The Supplemental Pension Plans Act requires retirement committees to adopt a written investment policy that takes into account the pension plan's features and commitments.
To that effect, the Desjardins Group Retirement Committee (DGRC) adopted an asset investment policy with investment objectives, strategies and guidelines, as well as monitoring procedures. Each year, the investment policy, including the target allocation for each asset class, is revised.
Assets are divided into 2 portfolios: a matching portfolio that minimizes the variation in the gap between Desjardins Group Pension Plan (DGPP) assets and liabilities, and a performance portfolio that aims to generate sufficient returns to pay member pensions. These portfolios consist of several asset classes: fixed income securities, public equity, real estate, infrastructure, private equity and specialty finance securities. For each of these classes, it is essential to ensure geographic, sector and strategic diversification.