ACTIVITIES AND INITIATIVES Shareow...

ACTIVITIES AND INITIATIVES

Shareowner DRP

This past year has been a exceedingly active one in relation to OYSC initiatives. In March, the Shareowner DRP was launched, making it easy for Canadians to invest unpretending amounts of money on a regular schedule and access dividend reinvestment plans not previously available. sated details on the Shareowner DRP can be set up starting on page 6.

High seminary Investing Clubs

The `ground-work' is in progres for a of recent origin OYSC initiative to introduce the investment society movement into high schools. societys are being established in place of educations across Canada and are being sponsored from OYSC participants.

Public Seminars

A number of public meetings have been held and continue in November. view the inside front cover for location and date details.

The Value of Retail Investors

Recently a measure and estimate was sent to OYSC participants which asked for their speculations on: the characteristics of retail shareowners; activities they've taken to expand their base of retail shareowners; and, characteristics of employee shareownership.

The single in kind statement that 100% of respondent agreed to was "A significant base of retail shareowners is essential to maintaining a thrifty balance of shareownership."

Other findings include:

Three-quarters of respondent agree with the statement that retail shareowners maintain a long-term prospect on investments in common shares and two-thirds agree that they are typically loyal to company management.

One-half agree that a significant base of retail shareowners helps to restore the volatility of a stock's price.

Over three-quarters of companies have undertaken to expand their base of retail shareowners by means of the following activities:

Almost all of the respondent have more [i]or[/i] less type of Employee Shareownership Program ("ESOP")

Two-thirds of companies reported an employee participation rate of above 70%.

Well over three-quarters of respondent agree that ESOP increase employee loyalty and improve motivation and morale flats

The OYSC Program continues to work towards ensuring a provident balance of individual and institutional ownership of Canadian companies. This will be accomplished on developing programs which make it easier for Canadians to: (1) learn about the benefits of prosperous life-long investing, and, (2) build quality portfolios at soft costs.

The benefits realized by way of OYSC initiatives are far-reaching. Together, public companies, stock exchanges and independent education can improve the liquidity, diversity and opportunity in Canada's equity markets.

Copyright Canadian Shareowner Magazine Inc. Nov/Dec 1996

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