Colin Busby – Ottawa must not bow to the Bloc and boost Old Age Security for younger seniors
Published in the Globe and Mail.
The Bloc Québécois is threatening to push for an early election should the minority Liberal government not support a private members’ bill, Bill C-319, which aims to increase the basic amount of the Old Age Security (OAS) benefit by 10 per cent from the current maximum of $718 a month.
The government should not back the bill. And, even if it does, a majority of MPs from across parties should later vote against this bill.
There is political rationale for these responses. Minority governments can be filled with bluster and threats, much of which are empty. And in such governments, strange coalitions may form to pass legislation or to kill certain bills.
Politics aside,…
Cancel the RRB Cancellation
Two years ago, the federal government ceased issuing Real Return Bonds, which are a valuable tool for Canadian savers to protect themselves from inflation. The government cited weak demand for RRBs as justifying the cancellation, without acknowledging that its approach to RRBs itself promoted a thin market that lessened the attractiveness of RRBs to potential […] Barry Gros – Ontario Finally Joins the Target Benefit Pension Party
To: Ontario Pension Observers From: Barry Gros Date: August 1, 2024 Re: Ontario Finally Joins the Target Benefit Pension Party Ontario’s journey towards target benefit pension regulation is coming to a close. The Ministry of Finance recently released draft regulations for technical review with an effective date of January 1, 2025, winding up a process begun last year. […] Miville Tremblay – Investir chez nous, pour le bien commun
Published in La Presse.
Faut-il que les grands fonds de retraite canadiens, un peu à la manière de la Caisse de dépôt et placement du Québec, démontrent une plus grande préférence nationale dans leurs placements ?
Cette question brûlante est au cœur d’un débat dans le monde feutré du placement. La Caisse est le modèle qui inspire et fait peur avec son double mandat d’optimiser le rendement des déposants et de favoriser le développement économique du Québec.
En théorie, un investisseur parfaitement diversifié aurait une petite participation dans tous les actifs dans le monde. En pratique, ce n’est ni possible ni souhaitable, mais l’investisseur avisé répartit ses œufs dans un grand nombre de paniers.
Par…
Pension Policy Council
The C.D. Howe Institute launched the Pension Policy Council in May 2007 to address key challenges facing Canada’s system of retirement saving, assess current developments, identify regulatory strengths and shortfalls, and make recommendations to ensure the integrity of pension earnings for the growing number of Canadians approaching retirement. The Institute gratefully acknowledges the participation of […] Bob Baldwin – How to Resolve the Alberta Pension Issue
From: Bob Baldwin To: Pension watchers Date: April 3 2024 Re: How to Resolve the Alberta Pension Issue Last fall, the Alberta government released a report proposing the creation of an Alberta Pension Plan (APP) funded initially by withdrawal from the Canada Pension Plan, taking with it $334 billion in assets. My recent C.D. Howe Institute E-Brief examines the financial […]Strength in Diversity: What We Can Learn from BC’s Target-benefit Plans
With the significant decline in single-employer defined-benefit (DB) pension plans in the private sector, it’s important to understand other alternatives. One such alternative is the target-benefit plan. The regulation of target-benefit plans (TBPs) in all provinces across Canada can be made more straightforward and effective using lessons learned from real-life experiences. With target-benefit plans currently […] Pension Roulette: The Risks and Consequences of Alberta Leaving the CPP
In the fall of 2023, the Alberta government released a report proposing the creation of an Alberta Pension Plan (APP) funded initially by the province’s withdrawal from the Canada Pension Plan, taking with it $334 billion in assets. This E-Brief examines the financial assumptions of the proposed APP, assesses their reasonableness, and outlines the […] Bob Baldwin – How to Resolve the Alberta Pension Plan
From: Bob Baldwin To: Canada Pension Plan Observers Date: November 20, 2023 Re: How to Resolve the Alberta Pension Issue Many commentators, including the prime minister and leader of the opposition, have now weighed in on the downsides of Alberta withdrawing from the Canada Pension Plan (CPP) and creating its own Alberta Pension Plan (APP). The Alberta […]Travis Toews – In Defence of Alberta’s Pension Report
From: Travis Toews To: Canada Pension Plan Observers Date: November 23, 2023 Re: In Defence of Alberta’s Pension Report Since the release of the Alberta Pension Plan report, I’ve read with interest the steady stream of commentary and opinion and, while there have been some thoughtful pieces, much of it has been ill-informed and misleading. Doubt has been cast on […]We need to clarify the CPP’s exit rules – Financial Post
Many commentators, including the prime minister and leader of the opposition, have now weighed in on the downsides of Alberta withdrawing from the Canada Pension Plan (CPP) and creating its own Alberta Pension Plan (APP). The Alberta proposal puts at risk a plan that has been providing secure retirement, survivor and disability benefits for nearly 60 years.
Much of the criticism and concern revolves around the $334 billion that a report prepared by the actuarial firm LifeWorks for the government of Alberta says the province should claim in compensation for assuming responsibility for paying the future benefits Albertans earned while their province was part of the CPP. The amount is 53 per cent of CPP’s current…
Alberta’s case for taking half CPP’s assets – Financial Post
Since the release of the Alberta Pension Plan report, I’ve read with interest the steady stream of commentary and opinion and, while there have been some thoughtful pieces, much of it has been ill-informed and misleading.
Doubt has been cast on the credibility of the firm that researched and delivered the report. Questions have been raised about the relevance of the formula used to calculate the transfer amount. And there seems to be general disbelief that a province with only 12 per cent of the nation’s population could have title to 53 per cent of the assets of the Canada Pension Plan (CPP).
Albertans will only be able to properly weigh the risks and opportunities of an Alberta Pension Plan (APP) when these…