I also believe that the government should not choose the industries investments are made in. It is up to the funds to make those decisions. They do so by taking into account the health of the industry in question and its future perspectives. We agree on that. The venture capital market is really different from the market of investments or established businesses. We talk a lot about start-up companies and solidifying emerging companies. They need venture capital because they cannot necessarily offer guarantees to their investors.
However, in the case of the labour-sponsored funds, the government decided to eliminate that tax incentive. It created its own venture capital fund, but it refused the massive investments the labour-sponsored funds were willing to make.
I wonder if at this time the government has a truly viable strategy to promote the strength and vigour of venture capital in Canada. Indeed, we are lagging behind our partners, in particular Israel and the United States, who are leaders in this area.