Read: Average Canadian DB pension plan returns 8.2% in Q4 2023: report
Global equities returned 9.8 per cent during the quarter, trailing the MSCI world index return of 11.7 per cent, while Canadian equities returned 6.8 per cent, slightly ahead of the TSX composite index (6.6 per cent). Domestic equities benefited from gains in the energy (13.1 per cent) and industrial (11.1 per cent) sectors.
Canadian fixed income declined with a negative 1.9 per cent return, slightly lower than the FTSE Canada universe bond index’s negative 1.2 per cent return. Short-term bonds (0.3 per cent) outperformed the return of the FTSE Canada long-term bond index (negative 3.6 per cent) in the quarter.
“While equity performance hints at an improving market sentiment, plans’ Canadian fixed income weighting significantly influenced their portfolio performance this quarter,” said Sylvain Gervais, managing director of business development at RBC…
