New data from Statistics Canada shows that pension assets dropped 2.9% in the first quarter, amid heightened market turmoil.
The national statistical agency reported that the market value of assets held by employer pension plans dropped by $65.6 billion in the first quarter to $2.21 trillion, led by a 7.5% drop in equities and a 6.8% decline in bond assets.
This weakness in financial markets was somewhat offset by a rise in the value of real estate, infrastructure, and other assets, StatsCan reported.
Alongside the first quarter decline in assets, pensions’ net income also dropped, falling from $56.5 billion in the fourth quarter of 2021 to $26.4 billion in the first quarter.
Despite the first quarter weakness, the report noted that pension assets were still up by 7.2%, $148 billion, on a year over year basis.