Financial system risks brain drain of innovative young companies

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TORONTO—Canadians—through pension plans, mutual funds and other savings—have more than $2.6 -trillion invested in foreign stock markets and investment funds. Yet Xanadu Quantum Technologies, a Canadian world-leading developer of quantum computing, says it has to look to U.S. investors to finance its growth. It cannot find the funds it needs in Canada. It’s not alone. Why can’t Xanadu and other potential stars raise the money they need in Canada? We have the money.

The rapid rise in intangible assets, the three researchers said, “is expected to affect all aspects of the economy including product provision, product development, the dynamics of firm competition and concertation, the growth of firms, industries and countries as well as capital accumulation, productivity growth and overall economic growth.” Our financial system must be better geared to that kind of economy.

 

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