Q: at 1.40 and heading lower, why would anyone invest in Canadian stocks or bonds for that matter.?..also why cant the government get their house in good financial order to show to the rest of world that we care about balancing the budget? pissed off snow bird...
5i Research Answer:
We are going to side-step the political issue here, but certainly our economy is weaker than the US, and this is being sadly reflected in the Canadian dollar. Interest rates here have already moved lower at a faster rate than the US, and will likely continue to do so. We do not think an entire market should be ignored, and Canada has some good companies. But on the whole we think the US looks better right now and of course the investable universe of stocks is massively larger.