RBC Launches $1.4-Billion Fund to Supercharge Canadian Tech Companies

Royal Bank of Canada (RY-T) has launched a $1.4-billion fund aimed at investing in Canadian technology companies that have growth potential.

The RBCx Growth Fund will focus on sectors where Canada's greatest strengths lie, such as enterprise software, health tech, and energy and climate tech.

RBC CEO Dave McKay plans to pitch the fund to foreign investors at next week's Canada Investment Summit, which is part of Ottawa's efforts to bolster its nation-building ambitions and diversify trade and global partnerships away from the United States.

The bank believes that Canadian entrepreneurs are often influenced by foreign capital to move their businesses to the U.S. to access greater funding and talent pools.