In this time of global pandemic, the coronavirus is shaking up everything, with high market volatility and changing work arrangements. Everyone is worried — not only for their immediate futures, but also for the long term. “It’s pretty hard to watch the market go through the volatility that we’ve seen over the last couple of […]
Once again, we’re experiencing volatile markets. During these times, it’s common to hear the following statements: It isn’t time to panic. This has happened before. Make sure the pension plan’s asset mix is correct. While these messages may be good advice for individual investors, defined contribution plan sponsors should be considering how to help their employees. Here are […]
After a week that saw coronavirus worries wallop equity markets into correction territory, the U.S. Federal Reserve announced a 0.5 per cent rate cut on Tuesday morning. Following suit, the Bank of Canada cut its target for the overnight rate by 50 basis points on Wednesday, bringing it to 1.25 per cent. For the Fed, […]
Institutional investors are grappling with historic levels of geopolitical tension, with multiple pain points contributing to a shifting macroeconomic landscape. But amid the whooshing sounds of headlines, quickly forgotten with the arrival of the next tweet, Canada’s pension plans are eyeing trade, interest rates and, ultimately, investment fundamentals, no matter which hashtags are trending. “Within […]
Against a backdrop of uncertainty, the OPSEU Pension Trust is guided by an investment strategy with certainty at its core. In 2015, the plan introduced what it calls a member-driven investing strategy, which is all about efficient risk allocation and earning the returns required to pay pensions at the lowest possible risk. “That’s different from […]
Investors are waiting for some of the conflicts causing global uncertainty to be resolved. But will they get their wish in 2020? “We’re entering the year, the decade, on pretty unstable footing,” said Dawn Desjardins, vice-president and deputy chief economist at the Royal Bank of Canada, during the keynote session at the Canadian Investment Review’s 2019 […]
When central banks took on the challenge of saving a drowning global economy during the 2008 financial crisis, pension plans appeared to have plenty to be thankful for. However, as the U.S. Federal Reserve and the European Central Bank embark on their latest round of monetary stimulus, these policy changes mean pension plans are now […]
Despite continued strong markets, global institutional investors are apprehensive about what 2020 has in store, with more than half of survey respondents saying they think the next global financial crisis will hit within one to three years, according to a new survey by Natixis Investment Managers. The survey, which polled 500 institutional investors, including 145 […]
While public equities appear to be holding steady, at least for the moment, certain longer-term indicators could give institutional investors cause for concern. “Growth is not at risk and inflation is nowhere to be found. And those two factors are likely to push central banks to become complacent,” says Florian Ielpo, head of macroeconomic research at Unigestion […]
While markets remain in the longest bull run in history, worries abound that the party has to come to an end. “Interest rates have been so low for so long, they’ve become the new normal,” said Mark Machin, president and chief executive officer of the Canada Pension Plan Investment Board, at an event hosted by […]