Well That Was Fast: The Bank of Canada Shifts Gears

July 17, 2017

After several years of commitment to a stimulative low-interest rate environment, the Bank of Canada abruptly shifted gears and began tightening policy.

At-a-glance summary:

  • After several years of commitment to a stimulative low-interest rate environment, the Bank of Canada abruptly shifted gears and began tightening policy.
  • The reaction in short-term rates was swift and sharp; the rise in long-term rates was more subdued.
  • Investors should remain calm, remembering the benefits of diversification. We believe our portfolios are well positioned for the challenges of rising interest rates. 

Read the full commentary (PDF)