April 25, 2002

The CPP Investment Board will launch a new web site on May 1 as the cornerstone of its policy of full and timely disclosure, including quarterly information on assets under management and the identity of firms retained to implement its investment strategies.

The disclosure policy recently approved by the board of directors states that Canadians have the right to know why, how and where we invest their Canada Pension Plan money, who makes the investment decisions, what assets are owned on their behalf and how the investments are performing. (The full policy is attached).

In addition to providing extensive background on the origins of the Canada Pension Plan and the CPP Investment Board, the new web site at www.cppib.ca will disclose:

•    All public equities owned and their market value, updated quarterly

•    A summary of private equity holdings, updated quarterly

•    An estimate of the market value of government bonds and short-term securities held by the Canada Pension Plan, updated quarterly

•    Tabulated historical investment results, kept current every three months

•    A detailed discussion of current and pending investment strategies

•    Details on investment firms and other suppliers retained to implement investment and operating strategies

•    The process and criteria for business opportunities by outside firms

•    Board-approved policies, including those dealing with governance, investment, codes of conduct, conflicts of interest, personal trading for directors, officers and employees, and procurement

•    Biographies on all directors and managers

The directors are strong advocates of proactive disclosure of investment information, commented Gail Cook-Bennett, Chairperson of the CPP Investment Board. The CPP Investment Board wants to help Canadians to understand and assess how our efforts are contributing to the long-term financial strength of the Canada Pension Plan.

There is always some risk in disclosure about investments, commented President and Chief Executive Officer John MacNaughton. However, there is bigger risk in not helping people to understand how you are investing their money. Obviously we will not disclose information that tips the market on proposed investments. Nor will we break the confidence of third parties. But that still leaves a great deal of useful information we can share. Putting that information on the web site makes sense because all interested Canadians can access it from their home, workplace, local library or other community centres.

The professionals who make CPP Investment Board investment decisions report to a board of directors appointed by the federal finance minister in consultation with provincial finance ministers. Directors are selected for their business, financial and investment expertise.

The CPP Investment Board is accountable to Parliament through the federal finance minister; to the federal and provincial governments, who are responsible for the Canada Pension Plan, through quarterly financial reports; and to the public through the annual report and public meetings that must be held every two years in each province that participates in the CPP.

The CPP Investment Board is a crown corporation created by an Act of Parliament in December 1997. It invests funds not needed by the Canada Pension Plan to pay current pensions. Cash flows are currently invested only in equities to balance the bond portfolio owned by the Canada Pension Plan. By increasing the long-term value of funds, the CPP Investment Board will help the Plan to keep its pension promise to Canadians. Located in Toronto, the CPP Investment Board is governed and managed independently of the Canada Pension Plan and at arms length from governments.   

For further information contact:

John MacNaughton 
President and Chief Executive Officer
 416-868-4077             

April 25, 2002

The CPP Investment Board will launch a new web site on May 1 as the cornerstone of its policy of full and timely disclosure, including quarterly information on assets under management and the identity of firms retained to implement its investment strategies.

The disclosure policy recently approved by the board of directors states that Canadians have the right to know why, how and where we invest their Canada Pension Plan money, who makes the investment decisions, what assets are owned on their behalf and how the investments are performing. (The full policy is attached).

In addition to providing extensive background on the origins of the Canada Pension Plan and the CPP Investment Board, the new web site at www.cppib.ca will disclose:

•    All public equities owned and their market value, updated quarterly

•    A summary of private equity holdings, updated quarterly

•    An estimate of the market value of government bonds and short-term securities held by the Canada Pension Plan, updated quarterly

•    Tabulated historical investment results, kept current every three months

•    A detailed discussion of current and pending investment strategies

•    Details on investment firms and other suppliers retained to implement investment and operating strategies

•    The process and criteria for business opportunities by outside firms

•    Board-approved policies, including those dealing with governance, investment, codes of conduct, conflicts of interest, personal trading for directors, officers and employees, and procurement

•    Biographies on all directors and managers

The directors are strong advocates of proactive disclosure of investment information, commented Gail Cook-Bennett, Chairperson of the CPP Investment Board. The CPP Investment Board wants to help Canadians to understand and assess how our efforts are contributing to the long-term financial strength of the Canada Pension Plan.

There is always some risk in disclosure about investments, commented President and Chief Executive Officer John MacNaughton. However, there is bigger risk in not helping people to understand how you are investing their money. Obviously we will not disclose information that tips the market on proposed investments. Nor will we break the confidence of third parties. But that still leaves a great deal of useful information we can share. Putting that information on the web site makes sense because all interested Canadians can access it from their home, workplace, local library or other community centres.

The professionals who make CPP Investment Board investment decisions report to a board of directors appointed by the federal finance minister in consultation with provincial finance ministers. Directors are selected for their business, financial and investment expertise.

The CPP Investment Board is accountable to Parliament through the federal finance minister; to the federal and provincial governments, who are responsible for the Canada Pension Plan, through quarterly financial reports; and to the public through the annual report and public meetings that must be held every two years in each province that participates in the CPP.

The CPP Investment Board is a crown corporation created by an Act of Parliament in December 1997. It invests funds not needed by the Canada Pension Plan to pay current pensions. Cash flows are currently invested only in equities to balance the bond portfolio owned by the Canada Pension Plan. By increasing the long-term value of funds, the CPP Investment Board will help the Plan to keep its pension promise to Canadians. Located in Toronto, the CPP Investment Board is governed and managed independently of the Canada Pension Plan and at arms length from governments.   

For further information contact:

John MacNaughton 
President and Chief Executive Officer
 416-868-4077