LAPP’s financial position continues to improve and our progress is detailed each year in our audited financial statements, which are published as part of our Annual Report each July. The most recent statements available, as signed by the Auditor General of Alberta, are for the year ending December 31, 2018. You can read detailed information about last year’s investment performance in the 2018 Annual Report.
LAPP Corporation monitors investment performance of the Plan’s assets. The Plan’s assets are managed by Alberta Investment Management Corporation (AIMCo). By legislation, AIMCo is designated by the Government of Alberta to be the sole provider of investment management services for the Plan.
LAPP’s Statement of Investment Policies and Procedures (SIPP) specifies that AIMCo is expected to deliver a return of 0.85% (net of fees) above the return generated by the Plan’s policy benchmark asset mix over a four-year, annualized time horizon.
As at December 31, 2019, AIMCo generated a four-year, annualized return of 7.40% for LAPP. As at the same date, LAPP’s policy benchmark asset mix generated a 7.02% return over the same four-year, annualized time horizon. Therefore, the value added by AIMCo for the time period was 0.38%, which is short of LAPP’s SIPP-specified value added expectation of 0.85%. As measured by quarter ends, AIMCo has been short of LAPP’s SIPP-specified value added expectations for 46 consecutive quarters, or 11 years and 6 months.
Detailed 2019 quarterly investment results of the Plan are published below.
Visit the Funding & Investment page to see previous quarters' investment reports.