New Brunswick Investment Management Corporation

New Brunswick Investment Management Corporation releases 2008-09 annual report (09/08/19)

NB 1163

Aug. 19, 2009

FREDERICTON (CNB) - The annual report for the fiscal year ended March 31, 2009, has been released by the New Brunswick Investment Management Corporation (NBIMC).

The report contains the results of NBIMC's investment management activity for the three funds under its trusteeship: the Public Service Superannuation Fund, the Teachers' Pension Fund and the Judges' Superannuation Fund.

"Our annual report provides a detailed discussion of our investment operations over the past fiscal year," said John Sinclair, NBIMC president and CEO. "As we noted on June 1, the severity of the global financial markets crisis experienced last year significantly affected our returns. We believe, however, that Canadian public-sector pension plans have survived this downturn better than many other types of investors by benefiting from a long-term investment horizon, disciplined investment process and limited annual cash flow requirements.

"We have been encouraged by the recent signs of stabilization in the financial markets, and while we expect investment challenges to continue during the current fiscal year, we look forward to continuing to deliver long-term investment value to the pension funds as the global economy improves."

As previously announced, rates of return for the fiscal year period were -18.43 per cent for the Public Service Superannuation Fund, -18.24 per cent for the Teachers' Pension Fund, and -18.46 per cent for the Judges' Superannuation Fund. Longer-term, four-year annualized returns were 0.92, 0.87 and 1.05 per cent, respectively, while NBIMC's overall annualized investment return since the inception of the corporation stands at 5.53 per cent. The difference in returns realized by each of the three client funds results from the different proportions of equity and fixed income assets held by each fund.

The report, including the annual financial statements, is available online at www.nbimc.com.

The NBIMC was formed in 1996 to operate at arm's length from government to manage the pension assets of more than 49,000 plan members, including teachers, judges and public servants.

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MEDIA CONTACT: John A. Sinclair, president and chief executive officer, New Brunswick Investment Management Corporation, 506-444-5800.

09/08/19