TORONTO — The Canada Pension Plan Investment Board says its net assets grew four per cent over the past three months, yielding a record 10-year annualized net return of nearly 12 per cent.
CPP Investments says its net assets for the quarter ended Sept. 30 totalled $541.5 billion, up from $519.6 billion at the end of the previous quarter.
The quarter-over-quarter increase came as the fund, which includes the base CPP account and additional CPP accounts, earned a return of 3.8 per cent, net of all costs, in its second quarter.
The $21.9-billion increase in net assets comprised $19.8 billion in net income after costs and $2.1 billion in net Canada Pension Plan contributions.
Chief executive John Graham says the quarterly results were driven by a boost in the value of all private equity programs, contributions from real assets and credit investments and gains from foreign exchange as the fund enjoyed a rebound in the U.S. dollar against the loonie.
He says the annualized net return of 11.6 per cent reflects the benefits of diversification and "investment selection."
Public equity active programs were "flat," he added.
"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," Graham said in a statement Friday.
This report by The Canadian Press was first published Nov. 12, 2021.
The Canadian Press
