Volatility hits Canadian pensions
Australian superannuation funds aren’t the only ones suffering declines in the face of market volatility, with the latest data out of Canada suggesting a similar tale of woe.
A survey conducted by RBC Dexia Investor Services has revealed that Canadian pension plans lost ground for the third consecutive quarter, slipping 1.9 per cent to the end of March, pushing losses to 2.7 per cent for the 12-month period.
The RBC Dexia data said that global equity had been the hardest hit asset class although the weaker Canadian currency had softened the blow for unhedged Canadian-based investors.
“The MSCI World Index plunged 11.9 per cent in local currency terms. Performance nearly matched the index, but Canadian pensions lost only 5.5 per cent once exchange rates were taken into account,” RBC Dexia director of advisory services Don McDougall said.
AUTHOR
Mike Taylor
Recommended for you
AZ NGA has partnered with an Adelaide-based accounting and financial planning practice as it expands its presence in South Australia.
The central bank has released its decision on the official cash rate following its November monetary policy meeting.
ASIC has cancelled the AFSL of a Melbourne-based managed investment scheme operator over a failure to pay industry levies and meet its statutory audit and financial reporting lodgement obligations.
Melbourne advice firm Hewison Private Wealth has marked four decades of service after making its start in 1985 as a “truly independent advice business” in a largely product-led market.
