Investors In Canada Experience Largest Returns In Seven Years

During the month of August, Canada witnessed its highest rate of investment returns since 2009, according to data by Bloomberg.

The financial software and media company disclosed that the slow growth in the Canadian economy in the past two years has not stopped the country’s assets from handing investors the best returns in 7 years.

“Combined gains of the loonie and total returns for Canadian government bonds and stocks reached 26 percent this year through Aug. 19, the best performance since 2009,” revealed Bloomberg.

The data goes on to show that equities garnered the most gains in the market and only New Zealand experienced more returns than Canada amongst 24 other developed markets. The loonie was also crowned the third-best performer in a group of 10 countries.

Apparently, investors in Canada are still unfazed by the drop in oil prices, coupled with a decline in manufacturing as well as Canada experiencing the slowest two years of growth outside a recession in at least 60 years. Such factors along with the fact that the real estate market has ‘overheated’ in recent times has not discouraged both local and foreign investors from placing their wealth in the country.

Although Canada still faces turbulent issues such as high-interest rates, the Canadian economy is viewed as attractive in comparison to it is global counterparts such as Europe, Asia and the U.S whose economic state has been defined as “weak or uneven”.