The leverage ratio measures the ability of a bank to absorb losses. This ratio is important because soundness of a bank is put to test during a financial crisis and strong banks usually tend to weather storms than weak banks. During the 2008-09 crisis, many small banks in the US failed due to this factor. From …
Continue reading ‘The Leverage Ratio of Canadian Banks Has Declined’ »
The economies of Australia and Canada are similar in many ways. For instance,both are resource-based economies. While Australia is dependent on China for the export of minerals such as iron ore Canada is the largest trading partner of the US and exports natural resources like Crude Oil, Natural Gas, Timber, etc, to the US. I wrote …
Continue reading ‘Comparing the Performance of Australian and Canadian Stocks’ »
The S&P is down 0.97% year-to-date (YTD).Canada’s benchmark S&P/TSX Composite Index on the other hand has declined by 10.6% YTD making it one of the worst performers in the developed world. The rout in commodity prices and crude oil prices has spooked global investors. These investors have taken a negative view of Canadian equity market. The …
Continue reading ‘Global Investors Wrongly Consider Canada As Another Saudi Arabia’ »
Countries have tax treaties with one another for offering preferential tax rates for investors and companies. Canada also has such tax treaties with many countries. For example, US investors get plenty of benefits for investing in Canada. For example, withholding taxes are NOT charged for interest paid out to US residents by Canadian banks and also …
Continue reading ‘Canada Non-Resident Withholding Tax Rates for Treaty Countries’ »
Canadian stocks are nor performing well this year. As the global commodities market crashed in the past year or so the Canadian economy has suffered. As natural resources such as crude oil account for a significant portion of the economy, declines in the price of oil has had a substantial effect on Canada. The benchmark S&P/TSX Composite …
Continue reading ‘Credit Suisse: Consider Buying Canadian Bank Stocks’ »