Canadian defined benefit plans posted a median return of 13.6 per cent for 2019, according to Northern Trust Canada’s pension universe. North American equities led the way to double-digit returns for the year, with 1.9 per cent gains in the final quarter of the year, outpacing 1.6 per cent returns in the previous quarter. “Despite […]
In the past, Canadian investors may have seen emerging market indices as too heavy on materials and energy companies, which are also well-represented in North American indices and would over-expose them to those sectors. But in fact, technology and consumer themes are playing an increasing role in emerging markets, says Nicole Vettise, senior vice-president and institutional […]
Pension funds ended 2019 on a strong note, with diversified pooled fund managers posting a median return of 2.6 per cent before management fees in the fourth quarter, according to Morneau Shepell Ltd.’s performance universe of pension managers’ pooled funds. Year-to-date, the return was a stellar 15.8 per cent, with both stock and bond markets […]
With the global economy recently experiencing some significant tailwinds, will that backdrop be enough to push emerging markets, especially Asian economies, to outperform? Signs of stabilization are peeking through, with central banks acting as the key heroes by providing stimulus, said Eric Lascelles, chief economist at RBC Global Asset Management Inc., in a webinar on […]
The investment industry has been talking a lot about our position in the economic cycle and our proximity to a recession. In fact, I wrote about it last year with respect to interest rates and the economy. The current situation remains somewhat tenuous, with ever-present geopolitical tensions, rising populism (and hence protectionism), slowing global economic growth, monetary […]
Climate change’s ramifications for real estate, the rise of innovative technologies and the changing nature of stakeholder activism are some of the environmental, social and governance trends to watch as 2020 kicks off, according to an outlook from MSCI. While asset owners have been eyeing the potential effects of severe weather events and natural disasters […]
Institutional investors have been going back and forth about whether monetary policy will provide the tailwinds to markets it did last year or whether central banks are running out of steam. Monetary policy decisions by the U.S. Federal Reserve, the European Central Bank and other developed market players did plenty to bolster markets in early 2019, […]
When news hit that the U.S. military had carried out an attack that killed Qasem Soleimani, the major general of Iran’s Islamic Revolutionary Guard Corps, institutional investors watched as markets saw something of a flight to safety. Gold is currently hovering near a five-year high. Brent crude spiked to close to US$71 off the back of the […]
Canada’s defined benefit pension plans increased their solvency levels in 2019 and have equity markets to thank, according to Mercer. The Mercer pension health index, which represents the solvency of a hypothetical plan, increased to 112 per cent in the final quarter of the year, up from 105 per cent at the end of the […]
Shareholder environmental activism has been growing in popularity with institutional investors, but is it working? The New York City pension system implemented a boardroom accountability project in 2014, with the intent of improving the sustainability characteristics of its portfolio companies. And, according to a new paper, results show firms targeted by the boardroom accountability project’s […]