Daily News Alerts

BPMME Invesco Dec 1

BPMME BMO Nov 29

BPM Lastest Issue

BPMME Invesco Dec 1

1/3

Consider signing up for our Daily News Alert Email to receive relevant industry news, headlines and articles delivered directly to your inbox.

September 16, 2022

BENEFITS PAYOUTS REACH RECORD LEVEL

Canada’s life and health insurers paid out more benefits to more people than ever before in 2021, says the Canadian Life and Health Insurance Association. Canadians were paid over $113 billion in benefits from life and health insurance products last year – up 17 per cent from 2020 and nearly $10 billion above pre-pandemic levels. This included payments for health insurance claims, life insurance, and retirement. Two thirds of total insurance products were sold as part of group benefit plans in 2021, as opposed to individual policies. Indeed 90 per cent of health insurance plans were offered on a group basis, most often as workplace benefits. It shows life and health insurers provided coverage for over 29 million Canadians – or 76 per cent of the population. They paid a record $40.8 billion in total health claims, including prescription drugs and dental – up 11 per cent from 2020. As well, $58 billion in annuities was paid out to retirees – up 26 per cent from the previous year.

September 16, 2022

PLAN SIZE CREATES OPPORTUNITIES

The University Pension Plan has drawn a line with its investment philosophy, says Aaron Bennett, its CIO. It is a pension fund seeking absolute returns and managing its liabilities is a critical element that informs the rest of its investments. Speaking on ‘CIO Challenges & Opportunities’ at the Bodhi Research Group Symposium, he said the plan, launched in July 2021, aspires to be like the Maple Model of Canadian pension funds, but as a smaller fund it has limitations. Unlike its larger cousins, it can’t internalize everything in a cost-effective way. It has to think about what it can do internally to add value. One way is to build out its private assets platform with a view to perhaps move to direct underwriting. It can also take advantage of interesting areas in asset class which larger plans cannot. Writing a cheque for $25 to $50 million is not attractive to larger funds because it does not “move the needle. It’s not a lot of money and doesn’t have an impact,” he said. But it is a big deal for UPP. It can do things like fund emerging managers programs or make smaller, local private market investments. These are areas where it can have impact without taking undue risk, he said.

September 16, 2022

FINANCIAL WELLBEING HITS LOW POINT

The financial wellbeing of Canadians is at its lowest point since the launch of the LifeWorks ‘Financial Wellbeing Index’ in January 2021 and has been on a continuous decline since the height of the pandemic. The index score for summer 2022 is 64, a decline fr