40 ~ Wednesday, October 28, 1987 - North Shore News

Business.

; eee en

TO NO one’s surprise, Canadians
are among the wealthiest people in
the world, second only to the U.S.
in terms of national income, ac-
cording to a special report on
Canada and the Canadian
economy by Prudential-Bache
Securities Canada Ltd.

The report, prepared by Dr.
Stephen Blank, director of the In-
stitute for U.S.-Canada Business
Studies, centre of International
Business Programs, Pace Universi-
ty, New York, and Wilf Hahn,
director of research for Pruden-
tial-Bache Canada, notes that
Canada’s per capita national
wealth, U.S. $15,700, is well ahead
of third-place West Germany with
$12,900 and fourth-place Japan
with $12,200.

France had a per capita income |

of $11,800; the U.K., $11,400; and
Ttaly, $9,900. Tne U.S. topped the
list with $17,200.

Canadian companies are in the

ia al

forefront of this growth as ranking
players in the world economy.

A Canadian company is the
largest commercial landlord in
New York City. Another was the
first major supplier to Japan’s
telecommunications giant, NTT; a
third is the world’s largest baker;
and a fourth, the largest pulp and
paper producer.

The world’s largest distiller is
also Canadian.

In_ terms of natural resources,
Canada is a superpower. It has the
world’s largest reserves of many
key minerals, including zinc,
asbestos, potash and sulphur; the
second largest reserves of silver,
tungsten and nickel as well as
significant stores of gold, copper,
uranium, iron ore, platinum and
lead.

Canada’s forests supply one->
third of the world’s newsprint and
Canada is the world’s largest pro-
ducer of lumber.

Perhaps more important for the

Saving considered
@ national trait

CANADIANS ARE known as a
nation of savers. In fact, - the
amount of disposable income that
is saved (10 per cent) is higher than
in most other countries. Money is
put away in a wide variety of sav-

ings investments including. bank:

accounts, Certificates: of Deposit,
* Guaranteed “Investment Certifi-
cates and Treasury Bills. toot

Each November the government
presents the opportunity to pur-
chase -. Canada Savings Bonds.
Savers should give serious con-
sideration to: this method ‘of ‘in-
vesting hard-eamed dollars.

Savers should really think of
themselves as lenders of their

money.: When you. receive interest _

for lending your. money, you are
automatically accepting . an_ ex-
posure to interest rate fluctuations.

Money . -in'a_ bank : account . earns:
less interest because you have the *:
ability to withdraw your funds ° ‘at ~

any time. ..
On the other hand, you. normal-
ly will receive a higher interest rate

by purchasing a five-year Guaran- .
teed Investment Certificate because:
you have! lent: your ‘money: fora...
specific : ‘ period of time. You ‘can- -”,

not: get ‘your money back before
the five years or if you are allowed

maturity and enjoy the higher gov-
ermment guaranteed rate they are

_ paying.

When the Canada Savings Bond
rate is announced in October, ask
yourself the following questions:

© What interest rate can J. get on

‘one to five year. Guarantied In-

vestment Certificates or on Certif-
icates of Deposit?

® For: what period of time am I.

willing to lend my money? ©
° In the event of an.emergency,

will I need to: get my money. back :

quickly?

Once” you answer. these ques-

tions, you ‘can seriously consider

Canada Savings Bonds. They may

be the best investment for you...”

’ Contributed by Douglas C. Porte,
McLeod Young \ We ir Ltd. a

to withdraw early, you will receive: 4 oe

less interest as a pen alty.
If interest rates. generally in-
crease . beyond . the “rate you are
’ receiving on your investment, you
are stuck until. you can get the
funds at maturity or with the’ ‘early
withdrawal penalty, 7
"if: interest ‘rates

‘the: rate you |

are receiving of your. investment,
you win because: you: have’ locked

in the higher. rate. for” a-specified

time period.

Consider Canada Savings Bonds
— they ‘offer you much more flex-
ibility than many other types of
savings vehicles. They. can be pur-
chased in November, and as long
as you hold them: for, the, initial
three months, they can be cashed:
anytime at full: face vaiue plus
monthly accrued interest.

If interest rates go up,.you can
cash the ‘Canada ‘Savings Bonds
and © reinvest’ your savings” in
whatever vehicle will get you a
higher return. If interest rates go
down, you can hold the CSBs until

Classifieds

Sell
986-6222

future, he added, 20 per cent of.

the world’s fresh water is found in
Canada,

“And in terms of currency
transactions, Canada’s stake in the
world — and the world’s stake in
Canada — is enormous. Canada’s
currency moves across borders so
rapidly and in such volumes as to

defy easy analysis.”

He ‘noted that'a study by the
Bank of Canada in 1986 produced
estimates that the exchange market
for Canadian dollars in North
America alone, in one month, was
worth U.S. $160 billion to $200
billion.

Canada is also a big investor

, abroad,

song world’s wealthiest

reflecting a profound
change in the patterns of interna-
tional direct investment.

Direct net international invest-
ment in Canada in 1986, for ex-
ample, amounted to $1.557 billion.
This compares with direct net in-
vestment by Canadians abroad of
$4.812 billion.

Every $500 you investin a Central GiC/Debenture
ora Savings/ Chequing Accountis a chance to win.

years
GIC Annual Interest.
Minimum $500 investment,

Fats are steta change without andere appcabe nds afomaicaty epotdoa Can Tr Account

: TT Central Trust:

__ Youare the central figure... He" =

‘September
14, 1987, is your chance to
double your inves fate. Three ra-'

Member, Canad.i Deposit Insurance Corporation,
Vancesver 750 West Pender St. 684-2581

* gional prises a will be awarded, each
maximum value of #

312 B12 80. Correct anawer to shill-

- testing question required. Conies?

closes 96) ‘

Monday-Thursday 8:30.m-6:00p.m, Friday 8:30 a.m.-6:00 p.m.

6 an n investment certificate .
unconditionally guaranteed by
Bank of Montreal.

“@ termsranging from 1 to 7° years.

~ Rates subject to change without notice. Minimum $1,000

“and 1 year term:

-» Annual Interest for
~~ 5 Year Term

62 an ‘option of interest paid monthly,
semi-annually or annually.

Bank of Montreal
Doing more for you,

“Issued by Bank of Montreal Morigage Corporation and guaranteed by Bank of Montreal. Terms in excess of S years are not deposits
insured under the Canada Deposit Insurance Act

crear tern es Tenet eet aan ae anne ersten

pe staat cet wi ntnnnererenai ccamttetnemn rat t ahisSmahe LAR nREARE LESSER HE cata,