The CPP had assets of $105.5 billion as of March 31, 2009, which represents a decline of $17.2 billion from $122.7 billion at the end of fiscal 2008. The decline reflects a loss of 18.62% or $23.6 billion.
“The CPPIB took a number of steps to weather the extraordinary challenges of the past year,” said David Denison, president and chief executive officer of the CPP Investment Board. “Despite the CPP Fund’s first substantial decline since its inception, which reflects unprecedented turmoil in the markets, we remain well positioned to generate the returns necessary to deliver on our mandate of helping to pay pensions for decades and generations to come.”
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Manulife appoints new chief investment officer
Warren Thomson has been named chief investment officer (CIO) of Manulife Financial. In this role, he will oversee the worldwide investment operations managed on behalf of the company’s general fund and external clients, with total assets in excess of $286 billion.
Thomson, a 54-year-old chartered accountant, worked at Manulife from 1987 until 1994 in the corporate tax department and then returned to the company in 2001 to work in the investment division as senior vice-president.
Thomson succeeds Donald. A. Guloien as CIO—Guloien became president and CEO of Manulife on May 7, 2009.
Thomson was also named to succeed Guloien as chair of MFC Global Investment Management, the company’s external client asset management business.
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Scotia Capital creates new compensation plan, says National Post
Scotia Capital has created a new compensation plan designed to tie bankers’ pay to long-term performance, reports the National Post.
Possibly the first of its kind among Canadian investment dealers, the new plan will have more emphasis on deferred compensation that will be paid out after 3 years.
The new plan will also apply minimum stock ownership levels for managing directors.
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Cross border investment up in March
Cross-border investment activity increased in March, with the first quarter ending with the largest investment outflow in eight years, according to Statistics Canada.
Canadian investors bought C$6.2 billion in foreign securities—of which $4 billion were foreign equities—mainly non-U.S. stocks from various countries. Non-residents scooped up $6.8 billion of Canadian securities, a large portion being provincial short-term debt instruments.
In total, foreign investors have bought $23.3 billion worth of Canadian this year.