A new regime of higher bond yields is pushing defined benefit pension plan sponsors around the world to diversify asset holdings and increase liability-driven investment flows, according to a new report by FTSE Russell. Despite a nearly 10-year low for credit spreads, high absolute yields increased discount rates sharply for DB plans, particularly in the […]
Amid a push to open U.S. capital accumulation plans to direct investments in private assets, it’s important for plan sponsors and members to take a cautious approach, says Andrew Kitchen, head of Canadian distribution for MFS Investment Management Canada Ltd. This month, the U.S. federal government introduced legislation that would permit CAP members to directly […]
U.S. public pension plan sponsors have significantly diversified their portfolios since 2001, allocating, on average, 20 per cent of assets from public equities and fixed income to private equity, real estate, hedge funds and other alternative investments, according to a new report by Aon and the National Institute on Retirement Security. It found this shift […]
The Saskatchewan Pension Plan is reassuring plan members its asset mix is designed to withstand shifts stemming from global disruptions and economic uncertainty. In a new note to members, the $829-million pension fund said recent developments are creating significant economic uncertainty, with potential for higher inflation, slower growth and greater market volatility. Read: Institutional investors […]
The average Canadian defined benefit pension plan returned 1.1 per cent during the first quarter of 2025, a slight decrease from 1.6 per cent in the previous quarter, according to a new report by RBC Investor Services. It found Canadian equities returned 1.2 per cent, slightly underperforming the TSX composite index, which rose 1.5 per […]
Under unprecedented economic volatility, institutional investors are leaning on diversified asset mixes that are less reliant on public markets, says Claude St-Laurent, principal of pension and savings at Normandin Beaudry. He notes institutional investors are more frequently pushing beyond traditional equities and bonds to incorporate real estate, infrastructure and other alternative assets. Indeed, in the […]
Private equity allocations are increasing to 12 per cent in the asset mix of U.S.-based institutional investors while public equities reached 38 per cent in 2024, according to a new report by Crisil Coalition Greenwich. In 2024, fixed income (29 per cent) and U.S. equities (19 per cent) were the leading assets among U.S. defined […]
The Workplace Insurance and Safety Employee Trust is reporting a net return of 11.3 per cent for fiscal 2024, with the WSIB Employees’ Pension Plan’s net assets increasing to $4.46 billion. The trust attributed the result to its collaborative partnership with the Investment Management Corp. of Ontario, which acts as the trust’s exclusive investment manager […]
Evolving expectations, a shifting interest rate environment and the need to manage increasingly large asset bases for performance and for national and societal impact are transforming how and where institutional investors allocate capital, according to a new report by the Boston Consulting Group. It found in 2024, sovereign wealth funds and public pension funds accounted […]
A third (34 per cent) of global institutional investors say they’ve already incorporated or plan to add digital assets to their investment portfolios in the near future, according to a new survey by Northern Trust. The survey, which polled more than 100 institutional investors, found two-thirds (66 per cent) said private assets will benefit the […]