Of course, monetary and fiscal policies are doing their part to support the recovery. But can growth in the service sector play a role? It already is, and we can expect its contribution to grow in the years ahead. Since the onset of the global financial crisis, growth in Canada’s service sector has been stronger on average than in the goods sector.
Most importantly, the FSB has started looking into the financial stability risks associated with asset management activities, as well as longer-term structural financial stability issues that may arise. This is not to say that the asset management sector is unregulated. In fact, we have a very successful investment fund regulation in Europe.