Canada Pension Plan Investment Board, Toronto, reported net assets of C$541.5 billion ($425.8 billion) for the second quarter ended Sept. 30, up 4.2% from the end of the previous quarter, according to a news release.
The latest figure is an 18.6% jump from the same quarter a year ago.
CPPIB, which manages the assets of the Canada Pension Plan, said the net asset increase from the previous quarter came from C$19.8 billion in net income after all investments costs and C$2.1 billion in net plan contributions.
As of Sept 30, the plan's investments returned a net 3.8% for the quarter, 11.3% for five years and 11.6% for 10 years. Multiyear returns are annualized. Returns for individual asset classes were not provided.
CPPIB attributed the latest quarter's performance to "an increase in the value of all private equity programs, contributions from real assets and credit investments and gains from foreign exchange as the fund benefited from a rebound in the U.S. dollar against the Canadian dollar," according to the release issued Thursday.
However, CPPIB added in the release that "public equity active programs were flat."
"CPP Investments delivered strong results this quarter to achieve a record 10-year annualized net return of 11.6%, reflecting the benefits of diversification and investment selection," John Graham, president and CEO, said in the release. "As we emerge from the impact of the global pandemic, our teams continue to execute across the organization to deliver sustainable long-term growth for the fund."
As of Sept. 30, CPPIB's asset allocation comprised 27.7% public equities, 26.1% private equities, 20.5% real assets, 20.1% government bonds, 15% credit, -7.7% external debt issuance, and -1.7% cash and absolute-return strategies, the release said. The negative returns in cash and absolute-return strategies represents the net amount of financing through derivatives and repurchase agreements, and the current net position from absolute-return strategies, the news release said.