Pension fund manager Caisse generated 9.1 per cent return in 2015

MONTREAL -- Despite market volatility, the Caisse de depot et placement du Quebec generated a 9.1 per cent return on investments last year as its net assets grew to $248 billion.

See Full Article

The province's largest pension fund manager says it gained $20.1 billion from net investments and $2.1 billion in net deposits for the year.

The gains last year were lighter than the 12 per cent earned in 2014, but it beat the 6.7 per cent growth in the reference index of returns by private and public institutions.

Over four years, the Caisse's annualized average return reached 10.9 per cent as assets grew by $89 billion.

Caisse CEO Michael Sabia says its strategy was put to the test in 2015 in the face of market volatility in the second half of the year fuelled by monetary policy, currency fluctuations and collapsing oil prices.

The market environment was also affected by anemic growth in developed countries and a slowdown in emerging markets.

"While not immunizing our portfolio against market movements, our strategy makes it more resilient in turbulent times," he said in a news release.

Public equity portfolios totalled nearly half the yearly gains at $9.76 billion, while real estate, private equity and infrastructure added $5.6 billion. Both sectors grew by around 11 per cent. Fixed income added $3.1 billion for a 3.9 per cent return.

Sabia said the Caisse will continue to invest capital selectively and develop international partnerships to overcome market volatility.

The Caisse said nearly 54 per cent of its exposure is outside Canada, up from 41 per cent in 2011. The United States was the biggest foreign market, accounting for 26.6 per cent of the Caisse's $75.6 billion overall global investment.

Assets in Quebec totalled $59.7 billion, with $11.2 billion invested since 2011.



Advertisements

Latest Economic News

  • Manufacturing sales fall in June after 3 straight monthly gains

    Economic CBC News
    An assembly worker Chrysler's Windsor assembly plant is shown. Statistics Canada reported Thursday that manufacturing sales fell in June, after three months in a row of gains. (Reuters) Statistics Canada says manufacturing sales fell in June, following three consecutive months of gains. Source
  • Train or fire? Bosses grapple with how to handle off-hours transgressions

    Economic CTV News
    TORONTO -- It didn't take long for social media to reveal the identities of some of the participants of a racially charged protest in Charlottesville, Va., last weekend. But it wasn't just individuals who were outed by outraged critics -- it was companies, brands and even suspected employers of individual protesters who were suddenly put on notice that the world was watching. Source
  • Why autos are such an important part of NAFTA

    Economic CTV News
    TORONTO - The future of Canada's more than one million automotive jobs has emerged as a critical part of what's at stake at the NAFTA renegotiation table in Washington after the U.S. chief negotiator targeted the sector on the first day of talks Wednesday. Source
  • Where does the CIBC-PC Financial breakup leave consumers?

    Economic CBC News
    CIBC and President's Choice Financial are amicably breaking up a 20-year banking marriage and divvying up the assets — news one financial expert says isn't necessarily a good or bad thing for consumers. In a nutshell, President's Choice Financial will keep the PC Financial MasterCard credit card service and the PC Plus loyalty program, while the two million PC Financial banking customers will move to CIBC's new service called Simplii Financial. Source
  • Good chance of Pacific trade deal being reached: New Zealand lawmaker

    Economic CTV News
    WELLINGTON, New Zealand -- New Zealand’s trade minister said Thursday he believes there’s an odds-on chance that a group of 11 Pacific nations including Japan and Australia will sign a free-trade deal, despite the U.S. Source
  • Sears Canada executive chairman steps away to make bid for retailer

    Economic Toronto Sun
    TORONTO — Sears Canada executive chairman Brandon Stranzl is stepping away from his role to launch a bid for the beleaguered retailer, which is restructuring under court protection from creditors. A memo to staff Wednesday about his departure from the top job said the company’s goal is to create a path to emerge from creditor protection. Source
  • CIBC takes over PC Financial bank accounts, launches Simplii banking brand

    Economic Toronto Sun
    The Canadian Imperial Bank of Commerce is taking over President’s Choice Financial bank accounts with a new online brand as it responds to the continuing trend towards digital banking. The Toronto-based bank said Wednesday it will cut its nearly 20-year relationship with PC Financial-owner Loblaw Companies Ltd. Source
  • Asian shares rise higher after gains on Wall Street

    Economic CTV News
    TOKYO - Asian shares were mostly higher Thursday in narrow trading, tracking gains overnight on Wall Street. Japan's Nikkei 225 index slipped as the yen strengthened against the U.S. dollar. KEEPING SCORE: Japan's Nikkei 225 index edged 0.1 per cent lower to 19,718.09. Source
  • Global stocks slip as investors digest central bank reports

    Economic CTV News
    TOKYO -- Stock markets mostly fell on Thursday as investors digested the minutes to the last policy meetings of the Federal Reserve and European Central Bank. KEEPING SCORE: Germany's DAX edged 0.1 per cent lower to 12,253 and the CAC 40 of France fell 0.2 per cent to 5,166. Source
  • Belgium joins legal action against tainted egg 'cheats'

    Economic CTV News
    BRUSSELS -- Belgium's Agriculture Minister Denis Ducarme says the government will join in legal action against those responsible for the egg contamination scandal, which has hit at least 17 countries. Ducarme told The Associated Press Wednesday that "the Belgian government wants to take part in civil proceedings. Source