Latest news with #pensionfunds
Bloomberg
a day ago
- Business
- Bloomberg
‘Revenge Tax' Shift Revives US Appeal for Australia Mega Funds
Australia's A$4.1 trillion ($2.7 trillion) pension industry signaled relief over US plans to scrap the so-called 'revenge tax,' which would have increased levies on income from assets of foreign investors. The proposal to lift taxes on US income of non-US businesses could have had a far-reaching impact on Australian pension funds, which have about $450 billion invested in the world's largest economy across infrastructure, equities, bonds, and other assets, according to industry data.
Bloomberg
a day ago
- Business
- Bloomberg
Japan Pension Shuns Bonds With 57% of Fund in Alternative Assets
Japan's once conservative pension funds are putting more of their cash in alternative assets to push up returns. One corporate money manager has taken that to a whole new level. Daiwa House Industry Co. 's retirement fund has parked a whopping 57% of the company's holdings in alternative assets such as private equity and debt, as well as hedge funds as of the end of March.
CTV News
2 days ago
- Business
- CTV News
Climate group raises concerns about oil and gas representation on pension fund boards
Suncor's base plant with upgraders in the oil sands in Fort McMurray Alta, on Monday June 13, 2017. THE CANADIAN PRESS/Jason Franson TORONTO — A climate advocacy group says oil and gas representation on the boards of Canada's big public pensions raise concerns about conflicts of interest. Shift Action says in a new report that as of June 1, the boards of five of Canada's largest public sector funds had members who are also involved with fossil fuel companies. It says CPP Investments, Canada's largest pension fund, has the second-highest representation with three in ten members of its board having ties to the industry. The fund, which recently dropped its commitment to reach net-zero financed emissions by 2050, did not immediately respond to a request for comment. Other funds the group found with cross-appointments include the Ontario Teachers' Pension Plan, Public Sector Pension Investment Board, Alberta Investment Management Corp. and Ontario Municipal Employees Retirement System. Shift says that pension funds have a legal responsibility to act in the long-term best interest of beneficiaries, and that the interests of fossil fuel companies could compete with efforts to manage climate-related risks and reducing emissions. 'It's easy to see how fossil fuel company directors could potentially find themselves with real or perceived conflicts, and how such conflicts, if not addressed, could undermine prudent pension governance,' said Shift executive director Adam Scott in a statement. The group says that in total, nine current board members across the funds sit on the boards or executive teams of 12 oil and gas companies, or investment firms focused on the industry. It notes, however, that the number of boards with fossil fuel representation has gone down from seven to five since its last report in 2022. It says the boards of Healthcare of Ontario Pension Plan, Investment Management Corporation of Ontario and CDPQ no longer have fossil fuel representation. --- This report by The Canadian Press was first published June 26, 2025.
Yahoo
2 days ago
- Business
- Yahoo
Canada's pension giants too cozy with the fossil fuel industry, new report warns
Five of Canada's largest public sector pension funds have board members with close ties to the fossil fuel industry, according to a new report. The pension and climate activist group Shift: Action for Pension Wealth and Planet Health (Shift) warns the overseers of trillions in Canadian retirement savings face potential conflicts of interest as their massive investment portfolios face climate-related risks. Shift's report released Thursday names nine current directors of major Canadian pension funds with formal fossil fuel ties. Shift says these individuals also serve as directors or executives of 12 different fossil fuel companies or investment firms that focus on fossil fuels. The list includes former prime minister Stephen Harper, who sits on Alberta Investment Management Corporation's (AIMCo) board. Harper is listed as a 'working equity partner' on the website of Azimuth Capital Management, a Calgary-based private equity firm with investments in Canadian oil and gas producers. 'Pension boards face difficult governance decisions to reduce the climate impact of their investments and reduce fund exposure to risky stranded assets in the fossil fuel sector,' Shift executive director Adam Scott stated in a news release. 'Climate-related board decisions from funds managing hundreds of billions in assets have major implications for fossil fuel companies. It's easy to see how fossil fuel company directors could potentially find themselves with real or perceived conflicts, and how such conflicts, if not addressed, could undermine prudent pension governance.' Shift says the five big Canadian public sector pension funds 'entangled' with the fossil fuel sector include the Canada Pension Plan Investment Board (CPPIB), Ontario Teachers' Pension Plan (OTPP), Public Service Pension Investment Board (PSP), Alberta Investment Management Corporation (AIMCo), and Ontario Municipal Employees Retirement System (OMERS). Shift found CPPIB and AIMCo had the highest concentration of 'fossil fuel-entangled' directors on their boards, at 30 per cent and 33 per cent, respectively. In May, Shift criticized CPPIB, Canada's largest pension plan by assets under management, for its plan to abandon its net-zero greenhouse gas emissions by 2050 commitment. In February, a report from Shift noted a 'troubling divergence' among Canadian pensions, with the greenest funds becoming greener, and laggards deepening investments in fossil fuels. Shift says the five Canadian pension boards with fossil-linked directors in its new report marks a decrease from the 12 funds listed in its 2022 analysis. Jeff Lagerquist is a senior reporter at Yahoo Finance Canada. Follow him on X @jefflagerquist. Download the Yahoo Finance app, available for Apple and Android. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Daily Mail
3 days ago
- Business
- Daily Mail
Pension funds told to back UK companies or face a tax raid in the autumn Budget
British pension funds have been urged to back UK companies – or risk a punishing tax raid in the Budget this autumn. Government figures show 20 per cent of a typical workplace pension pot is invested in the UK – down from 50 per cent a decade ago – with 8 per cent in equities. Much of the rest of the money is invested overseas, including in big US funds with exposure to tech companies such as Amazon, Microsoft and Nvidia. The lack of investment by pension funds in the UK has been identified as one of the reasons why the stock market is struggling. Former pensions minister Baroness Altmann urged fund managers to put more money into UK stocks – or see tax reliefs hacked away by the Chancellor in a desperate attempt to raise revenues. That would be a devastating blow to millions of workers who can save for their retirements tax free. Abandoning Britain: Government figures show just 20% of a typical workplace pension pot is invested in the UK – down from 50% a decade ago – with 8% in equities Speculation is mounting that Rachel Reeves will target tax breaks on pensions in this autumn's Budget to help fill a gaping black hole in the nation's finances. 'Obviously these reliefs are under threat if things carry on as they are,' said Altmann, adding that 25 per cent of new pensions contributions each year should be invested in Britain. She said: 'I don't understand why our pension funds think it is perfectly fine to take billions of pounds of taxpayer money and do nothing to benefit the UK economy with it. 'It seems to me that asking for just a quarter of the new money to be invested in our great British businesses and growth assets is not exactly unreasonable. 'If pension fund managers, however, don't believe Britain can deliver decent returns, they can invest more than 75 per cent abroad, but won't receive money from taxpayers.' Last week it emerged Scottish Widows is reducing the allocation to London-listed shares in its highest growth portfolio from 12 per cent to 3 per cent. A report by the Government in November found only around 20 per cent of savings in workplace defined contribution pension schemes is invested in the UK. The report found that this compared with domestic holdings of 22 per cent in Canadian schemes, 42 per cent in New Zealand and 45 per cent in Australia. The lack of UK money going into British stocks has been identified as a reason why so many London-listed companies are undervalued.
