The Canadian Medical Association Retirement Savings Plan
Regime d'epargne-retraite
de I'Association medicale canadienne
P.O. Box 8650 1867 Alta Vista Drive Ottawa, ON K1G 0G8 November 28, 1975
C.P. 8650
1867, promenade Alta Vista Ottawa, ON K1G 0G8 28 novembre 1975
Dear Doctor,
Cher Docteur,
Stock prices have continued to fail since the end of August. The unit price on August 29 was $26.11 and on November 28th, the value was $25.11. This reduction of 3.8% masks the fact that the unit value was actually lower in the interval. On October 31st, in the wake of the price and wage control announcement, the value had dropped to $23.63. During the last month, conditions have improved somewhat but
Les cours des actions ont continue de baisser depuis la fin d'aout. La valeur unitaire etait de $26.11 le 29 aout et de $25.11, le 28 novemebre. Cette reduction de 3.8% masque le fait que la valeur unitaire a ete effectivement plus faible dans l'intervalle. Le 31 octo¬ bre, a la suite de l'annonce du controle des prix et des salaires, la valeur a flechi a $23.63. Au cours du mois dernier, les conditions se sont ameliorees un peu, mais non pas de fagon spectaculaire. Le gouvernement federal veut absolument faire obstacle a la psychose inflationniste par le truchement de la Commission anti-inflationniste. De l'avis de beau¬ coup d'economistes, le programme annonce est impratique et ne donnera pas les resultats souhaites. Cepen¬ dant, s'il met un frein aux augmentations de salaires exagerees dans le secteur public, cela vaudra un appre¬ ciable benefice general a l'economie. Aux Etats-Unis, on peut discerner des ameliorations essentielles dans l'economie. Cependant, le rythme de la reprise est deliberement maintenu a un niveau modere afin d'eviter les problemes qui se posent au Canada. La plupart des analystes du marche sont d'avis que le marche des valeurs americaines va evoluer beau¬ coup mieux que le marche canadien au cours de 1976. Les investisseurs n'aiment pas les incertitudes qui planent sur le marche financier du Canada, II est difficile de predire qu'il y aura une forte croissance reelle alors que les prix sont controles et que les dividendes sont restreints. La croissance de notre marche des valeurs mobilieres en 1976 sera done propablement une aug¬ mentation moderee du fait du marche americain. Les taux d'interet demeurent eleves. Les sommes investies dans le Fonds de rentes assurees en novembre vont rapporter un taux de 10%. Le rendement de a court terme s'inscrit egalement a un taux l'argent moderement eleve. La valeur unitaire du compte de depots a court terme le 28 novembre 1975 etait de
not
dramatically.
The Federal Government is intent on breaking the inflation psychology through the use of the anti-infla¬ tion board. Many economists believe that the an¬ nounced program is unworkable and will not achieve the desired results. However, if it does put a brake upon unreasonable wage and salary increases within the public sector, this would provide appreciable over¬ all assistance to the economy. In the United States, basic improvements in the economy are noticeable. However, the recovery pace is deliberately being held to a moderate level in order to avoid the problems which Canada has encountered. Most market analysts consider that the United States stock markets will substantially outperform Canadian stock markets during 1976. Investors do not like the uncertainty, overhanging financial markets in Canada and it is difficult to predict much real growth in a period where prices are controlled and dividends restricted. Thus, our stock market growth in 1976 is to be a moderate upward move in sympathy with likely the US market.
Interest rates continue at a high level. Monies in¬ vested in the Insured Annuity Fund during the month of November will accumulate at a rate of 10%. The return on short term money is also at moderately high levels. The short term deposit account unit value on November 28, 1975 was $10.52. Mr. R. P. Bannerman, Vice-President, Administration MD Management Ltd.
4 CMA
JOURNAL/JANUARY 10, 1976/VOL. 114
$10.52.
M. R. P. Bannerman, Vice-President (Administration) MD Management Ltee
SCHEDULE OF COMMON STOCK FUND ASSETS AT MARKET VALUE AS OF NOVEMBER 28, 1975 ACTIFS DU FONDS D'ACTIONS ORDINAIRES A LEUR VALEUR MARCH ANDE, LE 28 NOVEMBRE 1975
American/Americaines 849,250 Royal Trust Foreign CIF
Canadian Value
Canadian/Canadiennes Banks & Trust Companies Banques et Soci&e's de f iducie 14,500 Bank of Nova Scotia 124,600 Canadian Imperial Bank of Commerce 34,000 Huron & Erie Mtge. Corp. 62,400 Royal Bank of Canada 125,000 Toronto-Dominion Bank
$6,776,166 6,776,166
Forest Products Produits forestiers 200,000 Abitibi Paper Company 125,000 DomtarLtd.
Manufacturing Manufacture* 40,000 Northern Electric Co.
Merchandising Commerce de d&ail 40,000 Canadian Tire "A" 255,000 Simpsons Limited 39,600 Woodward Stores "A" 80,000 Zellers Limited
120,000 72,000 53,200 40,000
International NickelCo.ofCanada"A" 3,045,000 Noranda Mines "A" 2,241,000 Placer Development Ltd. 1,083,950 Rio Algom Mines Ltd. 1,130,000
9,838,025 $628,937 3,301,900 867,000 1,965,600 5,171,875
6,048,775 Communications Communications 89,000 Canadian Cable Systems Ltd. 141,900 MacLean-Hunter Ltd. "A" 48,000 Southam Press Ltd. "A" 53,400 Standard Broadcasting Corp 133,500 Thomson Newspapers Ltd. "A"
Mines & Metals Mines & Me"taux 908,375 43,000 Alcan Aluminum Ltd. 269,700 9,300 Falconbridge Nickel Mines 1,160,000 40,000 Hollinger Mines
1,079,125 1,099,725 1,128,000 400,500 1,735,500 5,442,850 1,800,000 2,406,250 4,206,250
Office Equipment Equipement de bureau 84,000 Moore Corp. Oil & Gas Companies Pftrole et Gaz 31,500 Canadian Superior Oil 80,000 Gulf Oil Canada Ltd. 38,100 Hudson's Bay Oil & Gas 90,000 Imperial Oil Ltd. "A" 57,300 Pacific Petroleums Ltd. Oil Pipelines Ol&lucs 135,000 Alberta Gas Trunk. "A" 42,000 Interprovincial Pipe Line 165,000 TransCanada Pipelines Ltd. Real Estate Immobilier 158,300 Cadillac Fairview Corp. Steel & Heavy Industry Acier et Industrie lourde 35,692 Algoma Steel Corp. & 72,200 Dominion Foundries Steel "A" 45,000 Massey-Ferguson Ltd. 125,000 Steel Co. of Canada "A"
4,147,500 4,147,500
1,386,000 2,300,000 1,371,600 2,193,750 1,597,237 8,848,587 1,535,625 509,250 1,815,000 3,859,875 1,583,000 1,583,000 910,146 1,759,875 900,000 3,406,250
990,000 990,000
1,920,000 1,912,500 722,700 360,000
TOTAL ASSETS/ACTIF NET
4,915.200
UNIT VALUE/VALEUR DE CHAQUE UNITE
$84501,584 $25.11
CMA JOURNAL/JANUARY 10. 1976/VOL. 114 5
Regime d'epargne-retraite
de I'Association medicale canadienne
P.O. Box 8650 1867 Alta Vista Drive Ottawa, ON K1G 0G8 November 28, 1975
C.P. 8650
1867, promenade Alta Vista Ottawa, ON K1G 0G8 28 novembre 1975
Dear Doctor,
Cher Docteur,
Stock prices have continued to fail since the end of August. The unit price on August 29 was $26.11 and on November 28th, the value was $25.11. This reduction of 3.8% masks the fact that the unit value was actually lower in the interval. On October 31st, in the wake of the price and wage control announcement, the value had dropped to $23.63. During the last month, conditions have improved somewhat but
Les cours des actions ont continue de baisser depuis la fin d'aout. La valeur unitaire etait de $26.11 le 29 aout et de $25.11, le 28 novemebre. Cette reduction de 3.8% masque le fait que la valeur unitaire a ete effectivement plus faible dans l'intervalle. Le 31 octo¬ bre, a la suite de l'annonce du controle des prix et des salaires, la valeur a flechi a $23.63. Au cours du mois dernier, les conditions se sont ameliorees un peu, mais non pas de fagon spectaculaire. Le gouvernement federal veut absolument faire obstacle a la psychose inflationniste par le truchement de la Commission anti-inflationniste. De l'avis de beau¬ coup d'economistes, le programme annonce est impratique et ne donnera pas les resultats souhaites. Cepen¬ dant, s'il met un frein aux augmentations de salaires exagerees dans le secteur public, cela vaudra un appre¬ ciable benefice general a l'economie. Aux Etats-Unis, on peut discerner des ameliorations essentielles dans l'economie. Cependant, le rythme de la reprise est deliberement maintenu a un niveau modere afin d'eviter les problemes qui se posent au Canada. La plupart des analystes du marche sont d'avis que le marche des valeurs americaines va evoluer beau¬ coup mieux que le marche canadien au cours de 1976. Les investisseurs n'aiment pas les incertitudes qui planent sur le marche financier du Canada, II est difficile de predire qu'il y aura une forte croissance reelle alors que les prix sont controles et que les dividendes sont restreints. La croissance de notre marche des valeurs mobilieres en 1976 sera done propablement une aug¬ mentation moderee du fait du marche americain. Les taux d'interet demeurent eleves. Les sommes investies dans le Fonds de rentes assurees en novembre vont rapporter un taux de 10%. Le rendement de a court terme s'inscrit egalement a un taux l'argent moderement eleve. La valeur unitaire du compte de depots a court terme le 28 novembre 1975 etait de
not
dramatically.
The Federal Government is intent on breaking the inflation psychology through the use of the anti-infla¬ tion board. Many economists believe that the an¬ nounced program is unworkable and will not achieve the desired results. However, if it does put a brake upon unreasonable wage and salary increases within the public sector, this would provide appreciable over¬ all assistance to the economy. In the United States, basic improvements in the economy are noticeable. However, the recovery pace is deliberately being held to a moderate level in order to avoid the problems which Canada has encountered. Most market analysts consider that the United States stock markets will substantially outperform Canadian stock markets during 1976. Investors do not like the uncertainty, overhanging financial markets in Canada and it is difficult to predict much real growth in a period where prices are controlled and dividends restricted. Thus, our stock market growth in 1976 is to be a moderate upward move in sympathy with likely the US market.
Interest rates continue at a high level. Monies in¬ vested in the Insured Annuity Fund during the month of November will accumulate at a rate of 10%. The return on short term money is also at moderately high levels. The short term deposit account unit value on November 28, 1975 was $10.52. Mr. R. P. Bannerman, Vice-President, Administration MD Management Ltd.
4 CMA
JOURNAL/JANUARY 10, 1976/VOL. 114
$10.52.
M. R. P. Bannerman, Vice-President (Administration) MD Management Ltee
SCHEDULE OF COMMON STOCK FUND ASSETS AT MARKET VALUE AS OF NOVEMBER 28, 1975 ACTIFS DU FONDS D'ACTIONS ORDINAIRES A LEUR VALEUR MARCH ANDE, LE 28 NOVEMBRE 1975
American/Americaines 849,250 Royal Trust Foreign CIF
Canadian Value
Canadian/Canadiennes Banks & Trust Companies Banques et Soci&e's de f iducie 14,500 Bank of Nova Scotia 124,600 Canadian Imperial Bank of Commerce 34,000 Huron & Erie Mtge. Corp. 62,400 Royal Bank of Canada 125,000 Toronto-Dominion Bank
$6,776,166 6,776,166
Forest Products Produits forestiers 200,000 Abitibi Paper Company 125,000 DomtarLtd.
Manufacturing Manufacture* 40,000 Northern Electric Co.
Merchandising Commerce de d&ail 40,000 Canadian Tire "A" 255,000 Simpsons Limited 39,600 Woodward Stores "A" 80,000 Zellers Limited
120,000 72,000 53,200 40,000
International NickelCo.ofCanada"A" 3,045,000 Noranda Mines "A" 2,241,000 Placer Development Ltd. 1,083,950 Rio Algom Mines Ltd. 1,130,000
9,838,025 $628,937 3,301,900 867,000 1,965,600 5,171,875
6,048,775 Communications Communications 89,000 Canadian Cable Systems Ltd. 141,900 MacLean-Hunter Ltd. "A" 48,000 Southam Press Ltd. "A" 53,400 Standard Broadcasting Corp 133,500 Thomson Newspapers Ltd. "A"
Mines & Metals Mines & Me"taux 908,375 43,000 Alcan Aluminum Ltd. 269,700 9,300 Falconbridge Nickel Mines 1,160,000 40,000 Hollinger Mines
1,079,125 1,099,725 1,128,000 400,500 1,735,500 5,442,850 1,800,000 2,406,250 4,206,250
Office Equipment Equipement de bureau 84,000 Moore Corp. Oil & Gas Companies Pftrole et Gaz 31,500 Canadian Superior Oil 80,000 Gulf Oil Canada Ltd. 38,100 Hudson's Bay Oil & Gas 90,000 Imperial Oil Ltd. "A" 57,300 Pacific Petroleums Ltd. Oil Pipelines Ol&lucs 135,000 Alberta Gas Trunk. "A" 42,000 Interprovincial Pipe Line 165,000 TransCanada Pipelines Ltd. Real Estate Immobilier 158,300 Cadillac Fairview Corp. Steel & Heavy Industry Acier et Industrie lourde 35,692 Algoma Steel Corp. & 72,200 Dominion Foundries Steel "A" 45,000 Massey-Ferguson Ltd. 125,000 Steel Co. of Canada "A"
4,147,500 4,147,500
1,386,000 2,300,000 1,371,600 2,193,750 1,597,237 8,848,587 1,535,625 509,250 1,815,000 3,859,875 1,583,000 1,583,000 910,146 1,759,875 900,000 3,406,250
990,000 990,000
1,920,000 1,912,500 722,700 360,000
TOTAL ASSETS/ACTIF NET
4,915.200
UNIT VALUE/VALEUR DE CHAQUE UNITE
$84501,584 $25.11
CMA JOURNAL/JANUARY 10. 1976/VOL. 114 5
