Posted on: 16-06-10 14:51:40
Quote:Canadian investors are exposed to US and Global equities regardless.
Originally posted by ashedfc
Investors should stay in Canadian funds, & avoid Us or Global equities or bonds
Most Canadian large corporations have significant business in the US and other parts of the world.
Most of the consumers of our oil, minerals and materials are abroad.
Even if we don't buy US or Global equities directly, we are still significantly exposed to the growth conditions in those parts of the world.
The only way to avoid US or global exposure to a large degree (but not entirely) is to invest in Canadian govt. debt (i.e. bonds, T-bills) or Canadian retail companies that are strictly limited to Canada (maybe like Shoppers Drug Mart, Loblaws, etc.) - even though more and more retailers are now diversifying abroad.
And as you rightly said, increasing strength of the CAD will chip away gains, direct or indirect.
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"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."
-- Rhett Butler in "Gone with the Wind"
Russia is buying CAD to diversify from USD also euro is going one way now ie south .
russia is a resourse based economy primarily oil and gas .
i thought mantra was to diversify but it seems not a sensible decision as canada is a resourse based economy as well
ashedfc you are right about Canada s fiscally sound prospects. All governments have huge budget deficit including Canada but Canadian politicians and citizens in unison loath deficit and have always beleived in surpluss by high taxation , crux of the matter is if it can tax its citizens enough without affecting the demand cycle in the economy
Like Saudis the mineral wealth of Agfan , will be used to propagate Jihad
Assessment of Undiscovered Petroleum Resources of Northern Afghanistan, 2006:
Using a geology-based assessment methodology, the U.S. Geological Survey–
Afghanistan Ministry of Mines and Industry Joint Oil and Gas Resource Assessment
Team estimated mean volumes of undiscovered petroleum in northern Afghanistan; the resulting estimates are 1,596 million barrels of crude oil, 15,687
billion cubic feet of natural gas, and 562 million barrels of natural gas liquids. Most
of the undiscovered crude oil is in the Afghan-Tajik Basin, and most of the undiscovered natural gas is in the Amu Darya Basin.
Figure 1. Satellite image of northern Afghanistan showing locations of the Amu Darya and Afghan-Tajik Basins, as well as the Amu Darya Jurassic-Cretaceous Total Petroleum System (115401), Kalaimor-Kaisar Jurassic Total Petroleum System (115402), Afghan-Tajik Jurassic Total Petroleum System (115601), and Afghan-Tajik Paleogene Total Petroleum System (115602). Some of the total petroleum system boundaries extend west and north beyond the view of the image. Image from National Geospatial Intelligence Agency, unclassified, 12 July 2004
http://pubs.usgs.gov/fs/2006/3031/pdf/FS-3031.pdf
APA : United States Geological Survey (2006, March 15).
USGS Assessment Significantly Increases Afghanistan Petroleum Resource Base.
Canada will be there in Afghanistan for another 100 years to come.
Freddie.
Hi ashedfc, i agree with you in totality , that gold is the standard of the day , but you know what gold like oil is only pegged in US DOLLARS weather it goes up or down, dummy is n t it, the more things seem to change the more they remain the same, there s a movie Mavirick, watch it , it mentions of deposit with Ge / gm and rewards to stick with all thats american
