Foreign Investors Pour Record $100.6 Billion Into Canadian Securities

Foreign investors added $40.8 billion in Canadian securities in June, driving a net capital inflow of $5.4 billion into the country. This surge pushed second-quarter foreign investment to an unprecedented $100.6 billion.

The buying frenzy was fueled by debt instruments. Non-resident investors acquired $39.9 billion in Canadian debt securities during June alone. For the first half of 2026, total debt acquisitions hit a record $175.0 billion, a massive jump from $20.9 billion in the same period last year.

Federal government bonds led the charge, with foreign buyers purchasing $25.4 billion in June and $80.0 billion over six months. Private corporate bonds, primarily issued by chartered banks in US dollars and euros, accounted for another $16.2 billion in June.

Equity markets saw a shift from the previous month. After a $16.1 billion divestment in May, foreign investors bought only $901 million of Canadian shares in June, focusing on manufacturing stocks. The S&P/TSX composite index edged up 0.3%.

Canadian investors mirrored this activity abroad, acquiring $35.4 billion in foreign securities. The primary target was the US market, where Canadians increased their exposure to shares by $23.5 billion. This contributed to a record first-half purchase of $78.1 billion in US stocks, largely concentrated in large-cap technology firms.

US corporate bonds also attracted $5.3 billion from Canadian investors in June, partially offset by a $9.9 billion divestment in US federal government bonds.