* Foreign investment in securities nearly doubles to C$8.66 bln
* Foreign investment in Canadian bonds dominates purchases
* Foreign divestment of money market paper largest since 1994
* Canadian investments in foreign securities largest in a year
OTTAWA, Jan 16 (Reuters) - Foreign investment in Canadian securities nearly doubled to C$8.66 billion ($7.94 billion) in November from C$4.44 billion in October, with purchases of bonds reaching their second-highest level of the year, Statistics Canada said on Thursday.
For the year to date, foreign investment in Canadian securities is running at roughly half the pace of 2012 - C$46.67 billion versus C$85.27 billion. Economists say Canada has lost some of its financial allure, especially as the U.S. economy continues to recover.
Foreigners picked up C$10.57 billion of Canadian bonds. Three-quarters of these were in corporate bonds, evenly split between private and federal corporations. It was the largest investment in federal corporate bonds since May 2009. The other bonds bought in November were mostly federal government issues.
The foreign investment in bonds was marked by a C$7.13 billion shift from money market paper, the largest since July 1994, following a C$6.14 billion divestment in October. Both months' figures reflected mainly large retirements of money market instruments.
Canadians made net investments in foreign securities of C$6.57 billion, the largest in a year, led by purchases of U.S. Treasury bonds. Their C$7.50 billion purchases of foreign bonds were the largest since March 2007.