By Staff | August 10, 2009 | Last updated on August 10, 2009
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Certain parts of the Canadian economy are showing signs of improvement, according to market analysis by reinsurance giant, Swiss Re.

Real gross domestic product is expected to decline by 2.4% this year; however, with small and gradual improvements in certain sectors, GDP is expected to rise by 2.1% next year.

Assuming oil prices remain in the US$55 to US$65 per barrel range, inflation is expected to be stable, at 0.3% in 2009 and 1.2% in 2010.

However, improvements have yet to be observed in the job market. In July, job losses hit 44,500, compared to a loss of 7,400 in June.

In July, 17,800 construction jobs were lost, with another 6,500 evaporating from the manufacturing sector. The unemployment rate rose to 8.6% in July from 8.4%.

Housing starts rose in May and June, climbing to 140,700 units (annualized rate) from 130,300 units in May and a low-point of 118,500 units in April. While multi-unit starts increased by 11.3%, single-unit starts increased by 7.3%. Housing prices declined 3.1% year over year in May, compared to 3.0% year-to-year decline in April.

The few upswings noted in Q3 show the economy is headed for positive growth in the future, but is expected to remain weak for the rest of 2009.

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Dundee adds new board member

DundeeWealth Inc. has appointed Harold “Sonny” P. Gordon to its board of directors.

Gordon is currently the chair and director of Dundee Corporation. He also serves on the board of directors for Dorel Industries Inc., Pethealth Inc., Transcontinental Inc. and SFK Pulp Fund.

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Changes at JovFunds

JovFunds Management Inc. has assigned its management and trustee duties of the Long Reserve Life Resource Fund to its affiliate and wholly-owned subsidiary, 2197039 Ontario Inc. (TrusteeCo).

As approved by the unitholders, the Reserve Life Resource Fund will be converted into an open-ended mutual fund and will have certain changes to its investment restrictions.

Also, in a separate transaction, JovFunds also has sold TrusteeCo to Lawrence Asset Management Inc. (LAMI).

After all necessary filing requirements and regulatory approvals are completed, the fund will be renamed the Navina Global Resource Fund and LAMI will convert the fund into the new fund.

(08/06/09) staff


The staff of have been covering news for financial advisors since 1998.