Canada saw a net securities inflow of $51B in July, as Canadian investors cut foreign exposure by $31B…

… driven by a record $31B of selling in US equities (mainly large cap tech)…

… and $5B in US treasuries ($37B YTD), partly offset by $5B of buying in US corporate and non-US foreign paper.

Here at home, foreign investors bought up $21B in Canadian securities, including $23B of federal debt ($104B YTD vs. $14B last year)…

… and $7B of equities, led by the resource sector…

… which was partly offset by $12B of selling in money market funds. At 46.5% ownership of federal debt (40.2% last year), foreign investors are turning to Canada…

… which looks set to continue if the recent Investment Summit is any indication.

About Bullpen: Bullpen Finance Inc. publishes content on Canadian markets and provides paid research coverage of select Canadian issuers. Bullpen is paid in cash by covered issuers, does not accept stock or options, does not hold positions in covered securities, and does not conduct investment banking business. Bullpen and LodeRock Advisors Inc. are affiliated; LodeRock provides investor relations services to issuers, some of whom are covered by Bullpen Research. When a post discusses a covered issuer, a specific disclosure appears at the top of the post. This post is published for general information purposes. It is not personalized investment advice and is not tailored to any individual reader’s circumstances. Bullpen is not a registered investment adviser or dealer. For full disclosures, including analyst certification, jurisdictional statements, and conflict of interest policies, please see our Legal & Disclosures section on our website.

You might be interested in…