Briefly:

The Financial Planning Standards Council (FPSC) has received ISO 17024 accreditation by the Standards Council of Canada for its role as the credentialing organization for the CFP certification program in Canada.

ISO 17024 is the standard for certifying bodies, and the FPSC is one of only five groups in Canada to have earned this accreditation since it was introduced in Canada in 2004.

“This standard is an objective affirmation that FPSC — as the steward of the CFP certification program in Canada — has met the highest global standards of conduct and competence for a certifying body,” says Cary List, president and CEO of FPSC.

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Equities lead pension plans to pre-crisis levels

Pension assets continued to ride the wave of global equity markets in the fourth quarter, bringing plan sponsors close to their pre-crisis values, according to a survey.

RBC Dexia Investor Services’ poll finds that within its C$340 billion universe, Canadian pension plans earned 1.9% in the last three months ending December 31, 2009, bringing year-end results to 16.2%.

“The speed of the rally, particularly in the second and third quarters caught pensions by surprise, as many remained under-exposed to equities,” says Don McDougall, director of advisory services for RBC Dexia. “Then again, after last year’s brutal 15.9% drop, it is reassuring to see pension plans claw back to pre-crisis state.”

Canadian equities led all other asset classes as the S&P/TSX Composite Index posted its best calendar year result since 1979, soaring 35.1%.

“All sectors advanced, with most gaining double digits—but the top heavy weightings in financials, energy and the materials sectors accounted for more than 85% of the market’s rise this year,” explains McDougall. “Amazingly, pensions remained under-weighted to all three major groups throughout the year and still managed to outpace the index by 0.3% on the strength of superior security selection.”

Canadian pensions enjoyed a 7.9% return from domestic bonds in the year, surpassing the DEX Universe index by 2.5%. “Long-term corporate debt outdid long-term federal credits by a staggering 29.7% for the year,” adds McDougall.

(01/21/10)

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.