Awesome Original - Custom PowerPoint Background ….ppt

1818 Society Annual MeetingPension Plan PerformanceOctober 11, 2006 Road Map Highlights 2005 SRP - Number of Participants SRP – Benefit Payments and Contributions Evolution of Strategic Asset Allocation SRP - Actual Asset Allocation as of December 31, 2005 Market Environment 2005 – Alternatives * *11 * Highlights 2005 Participants and Retiree Information Funded Status Contribution rates Strategic Asset Allocation Market Environment Plan Performance Assets increased by $1.1 billion to $12.4 billion Closed group liabilities increased by $0.6 billion to $13.5 billion. SRP gained 11.1%, outperforming the policy portfolio by 2.0%. Funded Status as of December 31, 2005 Closed Group funded ratio at 0.92 Closed Group funded ratio incl. PV of future staff contributions at 0.96 Bank contribution rate for FY07 set at 18.35% of net salaries Retirees are 56% of actives 12,303 6,669 11,114 Retirees in 1997 were 65% of actives Assets versus Liabilities 1996-2005 Note: The actuarial present value of plan liabilities is determined on the basis of actuarial assumptions and are discounted currently at a 3.5% real rate Plan Funded Status 1996 - 2005 Note: Funded ratio is Assets/Liabilities. Liabilities are determined on the basis of actuarial assumptions and are discounted currently at a 3.5% real rate SRP Contribution Rates for FY90 - FY07 Bank contributions were suspended from FY98 to FY02 Hedge Funds 9% Global Fixed Income 40% Private Equity 8% Real Estate 4% US Equities 21% Non-US Equities 18% Market Environment 2005 - Equities Demand from China and India kept commodity prices strong, benefiting Emerging Market countries. The Developed Markets were up more modestly. 11 11 Market Environment 2005 – Fixed Income In spite of the U.S. Fed tightening, Global Fixed Income markets were generally positive. As with in equities, Emerging Markets posted the strongest returns. 12 Strong results from equity-driven strategies were offset by a