Research Pension Plan
Annual Report to Membership
September, 2012
The primary purpose of this report is:
∗ to review investments and investment performance of the Plan in 2011
∗ to provide membership data information
∗ to report on the activities of the Research Pension Plan Committee
INVESTMENTS of the PENSION PLAN at December 31, 2011
Market Value of Pension Plan Assets
By Investment Fund
Money Market Fund
Fixed Income – Universe Bond Index Fund
Conservative Life Cycle Fund
Balanced Life Cycle Fund
Aggressive Life Cycle Fund
Canadian Equity Fund
U.S. Equity Fund
International Equity Fund
Total Market Value
2011
($000)
$
1,001
1,943
959
40,316
1,908
2,328
459
671
$ 49,585
% of Market
Value
2.0
3.9
1.9
81.3
3.9
4.7
0.9
1.4
100.0
By Investment Manager
McLean Budden – Money market
Scheer Rowlett – Canadian equity
Jarislowsky Fraser – Canadian equity
BlackRock Asset Management – Universe bond index
– U. S. equity index
Phillips, Hager & North – Non-North American equity
2011
($000)
$
1,001
3,717
7,466
19,107
9,078
9,216
% of Market
Value
2.0
7.5
15.1
38.5
18.3
18.6
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 2011 global uncertainty continued due to lingering European debt concerns. Adding to
investor’s concerns was the downgrade in Spain’s credit rating. The U.S. equity market
soared in October; BlackRock U.S. Equity Fund was the strongest performing investment
option in the final quarter of 2011. The International Equity Fund trailed the MSCI EAFE
Index, pushing all three Life Cycle Funds below their respective benchmarks.
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, 2011 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
2011
Last 4 years
1.2%
1.0%
1.6%
1.4%
9.7%
9.7%
7.0%
7.0%
6.3%
6.7%
5.3%
5.2%
(0.7%)
1.0%
1.7%
1.3%
(4.3%)
(1.9%)
(0.3%)
(0.8%)
(7.7%)
(8.7%)
0.2%
(0.7%)
4.6%
4.6%
(0.9%)
(0.9%)
(19.2%)
(10.0%)
(6.9%)
(7.6%)
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, 2011
Membership Data
Plan Member distribution:
Active members
Other members (inactive, deferred, pending transfers)
Total Plan Membership
Plan Member distribution by Fund:
Money Market Fund
Bond Fund
Conservative Life Cycle Fund
Balanced Life Cycle Fund
Aggressive Life Cycle Fund
Canadian Equity Fund
U.S. Equity Fund
International Equity Fund
670
341
1,011
46
78
68
900
133
154
47
88
RESEARCH PENSION COMMITTEE at December 31, 2011
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
Laura Kennedy, 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.
This communication, future communications and other pension plan information are available online at:
www.usask.ca/fsd/faculty_staff/pension_plans
Meeting Date
Time
allocated
Purpose
September 28, 2011
2.0 hours
*Quarterly Investment Performance Review to June 30th
* Investment Manager presentation: Jarislowsky Fraser
November 16 , 2011
2.0 hours
*Quarterly Investment Performance Review to Sept 30th
*Investment Manager presentation: Scheer Rowlett
March 8, 2012
2.0 hours
*Quarterly Investment Performance Review to Dec 31st
*Investment Manager presentation: PH &N, Sky Investment
May 24, 2012
2.0 hours
*Investment Platform Review
*Quarterly Investment Performance Review to Mar 31st
*Investment Manager presentation: Blackrock
* Investment Policy Annual Review
June 4, 2012
1.5 hours
*Financial Statements at December 31, 2011 Review
*Investment and Plan review: Sun Life Financial
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
This communication, future communications and other pension plan information are available online at:
www.usask.ca/fsd/faculty_staff/pension_plans
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
966-6633
www.usask.ca/fsd/faculty_staff
Please contact the Pensions Office at 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