Growth in Canada's ETF Is Anticipated, But Few Agree On When | ETF Trends

Two different groups are providing different time tables for the eventual return to growth in Canada’s economy and related exchange traded fund (ETF). Despite the differences, though, there is good news.

All in all, the groups agree: Canada is going to grow again. But when?

In a survey conducted by the Canadian Institute of Chartered Accountants and Royal Bank of Canada’s Business Monitor, a reported 28% of respondents, up 4% from the first quarter, expressed their optimism for the economy over the next 12 months, writes Frank Pingue for Reuters.

Increased optimism among senior-leveled chartered accountants (CAs) does seem comforting. However, two-thirds of the CAs believe the economy will return to growth by the second quarter of 2010 while the other third believes growth will resume after the second half of next year, reports Derek Abma for Financial Post.

On the other hand, the Royal Bank of Canada’s economics research division and the Bank of Canada both anticipate a return to growth in the third quarter of this year. It is believed that the CAs who are working “in the trenches” would express greater pessimism than economists in commercial and central banks.

  • iShares MSCI Canada Index (EWC): up 39.1% year-to-date

ETF EWC

For more information on Canada, visit our Canada category.

Max Chen contributed to this article.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.