Risk Governance and Risk Appetite
Value-at-Risk: A Dissenting Opinion
Holistic Risk Budgeting
Theory of Risk Budgeting
Risk Budgeting for Active Investment Managers
Pension Funds and Incentive Compensation: A Based on the Ontario Teachers’ Experience
Risk Budgeting for Banks
Risk Budgeting in the Evolution of Insurance Company Risk Management
Hedge-Fund Risk Budgeting
Private Equity Risk Budgeting
ABOUT THE ONTARIO TEACHERS’ PENSION PLAN
The Ontario Teachers’ Pension Plan (OTPP) is Canada’s largest single-profession pension plan. It was created in 1917 and until 1990 was administered by the Teachers’ Superannuation Commission of Ontario. At that time, the pension fund was nearly 100% invested in non-marketable Province of Ontario debentures.
The Ontario government established the OTPP board as an independent organisation in 1990. Together, the board members and management have three key responsibilities: (1) investing the plan’s assets in financial markets to fund the plan’s liabilities; (2) administering the pension plan and baying benefits promised to members and their survivors (pensions are defined by a formula and are supported by contributions from teachers and the Ontario government, as well as investment income from the plan’s diversified global porfolio); and (3) reporting on the plans’ funding status.
As of December 31, 2011, the OTPP managed $114.8 billion in net assets and administered pension services to 300,000 active and retired elementary and secondary school teachers and their survivors.
The OTPP is a defined-benefit arrangement, meaning it pays pensions