The CAAT Pension Plan posted a 15.2 per cent net return in 2024, pushing its assets to $23.3 billion and maintaining strong funding reserves that provide stability for plan members.
The pension plan, which has expanded beyond its original college system base to include more than 700 employers across Canada, reported a 10-year annualized return of 9.6 per cent, outperforming its benchmark by 1.5 per cent annually over the period.
“Employees want a strong, sustainable pension plan that delivers the unparalleled value of predictable lifetime retirement income,” said Derek Dobson, CEO and Plan Manager of CAAT Pension Plan.
The plan ended 2024 with funding reserves of $6.1 billion, representing 124 per cent funding on a going-concern basis. This solid financial position allowed CAAT to commit to conditional inflation protection enhancements through 2028.
Investment diversification drives performance
The pension fund’s broadly diversified portfolio includes public and private equities, bonds, real assets and commodities, all of which contributed positively to the 2024 returns.
“All asset classes in the Plan’s portfolio contributed positively to performance during 2024,” said Asif Haque, Chief Investment Officer at CAAT Pension Plan. “While we are gratified by the strong results for the year, we are especially pleased that long-term investment performance has contributed to furthering the health of the Plan.”
Membership milestone achieved
The plan reached a significant milestone in 2024 as membership surpassed 100,000 employees across Canada, more than doubling since CAAT introduced its DBplus design in 2018. This expansion opened the pension solution to private, non-profit and broader public sectors.
The plan distributed $724 million to retirees and beneficiaries in 2024, supporting local economies while providing financial security to members. CAAT also allocated more than 25 per cent of its investments to Canadian equities, bonds, real estate and infrastructure.
According to survey results included in the annual report, nine in 10 members expressed trust in the plan and confidence that their pension benefits are secure.
Established in 1967, CAAT now serves more than 110,000 members across 20 industries, evolving from its original mandate supporting Ontario’s college system.
