Provincial and federal regulators are beginning to roll out relief measures for defined benefit pension plan sponsors, ranging from administrative filing extensions to freezes on commuted-value transfers. At the federal level, the government announced Thursday it will be halting solvency special payments for federally regulated DB plans until the end of 2020 to ensure plan […]
While equity markets took substantial hits as the coronavirus pandemic arrived in North America, technology and health-care companies have performed well and are set to be long-term winners for institutional investors. “A lot of the digital transformation themes that we focus on and think about have really been highlighted, as many digital companies are really […]
The Canada Pension Plan Investment Board and the Ontario Teachers’ Pension Plan are purchasing 40 per cent of the shares of Impulsora del Desarrollo y el Empleo en América Latina, a Mexican infrastructure developer. The two organizations made their tender offer to buy shares of the publicly traded company, at MXN$43.96 per share, following the initial announcement of […]
The world may be more digital than ever, but a physical presence can still sometimes make the difference between success and failure for pension plans For the OPSEU Pension Trust, establishing offices abroad was a logical step. Its private markets group, which is based in Toronto, was undertaking a lot of global investment activity, so […]
Changes to Quebec’s pension legislation, including a move away from solvency funding requirements and the introduction of a cost-sharing model, against the backdrop of a low interest rate environment has had a major influence on the City of Montreal’s pension investment strategy. The City manages six plans under one pooled portfolio. The assets from all […]
The Alberta Investment Management Corp. delivered a 10.6 per cent return in 2019, net of all fees, representing a net investment income of about $11.5 billion and bringing the fund’s total assets under management to $118.8 billion. While the results were positive, and well above the organization’s 2.5 per cent return in 2018, its total […]
Canada’s defined benefit plans have had a rough quarter. According to Aon’s median solvency ratio, DB plans fell to an average solvency of 89.1 per cent at the end of the first quarter, from 102.5 per cent at the end 2019. Mercer’s pension health index also dropped, from 112 per cent at the end of […]
The Ontario Teachers’ Pension Plan posted a net return of 10.4 per cent for 2019, bringing net assets to $207.4 billion. Its $20.2 billion in investment income represents an organizational best, said Jo Taylor, the pension fund’s president and chief executive officer, on a conference call Tuesday morning, outperforming the 2018 return of 2.5 per cent after a volatile year in […]
To stay on the cutting edge of environmental, social and governance integration, institutional investors have to expand their focus beyond the factors that are material to a company’s operations today and look ahead at what’s around the corner. According to a report by the World Economic Forum, this is becoming an integral part of investors’ analysis. “To […]
With asset deterioration due to drops in equity markets and a decrease in long-term government bond yields causing an increase in solvency liabilities, pension funds are in a tough position. A Canadian defined benefit solvency funding calculation assumes some plan members will elect to take a commuted-value lump sum, while other members will elect to […]