Canada's AIMCo Pension Gains 7.4% on Real Estate, Bonds

Alberta Investment Management Corp., Canada’s fourth-biggest pension-fund manager, posted a 7.4 percent return on investments last year, helped by holdings of real estate and long-term bonds.

Investment income was C$5.16 billion ($5.03 billion) for the year ended March 31, Leo de Bever, chief executive officer for the Edmonton, Alberta-based fund, said in an interview. The fund’s assets rose 1.3 percent to C$69.7 billion from a year ago, according to its annual report released today.

AIMCo, as the fund is known, beat the 3.2 percent median return of the country’s pension funds over the 12 months, according to RBC Dexia Investor Services.

AIMCo was established in January 2008 to manage investments for Alberta’s provincial government, public pension plans and endowments, including the C$16.4 billion Alberta Heritage Savings Trust Fund. AIMCo oversaw about C$54.7 billion in balanced funds, which posted an 8.2 percent return. Government funds had a 4.2 percent return.

Real estate holdings returned 23 percent, while timberlands assets climbed 20 percent, according to the annual report. The fund’s long bonds portfolio returned 17 percent, compared with 7.5 percent for its money-market and fixed-income investments. Private equity rose 13 percent, and stocks increased 2.4 percent.

To contact the reporters on this story: Doug Alexander in Toronto at dalexander3@bloomberg.net; Jeremy van Loon in Calgary at jvanloon@bloomberg.net

To contact the editors responsible for this story: David Scheer at dscheer@bloomberg.net; David Scanlan at dscanlan@bloomberg.net

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