According to the last available Annual Report, British Columbia Investment Management Corporation (BCi) managed public pension assets worth C$153 billion.
BCi gained a five-year annualized return of 8.2% and paid its top five executives a total of $10.1 million in the year ended March 2019.
According to the most recent Annual Report, Washington State Investment Board managed pension assets worth C$171 billion.
The Commingled Trust Fund, WSIB’s largest fund worth more than C$130 billion, gained a five-year annualized return of 9.9%. The organization paid its top five executives a total of $2.6 million in the year ended December 2018.
The charts five years of changes in remuneration earned by each corporations five highest paid staff:
Salaries have risen steadily and generously for years at BCi. Current and future pension beneficiaries are treated as rubes with pockets to be picked. Most victims are unaware.
The amount paid BCi’s CEO increased 430% from 2007 to 2019. Inflations was 22%.
But others have done well too.
The highest paid executive at Washington State Investment Board, an agency that has outperformed BCi over time, was paid one-quarter of the remuneration earned by his BC counterpart, after adjusting US dollars to Canadian.
WSIB’s overhead are in roughly the same proportion.
This situation at BCi continues because oversight is ineffective and political directives to the company are unwelcome. Timid politicians do not want to be accused of messing with pension funds of working people.
If public criticism of BCi builds, corporate insiders will simply hire more spin doctors and conduct a few soothing sessions to reassure Trustees, most of whom are baffled by the complexities of multi-billion dollar pension funds.
One reader says this might be the favourite song played in the BCi executive dining room:
Categories: BC Investment