The pension plan in Alberta was 2.1 billion short of meeting its obligations. According to one article, this "resulted from decades of the government and teachers' union not setting aside enough reserve funds to pay for pensions."
The provincial government offered to help, if, teachers would sign a 5 year contract. The Canadian Taxpayers Federation calculated the deal will cost each Albertan $600.
Full article
Saturday, February 16, 2008
Monday, November 26, 2007
Compare Lamoreux's Retirement Party to Yours
Setting: Four Seasons Hotel
Special Tribute from: Don Cherry (on video)
Loot Bag Gift: A miniature bobble-headed sculpture of Lamoureux in a Leaf jersey, standing atop the words "the first star, la première étoile."
Final Annual Salary: 6 Million
Value of pension assets in 2006: 6 Billion
Read all about it Here.
Post a comment with details about your party!
Special Tribute from: Don Cherry (on video)
Loot Bag Gift: A miniature bobble-headed sculpture of Lamoureux in a Leaf jersey, standing atop the words "the first star, la première étoile."
Final Annual Salary: 6 Million
Value of pension assets in 2006: 6 Billion
Read all about it Here.
Post a comment with details about your party!
Saturday, November 17, 2007
Video: Teachers' Pension owns ritalin, malls & more
Rick Mercer has some fun with the Ontario Teachers' pension in this clip from CBC TV's Sunday Report.
Saturday, November 10, 2007
Investment: Railpower Technologies Corp
One of the biggest and most powerful investors in the country threw a lifeline to one of the worst-performing stocks yesterday. OntarioTeachers' PensionPlan says it will invest $35-million dollars in Railpower Technologies Corp. Railpower makes locomotive engines that produce significantly lower emissions than traditional trains, but the company has been on the ropes for months. Thanks to operational problems and a high cash burn rate, the stock has dumped about 85% this year and more than 96% from its high. "We chose to invest in Railpower because of its market potential." Brian Gibson, senior vice-president, public equities at Teachers', said in a statement. Railpower will sell Teachers' A-class convertible debentures, which are debt that can be converted into stock. The debentures yield 5% annually and can be converted at 30¢ a share, well above the stock's depressed price of 23¢ as of yesterday's close.
Current Price: TSE:P
Current Price: TSE:P
Friday, November 9, 2007
UWO Pension Restricts Redemptions
The turmoil in asset-backed commercial paper knocked Bay Street on its ear in August and now, three months later, it has re-emerged on Main Street as pensioners and individual investors start to feel the pain.
Because of holdings of illiquid ABCP, the pension fund for employees of the University of Western Ontario has restricted redemptions on some of its funds while the pension fund for 35,000 current and former employees of co-ops and credit unions may be forced to take similar steps.
"We informed our members as soon as we could," said Louise Koza, a director of Western's human resources department, adding that so far people have been "understanding."
The London, Ont.-based institution administers a $1.2-billion pension plan for 6,300 faculty and staff. As a defined contribution plan, members have a choice of funds to invest in. Five have exposure to illiquid ABCP and, as a result, the plan administrator has opted to hold back funds -- ranging from 0.84% to 16.87% -- in effect, limiting the amount of cash that members can withdraw.
"The market has made it difficult for one of our fund managers to sell its ABCP holdings," Western said in a recent note to pensioners. "As a result, temporary restrictions on the redemption of some of these assets are being put in place."
A majority of the university's retirees are invested in at least one affected fund, according to Ms. Koza. Under the restrictions, members who withdraw cash will be given units in a new fund created to hold the illiquid ABCP and whose value will depend on the success of a proposal to restructure the market.
From The Financial Post
Because of holdings of illiquid ABCP, the pension fund for employees of the University of Western Ontario has restricted redemptions on some of its funds while the pension fund for 35,000 current and former employees of co-ops and credit unions may be forced to take similar steps.
"We informed our members as soon as we could," said Louise Koza, a director of Western's human resources department, adding that so far people have been "understanding."
The London, Ont.-based institution administers a $1.2-billion pension plan for 6,300 faculty and staff. As a defined contribution plan, members have a choice of funds to invest in. Five have exposure to illiquid ABCP and, as a result, the plan administrator has opted to hold back funds -- ranging from 0.84% to 16.87% -- in effect, limiting the amount of cash that members can withdraw.
"The market has made it difficult for one of our fund managers to sell its ABCP holdings," Western said in a recent note to pensioners. "As a result, temporary restrictions on the redemption of some of these assets are being put in place."
A majority of the university's retirees are invested in at least one affected fund, according to Ms. Koza. Under the restrictions, members who withdraw cash will be given units in a new fund created to hold the illiquid ABCP and whose value will depend on the success of a proposal to restructure the market.
From The Financial Post
Monday, October 8, 2007
New Blog
This blog is dedicated to creating a community around The Ontario Teacher's Pension Plan. If you, or someone you know has a story about the pension plan, please email it to teacherspension@gmail.com, we are discreet and your privacy will be respected. With over $106 in net assets the OTPP is the largest single-profession pension plan in Canada.
If you work in the profession, or are currently retired, the OTPP is managing your financial future. We'll start publishing in a few weeks. In the meantime please visit again.
If you work in the profession, or are currently retired, the OTPP is managing your financial future. We'll start publishing in a few weeks. In the meantime please visit again.
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