Perspective Finance 2014 by Perspective

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A resilient financial system

anada’s strong capital requirements, a full six and stable banking years ahead of schedule. sector continues to Building on our strengths, serve Canadians well, even in Canada also boasts a wellthe midst of a fragile global diversified, resource-rich economy. Resilience in the economy that includes energy, face of ongoing challenges manufacturing, financial beyond our borders reflects services, commodities and the solid policy fundamentals technology, sustained by one Canada has adhered to of the most highly-skilled even before the beginning labour forces in the world. of the Great Recession that Canada has made a began in 2008. concerted effort to strengthen The Hon. Jim Flaherty In particular, Canadian business tax competitiveness banks withstood the financial through broad-based business crisis far better than those in other countries, tax reductions, and improvements to our in part due to the strong capital, leverage international tax regime. We now have an and liquidity standards in place. overall tax rate on new business investment Canadian banks were also well-served by which is the lowest in the G-7, and below the solid macroeconomic fundamentals and a average for member countries of the OECD. culture of more conservative risk appetite. And our government is vigorously pursuing As a result, Canada was far less exposed. better and more open trade. On October 18, Proactive and prudent mortgage rules Prime Minister Stephen Harper announced introduced by the government have been that Canada and the European Union (EU) effective in limiting the housing imbalances have reached an agreement in principle on seen in other countries. These factors have a comprehensive trade agreement – the been key in underlying Canada’s reputation biggest, most ambitious trade agreement as having the strongest banking system in that Canada has ever reached. the world, which is underscored by the Canadian workers in every region of the World Economic Forum’s recent ranking country – including in sectors such as fish of Canada’s banks as the soundest in the and seafood; chemicals and plastics; metal world for the sixth consecutive year. and mineral products; technology; forestry Our financial system, complemented by and value-added wood products; automotive; a well-designed regulatory framework and advanced manufacturing; and agriculture and effective supervision, has also earned us agri-food – stand to benefit significantly from considerable laurels. Indeed, Canada is one increased access to this lucrative 28 country of only three AAA rated sovereigns in the G-7, market which currently generates and the outlook remains stable. Both the IMF $17 trillion in annual economic activity. and the OECD expect Canada to be among Moreover, the financial services provisions the strongest growing economies in the G-7 of the Canada-EU free trade agreement, over this year and in the years to come. named the Comprehensive Economic What’s more, we remain committed to Trade Agreement (CETA), will help protect creating jobs at home. Canada has outperinvestments and lock in existing and future formed all other G-7 economies in job creation liberalization of the financial sector. Canada over the recovery, with more than 1 million and the EU agree that the best way to protect more Canadians now working than in July investors and taxpayers is to insure a robust 2009, when the recovery began. About 90 per and stable financial system. For these reasons, cent of all jobs created since then have been CETA includes special provisions to safeguard in full-time positions, of which close to 80 per the government’s right to take prudential cent are in the private sector and more than measures to protect the stability and 60 per cent are in high-wage industries. integrity of the financial system. We continue to champion international As the global environment continues to efforts to reduce the probability of financial evolve, Canada will maintain its prudent crises and enhance the capacity to respond approach to supporting our financial system, to a crisis. We are proactive supporters of with the goal of keeping our hard-earned consistent implementation of the financial reputation for resilience, and the trust of reform commitments. all Canadians. On Basel III implementation, our domestic systemically important banks already meet – The Hon. Jim Flaherty, the all-in 2019 Basel III Common Equity Tier 1 Minister of Finance of Canada

About the COVER Brookfield Place stands as a prized example of Toronto’s cultural development and community spirit. The public spaces at Brookfield Place have received international acclaim for their architectural excellence, including the award-winning Allen Lambert Galleria (pictured on cover), a favorite backdrop for some of North America’s most prominent exhibitions, art installations and special events. Defined by eight, free-standing inclined steel supports that branch out into a single plane, the Allen Lambert Galleria is embraced by natural light filtering through louvres on top of vaults, re-inforcing the impression of an ethereal, tree-lined street. Visited by millions of people each year, Brookfield Place is also home to the Hockey Hall of Fame and some of downtown Toronto’s most popular dining and shopping destinations. • www.brookfieldofficeproperties.com • www.brookfieldplacenewsand events.com

Produced by Perspective Marketing Inc. 1464 Cornwall Rd Suite 5, Oakville, ON L6J 7W5 1-866-779-7712 info@perspective.ca www.perspective.ca Publisher, CEO Steve Montague VICE-PRESIDENT Ed Martin executive editor Bruno Ruberto WRITER Ben Benedict Perspective™ Finance was produced independently of the Government of Canada. Contents are copyrighted and may not be reproduced without the written consent of Perspective Marketing Inc. The publisher is not liable for any views expressed in the articles and opinions do not necessarily reflect those of the publisher or the Government of Canada. • printed/produced in Canada

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Financial services sector is a key contributor to Canada’s economy

• The Financial Services industry is a key employer in the Toronto region and employs 8 per cent of all of the workers in the Toronto census metropolitan area (CMA), with an estimated 229,000 working for firms in the Financial Services sector. This sector creates a significant number of high-quality jobs for the Toronto CMA and disproportionately employs university-level graduates. Source: 2013 Talent chartbook - www.tfsa.ca

Canada’s Strengths ... Strongest banking system in the world The Canadian banking system was ranked the soundest in the world by the World Economic Forum in 2011.10 Moody’s Investment Service ranks Canada’s banking sector first worldwide for financial strength and safety. No major Canadian banks failed during the 2008-09 financial crisis and four of the world’s top 10 strongest banks are Canadian: CIBC (third), Toronto-Dominion Bank (fourth), National Bank of Canada (fifth) and Royal Bank of Canada (sixth).11 Size of the financial sector The Toronto Stock Exchange (TMX Group) is the largest in North America and second largest worldwide by number of companies listed.12 It is the third largest in North America and eighth largest worldwide by market capitalization. Toronto was ranked the seventh leading financial centre globally in The Banker’s 2011 International Financial Centre Rankings.13 The TMX Group is first in listed mining, oil & gas companies worldwide; first in listed cleantech companies worldwide; and second in listed technology companies in North America.14 Quality of the regulatory environment The Canadian financial sector is among the world’s most well-regulated and offers many examples of best practices. The World Bank ranks Canada fifth worldwide for its strength of investor protection, and assigns Canada a maximum score for depth of credit information.15

inance and insurance accounted for 7 per cent of national output in 20117, and the Canadian financial services sector represented a GDP of $264 billion. The size and growth of the Canadian financial services sector is supported by Canada’s AAA credit rating and stable banking system. Moody’s Investors Service has given Canada’s big banks a rating of Aa3 or above, higher than bank rankings in the U.S., Europe, and Asia. Moody’s, Fitch and S&P all maintain a positive outlook for the Canadian economy. The financial services sector in Canada is very diverse, including banks, trust and loan companies, life, health, property and casualty insurance companies, credit unions, securities dealers, finance and leasing companies, pension fund managers, mutual fund companies, and independent insurance agents and brokers. Eleven of the Top 1000 World Banks are located in Canada, with six Canadian banks in the Top 100.8 Four Canadian banks are among the global top 10 strongest financial institutions according to Bloomberg Markets magazine.9 7 CANSIM, Gross domestic product (GDP) at basic prices (2012) 8 The Banker, Top 1000 World Banks, ranked by Tier 1 Capital (2011) 9 Bloomberg, Canadians Dominate World’s 10 Strongest Banks (2012) 10 World Economic Forum Global Competitiveness Report 2011-2012 11 Bloomberg, Canadians Dominate World’s 10 Strongest Banks (2012) 12 World Federation of Exchanges, YearTo-Date monthly statistic tables (2012) 13 The Banker, International Financial Centres, October 2011 14 TMX, A Capital Opportunity: A Global Market for Chinese Companies (2012) 15 World Bank Doing Business Guide 2012

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Innovative Finance and Investment Management Programs at McGill University’s Desautels Faculty of Management

he world economy and sound financial management will be front and centre for decades to come with Canadian financial institutions often leading the way. To drive this movement, McGill University’s Desautels Faculty of Management offers several degree programs at the undergraduate, masters, doctoral, and executive-level to secure the next generation’s position among the global financial leaders. Founded in 1906, the Desautels Faculty of Management at McGill University is ranked as one of the world’s top international business schools by Business Week and the Financial Times. Marcel Desautels, C.M., LLD’07, founder of the Canadian Credit Management Foundation (CCMF), provided a landmark $22-million gift to McGill in 2005 – at the time, the largest donation ever made to a Canadian business school and the Faculty was renamed to honour Desautels’ generosity. In 2008, he provided a further $10 million to create the Marcel Desautels Institute for Integrated Management, which aims to introduce interdisciplinary “big-picture” thinking into a global business world that must increasingly operate with both social and financial balance sheets in mind. The Investment Management programs at the Desautels Faculty of Management are designed in consultation with a world-leading team of investment managers that look ahead to the future of the investment management industry, integrating investment management teaching, research, and practice to create a unique value exchange

Founded in 1906, the Desautels Faculty of Management at McGill University is ranked as one of the world’s top international business schools by Business Week and the Financial Times. between leading industry experts, world-class finance professors, and outstanding students. A critical component of Desautels’ approach to finance is the direct involvement of investment industry leaders and corporate partners through expert panels in key cities, where members offer student internships and support the program by providing industry expertise and live cases. The Bachelor of Commerce Honours in Investment Management at Desautels offers offer training that combines rigorous academic groundwork with realworld experience in investment management. Industry experience is integrated through global internship opportunities – and access to the expertise of corporate partners

from around the world. A suite of finance, accounting, and quantitative courses are integrated with a structured progression of investment management experience at the McGill-based investment company Desautels Capital Management, the first-ever registered investment management firm founded by a Canadian university. Through Desautels Capital Inc., students have an unparalleled opportunity to train as investment analysts. The program prepares participants for careers on the buy-side, in financial asset management, or on the sell-side, working for brokerage firms. At the Masters of Business Administration (MBA) level, the Investment Management program features an innovative approach to investment management that combines learning, research, and practice to enrich the student experience. It offers an unparalleled opportunity for students to train as investment analysts and undertake summer internships at major financial centres around the world. Designed in consultation with leading fund managers, this program provides a select number of MBA students with a competitive edge by offering hands-on learning and training in financial analysis, portfolio management, global investments, risk management and hedge fund investing. Both the undergraduate and graduate curriculua offer content directly relevant to CFA, CAIA, FRM and PRM accreditations. The Desautels Faculty of Management at McGill University is located in downtown Montreal. For more information, or to apply, visit www.mcgill.ca/desautels

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A closer look at the Canadian equities markets Canada offers one of the most stable, well-regulated and attractive investment environments in the world

or foreign investors, Canada offers a marketplace that rivals any advanced nation in the world. With the lowest debt-to-GDP ratio of all G7 countries, Canada was also ranked by Forbes Magazine among the top five countries for business in the G20, and is considered one of the top five best places to start a business according to the 2013 Entrepreneurship Barometer report. The health of Canada’s economy has remained strong and it withstood the shocks of the recent global economic crisis better than most industrialized economies. The country’s economy has grown steadily since 2009 and has now fully recovered the jobs and output that it lost during the depths of the global slowdown – the first G7 country to meet that challenge. And, according to the Economist Intelligence Unit, Canada will remain the most attractive place to do business in the G7 for the next five years. Attracted by Canada’s stability and economic health, foreign investors have turned their attention to the country’s public equity markets. In fact, non-resident investors acquired $6.6 billion in Canadian equities from April to June 2013 alone.

• Attracted by Canada’s stability and economic health, foreign investors have turned their attention to the country’s public equity markets. In fact, non-resident investors acquired $6.6 billion in Canadian equities from April-June 2013 alone.

Canada fuels the world

ublicly listed companies in Canada are involved in every aspect of the global economy, from raw materials to advanced technologies. As a source of raw materials, the world relies on these businesses for everything from gold and uranium, to wheat and potash. At the same time, modern technological innovations, from ultra-quiet jet planes to high-definition security cameras, have been developed by Canadian public companies and embraced by consumers throughout the world, leading to new ways of doing things.

These public companies are governed by a strong and respected regulatory environment, and supported by a robust ecosystem of bankers, lawyers, accountants and analysts. Of note, Canada’s banks rank among the strongest and most stable in the world. Foreign investors have demonstrated their confidence in Canada by becoming even more involved in the country’s economy. From 2000 to 2012, foreign investors nearly doubled their direct investment in Canada, to more than $633 billion.

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Canada’s exchanges Companies listed on Toronto Stock Exchange and TSX Venture Exchange are major producers and developers of key natural resources

any domestic and foreign investors recognize the opportunity in companies listed on Canada’s leading equity exchanges, Toronto Stock Exchange (TSX) and TSX Venture Exchange (TSXV). More than 3,700 of these companies, at widely varying stages of development, are wellpositioned to meet current and future global demand for energy, natural resources, technological innovation and food supply. As the world’s top exchange group for natural resource listings, companies listed on TSX and TSXV will help meet some of the most pressing global challenges. For example, as a provider of raw

in mining were conducted on the Exchanges in 2012. Canada also has the second largest reserves of oil in the world, after Saudi Arabia, and Canadian companies develop world-class technology to extract hydrocarbons. It’s worth noting that Canada’s global contributions go well beyond natural resources. Over 400 companies listed on the Exchanges are involved in technology, clean technology and life sciences, and they’re well-positioned to contribute now and into the future. Nearly 120 clean technology companies, for example, are listed on TSX and TSXV, and have a market capitalization of roughly $20 billion. Their products and know-how will be increasingly relevant in a rapidly evolving green economy, and investors continue to find opportunities in the sector.

materials, Canada ranks among the top five producers in the world for major minerals and metals, including zinc, uranium, aluminum, titanium and nickel. The country is also a major producer of gold, platinum and diamonds, as well as iron ore, potash and natural gas. Companies listed on TSX and TSXV are major producers and developers of key natural resources. The Exchanges have attracted more than 1,600 of the world’s public mining companies, with almost 10,000 projects around the world, half of which are outside of Canada. In fact, almost 60 per cent of the world’s public mining companies are listed on TSX and TSXV, and 70 per cent of all global equity financings

Diversity of Listed Companies Number of Companies by Sector

Mining 1,638

Oil & Gas & Energy Services 378

Structured Products 219

CPC* Financial 135 Services 124

Utilities & Pipelines 29

Diversified Industrials 332

Technology 175 * A Capital Pool Company (CPC) is a listing vehicle that offers an alternative way to go public on TSXV. The program marries private company entrepreneurs with business people who have public markets experience.

Real Estate 98

ETFs 296

Clean Technology 119

Forest Products 24 Comm & Media 53 Life Sciences 108

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Successful two-tier market Did you T know?

hrough the unique structure of TSX and TSXV, investors gain access to a broad spectrum of investment opportunities, including companies at different stages of development, from small businesses with a market capitalization of less than $50 million to mature companies valued in billions. A listing on TSXV, for instance, provides early-stage companies with a platform to raise growth capital. As these companies grow and mature, many graduate to the senior exchange. In fact, more than one-fifth of TSX listed companies are graduates of TSXV – that’s 570 companies with over $150 billion in market capitalization.

In addition, over a hundred companies have moved to the larger exchange through M&A activities. By providing an environment that nurtures small companies as they grow their business, TSX and TSXV provide unique investment opportunities. “Early-stage companies offer growth opportunities,” says Kevan Cowan, President, TSX Markets, and Group Head of Equities, TMX Group. “As they grow in their development cycle, companies that graduate to the senior market offer investors the benefits of mature businesses, including a large base of institutional and retail investors, as well as extensive analyst coverage.”

TSX and TSXV International Listings by Country/Region Australia, 10% UK / Europe, 9%

• Based on float capitalization, Canada stands fourth in the MSCI World Index. • The World Economic Forum ranks Canada’s banking system as the most sound in the world (a ranking achieved six years in a row). • The World Bank ranks Canada fifth worldwide for its strength of investor protection, and assigns Canada a maximum score for depth of credit information. • About 40 per cent of daily trading on TSX and TSXV originates from international firms. • In 2012, almost 200 companies listed on the Exchanges delivered returns of over 50 per cent. • Altogether, 1,150 analysts cover TSX and TSXV listed companies.

Asia, 13%

Latin America, 6% Africa, 2% Other, 5%

USA, 55%

Total International Listings as at Aug. 31, 2013 = 324 TSX = 173 Listings | QMV = $152.2 B TSXV = 151 Listings | QMV = $2.8 B

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Portfolio management

rom the broad range of companies listed on TSX and TSXV, investors can build a portfolio of Canadian equities based on a wide variety of diversification strategies. An investor may select investments based on companies’ assets, such as precious metals, oil & gas or clean technology. Investors may also build a diversified portfolio of companies at different stages of their development, selecting early-stage companies from TSXV and more mature companies from TSX. Since companies listed on TSX and TSXV conduct business throughout the world, investors can also diversify based on the location of a company’s operations. “Investors around the world are increasingly looking to Canada for diversification,” says Ungad Chadda, Senior Vice President, TSX. “They also have confidence in the Canadian dollar, our country’s fundamentals, and the stability provided by the Canadian government.” Investors can also diversify quickly and effectively by using Exchange Traded Funds.

ETFs: Efficient access to the Canadian market for global investors

n Exchange Traded Fund (ETF) is a security that trades like a conventional stock on an equities exchange. Investors buy and sell ETFs in the same way as they trade individual shares. The simplest ETFs generally seek to replicate an index. More complex ETFs expose investors to alternative asset classes, more sophisticated investment strategies and even active management. There are roughly 300 ETFs listed on TSX, with a combined market value of $70 billion. Many of these ETFs track the performance of an underlying index or benchmark. They may track a broad spectrum of Canada’s major companies, for example, or a selection of small public companies. Some ETFs follow companies within a particular sector such as infrastructure or healthcare, while others track companies involved with particular commodities such as gold, oil or natural gas. ETFs listed on TSX also follow indices that offer exposure to dividends, fixed income or currencies. Using this wide array of ETF offerings as core holdings, investors can pursue a strategy based on diversified portfolio management. Visit tmx.com/etf for information on ETFs listed on TSX.

Montréal Exchange: Risk management through derivatives

nvestors can also gain exposure to, or hedge, a Canadian asset using derivative products from the Montréal Exchange (MX). Products include: • equity options • options on ETFs • options on the US Dollar • index derivatives • Canadian interest rate derivatives All derivative products traded on the MX are cleared by the Canadian Derivatives Clearing Corporation (CDCC). The CDCC is the only integrated central clearing counterparty in North America that clears and settles futures, options and options on futures. Its clearing members include Canada’s major financial institutions and brokers.

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• Canada has a world-class higher education system with 22 Canadian universities in the top 500 in the world. Source - Shanghai Jiao Tong University, Academic Ranking of World Universities 2011

SKILLS AND RESEARCH T

he financial services industry is one of the largest sectors for employment in Canada, with a workforce of nearly 700,000. There are over 360,000 people employed in banking services, 115,000 employed in investment management, and over 200,000 people work in insurance.16 The Canadian government has recently realigned its temporary foreign worker program, streamlining the process for employers with immediate labour needs in high-skill occupations such as financial services.17 Canada is well-equipped to develop the next generation of business leaders. The country has a world-class higher education system with 22 Canadian universities appearing in the top 500 universities of the world.18 In 2010, a total of 1.2 million students were enrolled in Canadian universities in degree-related programs. Canadian universities offer programs in finance at undergraduate, graduate and PhD levels, and five Canadian business schools are ranked among the top 100 in the world according to the Financial Times’ Global MBA ranking.19 Eight

Canadian universities also appear in the Top 100 universities for Economics and Business, including McGill University, the University of British Columbia and the University of Toronto.20 Specialized academic research centres in financial services include: • Capital Markets Institute, Financial Research and Trading Lab and International Centre for Pension Management, Rotman School of Management (University of Toronto) • Research in Responsible Business, Schulich School of Business (York University) • Desmarais Global Finance Research Centre (DGFRC), Desautels Faculty of Management (McGill University) • Ben Graham Centre for Value Investing, The Richard Ivey School of Business (University of Western Ontario) • KPMG Research Bureau in Financial Reporting; The Phillips, Hager & North Centre for Financial Research; and the Bureau of Asset Management, Sauder School of Business (University of British Columbia)

16 Statistics Canada, Employment (2011) 17 Human Resources and Skills Development Canada. Government of Canada announces a more efficient and responsive temporary foreign worker program (2012) 18 Shanghai Jiao Tong University, Academic Ranking of World Universities 2011 19 Financial Times, Global MBA Rankings 2012 20 Financial Times, Global MBA Rankings 2012

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Taking finance education to the next level: The Odette Financial Markets Lab

he Odette Financial Markets lab is a stateof-the-art, trading simulation facility that bridges the gap between classroom theory and real-world experience. Erdal Gunay, Department Head of Finance at the University of Windsor’s Odette School of Business, says that “through the use of market simulations and live data feeds, the lab opens our students’ eyes to the reality of trading and makes them feel like they are a part of the market.” The facility features six widescreen LCD display screens and a projector which can stream financial, economic and political data from a number of sources, including BNN and CNBC, live Bloomberg and Reuters satellite feeds, or from any of its 23 computer workstations. Instead of the traditional classroom-style layout, the room features five pods or desks, each containing four workstations. Every workstation has three computer monitors equipped with software for simulated trading, portfolio management and pricing of sophisticated financial assets. Odette students first utilize the lab in the Finance II course, says Gunay, to learn about trading terms, bid and ask offers, market orders and limit orders and do a trading simulation. More in-depth lab work is an integral part of upper-year finance courses. The lab opens at 9:30 a.m., just like major stock markets, however, students cannot

actually make trades. Despite that, “some of our students really immerse themselves,” says Gunay. “I once got a text from a student telling me that I should buy silver.” Since the advent of the lab, enrolment in finance has increased, Gunay says, and notes that dozens of students apply to work in the positions it offers. “We have six teaching assistants who staff the lab, including a fourth-year intern who acts as a mentor to other students.” For the past four years, Gunay has taken a team to the prestigious Rotman International Trading Competition, which is held each February in Toronto. The team

has fared well, ranking in the top 20 of 50 teams from across North America, including MIT and the University of Chicago. In addition to finance classes, the Odette Financial Markets Lab offers Bloomberg certification courses in equities/options, fixed income, commodities, and foreign exchange. “I encourage students to get their certification based on their area of study. It’s good to have on your resume.” Fourth-year student and lab intern, Gianluca Tucci, says the lab’s environment sets the stage for important student networking that captures the fast-paced world of finance and money in a dynamic, hands-on, technological experience. “The active learning that takes place in the lab reinvigorated and re-branded the Finance Club at the Odette School of Business,” says Tucci. Such learning played a role in Tucci securing an eightmonth, paid co-op term in a highly coveted and competitive position at Suncor where he will be working with senior analysts, traders and marketers within the Energy Market Analysis and Research group. In addition to hosting financial seminars and conferences, another positive indicator of the lab’s impact is that institutions such as CIBC are now recruiting on campus, says Gunay. “The lab sets us apart.”

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Applied Education, Applicable Research

strong connection to industry can set a business school apart. At Concordia University’s John Molson School of Business (JMSB), maintaining and fostering corporate links are institutional imperatives and also an important part of the culture. “Offering programs that are well-grounded in practice and theory is very important for us,” says JMSB Dean Steve Harvey. “We have a number of study programs that meet the needs of local businesses, enabling students to receive training that prepares them for the job market.” Establishing mutually beneficial alliances with the business community helps make students immediately employable in their field because they have the opportunity to develop the specific skills that employers are looking for. According to Mai-Gee Hum, director of JMSB’s Career Management Services, that is precisely why industry partners have continued to hire JMSB graduates despite the economic instability of recent years. “Last year,” says Hum, “nearly 77 per cent of JMSB graduate students and 72 per cent of undergraduate students were gainfully employed three months after graduation.” Beyond the classroom Corporate partnering also facilitates work-integrated learning activities such as co-operative education and internships that provide students with a more dynamic learning experience. “Our Co-op program is one of the biggest and most comprehensive available to

Experiential learning and practical research keep Concordia University students and faculty connected to business and to the community. university students,” says JMSB’s undergraduate recruiter Olivier Bastien. “Over 740 JMSB students participate and hundreds more choose to complement in-class learning by taking part in some of the many practice-based initiatives offered by the business school. “When people are looking to study business in university, they know that Concordia offers a program that will put them in live business situations,” says Bastien, “whether it is during paid Co-op work terms, in our stock trading lab or in business case competitions held worldwide.” By all accounts, students are drawn to business schools whose offerings go beyond traditional classroom-based teaching and that help bridge the gap between theory and experience. The school’s Kenneth Woods Portfolio Management Program exemplifies the notion of learning through doing. The undergraduate students who participate in the program manage a real fund of $1.5 million. They are guided by a team of senior investment management and management consulting professionals from the business community.

“Our students are measured just like investment professionals in the real world,” says Reena Atanasiadis, the program’s director. “Their stock and bond picks are compared to global market performance. What gets measured, gets done, and when our students are measured, they stand up to real world criteria.” Business research JMSB’s connection to enterprise in Montreal and Quebec is also being strengthened as Concordia is increasingly being recognized as an innovative research institution. In exploring today’s burning business issues, JMSB researchers have developed productive partnerships with the business community. “A recent example,” says Harjeet Bhabra, JMSB’s associate dean of research and research programs, “is the establishment of the CN Center for Sustainable Supply Chain Management funded by CN. The Centre will allow researchers to focus on developing innovative approaches to tackling sustainability issues in the efficient management of industrial supply chains.” “JMSB is known to be at the crossroads of practice, research and knowledge transfer,” says Harvey. “It is part of our DNA and this now has a wider reach than ever before.”

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BRAMPTON Awards/Designations

Experience the energy of a people-powered economy

ith a population of approximately 523,911, Brampton is the 9th largest city in Canada and the 3rd largest in the Greater Toronto Area (GTA). Brampton is the second fastest growing city in Canada, averaging growth of 4.2 per cent per year (or 18,000 new residents each year). Brampton’s median age is 34.7, the lowest among Canada’s largest cities. Brampton’s residents represent more than 209 different cultures and speak more than 89 languages. This young, educated and multicultural labour force of 153,000 strong continues to grow. People from around the world have come together to thrive in this City. Adjacent to Canada’s largest airport Toronto Pearson International, Brampton is home to the largest intermodal railway terminal in Canada and has immediate access to an extensive network of trans-continental highways. At the centre of Canada’s major transportation corridors and located near the U.S. border, Brampton is within a day’s drive of 120 million consumers. Brampton has a successful, diversified economy with more than 8,500

businesses. Seventy two per cent of Brampton’s economic base is comprised of services-producing companies and 28 per cent is comprised of goodsproducing companies. With all that Brampton has to offer, it’s no wonder companies like Medtronic, Rogers Communications, Chrysler Canada, Loblaw, and Coca Cola Bottling Company are located there. In addition to a well-developed economic base, Brampton residents enjoy a high-quality lifestyle. Brampton combines big-city conveniences with traditional quality of life. Offering more than 6,000 acres of parkland and open space, it provides access to a wide variety of outdoor activities. Home to the Sheridan Institute of Technology and Advanced Learning, Algoma University’s Brampton Campus and 25 private career collages, residents have many choices in post-secondary institutions. Brampton is a short commute to 19 post-secondary colleges and universities including many of Canada’s top academic institutions, such as University of Toronto,York University, Ryerson, Humber College, and Ontario College of Art and Design.

• Voted one of the Top 10 Cities in North America, Best Infrastructure and Best Business Friendliness Mid-sized City 2013/14. (Financial Times of London) • The City of Brampton is a $650 million (CND) municipal organization and has achieved a “AAA” credit rating designated by Standard & Poor’s for seven consecutive years. • First city in the Greater Toronto Area and one of only 10 in North America to be designated an International Safe City by the World Health Organization. • Brampton has impressive business growth rates, low annual operating costs, living costs and is a peaceful, safe community.

At A Glance

• Population: 523,911. Projected to grow to 738,000 by 2031. • Median age: 34.7 years, the lowest among Canada’s largest cities • Businesses: 8,500 • Workforce: 153,000 • Average household income: $98,883 • Industrial, commercial and institutional construction value in 2012: $500 million, ranking Brampton 11th in Canada. • Number of Brampton companies included on the latest Fortune 500 list, including Ford, GAP and Clorox: 48 • Experience what Brampton’s fast-growing, people-powered economy can do for you. It all begins at brampton.ca/b-more

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Canadaâ&#x20AC;&#x2122;s Cost Advantages Advantage:

Advantage:

Annual labour costs ($ million) This chart looks at the total labour costs for a fund administration centre with a total head count of 200 people. Labour costs include employee salary plus statutory employer social security contributions. Private healthcare costs are also included for U.S. and Canadian cities.

Office rent per square foot per annum ($) This table shows the cost per square foot of prime Grade A office space in each location.)

Labour cost savings For a typical fund administration centre, companies can make substantial labour cost savings by investing in Canadian cities compared to cities in the U.S., U.K., Switzerland, Japan and Germany.

Source: fDi Benchmark Database, fDi Intelligence from the Financial Times (2012)

Competitive office costs Canada is a cost-competitive location in terms of office rent. Rents in Canadian cities are much less expensive than in many leading financial centres in both developed and emerging markets.

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Advantage:

Access to international markets Canada has a world-class airport infrastructure, with large international airports close to the major financial centres of Canada. Toronto offers the largest number of direct flights to international business cities throughout the world, while MontrĂŠal, Vancouver and Calgary offer flights to over 40 international cities. Number of international destinations This chart shows the number of international destinations served by proximate airports (within 50 mile radius of the location).

Advantage:

Sound banking system Canadaâ&#x20AC;&#x2122;s banking system has been ranked as the soundest in the world, while the U.S., U.K. and Germany have below average scores for the health of their banking sectors. Soundness of banks (Rank 1-7) This chart shows the soundness of banks. (1= insolvent and may require a government bailout; 7= generally healthy with sound balance sheets) Source: fDi Intelligence based on OAG Flight Guide (2012)

Source: World Economic Forum Global Competitiveness Report 2011-2012

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Beyond Housing: Commercial Property Attracts Investors

decade ago, The Economist Magazine proclaimed that Canada was ‘cool’. Investing in Canada has become an even more auspicious proposition as we now live in an era in which economic stability is prized. The search for investment vehicles with reliable returns has boosted demand for commercial real estate and related services around the world. In Canada, the commercial real estate investment volume neared record levels over the past two years, causing our industry to grow and increasing the sophistication of our clients’ real estate needs. “Many of our clients are coming off one of the most active years in the history of our industry in 2012,” Peter Senst, President of Canadian Capital Markets for CBRE Limited, said. “A decade of strong market fundamentals and solid economic growth has enticed many to consider adding commercial assets to their portfolios.” CBRE’s team of 30 Canadian researchers is closely tracking an ongoing office construction cycle, which is being fuelled by demand from various sectors in different parts of the country. Oil and natural gas production in Western Canada is bolstering demand for industrial space in many provinces, while Canadian consumers are being targeted by foreign retailers who are entering the market for the first time. Low vacancy rates characterize most commercial assets in Canada, which combined with low interest rates, is a one-two punch that continues to propel investment activity. In 2012, CBRE sold Scotia Plaza, a 2.0 million SF office building in Toronto, for C$1.26 billion. It was

the largest single-asset commercial real estate transactions completed globally in 2012 and reflects the quality of the commercial assets that exist in Canada. “There was a time when we would have to extol the benefits of owning commercial property. Much more energy is now spent facilitating transactions,” said Senst. While most business now transcends borders, commercial

Canada’s commercial real estate investment volume neared record levels over the past two years, increasing industry growth and the sophistication of clients’ needs. real estate is also intensely location specific. Our diverse geography requires companies to be able to scale their service offerings up or down in order to address the variety of real estate needs that clients may have in a country like ours. CBRE has grown to 24 offices and over 1,850 employees operating across Canada, which can leverage our global network of 37,000 staff

in 300 offices in order to address our clients’ needs. A significant trend shaping the market is that an increasing number of companies and institutions are outsourcing their real estate requirements. That is where CBRE’s Global Corporate Services business line steps in to provide a broad range of services for clients that have extensive portfolios, which contain properties that are as commonly found in Canada’s largest cities as they are in secondary markets and rural locations. Canadian

companies operating from a position of strength domestically have also become a force to be reckoned with abroad. Hudson Yards and the West Manhattan, two major projects that will reshape Manhattan, are being funded by a Canadian pension fund and Canadian institutional owner. In 2012, Canadians were involved in 480 transactions abroad, totaling US$18.9 billion. Whatever your real estate goals may be, CBRE can be there to guide you at each step in the process, in every jurisdiction, for any size of job.

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Financial and Service clusters British Columbia

Key strengths: Vancouver specializes in the banking, credit union, international financial transactions, and venture capital investment subsectors, and is a global hub for resource project financing. Size of industry: The financial services sector is British Columbia’s fastest growing sector and contributes $32 billion to provincial GDP. More than 100,000 people are employed in financial services, of which more than 55,000 are in the Greater Vancouver area. All five of Canada’s largest banks have significant operations in British Columbia. Leading companies: British Columbia is home to the Canadian headquarters of HSBC, Bank of China, State Bank of India (Canada), BASF Finance Canada, and Mizuho Financial Group. JPMorgan Chase & Co and ICICI Bank also have operations in British Columbia. Vancity, Canada’s largest credit union, is listed in The Banker’s Top 1000 World Banks.

Alberta

Key strengths: Growth of the financial services sector in Alberta has been driven by strong oil prices and investment in the energy and construction sectors. Calgary has a world-class investment banking and asset management industry focused primarily on the oil and gas sector, while Edmonton has developed a globally competitive niche in wealth management and pension management. Size of industry: Over 4,000 financial services firms are active in Alberta, including all six large Canadian banks and 15 of the top 20 global investment banks. The province employs more than 58,000 people in finance and insurance.21 Leading companies: Bank of China, HSBC, Industrial and Commercial Bank of China (ICBC), JPMorgan Chase & Co, Royal Bank of Scotland, Société Générale and State Bank of India have operations in Alberta. Great Western Bank, headquartered in Edmonton, is listed in The Banker’s Top 1000 World Banks.

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Manitoba

Key strengths: There are over 100 investment dealer firms across the province, all of which are licensed by the Manitoba Securities Commission. Size of industry: Manitoba’s financial services sector employs an estimated 33,000 people. All major Canadian chartered banks are represented in Manitoba, along with a few smaller regional banks and three foreign banks. Leading companies: Great-West Life Assurance Co, HSBC, and IGM Financial.

Ontario

Key strengths: Ontario’s key strengths include financing for the mining and energy sector, as well as highly skilled support, administration, and servicing operations. It contains 80% of Canada’s investment management industry, worth $700 billion in assets. The Toronto Stock Exchange is the third largest in North America and the eighth largest in the world in terms of market capitalization. Size of industry: Ontario’s finance and insurance sector employs 358,000 people, with nearly half in banking. Ontario’s financial services industry is centred in the Greater Toronto Area (GTA) with smaller clusters in Waterloo, London and Ottawa. The GTA is North America’s third largest financial centre after New York and Chicago, with over 221,000 employed in 2010.22 Leading companies: Apex Fund Services, Bank of China, Barclays Bank, China Investment Corp., Citigroup, Goldman Sachs, HSBC, ICICI Bank, ING Group, M&T Banking, Merrill Lynch, NYSE Euronext and State Bank of India all have operations in Ontario. Royal Bank of Canada, Scotiabank, Toronto-Dominion Bank and the Canadian Imperial Bank of Commerce are all listed in The Banker’s Top 1000 World Bank.

Québec

Key strengths: Montréal is known for its pioneering expertise in derivative and commodity trading, wealth management, and pension fund asset management. The Montréal Stock Exchange specializes in derivatives, and was the first stock exchange in North America to function entirely electronically. Size of industry: The financial services sector employs over 150,000 people in Quebec.25 Montréal’s dynamic financial services sector is growing at a rapid pace and is home to more than 3,000 financial services companies, employing nearly 100,000 people. Montréal was ranked 23rd in The Banker’s 2011 International Financial Centre Rankings.26 Leading companies: Banque Transatlantique, Crédit Agricole, Giesecke & Devrient, HSBC, Morgan Stanley, Société Générale and State Bank of India all have operations in Quebec. The Laurentian Bank of Canada and National Bank of Canada are listed in The Banker’s Top 1000 World Banks.

Atlantic Provinces

Key strengths: The financial services industry in the Atlantic provinces includes banking, mutual fund administration, client relations, hedge fund administration, and insurance companies. Halifax, Nova Scotia is the financial services hub of the Atlantic provinces and is the fastest growing fund administration centre in Canada.23 The city is a leading global centre for middle and back office operations for the fund administration and reinsurance subsectors. The province of New Brunswick has the fastest growing insurance industry in Canada.24 Size of industry: There are almost 40,000 people employed in the finance and insurance industry in the Atlantic provinces. Nova Scotia is the largest financial services employer in the region, with over 1,000 companies employing approximately 18,000 people in finance and insurance, followed by New Brunswick (13,400) Newfoundland and Labrador (6,700) and P.E.I. (1,800). Five major Canadian banks have regional offices in Halifax. Leading companies: Assumption Mutual Life Insurance, Citco Fund Services, Butterfield Fund Services, Marsh Captive Solutions, Olympia Capital, Meridian Fund Services (Canada). 21 Statistics Canada, Employment (2011) 22 Ontario Canada, Financial Services in Ontario (2011) 23 KPMG, reported by Nova Scotia Business Inc (2012) 24 Insureconomy (2012) 25 CFI Montréal, Montréal: An International Financial Centre (2011) 26 The Banker, International Financial Centres, October 2011

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Financial services innovation Case Study: Canadian Imperial Bank of Commerce (CIBC) CIBC is a leader in mobile financial solutions. In 2012, CIBC began development of Canada’s first smartphone payment solution, in partnership with Canadian wireless provider Rogers Communications. CIBC also created the CIBC Mobile Brokerage App in 2011, the first application allowing Canadian investors to trade stocks on a mobile device. Global Finance named CIBC its worldwide winner for “Best in Mobile Banking”.6 Case Study: Royal Bank of Canada Royal Bank of Canada (RBC), introduced the inaugural Next Great Innovator Challenge in 2006, a competition open to all university students across Canada, searching for innovative concepts with commercial potential. A group from University of Waterloo won the challenge in 2012, with an innovative mobile banking platform to help young Canadians set financial goals in order to achieve their long-term financial security.

Innovation Snapshot

• Growth of the financial services industry is driven by technology. In Canada, over one quarter of all FDI projects in financial services are related to financial technology.3 • Between 2003 and 2011, over 300 banking related patents were granted by the United States Patent and Trademark Office to inventors based in Canada.4 • Preliminary gross domestic expenditure on R & D in Canada in 2011 was an estimated $30 billion, one of the highest levels in the world.5

3 From 2003-2011. fDi Markets database, fDi Intelligence from the Financial Times Ltd 4 fDi Benchmark estimates based on United States Patent and Trademark Office (2012) 5 Statistics Canada, Research and Development Expenditure (2012) 6 Global Finance, World’s Best Internet Banks 2011

Case Study: BMO Financial Group Toronto-based BMO Financial Group created a unified global commercial online banking solution to allow business customers to access their financial data in an easy-to-use format. The platform has reduced support costs by eliminating multiple systems. The project was a winner in CIO Magazine’s CIO 100 Awards in 2011, a list honouring 100 companies that exemplify the strategic partnership of IT and business.

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Foreign direct investment in Canada’s financial services sector • Foreign direct investment (FDI) in Canada’s finance and insurance industries reached an accumulated $78.5 billion* in 2011.1 • Over 130 foreign companies established greenfield FDI projects in the financial services sector in Canada between 2003 and 2011, creating over 13,000 jobs.2

RECENT INVESTMENT EXAMPLES Bank of China In 2011, Bank of China established an office in Calgary, Alberta to facilitate Chinese investment in the region. The office is being used as a base for business intelligence gathering and to network with the business community. China Investment Corp (CIC) China Investment Corp, a US$300 billion Chinese sovereign wealth fund, opened a corporate office in Toronto, Ontario in 2011. The operation was the CIC’s first office to be located outside mainland China, and signalled the fund’s plans to increase its Canadian holdings. The fund has recently made an $817 million investment in an Alberta oil sands project. Giesecke & Devrient Giesecke & Devrient, a German company that specializes in banknote printing and smart card production, established a credit card personalization centre in Dorval, Quebec in 2011. The company also has other operations and a regional headquarters in Ontario. Société Générale French banking group Société Générale opened an IT centre in 2011 at its headquarters in Montréal, Quebec, in partnership with Montréal consulting firm CGI. There are 58 software developers employed at the operation, which provides front-office software tools to traders.

HSBC HSBC Bank Canada, a subsidiary of U.K.-based HSBC, opened a $47 million global software development facility in Burnaby, British Columbia in 2010. The facility works on developing software solutions for HSBC operations globally. HSBC also has a number of bank branches across Canada. NYSE Euronext NYSE Technologies, part of U.S.-based exchange group NYSE Euronext, opened a liquidity centre in Toronto, Ontario in 2012. The firm will offer many of its core services from the Toronto operation, including access to markets, market information and other trading infrastructure services. JPMorgan Chase & Co In 2010, J.P. Morgan established an investment banking office in Calgary, Alberta, to serve as a base for the firm’s energy franchise in Canada. J.P. Morgan serves many prominent global corporate, institutional and government clients.

* Unless otherwise noted, all values in this publication are in Canadian dollars. 1 Foreign Affairs and International Trade Canada, Trade and Economic Statistics (2011) 2 fDi Markets database, fDi Intelligence, Financial Times Ltd (2012)

Foreign Investors in Canada • Apex Fund Services • Bank of China • Bank of New York Mellon • Banque Transatlantique • Barclays Capital • BNP Paribas • China Investment Corp (CIC) • Citigroup • Crédit Agricole • Crédit Suisse • Giesecke & Devrient • Goldman Sachs • HSBC • ICICI Bank • Industrial and Commercial Bank of China (ICBC) • ING • JPMorgan Chase & Co • Korea Exchange Bank • Liberty Mutual Group • Macquarie Private Wealth • Morgan Stanley • Merrill Lynch • M&T Banking • NYSE Euronext • Royal Bank of Scotland (RBS) • Société Générale • State Bank of India (SBI) • UBS

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Unique Program Focused on Tax Competitiveness AdvantageBC promotes a British Columbia tax incentive available under the International Business Activity (IBA) Program, which can be applied to qualifying international business activities conducted in B.C. by a corporation registered under the program. The tax incentive is a refund of up to 100% of the B.C. taxes paid on the qualifying international business activities (75% for patent activities). It can result in an effective corporate income tax rate in Canada of 15% on qualifying international activities.

B.C.’s Tax Advantage

Why B.C.?

• The corporate income tax rate in B.C. is 11% for 2013 and is among the lowest in Canada. Combined with the federal rate, B.C. businesses pay a corporate income tax rate of only 26% among the lowest in the G7. • The IBA program provides for a full refund (75% for patent activities) of B.C. corporate income tax paid in respect of qualifying international activities resulting in an effective tax rate of 15% (17.75% for patent activities) • Foreign individuals who transfer to work in the qualifying activities may claim a refund of B.C. personal tax on qualifying employment income. The refund is 100% in Years 1 and 2; 75% in Year 3; 50% in Year 4; and 25% in Year 5. • Vancouver ranked #2 with the lowest tax index out of the 55 major international cities studied as part of KPMG’s Competitive Alternatives 2012.

• Vancouver ranked #15 globally as a financial centre in the March 2013 Global Financial Centre Index, published by Z/Yen. • Businesses can incorporate in just a few hours. A company registered in B.C. can have as few as one director, and its directors do not need to meet any residency requirement. • B.C.’s educational, transportation and telecommunications infrastructures are among the most modern in the world. • B.C.’s location on the west coast of North America makes it possible to do business with Asia, Europe and North America in the same business day. • B.C. benefits from economic, political and social stability and offers a friendly business climate, special immigration rules for business investment, and a strong regulatory financial services sector. • The Mercer Human Resource Consulting’s 2012 Quality of Living Survey ranks Vancouver first in North America and fifth worldwide for quality of life. • B.C. offers a highly educated, culturally diverse and multilingual workforce, with 65% of the employment pool having some post-secondary training. • Vancouver International Airport is Canada’s 2nd largest airport and is serviced by 68 airlines connecting people and businesses globally.

Who Can Benefit? Any company incorporated in Canada and conducting international business from B.C. may potentially qualify for the program. Many of the companies currently benefitting from the program include: • Banks and credit unions • Investment/Asset management firms • Large exporters • Life sciences companies • Film & TV distributors

What Activities Qualify? Activities that qualify for the IBA Program can be both financial and non-financial in nature; one side of the transaction is generally with a non-resident. The major international activities include: • Foreign exchange; • Trade finance for export; • Factoring of foreign accounts receivable; • Investment management; • Administrative support to a financial activity; • Pharmaceuticals and medical devices under patent; • Proceeds from patents for pharmaceuticals, medical devices, clean energy (wind, solar and tidal), fuel cell technology and waste water treatment; • Film and television distribution; • Captive insurance; • Financial advice and research.

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There are many considerations for U.S. enterprises planning to expand into Canada

hen a U.S. enterprise decides to expand its operations into Canada, there are a number of considerations that should be addressed. First and foremost would be choosing the type of entity to conduct business in (ie. a branch, corporation, joint venture, etc.). There is a host of tax and legal ramifications to the type of entity that you establish from both a Canadian and U.S. point of view and these should be vetted carefully as they can have a major affect on the global effective tax rate that the combined enterprise pays. Another consideration for U.S. companies expanding relates to complying with the relevant Employment laws and payroll tax requirements of Canada. In many situations a U.S. enterprise will hire Canadian employees (the proverbial “boots on the ground”) which will require them to adhere to Canadian specific Employment laws and maintain a Canadian payroll. If the U.S. enterprise is sending U.S. citizens/employees into Canada on either a temporary or permanent assignment, they need to consider the Immigration Law requirements. This ensures their people can work in the country legally as well as back and forth across the border. The U.S. citizens working in Canada may also need to file personal Canadian Income Tax returns, while continuing to file personal U.S. Income Tax Returns. While operating in Canada, the U.S. enterprise and its related

The Freed Maxick International Tax team is well-versed in assisting U.S. companies with their expansion into Canada and other countries. Canadian enterprise should be aware of the requirements to comply with Canadian Goods and Services Tax (GST), Provincial Sales Tax (PST) or Harmonized Sales Tax (HST). These are excise taxes that are levied on supplies of goods and services purchased in Canada and require the filing of returns similar to the U.S. sales tax filing regime. Similarly, if there are intercompany transactions between the U.S. and Canadian entities, both the U.S. and Canada will want to ensure that such transactions are entered into at an “arms length” price. This will require proper documentation be maintained to support the transactions. A Transfer Pricing study may have to be performed to meet the contemporaneous documentation requirements on both sides of the border. As a U.S. enterprise plans its expansion strategy into Canada,

they would be well-advised to have a solid understanding of the Canada/U.S. Income Tax Treaty. With the possible movement of goods, services and people across the border, care must be taken to ensure that both the U.S. and Canadian enterprises are taxed solely in their respective countries. The Treaty provides guidance with regard to the mutually agreed upon tax position of certain items and needs to be considered so that tax efficiency can be achieved. It should be noted that when expanding into Canada a U.S. enterprise may be able to apply a U.S. tax savings strategy called an Interest Charge Domestic International Sales Corporation (IC-DISC). The implementation of an IC-DISC, for U.S. exporters that qualify, may provide up to a 20 per cent tax savings. These are not hard to implement or administer and are one of the few remaining tax savings vehicles left for exporters. A host of considerations have been provided above. The Freed Maxick International Tax team is well versed in assisting U.S. companies with their expansion into Canada and other countries. If you have questions regarding your specific expansion plans, please feel free to contact us at 1-800-777-4885 or visit us at www.freedmaxick.com

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Vaughan Invests in the Office Market of Tomorrow

he City of Vaughan has a vision of the future that embraces innovation, creativity and opportunity. As one of Canada’s fastest growing cities, Vaughan has been transformed from a suburban area into a major urban centre in the Greater Toronto Area (GTA). The City boasts several major infrastructure developments including a new subway line extending the Toronto Transit Commission system, the extension of Highway 427, and a new hospital. But the project that captures the can-do attitude of this city on the move is the development from the ground up of its new downtown, called the Vaughan Metropolitan Centre (VMC). “Our new downtown will be the heartbeat of this city, a complete community where people can enjoy life in a dynamic and vibrant urban cosmopolitan setting,” says Mayor Maurizio Bevilacqua. “We have a unique opportunity to design and create a new city core that will showcase the unlimited potential of the City of Vaughan to be a world-class city.” The VMC is the largest and most ambitious project in Vaughan’s history. With approximately 442 acres of development opportunities, it will accommodate a minimum of 1.5 million square feet in office space, some 750,000 square feet of new retail and 12,000 residential units. It will offer some of the best Class A office space in the GTA. Pedestrian shopping areas, wide boulevards and a range of entertainment and cultural venues will complete the City’s vision of a vibrant and exciting downtown. For businesses looking to expand or relocate, the VMC offers many advantages. The City is known for its young, well-educated workforce.

Rendering of Liberty Development Corporation’s mixed-use office, residential and commercial development project site. A 218,000-square-foot office tower will be located at Highway 7 and Maplecrete Road which is a sister building to Liberty’s Centro Square 150,000-square-foot office tower on the northeast corner of Highway 7 and Weston Road.

It is a multicultural city that celebrates its diversity, with its citizens speaking 99 different languages. It continues to attract new residents and businesses. In the VMC alone, there will be 25,000 new residents by the year 2031 and 11,000 jobs created, of which some 5,000 will be in the office sector. Vaughan is a progressive city in terms of its entrepreneurial spirit and a lifestyle that embraces an eco-friendly future. The VMC has a clear focus on sustainability initiatives. All buildings will be LEED certified, meeting stringent Leadership in Energy and Environmental Design standards. “We are creating an environment where people want to live and work, be entertained, and conduct

business,” says Mayor Bevilacqua. “Green roofs, bike share programs and open green spaces, these are the features of today’s urban lifestyle.” Transit is front and centre with the Toronto-York Spadina Subway Extension linking Vaughan to York University and downtown Toronto. Transecting the VMC is the new VIVA bus rapidway. The VMC promises to be a showcase for a modern city that is pedestrian friendly, transit-oriented and dedicated to sustainable growth. It will help establish Vaughan’s primacy as an emerging office market. To learn more about investment opportunities in Vaughan or to view the 3-D animated video titled It’ll Move You, visit www.vaughan.ca/business.