Canada Pension Plan Investment Board's investment portfolio returned a net 20.4% for the fiscal year ended March 31, the Toronto-based board announced in a news release Thursday.
The C$497.2 billion ($394.2 billion) pension fund investment board's portfolio returned an annualized net 10.8% and 11%, respectively, for the five and 10 years ended March 31.
The pension fund's assets increased C$87.6 billion from C$409.6 billion as of March 31, 2020. The news release attributed the increase to C$83.9 billion in net income after all CPPIB costs and $3.7 billion in net contributions.
For the fiscal year ended March 31, 2020, the portfolio returned a net 3.1%.
Energy and resources had the highest net return for the most recent fiscal year ended March 31 at 45.8%, followed by Canadian equities at 40.8%; emerging markets private equities at 38.5%; and emerging markets equities and international private equities at 34% each.
International equities returned a net 29.1% for the fiscal year ended March 31; Canadian private equity, a net 22.8%; power and renewables, 14.1%; infrastructure, 12.9%; credit, 2.4%; non-marketable government bonds, 1%; real estate, -4.1%; and marketable government bonds, -10.9%.
The board did not provide benchmark information.
As of March 31, the actual allocation was 22.8% international private equity; 17.1% international equities; 15.2% marketable government bonds; 13.5% credit; 10.2% emerging markets equities; 8.7% real estate; 8.3% infrastructure; 4.2% non-marketable government bonds; 3.7% emerging markets private equity; 2% each, energy/resources and power/renewables; 1.9% Canadian equities; 0.2% Canadian private equity; -7.3% external debt issuance; and -2.5% cash and absolute-return strategies. The negative allocation 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.
