NS Pension's 2023-2024 report reveals impressive asset growth, high returns, and increased membership
Nova Scotia Pension Services Corporation (NS Pension) has published its 2023-2024 Annual Report.
According to Board co-chairs, Keiren Tompkins and John Rogers, the report highlights another successful year in managing the Public Service Superannuation Plan (PSSP) and the Teachers’ Pension Plan (TPP).
Tompkins and Rogers announced that at the fiscal year-end on March 31, NS Pension’s combined assets under management reached approximately $13.7bn, marking an increase of about $670m from the previous year.
Plan Performance
The PSSP reported a net return of 7.93 percent for the 2023-2024 fiscal year, exceeding the actuarial assumed rate of return of 5.75 percent but falling short of its 9.96 percent benchmark. It ranked in the top quartile among its Canadian peers for absolute returns over the biennium.
As of March 31, the PSSP was 103.8 percent funded, up from the previous year, with a surplus of $287m.
The TPP’s funded status rose to 78.1 percent by the end of its fiscal year on December 31, 2023, from 75.1 percent at the end of the previous fiscal year. It achieved a net return of 7.38 percent, below the 10.14 percent benchmark but above the actuarial assumed rate of return of 5.80 percent.
The TPP also performed strongly over the biennium, nearing top quartile placement among Canadian peers due to its diversified asset mix.
Plan Membership
Membership numbers for both the PSSP and the TPP showed growth. As of December 31, 2023, the TPP had 34,799 members, while the PSSP had 43,722 members as of March 31. The ratios of active members to pensioners improved for both plans, continuing a modest yet positive trend over recent years.
The PSSP membership growth was further supported by the introduction of the Private Sector Pension Plan Transfer Act, which allows private sector pension plans to transfer into the PSSP. This initiative aims to broaden PSSP participation and enhance the Plan’s financial stability.
Governance and Compliance
NS Pension remains committed to maintaining high standards of governance and regulatory compliance. The NS Pension Board has focused on strengthening internal controls and risk management processes to protect the interests of all plan members.
“Cybersecurity remains a top priority, with continued focus by both NS Pension staff and the Board,” stated Tompkins and Rogers.
Tompkins and Rogers also expressed their appreciation for the hard work of NS Pension staff in delivering high-quality service to plan members, preserving, and enhancing plan assets, and supporting trustees in their efforts to strengthen and improve the plans.
