TELUS Health has released the results of its performance universe of pension managers’ pooled funds for the fourth quarter of 2025.
According to the report, in the fourth quarter of 2025, diversified pooled fund managers posted a median return of 1.5 per cent before management fees and 11.8 per cent for the full year 2025.
In the last quarter of 2025, the major stock market indices posted strong performances, despite an environment characterized by geopolitical instability and market volatility. The S&P/TSX Composite Index rose by 6.3 percent during this period. Meanwhile, the MSCI World Index returned 1.6 per cent in Canadian dollars. The S&P 500 Index increased by 1.1 per cent (in Canadian dollars), while the Emerging Markets Index grew by 3.2 per cent over the quarter, according to Jean Bergeron, Partner in TELUS Health’s Retirement & Benefits Solutions.
"Over the fourth quarter of 2025, the funded status of a typical pension plan improved on a solvency basis. We estimate that the solvency ratio of a typical pension plan increased by about 1.5 per cent, driven by the robust performance equity markets. Since the beginning of the year, the solvency ratio of such a plan has increased by about 9.0 per cent", says Jean Bergeron.
In the fourth quarter of 2025, diversified pooled fund managers reported an average return below the benchmark portfolio. The median manager’s return was1.5 per cent, which is 0.4 per cent lower than the benchmark commonly used by pension funds, based on an allocation of 55 percent equity and 45 per cent fixed income.