Foreign investors reduced their holdings of Canadian securities by C$17.3 billion in August 2026, missing forecasts for a C$23.59 billion acquisition and marking the first monthly net divestment of the year. Non-resident investors cut their holdings of federal government debt securities by a record C$17.5 billion. The outflow was partly offset by purchases of Canadian corporate bonds (+C$7.6 billion) and provincial government bonds (+C$1.6 billion). Meanwhile, foreign investors sold C$9.9 billion in Canadian equities, reducing their exposure across all industries except banking. Despite August’s outflows, foreign investment in Canadian securities totaled C$161.6 billion in the first eight months of 2026, compared with C$27.1 billion over the same period in 2025.