TELUS Health has released the results of its Performance Universe of Pension Managers’ Pooled Funds for the second quarter of 2025.
According to the report, in the second quarter of 2025, diversified pooled fund managers posted a median return of 3.4 per cent before management fees.
The stock markets reported gains in the second quarter of 2025 within a volatile economic context. The S&P/TSX Composite Index returned 8.5 per cent for the quarter, while the MSCI World Index returned 5.7 per cent (in Canadian dollars). The S&P 500 equity index rose by 5.3 per cent (in Canadian dollars), and the Emerging Markets Index increased by 6.2 per cent (in Canadian dollars), according to Jean Bergeron, Partner in TELUS Health’s Investment Consulting Team.
"In the second quarter of 2025, the funded status of a typical pension plan improved on a solvency basis. We estimate that the average solvency ratio of a typical pension plan increased by about 6.1 per cent over this period, which can partly be attributed to the strong performance of most asset classes. Since the beginning of the year, the average solvency ratio has increased by about 3.7 per cent", says Jean Bergeron.
During the second quarter of 2025, diversified pooled fund managers achieved, on average, a return slightly above that of the benchmark portfolio. Indeed, the median return of managers (3.4 per cent) was 0.1 per cent higher than the return of the benchmark portfolio used by many pension funds (with an allocation of 55 per cent equity and 45 per cent fixed income).
Click here to read the June 2025 report.