MASBO News - 2015 - (Page 26)

MSBA Pension Plan Update By Vince Mariani, Secretary - Treasurer & Chief Financial Officer River East Transcona School Division R etirement income normally includes three income streams: government benefits, individual savings (registered and non-registered), and for many, a pension plan through their employer. The Manitoba School Boards Association Pension Plan for Non-Teaching Employees with nearly 11,000 active and deferred members represents that third income stream for the majority of public school board employees in Manitoba. Following are some of the highlights of improvements initiated by the pension trustees to maximize retirement accounts for plan members. From the onset, the pension trustees, representing both employees and employers in 34 of the 37 school divisions in Manitoba, established a comprehensive investment policy for the plan. The Charter of Investment Policies, Guidelines and Objectives, the purpose of which is to: 1. Ensure that all relevant issues are considered in formulating an investment strategy for the plan, 2. State the investment guidelines for the plan, and 3. Define the performance goals and the procedure for measuring the performance of the investment managers. The pension trustees, with the assistance of professional consulting services, routinely monitors the investment results and holds the investment managers accountable for their respective results. The focus of their efforts was, and still is, to ensure the objectives are observed, met and if needed, improved upon. To demonstrate, in 1998 with a plan balance of approximately $167.5 million and some less-than-acceptable annual returns, the pension trustees felt compelled to engage in a manager search with the purpose of improving the plan's performance. They completed 26 * Read this issue online at an extensive search and replaced the existing two managers with three new managers with positive investment histories. The three balanced investment managers with offsetting investment styles and demonstrated strengths in adding value to the pension fund helped navigate the fund through the very troubling times sparked, in large part, by the events of 9/11. 2007 proved to be another tumultuous year, as the soaring Canadian dollar and spiking energy prices reached record highs against a backdrop of tightening global credit and recessionary pressures in the USA. Stock markets reacted accordingly in a negative way. Throughout this period, the pension trustees conducted another review of the Charter. The nature of investments and the firms that offer investment services change over time and accordingly, the pension trustees once again felt compelled as part of their fiduciary

Table of Contents for the Digital Edition of MASBO News - 2015

MASBO 2014–2015 Executive
2014–2015 Committees
Message from the MASBO President
Message from the Executive Director
Honourary/Life Members
Under Construction –
MASBO Announces an Exclusive Pre-Conference Workshop
MASBO Annual Convention: “Emotional Intelligences in Action”
“It Ain’t What You Do…”: The Power of Emotional Intelligence
MASBO Welcomes New Executive Members
MASBO Says Farewell
2015 Grey Owl Award Recipient
Pupil Transportation: The Requirements and the Realities
The Canadian Pupil Transportation Conference is “Going to Winnipeg” in 2016
Workplace Safety and Health Programs Evolving in Manitoba School Divisions
MSBA Pension Plan Update
9 Things Highly Effective Leaders Do
Update on Sustainability for the New Schools in Manitoba
Index to Advertisers

MASBO News - 2015