Savings Fund

September 30, 2021

Market Context

  • The Bank of Canada kept its key lending rate at 0.25% in the third quarter.
  • Economic activity remained strong though decreased somewhat from peak levels earlier in the year. Economic tailwinds remain solid, including robust consumer spending, and an expected pickup in business investment.
  • Inflation remained firm and continued to be driven by transitory factors.
  • The Bank of Canada shifted towards less accommodation by pulling back on its bond purchases. The shift in policy towards less stimulus should be gradual, but looks likely to inject some volatility into financial markets.

Positioning

  • T-Bills comprise 50% of the portfolio while corporate paper also makes up 50%.
  • Our manager (Connor, Clark & Lunn) slightly increased the fund’s exposure to provincial T-Bills in the quarter
  • The pre-fee yield of the fund at the end of September was 0.2%.

Commissions, trailing commissions, management fees and expenses all may be associated with mutual fund investments. Important information about the Steadyhand funds is contained in our Simplified Prospectus. Please read the prospectus before investing. Mutual funds are not guaranteed, their values change frequently, and past performance may not be repeated.