Quebec’s minister of finance wants the Caisse de dépôt et placement’s management to appear before provincial parliament to explain its weak investment performance in 2008, during which it produced a 25% loss.

“Clearly, I am very disappointed,” said Finance Minister Monique Jérôme Forget, although she added that it is important not to judge these results on a single year as its depositors have a long-term investment horizon, and a substantial portion of these losses are “paper losses”.

Jérôme-Forget also indicated that the management of the Caisse must explain the results, in particular its management of asset-backed commercial paper, before the provincial legislature.

“It is important that Quebecers understand what happened, in particular regarding the Caisse’s holdings of almost $13 billion of asset-backed commercial paper, which even the Caisse has acknowledged was a mistake,” she said. “Consequently, I want the management of the Caisse, as well as its former president and CEO Henri-Paul Rousseau to explain themselves before a parliamentary committee.”

She added that, “Discussions will take place in the next few hours with the opposition parties in the National Assembly to set a date for the committee’s hearings.”

Jérôme-Forget also confirmed that the government will soon appoint a new chairman and new directors for the Caisse, and the board will seek a new CEO.