a LL a eR - a SES cadena er beg oat ene Oe ee ee es apo ee (SR a adeg tate Boasrantts duasenste ot tenet eA TCL Sel alll AaB Cr hees ep ibed aEaiS 1 PRT P E Re R e RE e I The Gold 1 Maple Leaf precious medal investment coin produced and marketed by the Royal ‘Canadian Mint, is considered one of the premier investment coins in the world, | There’s gold in them there coins The Royal Canadian Mint can chalk up one of Canada’s most outstanding marketing success " - stories of the decade’ with its Gold Maple Leaf bul- “|.lion investment coins. | Now available in four sizes — onc ‘ounce of pure | gold, half-an ounce, a quarter of an ounce and one- | tenth of an ounce, respectively — they offer bullion. - +f investors the purest, most liquid and technically § su- +] - perior coins in the world. _ ~. Since their introduction in 1979, to the end of .1987, +P -some 15,200,000 coins have been sold to investors ‘| around the world, representing about half of all -Canadian gold production in the period and worth L some $5.5 billion in export sales. Bullion investment coins like the Maple Leaf are a ie bought for the intrinsic value of the metal they con- lain, in limited quantity arid sold ata significant premium. to the metal value because of potential rarity. Produced in relatively large numbers and traded regularly, the Maple Leaf is purchased, with a small handling charge, entirely for the value of its gold | content — unlike numismatic coins which are struck Sales are direct to 20 worldwide distributors, in- cluding the Bank of Nova Scotia, Canadian Imperial Bank of Commerce and Guardian Trust Co. in Canada, and are available to the public through most major banks, brokerage firms and coin-dealers. Prices vary day to day according to the current in- ternational trading price established in London, plus a small markup for the seller. Additional information is available from John Glennie, 2 Ad. ministrator, Gold Maple Leaf at the Royal Canadian Mint, Ot- lawa. The telephone number is 613-993-0792. “qualities of a government bond and. - a direct investment in- prime first " > -mortgages. — ‘They're now on the road to sales. a ‘of $2 billion, having passed the $1 billion mark in October alter less “than two years on the market, ac- “cording to John McDermid, mini- - ster of state for housing in the pre- election government. : The mortgage-backed securities - “are investments in pools of insured __fesidential first mortgages with a “government guarantee of timely payment of principal and interest. They're traded over the counter, so owners can offer them for sale ata fair market price at any time. The MBS program was launched in January, 1987 and by October of ’88 had made 118 issues averaging $8,750,000. Units are traded like government bonds on the over-the- counter market in multiples of $5,000. They’re both RRSP and RRIF eligible and there is no with- hotding tax for foreign investors or ' Canadian expatriates. - Issue term is for a minimum of ‘five years with no. upper limit, and annie Maes’ offer | profit, liquidity, _-“Cannie Maes” are taking off like _ gangbusters. They're the new Na- _, dional Housing Act mortgage-back- - -ed securities combining the seciiflty ” the coupon interest rate is deter- mined by the market at slightly higher rates than for government securities of comparable maturities, Cannie Maes are also fully redeemable on maturity and month-. ly payments start 45 days following ‘the date of issue in mid-month. Guaranty Trust Co. is the central payor and transfer agent, holding records, issuing'certificates and statements and making payments to investors. : Additional information is available from Joe O'Brien, Director, NHA Mortgage- Backed Securities Centre, CMHC, 650 Lawrence Ave. W., Toronto, Ont. M6A 1B2 THE MONEY SUPPLEMENT, F PAGE i. Don’ t t overlook - second- tier stocks The fact of life that most investors . forget . most. of. the time is. that there’s really no: such animal as the : market. ; Commentators ‘ho talk as if: there is such a; creation are “generally referring to one or all of the, major " market indexes that speak for the, big, widely waded stocks that are the movers and shakers of daily trading, Even these indéxes invariably reflect a reality that’s more a market in stocks than a single stock market, Within the general trends thrown up by the indexes, the component stocks are. all doing their own _ things. Posses of: " analysts® ; There's another point of dif- - ference. The major movers and shakers are usually known as “first- tier” stocks, and get followed by posses of financial analysts who, though they can be very wrong at _ times, are seldom wrong enough to allow the prices of these stocks to getright out of whack with the rest. - But for every first-tier stock around there are probably two or three second-tier stocks, plus the deluge of ‘little-known issues that . make up the third tier. . In general, big fund managers — don't display too much interest in few fins in years Right now, those pros whodocon- - ‘centrate on these “small-cap” - stocks are saying that, asa class, | they are more favorably priced rela- second-tier stocks, and: hardly: . in those inthe third tier, This means cial analysts follow thém. _ - “So when you go stovk-hunting . (assuming you -have.not kicked the -habit for good), you will encounter “less. competition. from : the profes- ne _sionais,: and therefore a better © -chance of turning up value, i in: the lower two tiers. That doesn’t mean you: have to hunt the penny speculatives. For in- _ stance, there are plenly. of second- lier stocks listed on.the Toronto ~ Stock Exchange, Canada's S ‘senior. _ ‘marketplace. _ Best prices: tive to the biggies than they. have been for years. So how do you pick them? There’s . little altemative but to do your own . research and identify the entrepreneurs who've been making ‘the action. By and large | they're ordinary Canadians who had an .idea for a ~ good new product — — then made it. work, ; Green Line Report, Toronto: Dominion Bank ; vit costs a bundle to keep your car on road » Did you ever sit down to figure * out how much it really costs you to "own and operate that car of yours? ‘Well, take it from the Canadian 7 Automobile Association — it’s __” plenty and going up. all the time. The CAA says it cost more than $5,000 to own a typical compact care and drive it 16,000 kilometers or 10,000 miles in 1987, Total » costs per kilometre were. 314. ‘cents, or 5.7 percent more than the - 29.7 cents it cost in 1986, The CAA’s example related toa | four-door Ford Tempo GL with a . four-cylinder, 2.3 litre engine. Its - - operating costs went up much faster than the overall cost of | iving, increasing 8.3 per cent to 7,5. cents per kilometre in 1987 - from 6.6 cents in 1966. Newly-im- postd gasoline taxes and costilicr > guto insurdnce.were responsible... - Actually owriership costs didn’t. : increase quite as fast ~ — ~ uP * ver : 18 Average car prices This StatsCan graph shows the steady rise in average prices of domestic and. imported cars: in Canada 000's of dollars vg {003.2 dollars rw oe Importations. ff © ai , Domestic — Damestique g ULLLEL titi di ttt [WUCUHUNTERRORWOWSRRREE GREET EERE ERCHSHSRNSERORR GOREN SO eneae rr 7 1 J od J ee) " 1982 1983 1984 19985 1986 1987 1988 cent for the year, from $10.13 a registration was $79; depreciation . enough thank youl. -without.a car altogether, But a “day to°$10,64, In the Tempo cx-.. Was: ‘calculated. at $2,322 -and:. . ‘What cam you do about it? Chan-.»-:check.of your. dasurance COVEEARE: “ample, operating costs were $690; | snow. tires were, $5i, Hicense and finance charges at $742. The grand - :: -whal was $3 984, And quite Loe ces are, not much; unless of course” yOu can ‘manage to get along might be worthwhile... eee ee a