The Investment Industry Association of Canada (IIAC) today presented its new and improved coverage of Canada’s debt markets in its relaunched debt publication, An Issue of Debt: Inside Canada’s Debt Markets.

“Ten years ago, Government of Canada debt was the debt story; today’s story is the entire Canadian debt marketplace,” says Ian Russell, IIAC president and CEO. “Canada’s debt markets are critical to the health and vitality of our financial system and economy. Investors are getting more involved in the debt markets than ever before. We want to help them understand debt market trends and the related regulatory, legal and tax issues that affect them.”

The feature article in the inaugural issue explores the challenges facing Canada’s burgeoning Maple bond market – the market for debt issued by a foreign issuer, usually an A- to a triple-A-rated company, in Canadian dollars.

An Issue of Debt still includes the IIAC’s regular analysis and overview of the quarter’s debt trading and financings. Debt issuance last year reached a record $7.1 trillion, breaking the previous high of $6.2 trillion in 2005 by 12.9%. Issuance climbed to $185.2 billion in 2006, surpassing the former peak of $166.1 billion in 2004 by 11.5%. Corporate bond issuance totaled an all-time high of $81.1 billion for the year — skyrocketing 27.0% from 2005.

“The banner year resulted from tighter credit spreads, historically low interest rates, strong investor demand, a blistering pace of mergers and acquisitions and a robust corporate bond market,” says Russell. “Maple mania swept Canada last year, making up an impressive 12% of total debt issuance as investors sought higher yields and more diversification.”

Electronic copies of the report are available at: www.iiac.ca.