Canadian defined benefit pension plans recovered some of their losses from the start of 2020 in the second quarter off the back of strong public equity gains, according to the Northern Trust Canada universe. With stimulus spending to tackle the economic impacts of the coronavirus pandemic taking effect in many countries, stock markets rebounded with […]
The Alberta Investment Management Corp.’s board of directors has completed its review of a volatility trading strategy, known as VOLTS, that resulted in $2.1 billion in losses in the wake of the coronavirus crash. While the strategy would have been expected to generate some losses in periods of market volatility, the losses were far greater […]
The Alberta Investment Management Corp. has completed its review of a volatility trading strategy, known as VOLTS, that resulted in $2.1 billion in losses in the wake of the coronavirus crash. While the strategy would have been expected to generate some losses in periods of market volatility, the losses were far greater than expected, noted a report on […]
The coronavirus crisis may be a signal for some pension plan sponsors that it’s time to revisit their appetite for risk. A typical asset-liability study involves stochastic modelling to project thousands of future economic scenarios and see how a pension plan would react under those scenarios, says Dean Newell, vice-president at Actuarial Solutions Inc. Particularly, the […]
In the second quarter of 2020, the funded positions of defined benefit plans recovered almost half of the losses incurred during the coronavirus crash of the first quarter, according to Mercer’s pension health index. The index, which represents the solvency ratio of a hypothetical DB pension plan, increased to 101 per cent at the end […]
Retail equity investors may be outperforming investors with far more expertise as markets grapple with the coronavirus fallout and recovery. A report from Goldman Sachs Group showed that a portfolio of stocks popular among retail investors surged 61 per cent since bear market trough, compared to a 45 per cent gain seen for stocks favoured […]
The last decade of persistently low interest rates, exacerbated by the coronavirus crisis, has created challenges for institutional investors looking to generate income on their bond investments. The challenge has been more acute for pension funds and foundations, who rely on bond investments to fund their ongoing benefit and program obligations. Moreover, indications from global […]
The volatility caused by the coronavirus pandemic made the first quarter of 2020 rough for many Canadian defined benefit pension plans. In early June, the Local Authorities Pension Plan Corp., which is mandated to invest with the Alberta Investment Management Corp., said it began the year with $50.6 billion in assets under management and ended the […]
The volatility caused by the coronavirus pandemic made the first quarter of 2020 rough for many Canadian defined benefit pension plans. In early June, the Local Authorities Pension Plan Corp., which is mandated to invest with the Alberta Investment Management Corp., said it began the year with $50.6 billion in assets under management and ended […]
The Alberta New Democratic Party’s labour and immigration critic is attempting to reverse the provincial government’s plan to transfer teachers’ pensions to the Alberta Investment Management Corp. Christina Gray, an NDP member of the legislative assembly for Edmonton-Mill Woods, introduced Bill 203, called the Pension Protection Act, on Monday. The legislation, if passed, would undo […]