- Q1 2019 gains more than reverse Q4 2018 losses
TORONTO, April 30, 2019 /CNW/ - Canadian and global
equities rallied to post strong Q1 2019 returns, helping to lift
quarterly returns to 7.2 per cent in the first three months of the
year, according to the RBC Investor & Treasury
Services All Plan Universe (Q4 2018 returns sat at
-3.5 per cent).
Additional results
- Q1 2019 Canadian equities, led by a rebound in oil price,
bounced back to post a return of 12.4 per cent compared to a loss
of -10.6 per cent in Q4 2018, while the TSX Composite Index posted
a Q1 2019 return of 13.3 per cent compared to Q4 2018 return of
-10.1 per cent.
- All 11 of the TSX sectors posted gains in Q1 2019.
- Global equities followed a similar path, returning 10 per cent
in Q1 2019, reversing a Q4 2018 loss of -7.8 per cent, while the
MSCI World Index also returned 10 per cent in Q1 2019 compared to a
Q4 2018 loss of -8.5 per cent.
- Canadian fixed income posted positive returns of 5.6 per cent,
up from 1.8 in Q4 2018. Long-term bonds had a strong Q1 2019 that
helped to propel returns. The FTSE Canada Universe bond index also
forged ahead in Q1 2019, posting a return of 3.9 per cent, up from
1.8 per cent in Q4 2018.
Quote
"Canadian defined benefit pension plans started
2019 in positive territory as the TSX reached an all-time high,
reversing many of the 2018 losses, but asset managers will need to
remain vigilant as we head toward the mid-year mark. Many of the
underlying concerns, including trade wars, slowing global economic
growth as well as ongoing geopolitical unrest are still very
relevant and will force asset managers to re-examine their
portfolios and risk exposure."
- David Linds, Managing Director, Head of Canadian Asset
Servicing, RBC Investor & Treasury Services
Historic Performance
Period
|
Return
(%)
|
Period
|
Return
(%)
|
Q1 2019
|
7.2
|
Q2 2017
|
1.4
|
Q4 2018
|
-3.5
|
Q1 2017
|
2.9
|
Q3 2018
|
0.1
|
Q4 2016
|
0.5
|
Q2 2018
|
2.2
|
Q3 2016
|
4.2
|
Q1 2018
|
0.2
|
Q2 2016
|
2.9
|
Q4 2017
|
4.4
|
Q1 2016
|
0.0
|
Q3 2017
|
0.4
|
Q4 2015
|
3.1
|
About the RBC Investor & Treasury Services All Plan
Universe
For the past 30 years, RBC Investor
& Treasury Services (RBC I&TS) has managed one of the
industry's largest and most comprehensive universes of Canadian
pension plans. The "All Plan Universe" currently tracks the
performance and asset allocation of a cross-section of assets under
management across Canadian defined benefit (DB) pension plans, and
is a widely-recognized performance benchmark indicator. The RBC
Investor & Treasury Services "All Plan Universe" is produced by
RBC I&TS' Risk & Investment Analytics (R&IA) service.
R&IA work in partnership with best-in-class technology to
deliver independent and cost effective solutions designed to help
institutional investor clients monitor investment decisions,
optimize performance, reduce costs, mitigate risk and increase
governance capability.
About RBC Investor & Treasury Services
RBC
Investor & Treasury Services (RBC I&TS) is a
specialist provider of asset services, custody, payments and
treasury and market services for financial and other institutional
investors worldwide, with over 4,500 employees in 17 countries
across North America, Europe, Asia
and Australia. We deliver services
which safeguard client assets, underpinned by client-centric
digital solutions which continue to be enhanced and evolved in line
with our clients' changing needs. Trusted with CAD 4.1 trillion in client assets under
administration as at February 22,
2019, RBC I&TS has been rated by our clients as the #1
global custodian for eight consecutive years and is a financially
strong partner with among the highest credit ratings globally.
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SOURCE RBC Investor & Treasury Services