The Government of Newfoundland and Labrador has agreed to contribute more than $1.8 billion in the form of a promissory note to the Teachers' Pension Plan to ensure its sustainability.
The largest Canadian pension plans saw their combined liabilities increase to $179 billion from $154 billion and their overall financial health decline in 2014, a report finds.
The market value of Canadian employer-sponsored pension funds grew by 3% to $1.5 trillion in the fourth quarter of 2014, marking a sixth consecutive quarterly increase, says Statistics Canada.
In the quest for yield, some pension funds are buying riskier insurance products
During a quarter that featured falling oil prices, a Bank of Canada rate cut and uneven global economic data, Canadian pension plans generated positive returns for the seventh consecutive quarter.
The Colleges of Applied Arts and Technology (CAAT) Pension Plan reported a 11.5% rate of return in 2014.
The solvency position of Canadian pension plans dipped slightly in the first quarter of 2015.
The health of Canadian DB pension plans has continued to decline in 2015, according to Aon Hewitt.
The market value of Canadian employer-sponsored pension funds grew 1.7% in the third quarter, marking the fifth consecutive quarterly increase, says Statistics Canada.
Group pension buyout sales reached US$8.5 billion in the United States last year.