The OPSEU Pension Trust (OPTrust) reported an overall investment return of 11.7% in 2013 and continues to be fully funded on a going-concern basis, with a funded ratio of 101%.
Net investment income for 2013 was $1.62 billion, and after collecting contributions of $539 million and paying $884 million in benefits, the plan’s net assets increased to $16 billion at the end of the year, up from $14.7 billion as at Dec. 31, 2012.
OPTrust says it benefited from a good year in equity markets and our long-term diversification strategy. Robust double-digit net returns in its public equity, real estate, infrastructure, private equity and commodity portfolios, helped offset negative net returns from its fixed income portfolios.
“The solid results our team delivered in 2013 have helped create a strong foundation for the long-term health of the plan,” says Bill Hatanaka, president and CEO of OPTrust. “However, we continue to caution that we expect ongoing headwinds due to the plan’s maturity and continued volatility in global capital markets.”
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