CPP assets rebound

The Canada Pension Plan Fund returned to the black in its third quarter, it reported Thursday.

Assets reached $123.9 billion by Dec. 31, as its investments recovered from a fall to $108.9 billion a year earlier. Back then, plummeting stock markets caused an investment loss of 6.7 per cent.

In its latest quarter, the fund said it generated $2.2 billion in income, mostly in the public markets.

Its return on investments for the quarter was 1.8 per cent. The fund paid out benefits of $2.1 billion.

In the last nine months, assets increased by $18.4 billion from $105.5 billion at the end of March.

"By staying the course with our long-term strategy and strategic asset weightings, including public equities, the fund has benefited from the rebound in equity markets around the world," said David Denison, president of the CPP Investment Board.

During the quarter, the fund acquired interests in Toronto-based customs brokerage firm Livingston International, market intelligence company Norwalk, Connecticut-based IMS Health and the Silverburn Shopping Centre in Glasgow, Scotland.

The board is managed independently from the Canada Pension Plan and invests surpluses in the fund to help pay the future pensions of 17 million Canadians when they retire. The pension plan administers monthly benefits paid to retired Canadians.