How the funds in the Advantages Retirement Plan™ performed in 2021
One of the key benefits of saving in your Advantages Retirement Plan™ is to take advantage of a world-class investment portfolio designed specifically for OMA members and their spouses/common-law partners: BlackRock’s LifePath target date funds. These funds simplify the process of saving for retirement by becoming more conservative as you approach retirement and automatically rebalancing to maintain a globally diversified portfolio of investments. BlackRock’s LifePath funds are used by some of the largest company pension plans in Canada, and were launched in February 2021 for the Advantages Retirement Plan™.
Understanding rates of return
The rates of return in the table below reflect the returns (net of fees) earned by each of the target date funds during the period from February 22, 2021 – the date the funds were launched – to December 31, 2021. To confirm which fund you’re invested in, log into your account. When signed in, you can also see how your account value has changed since joining the plan by comparing your total contributions with your account value.
Rates of return in 2021
|Suggested fund||Return in 2021
(Feb. 22-Dec. 31)
|2060||BlackRock CDN LifePath 2060 Index NI||13.69%|
|2055||BlackRock CDN LifePath 2055 Index NI||13.62%|
|2050||BlackRock CDN LifePath 2050 Index NI||13.45%|
|2045||BlackRock CDN LifePath 2045 Index NI||12.73%|
|2040||BlackRock CDN LifePath 2040 Index NI||11.54%|
|2035||BlackRock CDN LifePath 2035 Index NI||10.12%|
|2030||BlackRock CDN LifePath 2030 Index NI||8.62%|
|2025||BlackRock CDN LifePath 2025 Index NI||7.09%|
|Retired||BlackRock CDN LifePath Retirement Index||5.86%|
Source: BlackRock as of December 31, 2021. Returns are net of fees. Rates of return are not annualized, since they are new as of February 22, 2021. Past performance is not necessarily indicative of future performance.
Created for physicians, managed by industry-leading experts
The Advantages Retirement Plan™ target date funds are managed by BlackRock, the firm that pioneered target date funds in 1993. BlackRock is the world’s largest asset manager, with over $10 trillion USD in assets under management, including managing over C$275 billion in assets for Canadian clients. The firm has expertise across all asset classes and investment styles and has always served as a fiduciary to its clients. The plan is overseen by the Advantages Retirement Plan™ Investment Committee, which includes physician members and has a duty to put plan members’ interests first.
What this means for you
As part of its oversight role, the Investment Committee regularly reviews performance of the funds against an index-based benchmark. The goal of the funds is to closely track this benchmark, and to date, their performance has been consistent with this objective.
“The Investment Committee is pleased with the performance of the LifePath funds since Blackrock took over their management in February 2021. LifePath funds offer a low fee, well diversified, value-for-money approach that optimizes physicians’ retirement readiness. The funds are keeping pace with the index while providing professional asset allocation across a variety of geographies and asset classes. As we continue to monitor the plan’s investment performance, we aim to ensure that the funds continue to provide members rates of return commensurate with their risk tolerance.”
–Bernard Morency, Chair, Advantages Retirement Plan™ Investment Committee
By saving in the Advantages Retirement Plan™, you’re taking a step towards the kind of retirement you envision.
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