Photo: Jacques Nadeau Le Devoir
On Thursday, the president and chief executive officer, Michael Sabia, has stressed the vigilance of the Fund, saying it will continue ” to focus on assets resilient “.
The Caisse de dépôt et placement du Québec (CDPQ) has reached an efficiency of 3.3% for the first six months of 2018. The overall performance of the Fund is lesser of 0.2 of a percentage point relative to its reference portfolio, which is 3.5 %.
The Fund has indicated that its average annual return averaged over five years amounted to 9.9 %, which represents a higher level of 0.9 percentage point compared to the reference portfolio and the net investment results 111.3 billion.
These results include the net assets of the Fund at 308,3 billion, according to the press release published on Thursday. For the year 2017, the CDPQ had achieved a return of 9.3 %, compared to 7.6% in 2016.
The net assets of the Caisse de dépôt et placement du Québec
On Thursday, the president and chief executive officer, Michael Sabia, has stressed the vigilance of the Fund, saying it will continue ” to focus on assets resilient “, while underscoring an increasingly complex market environment in the first half of 2018.
“The tightening of liquidity conditions in the markets and protectionist measures in the u.s. are fueling increased volatility since January,” said Mr. Sabia by press release.
“The long sequence bullish in global markets slows down. While the standardization process of the u.s. federal Reserve will be strengthened and that the rates are increasing gradually, the tone changes on the markets. These no longer have the active support which they have become accustomed to since the financial crisis and must cope with the real challenges posed by the geopolitical context — the escalation of trade tensions in the head. “
In the conference call, Mr. Sabia said that ” the beautiful days of liquidity were ended “, while saying that the central banks were acting for ” good reason “.
The president and chief executive officer, has also said believe that the economic growth of 4 % in the United States was not ” sustainable “, not based on economic fundamentals (” fundamental “), and that the caution is warranted.
“The u.s. market has shown some resilience, but if we look carefully, apart from a few sub-sectors, it is the result of a few technology stocks. Let’s take Facebook and Twitter : we have seen that these are performance fragile. We continue to ensure the resilience and robustness of our portfolio in the long term, ” he argued.
Regarding these “assets to be resilient,” Mr. Sabia has referred to the infrastructure, transportation — speaking of the passage of the “very impressive results” of Bombardier, also unveiled Thursday, the real estate and the portfolio of world-class quality.
About trade disputes with the United States and discussions on the free trade Agreement of north america, Mr. Sabia has again affirmed that he is “very comfortable” with the approach that “closes” the government of Canada. “The government of Canada remains firm, what is the right thing to do, according to me, compared to several requests that come from Washington. It is important to keep the cap… This is not a crisis, this is not a panic. “