Effective November 27, 2021, the deferred sales charge and low load sales charge purchase options will no longer be available for purchase on Sun Life Global Investments mutual funds. Switches between funds of the same sales charge purchase option will be permitted.
How Ottawa plans to stimulate growth in the months ahead
With Canada mired in a COVID-19-driven recession, the Liberal government’s Throne Speech promised an economic reset for the post-pandemic world. But it was coloured by two harsh realities. A second wave of COVID- 19 appears to be spreading and slowing the recovery. Moreover, with the projected 2020 deficit crowding $400 billion, how much deeper into debt will Ottawa go to support vulnerable Canadians while setting a new economic course?
That said, the Throne Speech gave us a clearer indication into how Ottawa hopes to stimulate the economy to create one million jobs. Ultimately, however, the pace of growth will depend on how long it takes to bring COVID-19 under control. Indeed, even after a vaccine is developed, it could take months before Canada’s (and much of the world’s) population is fully inoculated. Until then, fiscal and monetary support may be needed for an extended period.
In addition to COVID-19, low oil prices have hurt the Canadian economy. At the same time, household spending, which accounts for 59% of Canada’s GDP, has been slowed by high consumer debt levels. And while housing has held up relatively well thus far – partially due to mortgage payment deferrals and stimulus spending – it could soften in a protracted low-growth environment. As a result, we continue to be underweight the Canadian market in the Sun Life Granite Managed Portfolios.
This commentary is published by SLGI Asset Management Inc. Although this commentary has been prepared from sources believed to be reliable, SLGI Asset Management Inc. cannot guarantee its accuracy or completeness and is intended to provide you with general information and should not be construed as providing specific individual financial, investment, tax, or legal advice. The views expressed are those of the author and not necessarily the opinions of SLGI Asset Management Inc. Please note, any future or forward looking statements contained in this commentary are speculative in nature and cannot be relied upon. There is no guarantee that these events will occur or in the manner speculated. Please speak with your professional advisors before acting on any information contained in this commentary.
Sun Life Global Investments is a trade name of SLGI Asset Management Inc., Sun Life Assurance Company of Canada and Sun Life Financial Trust Inc. SLGI Asset Management Inc. is the investment manager of the Sun Life Mutual Funds, Sun Life Granite Managed Solutions and Sun Life Private Investment Pools.
© SLGI Asset Management Inc. and its licensors, 2020. SLGI Asset Management Inc. is a member of the Sun Life group of companies. All rights reserved.
Sun Life Global Investments is a trade name of SLGI Asset Management Inc., Sun Life Assurance Company of Canada, and Sun Life Financial Trust Inc., all of which are members of the Sun Life group of companies.
SLGI Asset Management Inc. is the investment manager of the Sun Life family of mutual funds; Sun Life Assurance Company of Canada is the issuer of guaranteed insurance contracts including Annuities, and Segregated Funds. Sun Life Financial Trust Inc. is the issuer of Guaranteed Investment Certificates.
