Our Board of Trustees establishes the Investment Policy and then delegates investment decision-making responsibility to the fund managers. The Board monitors investment performance quarterly and reviews the investment policy at least annually.
Day-to-day responsibility for investment management rests with Greystone Managed Investments Inc. and Leith Wheeler Investment Counsel Ltd. A quarterly report on compliance with the investment policy must be completed by the investment managers.
Saskatchewan firm hired in 1989 to manage the Annuity Fund and part of the Contribution Fund.
Vancouver firm hired in 1995 to manage part of the Contribution Fund.
Funds of members who have not yet retired are pooled in the Contribution Fund. The Contribution Fund allows members to invest in a Balanced or Short-term Fund. The Balanced Fund investment strategy is to maximize earnings for members and minimize the risk, while the purpose of the Short-term Fund is capital preservation.
Accounts of members who have retired are pooled in the Annuity Fund. The Annuity Fund is invested in bonds and short-term investments. The strategy for this fund is to produce income to pay member pensions.
The Fund Facts provide you with valuable information about each fund offered by SPP. These fact sheets include past performance, expense ratios, and a break down of investments so that you can select the fund that is best suited for you.
Information about our Pooled Funds is also available.
Check out our Quarterly updates to review our investment performance.
Our Annual Report is available online for review.
The Balanced Fund portfolio composition is shown below.
Member contributions are invested by two independent, professional investment firms. Our average rate of return in the balanced fund since inception is 8.05%. The return for 2016 was 6.53%.
Member contributions are pooled for investment. Funds are invested in a balanced portfolio of bonds, equities and short-term investments. This approach allows us to maximize earnings while minimizing risk to members. Members can choose between a balanced fund or short-term fund for investments.
100% of our monthly earnings are allocated to member accounts, minus our operating expenses, which are targeted to be less than 1% per year.
Our Board of Trustees is committed to keeping operating expenses as low as possible. From 1992 to 2016, the expenses averaged 1% or less of the assets.
Since you start earning interest on your account immediately, over time, the compounding effect of interest will far exceed the value of your personal contributions. The table below projects your account balance over time with earnings compounded monthly.
| Annual Earnings | 10 Years | 20 Years | 30 Years | 40 Years |
|---|---|---|---|---|
| 6% | $16,470 | $46,435 | $100,954 | $200,145 |
| 8% | $18,417 | $59,295 | $150,030 | $351,428 |
| Annual Earnings | 10 Years | 20 Years | 30 Years | 40 Years |
|---|---|---|---|---|
| 6% | $32,940 | $92,870 | $201,908 | $400,290 |
| 8% | $36,833 | $118,589 | $300,059 | $702,856 |
SPP allocates 100% of the market rate of return, less operating expenses, to members monthly.
The monthly returns for 2016 are shown below. Rate of return updated Thursday, August 10, 2017.
| Legend | |
|---|---|
| BF | Balanced fund |
| STF | Short-term fund* |
| N/A | Not Available |
| YTD | Year to Date |
| MER | Management Expense Ratio |
| TBA | To be announced |
*The STF was formed in 2010.
| Month | BF% | STF% |
|---|---|---|
| Jan-17 | -0.002 | 0.057 |
| Feb-17 | 1.73 | 0.043 |
| Mar-17 | 1.16 | 0.050 |
| Apr-17 | 2.27 | 0.049 |
| May-17 | 0.34 | 0.053 |
| Jun-17 | -1.52 | 0.046 |
| Jul-17 | -0.93 | 0.052 |
| Aug-17 | ||
| Sep-17 | ||
| Oct-17 | ||
| Nov-17 | ||
| Dec-17 | ||
| YTD | 3.03 | 0.350 |
The following table outlines the returns of the balanced and short-term funds at December 31, 2016.
| Time frame | BF% | STF% |
|---|---|---|
| 2016 | 6.53 | 0.52 |
| 5 year | 9.17 | 0.56 |
| 10 year | 4.68 | N/A |
| 31 year** | 8.05 | N/A |
** Return since the inception of SPP.
| Balanced fund | Short-term fund* | |||
|---|---|---|---|---|
| Year | Earnings% | MER% | Earnings% | MER% |
| 2016 | 6.53 | 0.87 | 0.52 | 0.13 |
| 2015 | 6.25 | 0.96 | 0.45 | 0.35 |
| 2014 | 9.10 | 0.95 | 0.64 | 0.40 |
| 2013 | 15.77 | 1.00 | 0.67 | 0.41 |
| 2012 | 8.45 | 1.07 | 0.52 | 0.51 |
| 2011 | -1.01 | 1.14 | 0.57 | 0.48 |
| 2010 | 9.42 | 1.04 | 0.19 | 0.21 |
| 2009 | 12.68 | 1.01 | N/A | N/A |
| 2008 | -16.23 | 1.00 | N/A | N/A |
| 2007 | -0.33 | 0.94 | N/A | N/A |
Our full return history can be found here.
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