Foreign acquisitions of Canadian securities reached $5.3 billion in March, the highest level since March 2007.

Meanwhile, Canadian investors divested some foreign securities, all in debt instruments as Canadian holdings of foreign securities declined by $3.3 billion.

Non-resident investors added a net $5.9 billion of Canadian equities to their portfolios, the largest such outlay since May 2006.

Purchases of new Canadian equity were focused in the banking sector.

Sales of outstanding corporate shares reversed robust acquisitions over the last three months, and were concentrated in non-bank financial, energy and mining firms.

Canadian stock prices continued to show volatility in 2008, losing 1.7% in March after a 3.3% gain in February.