CANADA - Pension plans were lifted into positive territory by rising home-based energy stocks, but their diversified portfolios meant they did not match the country index's gains in the second quarter of 2008.
Don McDougall, director of advisory services for RBC Dexia, said: "Albeit modest, after posting three consecutive negative quarters, it's a welcome reprieve, especially considering the weakness in other global markets."
The S&P Composite Index, run on the Toronto Stock Exchange, soared 9.1% over the quarter which pension funds missed hitting by almost 1%.
Energy stocks on the exchange grew by 22.9% accounting for over a third of these gains.
However, global stocks hit pension funds the hardest for another quarter, slipping 3.4% over the quarter and missing the MSCI World Index by 0.5%.
Fixed income performed poorly, losing 0.3% in Q2 as mounting speculation over inflation kept domestic bonds in the red.
McDougall added: "Fortunately for those holding real return bonds, they unsurprisingly flourished in this type of environment, gaining an impressive 10.7% over six months."
For an overview of Canada's investment trends, see the latest edition of Global Pensions.
Mark Evans has been appointed as a director at Independent Trustee Services (ITS) to lead trustee appointments in London.
The Pension Protection Fund (PPF) is consulting on changes to the actuarial assumptions it uses in valuations in a bid to better reflect the bulk annuity market, with schemes set to move into surplus on aggregate.
Private sector defined benefit (DB) schemes were 96.3% funded on a Pension Protection Fund (PPF) compensation basis at the end of July, according to the lifeboat fund's monthly index.
Conduent has completed the sale of its actuarial and human resource consulting business to private equity investor, H.I.G. Capital.