Canada’s pension plans are well positioned to succeed in a high inflation environment though stagflation remains a significant threat, according to a new report from Fitch Ratings. “The maturing nature of participant bases increases pension funds’ reliance on investment returns, as contributions and income from active members may be outpaced by benefits paid to a […]
The Ontario Teachers’ Pension Plan is entering a joint venture to develop offshore wind projects. In a deal reached with Corio Generation Ltd., the Ontario Teachers’ will receive a 50 per cent stake in the joint venture in exchange for a US$1 billion investment. The funds will be used to develop 14 fixed bottom and floating […]
Canada’s institutional investors saw assets decline by 4.61 per cent in the first quarter of 2022, according to the BNY Mellon Canadian master trust universe. With respect to non-traditional asset classes, real estate delivered the highest performance, with a quarterly median return of 4.65 per cent. Among traditional asset classes, Canadian equities performed best. During the […]
Last week’s federal budget proposed more borrowing flexibility for registered defined benefit plans. The proposal would replace the historical 90-day term limit on short-term borrowing with restrictions based on plan assets: additional borrowed money can’t exceed the lesser of 20 per cent of the plan’s assets and the amount by which 125 per cent of […]
The federal government’s 2022 budget is addressing long-standing rules preventing defined benefit plan sponsors from borrowing in most circumstances. In the $56-billion budget, which is expected to easily pass into law with the support of Liberal and New Democratic Party members of parliament, proposes providing more borrowing flexibility to administrators of registered DB plans. The […]
The federal government’s 2022 budget, which set out $56 billion in new spending on Thursday, has a few offerings that could impact employers and employees. Dental-care program, pharmacare The budget confirmed the government’s commitment to rolling out a national dental-care program, which was announced in March, by specifying a $5.3-billion investment in its implementation. It also […]
This month marks the two-year anniversary of the World Health Organization declaring the coronavirus a global pandemic. In some ways, we’ve come a long way since then, but in others, we’re hovering close to where it all started. One thing is for sure: the pandemic continues to create a through line in Benefits Canada’s content […]
After navigating the unpredictable markets of the past two decades, some defined benefit pension plan sponsors could be forgiven for wanting to seek out some certainty. But a new threat has emerged in the form of rapidly rising inflation and the possibility of rate increases after decades of persistent lows. The consumer price index increased […]
Right from the very beginning, the coronavirus pandemic has taken Canadian real estate investors on a wild ride. After the freefalling panic of March 2020, the sector settled into a relatively comfortable rhythm and undulated through several waves of the virus, saving one of its steeper peaks and troughs for the tail end of 2021. […]
The Alberta Investment Management Corp. is appointing Paul Mouchakkaa as senior managing director and head of real estate, effective May 2, 2022. In the role, Mouchakkaa will lead the organization’s real estate investment team, currently responsible for a real estate portfolio comprising $18 billion in core domestic and opportunistic foreign program assets, according to a press release. “Paul […]