Canadian pension plan assets declined in the second quarter for the first time since 2012, dragged down by the Greek debt crisis, weakness in energy and resources and rising bond yields.
Holdings fell 1.6 percent, according to a survey of pension funds that manage C$650 billion ($495 billion) worth of assets, by the Royal Bank of Canada’s Investor and Treasury Services. That marks the first quarterly decline since the second quarter of 2012 and largest since third quarter of 2011 when they fell 5.5 percent, according to RBC.
“Uncertainty in the global economic landscape – particularly surrounding the deteriorating situation in Greece - - and the ongoing fallout from the drop in the price of oil put pressure on pension plan performance over the past quarter,” David Heisz, chief executive officer of RBC Investor Services Trust, said in a statement.
Assets at Canadian pensions are up 4.8 percent this year, according to the survey.