According to a recent Reuters report, the continued struggles of major markets, such as those in America and Europe, more investors are now turning their attention to Canada.
Canada has experienced a strong economy, stable debt market and sound banks, which has attracted international investors.
The article relays that foreigners, such as American, British and Asian investors, have more than doubled their investments in Canadian bonds in May from April, according to Statistics Canada data.
As a result, the overall securities purchases grew to its highest level in a year at just above $16 billion, which includes a significant number of bonds, which were nearly all issued by governments and government-owned enterprises.
"There is an effort underway by reserve managers, who have accumulated a lot of dollars over the last five years, to find new ways to diversify," Dan Katzive, senior currency strategist at Credit Suisse in New York, told the news source.
Past securities and bonds, and international investors have also been eyeing the Canadian market for real estate purchases. A recent report found that Chinese investors are targeting Vancouver, London and Australia primarily, as the regions have low rates for home loans and offer greater opportunities.