3 Things We're Watching This Week

1. Get Ready for Donation Day
You might be hoping to score a 4K UHD TV on Black Friday, or to buy that robotic vacuum you’ve been eyeing on Cyber Monday. Once you do though, it could be time to balance the karmic books. One opportunity to do so is Giving Tuesday, an annual event conceived in 2012¹ as a counter-balance to the two biggest shopping days of the year, happening on December 2 this year. More than a decade on, the event is one of the top charitable fundraising days of the year. Last year, Canadian charities raised an estimated $16.2 million² in support of everything from social justice causes and emergency relief to climate change action, Indigenous language revitalization efforts and local animal shelters. This year, Giving Tuesday falls on December 2. But it’s worth doing the prep work now to figure out which charities best align with your values and interests. It’s also a good time to talk with a financial expert about how charitable donations fit into your year-end tax plans so you can maximize your generosity – for both the causes you care about and your bank account.

What we’re watching: With markets up this year, many Canadians are sitting on significant investment gains – which makes it a particularly good time to think about giving. As you likely know, donating to a registered charity can lower your tax bill. You can receive a 15 per cent tax credit from the federal government for the first $200 you donate, and 29 per cent on amounts above that if you’re not in the highest marginal tax bracket. (For those who are in the highest bracket, you could receive a 33 per cent³ tax credit on donations above $200). Similar tax credits are available provincially, ranging from four to 24 per cent.⁴ But many charities also accept donations of stocks and funds.⁵ If you have investments that have done well this year, and you hold them in a non-registered account, you might also consider a securities donation. If you donate securities, you won’t be taxed on your gain, and you’ll get a receipt for the full current value of those shares.⁶

2. O Canada, at Eurovision?
There was a curious line item tucked into the 2025 federal budget released earlier this month. Under a paragraph earmarking a $150 million increase to the CBC/Radio-Canada,⁷ there was a mention that Canada could be joining the Eurovision Song Contest. Yes, that Eurovision, the wildly popular European singing contest that’s been running for decades and which, last year, drew a record 166 million viewers worldwide.⁸ The budget states the government would partner with the public broadcaster to try and get Canada into the contest. While Eurovision is organized by the European Broadcasting Union and mostly features European countries, Canada is an affiliate member, like Australia, which has competed since 2015.⁹ Canada would need a special invitation from Eurovision organizers, and those talks are still in the very early stages.¹⁰

What we’re watching: The PM has framed Canada’s interest in Eurovision as part of a broader strategy to boost our talent and culture to a global stage.¹¹ But could it be a signal of something bigger? With tariffs disrupting trade and rattling relations with our neighbour to the south, Canadians have been eager to diversify, with exports to Europe up 26 per cent this year.¹² The EU is already Canada’s second-largest trading partner, with over $200 billion in bilateral trade in 2024.¹³ Eurovision might seem like just a campy talent show, but it’s also a platform for Canada to strengthen ties with a key trading bloc and demonstrate our shared values. The question is whether this marks the beginning of a more permanent realignment in trade and diplomatic priorities, or if it’s simply a creative way to weather the current storm.

3. Small caps, big gains
Canada’s main stock market index, S&P/TSX Composite Index, is having a very good year. It has climbed by more than 20 per cent year-to-date¹⁴ (as of November 12) and surpassed the S&P 500’s nearly 16 per cent return,¹⁵ thanks largely to the metals and mining sector. But you might be surprised to learn that it’s not the hottest Canadian market in 2025. That would be the TSX Venture Exchange (TSXV), which is up more than 50 per cent YTD.¹⁶ The exchange has a long history of being closely tied to investor appetite for risk and to the global commodity cycle. Mining companies account for nearly 60 per cent of total listings,¹⁷ and companies on the Venture 50 showed an average share price increase of more than 200 per cent in 2024.¹⁸ Tech and AI also have a strong showing on the index, but mining companies, helped by rising gold, silver and copper prices, remain the most significant driver of returns.

What we’re watching: The TSXV’s rally has been fuelled in part by renewed interest in resource and small-cap growth names – sectors that tend to benefit when investors are willing to take on more risk. The question now is whether that momentum can last. Commodity prices, particularly of gold and copper,¹⁹ have supported many of the index’s top performers, but a shift in interest-rate expectations or a broader cooling in global demand could quickly test that strength. We’ll be watching the TSXV to see if the current “risk-on” sentiment continues into year-end, or if there’s an indication of investors starting move back to larger and potentially more stable names on the TSX.