Research Pension Plan
Annual Report to Membership
July, 2013
The primary purpose of this report is:
∗ to review investments and investment performance of the Plan in 2012
∗ to provide membership data information
∗ to report on the activities of the Research Pension Plan Committee
INVESTMENTS of the PENSION PLAN at December 31, 2012
Market Value of Pension Plan Assets
By Investment Fund
Money Market Fund
Universe Bond Index Fund
Conservative Life Cycle Fund
Balanced Life Cycle Fund
Aggressive Life Cycle Fund
Canadian Equity Fund
U.S. Equity Index Fund
International Equity Fund
Total Market Value
2012
($000)
$
835
2,899
2,017
45,495
2,263
2,791
618
786
$ 57,704
% of Market
Value
1.4
5.0
3.5
78.9
3.9
4.8
1.1
1.4
100
By Investment Manager
McLean Budden
Scheer Rowlett & Associates
Jarislowsky Fraser
BlackRock Asset Management
Sky Investment Counsel
2012
($000)
$
835
4,228
8,417
33,615
10,608
% of Market
Value
1.4
7.3
14.6
58.3
18.4
Investment Performance
As Plan members have differing risk preferences, the Plan makes several investment
options available to members. These options allow members to select segregated funds
with a mix of underlying assets that meets their investment needs.
Members are reminded of their responsibility to review periodically the portfolio
structure of their participation in the Plan and to revise it as appropriate given their
needs.
This communication, future communications and other pension plan information are available online at:
www.usask.ca/fsd/faculty_staff/pension_plans
The investment risk profile, provided on the Sun Life member website, helps to determine
the type of investor you are, and provides information to help you understand risk, the
benefits of diversification and develop an investment mix to match your goals.
In 2012 global uncertainty continued due to lingering European debt concerns.
Nevertheless, because central banks throughout the world pursued very expansionary
policy, the real recovery from the 2008-09 financial crisis continued and equity markets
generated strong absolute returns.
The U.S. and international equity markets
outperformed the Canadian market. Strong performance of our active managers relative to
their benchmarks pushed the performance of all three Life Cycle above their respective
benchmarks for the year.
The benchmark portfolios for each of the funds have been determined using the actual
returns of the market indexes such as 91-Day Canadian Treasury Bills, the DEX Universe
Bond Index, the S&P/TSX Capped Composite Index, Standard and Poor’s 500 U. S. Stock
Index and Morgan Stanley’s Europe, Australia and Far East Index. The following is a
summary of the Plan’s annual investment performance as at December 31, 2012 exclusive
of Plan expenses:
Investment Performance by Fund
Money Market
Return
Benchmark
Bond Fund
Return
Benchmark
Conservative Life Cycle Fund
Return
Benchmark
Balanced Life Cycle Fund
Return
Benchmark
Aggressive Life Cycle Fund
Return
Benchmark
Canadian Equity
Return
Benchmark
U.S. Equity
Return
Benchmark
International Equity
Return
Benchmark
2012
Last 4 years
1.1%
1.0%
0.9%
0.8%
3.6%
3.6%
6.3%
6.3%
5.7%
5.3%
6.9%
6.9%
10.0%
8.6%
8.0%
7.7%
12.1%
10.2%
8.4%
8.1%
10.7%
7.2%
10.7%
11.7%
13.4%
13.4%
8.5%
8.6%
18.5%
14.7%
6.2%
4.2%
This communication, future communications and other pension plan information are available online at:
www.usask.ca/fsd/faculty_staff/pension_plans
MEMBERSHIP DATA at December 31, 2012
Plan Member distribution:
Active members
Other members (inactive, deferred, pending transfers)
Total Plan Membership
678
340
1,018
Plan Member distribution by Fund:
Money Market Fund
Universe Bond Index Fund
Conservative Life Cycle Fund
Balanced Life Cycle Fund
Aggressive Life Cycle Fund
Canadian Equity Fund
U.S. Equity Index Fund
International Equity Fund
40
93
84
896
133
149
52
82
RESEARCH PENSION COMMITTEE
Committee Members
Plan Member Representatives:
Doug Hassard, Plant Sciences
Keith DeMong, CLS
Lorne Vanin, VIDO
Meetings of the Committee
Board of Governor Representatives:
Steve Laycock, Human Resources
Olena Schemenauer, Financial Services
Heather Fortosky, Financial Services
The Research Pension Plan Committee met 5 times during the year. Acting in its capacity
as managing fiduciary; the Committee is responsible for the oversight of the Research
Pension Plan operations, including investments, administration, and overall governance of
the Plan. The Committee activities over the past year in fulfilling these responsibilities are
outlined in the following table.
Meeting Date
Time
allocated
Purpose
September 21, 2012
2.0 hours
*Quarterly Investment Performance Review to June 30th
* Investment Manager presentation: Jarislowsky Fraser
November 19 , 2012
2.0 hours
*Quarterly Investment Performance Review to Sept 30th
*Investment Manager presentation: Scheer Rowlett
This communication, future communications and other pension plan information are available online at:
www.usask.ca/fsd/faculty_staff/pension_plans
March 12, 2013
2.0 hours
May 22, 2013
2.0 hours
*Quarterly Investment Performance Review to Dec 31st
*Investment Manager presentation: PH&N, Sky Investment
*Quarterly Investment Performance Review to Mar 31st
*Investment Manager presentation: Blackrock
June 12, 2013
1.0 hours
*Financial Statements at December 31, 2012 Review
RESEARCH PENSION PLAN INFORMATION
Plan Documents
Copies of the following documents are on file in the office of the Director of Pensions
(Financial Services). They are available for inspection by any member of the Plan during
regular working hours by prior arrangements.
∗ Plan Text
∗ Financial Statements
∗ Auditor’s Report
∗ Committee meeting agendas and minutes
Sun Life Financial Member web site:
www.mysunlife.com
∗ Investment risk profile
∗ Detailed investment performance information
∗ Account balance
∗ Asset allocation and transaction decisions
∗ Quarterly statements
Other Agents of the Plan
Investment Consultant:
Record Keeper:
Aon Hewitt, Regina
Sun Life Financial
Pension Administration & Support
Pensions Office, Financial Services
Room 220, Research Annex, 105 Maintenance Road
306-966-6633
www.usask.ca/fsd/faculty_staff/pension_plans
Please contact the Pensions Office at 306-966-6633 or any member of the Research
Pension Plan Committee if you have any questions about the items covered in this
newsletter.
This communication, future communications and other pension plan information are available online at:
www.usask.ca/fsd/faculty_staff/pension_plans