Free NewsletterPro Login

Foreign Money Is Returning To Canada, Scotiabank's CEO Says

Published May 28, 2026
Share:
Summary:
  • Scotiabank reported Q2 profit of $2.63 billion, up from $2.03 billion a year ago.
  • The bank raised its quarterly dividend to $1.14 per share from $1.10.
  • CEO Scott Thomson says foreign cash is flowing back to Canada after 15 years of outflows.

For most of the past 15 years, foreign cash quietly left Canada. The CEO of one of Canada's biggest banks just said the trend is starting to flip.

Oil prices, new spending, and a more pro-business federal plan are pulling cash back in, per the Canadian Press.

What The CEO Said

Scott Thomson didn't bury the headline. On the Wednesday earnings call, he said it plainly.

"Over the last 15 years, and I've lived this, you've seen a lot of foreign money leave Canada. And now you have a lot of foreign money looking at Canada."

He laid out three reasons for his Canada optimism. Oil sits above $90 a barrel.

That's good for Canada as a net exporter. It also gives Ottawa room to spend.

Part of that is a new sales tax break for first-time buyers on homes worth up to $1 million. The federal plan matters too.

New pipelines, carbon capture, and possible airport sales are creating real places for foreign cash to land.

We turn stories like this into actual investing takeaways every morning in Market Briefs, with a free 45-minute investing masterclass when you sign up.

The Numbers Behind The Optimism

Scotiabank's quarter helped his case. Profit hit $2.63 billion, up from $2.03 billion a year ago.

Revenue climbed to $9.84 billion from $9.08 billion. The bank raised its quarterly dividend to $1.14 a share from $1.10.

EPS is profit per share of stock. Reported EPS came in at $2.00.

Adjusted EPS hit $2.02. That beat the $1.94 mark analysts had set.

Jefferies analyst John Aiken called it a "solid beat." Canadian banking profit jumped to $935 million from $613 million.

Other units grew too. Wealth, trading, and global banking all rose.

What To Watch

Thomson didn't pretend the road is clear. He flagged risk from the Iran war.

He also flagged US-Canada trade risk. Credit losses came in a bit above the bank's own outlook.

Chief Risk Officer Shannon McGinnis said bad-loan reserves are "slightly elevated." She added that pressure should ease in the second half of the year.

The broader read from Thomson is that Canada's investment story might be entering a new chapter.

For US investors, this story matters in a quiet way. Canadian bank stocks often pay higher dividend yields than US banks do.

A more pro-business backdrop could lift the whole TSX, which is Canada's main stock index. Canadian banks have long been steady names for income investors.

The big question is whether Thomson's read is right. Watch next quarter's foreign cash flow data for the answer.

For now, the dividend hike sends its own signal. Banks don't raise the payout if they're scared of what's coming.

The new $1.14 per share is up from $1.10. That's a small step, but it lands in the same quarter Thomson called the outlook "relatively optimistic."

If you want this kind of breakdown every weekday morning, join Market Briefs - a free investing course is included when you join.

Disclosure

Recent News

1 2 3 … 106

Get Market Briefs delivered to your inbox every morning for free!

No fluff. No noise. No politics. Just finance news you can read in 5 minutes.

Blogs

October 16, 2026
How Boring Math Makes You Rich: The Briefs Money Spreadsheet, Explained
  • Briefs Money shows you what to do with every paycheck, and in what order: how much to spend, save, and invest, when to build an emergency fund, and which debt to pay off first.
  • The Climb to Wealth course walks you through the system step by step, and the Personal Finance Spreadsheet is where you track your own numbers.
  • Investing is one piece of building wealth. The system that gets money to your investments, and keeps it there, decides the outcome.
Read More
October 16, 2026
Common Investing Mistakes: Why a Stock Grade Is One Tool, Not the Whole Toolkit
  • The Briefs Score shows growth, income, and wealth preservation investors how well a stock fits their goal, with a separate letter grade for each one.
  • The most common mistake is treating the letter as an instruction. An A tells you a stock scores well for one goal, not that you should buy today.
  • Research works best as one input in a process you own. The grade shows how a stock stacks up. You supply the goal, the timeline, and the rules for being wrong.
Read More
October 16, 2026
How to Read a Company's Numbers Without a Finance Degree (Using Briefs Terminal)
  • Briefs Terminal lets you size up any public company in about ten minutes: what the stock costs, what it earns, how fast sales are growing, and what it pays you, all on one page.
  • It lines those numbers up against the company's closest competitors for you, so you can tell if a number is impressive or just average.
  • Below that are the income statement, balance sheet, and cash flow statement from the company's SEC filings, the latest news, and transcripts of its earnings calls.
Read More
October 16, 2026
What Type of Investor Am I? The Three Investor Archetypes, Explained
  • Briefs sorts its stock grades and monthly reports by three investor goals: growth, income, and wealth preservation. Pick yours and you know which report and which grade to read first.
  • Growth investors want stocks that beat the S&P 500. Income investors want to get paid in cash. Wealth preservation investors want stocks that hold up when the market drops.
  • The same stock can score an A- for one goal and a D- for another, so picking your goal comes before picking any stock.
Read More
October 16, 2026
How to Build a Stock Watchlist That Isn't Just Stocks You Heard About
  • A watchlist on Briefs Terminal lets you group stocks by the idea you're tracking and follow each one's price, one-day move, and 52-week high and low in one place.
  • Each list has its own name and description, so you always know why a stock is on it, and you can make as many lists as you have ideas.
  • The monthly growth, income, and wealth preservation reports under the Briefs Research tab hand you new themes to track that you didn't hear about online.
Read More
October 16, 2026
How to Choose an ETF That Matches Your Idea (Using the ETF Planning Tool)
  • The ETF planning tool takes an idea like "I want to invest in fast food companies," asks what you mean, and finds the ETFs that match, with the reasons, the holdings, and the sources.
  • Build a Plan then shows what your money could grow to in those ETFs over the years you choose, with conservative, expected, and optimistic estimates next to the S&P 500.
  • It gets you from an idea to an actual plan without researching dozens of companies one at a time.
Read More
October 16, 2026
Is This Stock a Good Buy? How to Use the Briefs Score to Tell If a Stock Fits the Way You Invest
  • The Briefs Score shows growth, income, and wealth preservation investors how well a stock fits their goal, with a separate letter grade for each one.
  • One stock can score very differently for each. Nvidia showed an A- for growth and a D- for income, because it grows fast and pays almost no dividend.
  • Seven sub scores under each grade show what earned the letter, so you can see exactly where a stock is strong or weak for your goal.
Read More
October 16, 2026
How to Tell an Asset From a Liability: The One Question to Ask Before You Buy Anything
  • The typical American household earned more in 2025 than in any year on record, yet only 30% of Americans say they could pay a surprise $1,000 bill from savings, so the problem isn't income but what the income gets spent on.
  • An asset puts money in your pocket and a liability takes money out, and the wealthy buy assets first, then let the assets pay for the fun stuff.
  • Before you buy anything, ask one question: does this put money in my pocket, or take money out of my pocket? Then you need a plan for the money you keep.
Read More
October 16, 2026
How to Build Your First $2,000 Emergency Fund and Wipe Out Every Debt Over 10%
  • Your first money goal isn't investing, it's $2,000 in its own account named Do Not Touch, built by moving 10% of every paycheck into it automatically.
  • More than a third of American adults couldn't cover a $400 surprise bill with cash or savings, according to the Federal Reserve, and that's how one bad day turns into years of credit card payments.
  • Once the $2,000 is there, attack every debt charging more than 10% interest, highest rate first, because you can't out-invest a 22% credit card so paying it off is the investment.
Read More
October 16, 2026
How to Invest Through a Crash: 3 Rules From the Worst-Timed Investor Alive
  • Meet Bunty, a fictional investor with the worst timing in history: he put $100,000 into the market in four chunks right before four crashes, never sold, and by 2025 it had grown to more than $500,000.
  • Investors who jump in and out of the market miss its best days, and missing just a handful of those days can cut your final result roughly in half.
  • The fix is ABB, Always Be Buying: you buy on a schedule through booms, crashes and scary headlines, which matches the market, and beating it takes knowing where the money is moving first.
Read More
1 2 3 … 29
Share via
Copy link