Within equity markets, Canadian stocks returned nine per cent during the quarter, creating a year-to-date increase of 10.2 per cent and outperforming the TSX composite index. The report noted four of the five top-performing pension plans tracked had the highest exposure to Canadian equities during the quarter.
Read: Solvency ratio of average pension fund drops 2.3% in Q1 2025: report
However, fixed income posted a negative 1.2 per cent return in the quarter, underperforming the FTSE Canada universe bond index, which also declined by 0.6 per cent in the reporting period. The report attributed the downturn to a structural overweight in long-duration bonds, which fell 2.3 per cent amid rising long-term yields.
“We hope that mid-April marked the bottom for global equity markets, given the steady recovery since then, buoyed in Canada by a 90-day tariff pause and stable inflation,” said Isabelle Tremblay,…
