Caisse returns 4.2% in first half of 2024, underperforming benchmark

Fixed income returned negative 1.7 per cent in line with its benchmark, due to an unfavourable environment for bonds. Similarly, real estate returned negative 3.6 per cent amid a fall in value in the office sector, especially in the U.S.

Read: Caisse returns 7.2% for 2023, driven by bonds, equities

However, infrastructure returned 5.3 per cent due to the performance of investments in ports and highways. The Caisse also reported gains in public equities (13.6 per cent) due to the growth of stocks related to artificial intelligence, while private equity returned 9.6 per cent from the performance of companies in sectors such as consumer goods, industrials and finance.

“The first half of the year was characterized by different factors: strong stock market performance that continued to be linked to a historic level of concentration in a handful of tech stocks, the U.S. Federal Reserve’s deferral of many rate cuts that were anticipated at the beginning of the year and modest global economic growth,” said Charles Emond, president and chief executive officer of the Caisse, in a press release.

“During this period, our diversified portfolio performed well overall and our depositors’ plans also remain in excellent financial health. Discipline is in order going forward, as the second half of the year has already seen its share of twists and volatility.”

Read: Caisse returns 4.2% in first half of 2023, boosted by exposure to tech sector