TORONTO, March 8 /CNW/ - The time is ripe for an innovation that could
help fund Canada's infrastructure needs from Canadians' growing pool of
retirement savings, says a new study released today by the C.D. Howe
Institute. In the e-brief, "Found Money: Matching Canadians' Savings with
Their Infrastructure Needs," President and CEO William B.P. Robson argues that
Canada should finance more of its infrastructure through instruments similar
to already existing securities backed by residential mortgages, leased assets,
and real estate. Such securities would allow individuals to participate in the
burgeoning field of infrastructure investment now dominated by large pension
Securities backed by infrastructure portfolios would be a valuable asset
class for Canadians saving for retirement, Robson argues, and would also
provide liquidity and price discovery to a market that lacks it. If Canada's
governments followed the lead of their counterparts abroad and welcomed more
private financing, he concludes, securitized infrastructure could help close
the gap between Canadian savers seeking secure retirement, and the
infrastructure repairs and expansions that need their support.
The study is available at: http://www.cdhowe.org/pdf/ebrief_40.pdf.
For further information:
For further information: William B.P. Robson, President and CEO, C.D.
Howe Institute, (416) 865-1904, firstname.lastname@example.org