Savings Fund

June 30, 2021

Market Context

  • The Bank of Canada kept its key lending rate at 0.25% in the second quarter.
  • While global economic activity is picking up, it remains uneven. North America is experiencing a solid recovery with rising consumer confidence and strong demand. The recovery remains fragile in the emerging markets, however, where vaccination rates are lower and the virus continues to spread rapidly. In its latest statement, the Bank of Canada reiterated that the recovery continues to require extraordinary monetary policy support in the form of ultra low interest rates.
  • The central bank is committed to holding its policy rate at its current level until economic slack is absorbed.

Positioning

  • T-Bills comprise 46% of the portfolio while corporate paper makes up 54%.
  • The manager (Connor, Clark & Lunn) increased the fund’s exposure to bank paper in the quarter.
  • The pre-fee yield of the fund at the end of June 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.