured. This is not the case in the US.

$$MB BUSINESS MAGAZINE MAY 2016

19

The World Interest Rates Table reflects

the current interest rates of the main

countries around the world, set by their

respective Central Banks. Rates typically

reflect the health of individual economies,

as in a perfect scenario, Central Banks

tend to rise rates when the economy is

growing and therefore instigate inflation.

Rate cuts on the other hand, are a way to

stimulate a struggling economy. The

table includes actual rates, latest policy

changes and the date of upcoming

meetings / decisions, for the major ones.

WORLD INTERESTRATES Courtesy: WWW.FXSTREET.COM

South AmericaCountry Current InterestRate Previous Last Change

Colombia

Peru

Brazil

Chile

6.500 %

4.000 %

14.250 %

3.500 %

6.250 %

3.750 %

14.250 %

3.500 %

3-19-2016 - 06:00

1-15-2016 - 00:00

7-29-2015 - 23:00

12-17-2015 - 21:00

Central Banks Current InterestRate Next Meeting Last Change

Reserve Bank of Australia

Federal Reserve

Swiss National Bank

European Central Bank

Bank of Japan

Reserve Bank of New Zealand

Bank of Canada

Bank of England

2.000 %

0.500 %

-0.750 %

0.000 %

-0.100 %

2.250 %

0.500 %

0.500 %

4-5-2016 - 04:30

4-27-2016 - 18:00

6-16-2016 - 07:30

4-21-2016 - 11:45

4-28-2016 - 03:00

4-27-2016 - 21:00

4-13-2016 - 14:00

4-14-2016 - 11:00

5-5-2015 - 04:30

12-16-2015 - 19:00

1-15-2015 - 09:30

3-10-2016 - 12:45

1-29-2016 - 03:00

2-9-2016 - 20:00

7-15-2015 - 14:00

3-5-2009 - 12:00

Major Central Banks Overview

Asia Pacic

Country Current InterestRate Previous Last Change

China

Australia

India

Hong Kong SAR

South Korea

India

Taiwan

Philippines

Japan

Indonesia

New Zealand

4.350 %

2.000 %

6.750 %

0.500 %

1.500 %

5.750 %

1.875 %

3.500 %

-0.100 %

6.750 %

2.250 %

4.600 %

2.000 %

6.750 %

1.500 %

1.500 %

5.750 %

1.875 %

3.500 %

-0.100 %

7.000 %

2.500 %

10-23-2015 - 12:00

5-5-2015 - 04:30

9-29-2015 - 05:30

12-17-2008 - 02:00

6-11-2015 - 01:04

9-29-2015 - 05:30

7-1-2011 - 17:00

10-25-2012 - 08:30

1-29-2016 - 03:00

3-17-2016 - 09:00

3-9-2016 - 20:0020


EuropeCountry Current InterestRate Previous Last Change

Iceland

Romania

Hungary

Switzerland

European Monetary Union

Denmark

Sweden

Poland

Czech Republic

Russia

Norway

United Kingdom

6.500 %

1.750 %

1.350 %

-0.750 %

0.000 %

-0.750 %

-0.500 %

1.500 %

0.050 %

11.000 %

0.500 %

0.500 %

6.500 %

1.750 %

1.350 %

-0.750 %

0.050 %

-0.500 %

-0.350 %

1.500 %

0.050 %

11.000 %

0.750 %

0.500 %

10-1-2015 - 14:00

7-1-2015 - 08:00

7-21-2015 - 12:00

1-15-2015 - 09:30

3-10-2016 - 12:45

2-5-2015 - 15:00

2-11-2016 - 08:30

3-4-2015 - 12:56

11-1-2012 - 10:00

7-31-2015 - 11:00

3-17-2016 - 09:00

3-5-2009 - 12:00

North AmericaCountry Current InterestRate Previous Last Change

Mexico

United States

Canada

3.750 %

0.500 %

0.500 %

3.250 %

0.500 %

0.500 %

2-17-2016 - 17:15

12-16-2015 - 19:00

7-15-2015 - 14:00

AfricaCountry Current InterestRate Previous Last Change

Egypt

South Africa

8.750 %

6.750 %

9.250 %

6.250 %

9-19-2013 - 09:00

1-28-2016 - 14:00

Middle EastCountry Current InterestRate Previous Last Change

Bahrain

Turkey

2.250 %

7.500 %

2.250 %

7.500 %

1-4-2010 - 08:00

2-24-2015 - 12:02

China

Australia

India

Hong Kong SAR

South Korea

India

Taiwan

Philippines

Japan

Indonesia

New Zealand

4.350 %

2.000 %

6.750 %

0.500 %

1.500 %

5.750 %

1.875 %

3.500 %

-0.100 %

6.750 %

2.250 %

4.600 %

2.000 %

6.750 %

1.500 %

1.500 %

5.750 %

1.875 %

3.500 %

-0.100 %

7.000 %

2.500 %

10-23-2015 - 12:00

5-5-2015 - 04:30

9-29-2015 - 05:30

12-17-2008 - 02:00

6-11-2015 - 01:04

9-29-2015 - 05:30

7-1-2011 - 17:00

10-25-2012 - 08:30

1-29-2016 - 03:00

3-17-2016 - 09:00

3-9-2016 - 20:00


21

rnie Hudson is an icon, and one

of the most compassionate

people Ive ever interviewed. Hes

smart and funny, and most of all, just an all

around nice guy. Ahead of his appearance

at Toronto ComiCon this weekend, I had

the chance to speak to Hudson for

half-an-hour about his incredible career,

including standout films like Ghostbusters

and The Crow, on top of his television

roles.

Read through the interview to hear what he

has to say about the new Ghostbusters

film coming out this year, and his part in it,

his role in the original film, making The

Crow and working with Brandon Lee, and

his moving thoughts on the Oscars so

white controversy. Its one of the most

personal interviews Ive had with an actor,

and frankly, Hudson makes some

wonderful comments on Hollywood, and

how people should treat each other.

Ernie Hudson called me Wednesday

morning, but he had to call me back again

an hour later because of some scheduling

issues. Once he called me back, heres

how the conversation started.]

Things get a little chaotic sometimes. Last

night Id been up for this show, so we finally

finished negotiating and so many things

were going on. I rarely ever oversleep, but

this morning was one time that I did.

Well that sounds like a good reason.

Yeah. No, no, its I love being active

more than sitting and looking at the phone

and wondering why nobody is calling.

Your list of projects certainly shows

that.

Yeah, yeah. Ive been very blessed. I love

what I do and Im still blessed to be able to

do it. Thats a good thing.

If you dont mind me asking, is there

anything you can talk about yet?

About the project youre booking?

Well Ill say this, its called APB.

I heard about that. Yeah.

Yeah, its a great project. Because

everyone makes you sign these

non-disclosure [agreements], or whatever. I

happened to talk about a project once and

the studio reamed me out.

You know what? Theres an article that

came out on Deadline. Its out there about

me joining the cast this morning. You can

find out what the project is if you look at

that. Thats all ready, I didnt put that out

there.

Itll be a fun Its a great script. Its a fun

show. Im excited about it. The problem is,

Courtesy: W. ANDREW POWELL

ERNIE HUDSONon Ghostbusters,The Crow, Hollywoodand humanity

we start shooting Monday.

Wow, thats right on the heels of

Toronto ComiCon.

Theres wardrobe and I got to you know

how that will impact me getting up to

Toronto, well see. Im determined to make

it up to Toronto at least Saturday, Sunday. I

wont get my schedule until later on today.

This literally just happened within the last

24 hours.

Well, Im sure the fans will be excited

to see you for whatever time you can

make. It seem as well like the last

couple of years, like this year and

last, have been big for Ghostbusters

for you too.

Yeah, Ghostbusters. Its been fun. I did a

cameo in the new one and got a chance to

meet the girls, who I hadnt met before.

Really, really funny. Very amazing. Theyve

got a great chemistry together.

Obviously its different than with four guys,

but theyll do their own thing with it and its

a great script. Im sure the special effects

are going to be phenomenal because of

what we can do now that we couldnt do

back in the 80s. Im excited about it. Im

looking forward to seeing it. Im really

honored that they asked me to come be a

part of it.

Thats cool. I mean, Im sure you cant

talk about much, but can you tell us if

you had a scene with all four stars?

Or just some of them?

Yeah, I worked with all four [actresses].

I know the studio is pretty excited and

working with Paul Feig was phenomenal. I

really like him a lot. I hope I get a chance to

do that again on something a little more

significant for me. It was a great

experience, and we shot at the fire house,

which was great going back there. It was a

good experience.

Thats awesome. One thing I read that I

had to ask you about was the fact that the

script changed for the originalGhostbusters

film. Almost before it was starting to film. Is

that right?

Yeah, yeah. Thats one of the things that I

was talking to Ivan Reitman [about]. We

kind of disagree about it. He remembers it

differently than I did. I have to acknowledge

that it was 30 years ago and sometimes

people see things from their own

perspective.

For me, at least in my mind, it changed

from what I went in thinking it was and what

it turned out to be, but in all fairness I look

back on it and I look at the movie with my

grandkids and its a perfect movie the way

it is. It works the way it is. I felt it might have

impacted my career in a different way had

it been different, but thats all looking back.

Its a wonderful franchise and Im very

blessed and thankful to be a part of it.

That brings me to another topic, and I hope

you dont mind. Its always a difficult

discussion, but with what weve seen

recently with the Oscars So White

discussions and everything elsewhats

your impression of Hollywood these days?

Youve had a very long career, but whats

your relationship with it? What do you think

is going on?

Well, ultimately I think that, you know, you

get into movies, and movies are financed.

People give the green light to have certain

things done. There are not a lot of Blacks

or people of color who are in the position

to give the green light. Theres also a

certain belief system that people have that

they make assumptions that the public

wants to see a certain thing, so there isnt

much diversity. There just arent many

stories. Theyll tell a story and theyll tell it

from their perspective. I used to wonder

how I would do a movie, and maybe I was

in the movie. I did one called Collision

Course.

I was in the movie, but they were

shootingsupposedly it was in downtown

Detroit even though we were shooting

somewhere else. The scene took place in

downtown Detroit. There were no Blacks in

the background. Jay Leno actually said

something about it, but how do you shoot

Detroit with no Blacks?

Then I realized that for a lot of white

Americans, who may even live in the city,

their circle of friends, maybe they dont

have any Blacks in their world. Hence

Woody Allens world that exists someplace.

It doesnt reflect the world as I see it, and I

travel to a lot of places.

We are diverse. We need these other

stories. We need to see the humanity of

other people. Hollywood doesnt feel its

part of their responsibility because their

primary goal, it seems, is to make money.

Not even to tell great stories. Not even to

make great films. Its all, somehow, it feels

to me as if its about lets make money and

in some peoples minds including Blacks or

Asians or Latinos or whatever will not make

money.

I read an article about one of the new

stories on Egypt, Ancient Egypt, with an all

European cast. They felt that they cant sell

the story if it included people of color. Its a

mindset that is behind the times, and its

wrong, and it needs to change, but its

hard to complain about the Academy [of

Motion Picture Arts and Sciences]. You

have to have worked for a fair amount of

time just to get in. Not everybody can get

it. Those people who have been working

are obviously those people, those whites.

Theyre the ones whove had the chance

to work. Theyre going to vote, and theyre

supposed to vote, based on what they

believe is the best of what they see. Since

theres not a lot of films out there with

people of color to choose from, its all

white.

Im a member of the Academy and have

been for 30 years, but there arent many

people of color in the Academy, and Im

not surprised. You cant have one film, that

even if you think its a good film, its

competing with 100 other movies. At the

end of the day theres not enough product.

Its not inclusive. Its a given assumption

that if were going to tell the story its going

to be all white. What I think we all do, and

its not just obvious racism, but its

something that we have to be mindful and

we have to thinkWait a minute, how else

can we go with the character?'

I have people who Ive worked for who like

my work, and they will say, Wow, we saw

this or that and we want you in the film.

Then they look, well how can we use

Ernie? Well well make him something. Well

make him the policeman. Its very hard for

me to be the bad guy or the guy whos

really involved in the story. I try not to do

those things anymore, because youre

included but youre not included. Thats

how I feel about Desperate Housewives.

I replaced a character who was involved in

the storyline, Kurt [Fuller], who was in

Ghostbusters. He was a policeman and he

was interested in Brie, and she rejected

him, so he was following her around. He

had a story. He was in the story. He got a

series and they called me and said, We

love your work. Im thinking theyre going to

carry on the storyline similarly to what he

had been doing, but all I was was the cop.

Id come in and say a couple of words and

then thats it. I did nine episodes, but I

wasnt involved. I think they need to look at

the world. Im glad to see now theres a

little more of the interracial coupling you

see in movies that you didnt see that many

years ago.

We need stories that are told from a

different perspective. I didnt boycott the

Oscars, because honestly, I think as a

member, if youre going to vote you cant

vote for somebody simply because theyre

Black or Hispanic or whatever reason. You

vote because you honestly believe its the

best performance. I think thats the way it

has to go. Also, I think a lot of people the

problem Ive always had with a lot of the,

and this will probably come out sounding

wrong, but I would much rather focus on if

someone comes up with a solution that we

can work with and gather round and be

excited about it.

Keep coming up with fighting the problem

and then wanting people to apologize for

what they did wrong to make them wrong.

To make them acknowledge that theyre

wrong.

I dont think people are very good at that. I

think theres no point in making someone

the bad guy here. Lets just figure out how

we can, you know, what we can do. Its not

the big stuff. Its the small stuff. Just be

more inclusive.

Well, and I mean the other side of this

is that, I mean, I loved Chris Rocks

segment, I dont know if he wrote it or

who wrote it, but going out and

talking to people at movie theaters.

The normal person on the street

didnt know a lot of the Hollywood

titles that were up for awards. They

were out to see films that they were

identifying with.

They werent identifying with it, and thats

unfortunate, because thats all they said.

They dont have a lot of choice.

Thats what everyone wants. Anyone

going to a movie theater wants to

identify with someone or something.

Thats what theyre trying to see.

We found that we, especially when I was

coming up, there were no films that you

could identify with. Somebody like a

Sammy Davis Jr. Or whoever. If there was a

Black then everybody would tune in to

watch it, because it was so rare that we

got a chance to see.

But, when they do that on the street thing,

Chris Rock, I mean okay, Im glad he

addressed it. He had to address it, and it

was okay, fine. Even though I dont

understand the Rihannas panties thing. I

know his point, but it wasnt that funny.

Secondly, he dragged on with it way too

long. I mean, lets not make the whole

show about that. Make your point and lets

move on. Youre hired because, you know,

be funny and stop I dont know. I just

thought it went too long. Thats just me. Im

just saying.

The thing I hate is you go on the street to

show people to make your point, I guess,

and then it comes a point like, are we

laughing at these people? I mean, you

know what I mean? You choose people

that, okay, this is really funny. Heres a

woman with her wig on wrong, and all it

does is lock more firmly these stereotypes

that you say you want to get away from.

You say you want to be a part of the

American story, but youre only showing a

certain part or the African-American story.

The fact that they dont see these people.

They dont see the movies, or they dont

understand, and I get that. Not all Black

people go to just those movies. I see all

movies, and so the studio is going, well of

course Im not going to make movies,

because theyre not going to see my

movies anyway.

I think you just have to be careful of the

message. Some of those people go, yeah,

theyll make a point. Then they resist and

you end up with somebody like Donald

Trump speaking for a lot of people who felt

a certain way but they didnt say it.

Im glad he addressed it, it had to be

addressed. Im glad they hired him, an

African-American. Im glad they were

inclusive on the program. Im glad the

president is Black and on and on and on,

but it really comes down to we need more

projects.

Blacks need to be whatever the

problem in society is, we Blacks, we

exemplify that even to a greater degree,

because we get very clique-ish. We get

very exclusive. We need to be more

inclusive as well. Its not just a white thing. I,

its hard for me sometimes to, people say,

well, is there racism in Hollywood, when I

got a job. You know what Im saying?

I dont have a job in Spike Lees movies. I

dont have a job in John Singletons

movies. I havent worked in those movies,

because, well I dont know why. Im just

saying, thank God, that it really shouldnt

be about color. It should be about humanity

and I believe that were human beings, and

on the being level, which is spirit, were all

one. That is the common denominator.

Until we kind of see the world from that

perspective and stop making people the

bad guy, because when you make them

the bad guy then youre justified in doing

anything.

Thats awesome. It was a pleasure

talking to you. Thank you so much.

Enjoyed talking to you man. You take care

of yourself.


rnie Hudson is an icon, and one

of the most compassionate

people Ive ever interviewed. Hes

smart and funny, and most of all, just an all

around nice guy. Ahead of his appearance

at Toronto ComiCon this weekend, I had

the chance to speak to Hudson for

half-an-hour about his incredible career,

including standout films like Ghostbusters

and The Crow, on top of his television

roles.

Read through the interview to hear what he

has to say about the new Ghostbusters

film coming out this year, and his part in it,

his role in the original film, making The

Crow and working with Brandon Lee, and

his moving thoughts on the Oscars so

white controversy. Its one of the most

personal interviews Ive had with an actor,

and frankly, Hudson makes some

wonderful comments on Hollywood, and

how people should treat each other.

Ernie Hudson called me Wednesday

morning, but he had to call me back again

an hour later because of some scheduling

issues. Once he called me back, heres

how the conversation started.]

Things get a little chaotic sometimes. Last

night Id been up for this show, so we finally

finished negotiating and so many things

were going on. I rarely ever oversleep, but

this morning was one time that I did.

Well that sounds like a good reason.

Yeah. No, no, its I love being active

more than sitting and looking at the phone

and wondering why nobody is calling.

Your list of projects certainly shows

that.

Yeah, yeah. Ive been very blessed. I love

what I do and Im still blessed to be able to

do it. Thats a good thing.

If you dont mind me asking, is there

anything you can talk about yet?

About the project youre booking?

Well Ill say this, its called APB.

I heard about that. Yeah.

Yeah, its a great project. Because

everyone makes you sign these

non-disclosure [agreements], or whatever. I

happened to talk about a project once and

the studio reamed me out.

You know what? Theres an article that

came out on Deadline. Its out there about

me joining the cast this morning. You can

find out what the project is if you look at

that. Thats all ready, I didnt put that out

there.

Itll be a fun Its a great script. Its a fun

show. Im excited about it. The problem is,

we start shooting Monday.

Wow, thats right on the heels of

Toronto ComiCon.

Theres wardrobe and I got to you know

how that will impact me getting up to

Toronto, well see. Im determined to make

it up to Toronto at least Saturday, Sunday. I

wont get my schedule until later on today.

This literally just happened within the last

24 hours.

Well, Im sure the fans will be excited

to see you for whatever time you can

make. It seem as well like the last

couple of years, like this year and

last, have been big for Ghostbusters

for you too.

Yeah, Ghostbusters. Its been fun. I did a

cameo in the new one and got a chance to

meet the girls, who I hadnt met before.

Really, really funny. Very amazing. Theyve

got a great chemistry together.

Obviously its different than with four guys,

but theyll do their own thing with it and its

a great script. Im sure the special effects

are going to be phenomenal because of

what we can do now that we couldnt do

back in the 80s. Im excited about it. Im

looking forward to seeing it. Im really

honored that they asked me to come be a

part of it.

Thats cool. I mean, Im sure you cant

talk about much, but can you tell us if

you had a scene with all four stars?

Or just some of them?

Yeah, I worked with all four [actresses].

I know the studio is pretty excited and

working with Paul Feig was phenomenal. I

really like him a lot. I hope I get a chance to

do that again on something a little more

significant for me. It was a great

experience, and we shot at the fire house,

which was great going back there. It was a

good experience.

Thats awesome. One thing I read that I

had to ask you about was the fact that the

script changed for the originalGhostbusters

film. Almost before it was starting to film. Is

that right?

Yeah, yeah. Thats one of the things that I

was talking to Ivan Reitman [about]. We

kind of disagree about it. He remembers it

differently than I did. I have to acknowledge

that it was 30 years ago and sometimes

people see things from their own

perspective.

For me, at least in my mind, it changed

from what I went in thinking it was and what

it turned out to be, but in all fairness I look

back on it and I look at the movie with my

grandkids and its a perfect movie the way

it is. It works the way it is. I felt it might have

impacted my career in a different way had

it been different, but thats all looking back.

Its a wonderful franchise and Im very

blessed and thankful to be a part of it.

That brings me to another topic, and I hope

you dont mind. Its always a difficult

discussion, but with what weve seen

recently with the Oscars So White

discussions and everything elsewhats

your impression of Hollywood these days?

Youve had a very long career, but whats

your relationship with it? What do you think

is going on?

Well, ultimately I think that, you know, you

get into movies, and movies are financed.

People give the green light to have certain

things done. There are not a lot of Blacks

or people of color who are in the position

to give the green light. Theres also a

certain belief system that people have that

they make assumptions that the public

wants to see a certain thing, so there isnt

much diversity. There just arent many

stories. Theyll tell a story and theyll tell it

from their perspective. I used to wonder

how I would do a movie, and maybe I was

in the movie. I did one called Collision

Course.

I was in the movie, but they were

shootingsupposedly it was in downtown

Detroit even though we were shooting

somewhere else. The scene took place in

downtown Detroit. There were no Blacks in

the background. Jay Leno actually said

something about it, but how do you shoot

Detroit with no Blacks?

Then I realized that for a lot o

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