Simply put, a glide path is a calculation designed to support an employee’s desired retirement timeline through investments in a target-date fund. When an employee first joins a defined contribution pension plan with a target-date fund, they’re exposed to capital appreciation assets that offer the most attractive risk-adjusted returns in the wealth accumulation phase, typically […]
The Investment Management Corp. of Ontario is reporting a net return of 5.6 per cent for 2023, with net assets increasing to $77.4 billion. The investment organization’s year-end report found public equities returned 18 per cent in 2023, followed by global credit (7.7 per cent), fixed income (5.9 per cent), private equity (5.7 per cent), […]
Significant headwinds in the commercial real estate sector have impacted the number of transactions seen in 2023, leading institutional investors to pursue diversification at home and abroad. The totals for acquisition dispositions of office assets in 2023 were “extremely low” compared to the previous year, says Lewis Gascoigne, an investment consulting principal at Eckler Ltd., […]
A renewed call for increased domestic investments by Canadian pension plans isn’t surprising amid an ongoing discussion around the role of investment organizations in supporting the economy, says Malcolm Hamilton, a senior fellow at the C.D. Howe Institute. “I think it’s very natural for Canadian businesses . . . [that] focus on the Canadian economy, not […]
With the introduction of new sustainability and climate disclosure guidelines — IFRS S1 and IFRS S2 — from the International Sustainability Standard Board in January, institutional investors now have the opportunity to gain alignment in measuring environmental, social and governance risks associated with their investment portfolios. Read: Research finds pensions struggle to determine metrics for ESG […]
Increased sensitivity around executive bonus compensation is pushing employers to prioritize transparency and communication when explaining why bonuses were awarded. The compensation method has seen increased scrutiny after Catherine Tait, CBC/Radio-Canada’s president and chief executive officer, didn’t rule out the deployment of management bonuses right after the public broadcaster announced last December it was cutting […]
The Healthcare of Ontario Pension Plan is reporting an annual return of 9.38 per cent for 2023, partly due to the performance of equities and fixed income, says Michael Wissell, chief investment officer at the HOOPP. The investment organization finished the year with $112.6 billion in net assets, compared to $103.7 billion and a return of […]
While the growing demand for private credit will require additional disclosure by institutional investors, it’s yet to be seen whether it will resemble similar restrictions placed on traditional lenders such as banks, says Shane Terrillon, an investment consultant at Aon. “Private credit being able to step in and help diversify financing solutions more broadly is […]
The Financial Services Regulatory Authority of Ontario is implementing a framework with core principals to help defined benefit pension plans avoid inappropriate risk-modelling strategies, said James Hoffner, the organization’s chief pension risk officer, during a conference on Monday. “Pension plans aren’t banks, they’re not commercial enterprises that are going to go out of business. We’re not going […]
To mark Black History Month, the Alberta Investment Management Corp. is giving employees a chance to reflect on the history of groups dedicated to the challenges affecting Black professionals in the asset management industry. The investment organization hosted a fireside chat to raise awareness about the obstacles that Black professionals face and how individuals can get […]