Canadians with workplace pensions saw their pension funds’ assets grow smartly in the second quarter (Q2) of 2016, according to new data from Statistics Canada.
StatsCan reports that the market value of employer-sponsored pension funds grew by 1.8% in the second quarter to $1.7 trillion, reversing a 1.3% decline in the first quarter (Q1).
Pension fund revenue jumped by 55.4% in Q2, StatsCan reports, driven by higher investment income (up by 19.8%) and gains in employer and employee contributions (which increased by 12.7%). Moreover, profits from the sale of stock market securities jumped by 191% in Q2.
In addition, expenditures by employer pensions also fell by 16.9% in Q2, boosting net income to $29.2 billion in Q2 from $6 billion in Q1, StatsCan notes.