Foreigners Increase Holdings of Canadian Securities

Foreign investors increased their holdings of Canadian foreign securities by C$0.71 billion in June of 2025 in June of 2025, trimming the upwardly revised C$6.29 billion divestment in the previous month, and contrasting with market expectations of a C$4.75 billion divestment.

The slight increase was carried by another month of foreign investors going long in Canadian bonds (C$6.95 billion), despite the increase in long-dated yields in the period, with most of those being corporate bond (C$5.6 billion).

In turn, foreign investors reduced their money market instrument holdings for a second month (C$-3.23 billion).

Also, investors reduced their positions in Canadian equities for a second month (C$.3 billion), even though the S&P TSX Composite reached new highs in the period.