OE News Special Edition July 2013

E
&
E
May 7, 2013
ELLEMENT & ELLEMENT
CONSULTING ACTUARIES
The Trustees of the
Operating Engineers Local 115 Pension Plan
C/o Lionel Railton, Administrator
402 - 4333 Ledger Avenue
Burnaby, BC
V5G 4G9
Dear Trustees:
Re: Market Conditions and Current Investment Strategy
Airport Executive Centre, 503 - 1780 Wellington Avenue, Winnipeg, Manitoba. R3H 1B3
Telephone: (204) 954-7300 Toll-Free: (888) 840-1045 Fax: (204) 954-7310
Website: www.ellement.ca E-mail: contact.us@ellement.ca
“benefit security at
a reasonable cost”
I have read the letter dated April 25, 2013 prepared by Strategic Income Security Services Ltd.
(SISS) and agree with its contents.
In particular, we agree that while long term interest rates may rise in the near future such
increases will be limited. The professional advisors agree that it is more prudent and in the best
interests of the OEPP to not attempt to time such movements via changes in the current
investment strategy.
In any event the current investment strategy adopted by the Board of Trustees has positioned
the Plan’s assets such that it minimizes the risk of adverse financial consequences in both down
and up interest environments.
We agree with SISS that there is no need to change the strategy at this time but continued
monitoring of the markets will take place to determine if changes in the current investment
structure should be contemplated.
Yours truly,
ELLEMENT & ELLEMENT
Louis Ellement
Actuary
cc: Mr. Shawn Hatch, OEPP
Mr. Jim Cole, PH&N
Mr. David Lee, SISS
COMFORT LTR MAY 2013
Special Edition Summer 2013 News 5