REPORT OF THE

SUPERINTENDENT OF PENSIONS

ON THE ADMINISTRATION OF THE

PENSION BENEFITS ACT

FOR THE YEAR ENDING

MARCH 31, 2015

Finance and Treasury Board

November 3, 2015

The Honourable Randy Delorey

Minister of Finance and Treasury Board

1723 Hollis Street

7th Floor

Halifax, NS B3J 1V9

Dear Minister:

Pursuant to the requirements of Section 120 of the Pension Benefits Act, I have the honour to

submit herewith the Annual Report of the Pension Regulation Division for the fiscal year ended

March 31, 2015.

Respectfully submitted,

_______________________

Nancy MacNeill Smith

Superintendent of Pensions

Pension Regulation Division

PO Box 2531

Halifax, Nova Scotia

B3J 3N5

1

THIRTY-EIGHTH ANNUAL REPORT ON THE

ADMINISTRATION OF THE PENSION BENEFITS ACT

FOR THE PERIOD ENDED MARCH 31, 2015

INTRODUCTION

In accordance with Section 120 of the Pension Benefits Act (S.N.S. 2011, c. 41), the

Superintendent of Pensions is required to report annually to the Minister. This Report covers the

affairs and transactions of the fiscal year 2014-2015.

The Pension Benefits Act governs employer-sponsored pension plans established in respect of

Nova Scotia employees. It does not apply to employees engaged in work that is subject to federal

jurisdiction, nor does it apply to the pension plans established for provincial public servants,

teachers, judges, members of the legislature, or Sydney Steel Corporation.

The main objective of the Pension Benefits Act is to oversee administration of the benefits

promised to members under pension plans. This is accomplished through the establishment of

minimum funding standards and minimum benefit standards in respect of eligibility requirements,

vesting and locking-in, employer contributions, transfer rights, spousal benefits, prohibitions

against sex discrimination and disclosure of information.

The NewPage Port Hawkesbury Pension Plans Act was enacted in May, 2012. It gives the

administrator of the four NewPage Port Hawkesbury pension plans permission to extend the wind

up of the plans to July 1, 2023. Under the regulations established for the Act, members, including

retired members, elected to participate in either an immediate wind-up or an extended wind-up of

their pension plan. The four plans are subject to the NewPage Port Hawkesbury Plans Act and

the Pension Benefits Act during the extended wind-up period.

The Superintendent of Pensions, Pension Regulation Division, is responsible for the

administration of the Pension Benefits Act and the NewPage Port Hawkesbury Pension Plans

Act.

PENSION BENEFITS STANDARDS LEGISLATION

In addition to Nova Scotia, pension benefits standards legislation has been enacted by the federal

government and all other provincial governments except for Prince Edward Island.

The representatives of those authorities that have pension legislation meet on a continuing basis

to discuss changes in the pension field and means of dealing with problem areas. Representatives

2

of the various authorities are members of the Canadian Association of Pension Supervisory

Authorities (CAPSA). CAPSA’s mission is to facilitate an efficient and effective pension regulatory

system in Canada.

During the year under review, CAPSA met in Montreal in April 2014, in Fredericton in September

2014 and in Toronto in March 2015. CAPSA members also participated in two conference call

meetings held in June 2014 and January 2015. Various sub-committees of CAPSA met during

the year. A summary of CAPSA’s activities is as follows:

CAPSA members approved a plan for consultation with industry experts on pension plan

governance, in support of its review of CAPSA Guideline No. 4 – Pension Plan

Governance and the Self-Assessment Questionnaire. The review is ongoing.

CAPSA members endorsed recommendations of the Strategic Planning Committee on

CAPSA’s relations with external organizations and held the first meeting with industry

stakeholders in the spring of 2015. Key issues and trends in the pensions sector were

topics of discussion.

CAPSA became a member of the International Organization of Pension Supervisors

(IOPS) effective January 2015. IOPS is an independent international body of private

pension supervisory authorities which aims to improve the quality and effectiveness of

supervisory practices throughout the world by promoting international cooperation and

standards setting.

CAPSA members met with representatives of the Pensions Regulator of the United

Kingdom to discuss issues of common interest. CAPSA also met with representatives of

the Bank of Canada to discuss their oversight of the Canadian Derivatives Clearing

Corporation. CAPSA also met with Sun Life to review recent developments in the pension

industry in pension plan de-risking through longevity based insurance and annuity

transactions.

AGREEMENTS WITH OTHER AUTHORITIES

Agreements with the Government of Canada, and other provinces having pension legislation,

provide for the reciprocal registration, audit and inspection of pension plans. Under these

agreements, a pension plan subject to the legislation of more than one authority is supervised by

the jurisdiction which has the greatest number of plan members. The regulatory body in the

jurisdiction of registration applies the rules of other jurisdictions, where applicable.

A new reciprocal agreement to replace the original agreement which has been in place since 1968

has been finalized. Ontario and Quebec implemented the Agreement effective July 1, 2011.

Before proceeding with the addition of new signatories CAPSA is reviewing the agreement to

address the implications and make recommendations resulting from the removal of solvency

funding requirements by certain jurisdictions.

3

MEMORANDA OF UNDERSTANDING

Statistics Canada and the Province have a Memorandum of Understanding respecting the

information about employer pension plans under the custody and control of the Superintendent

of Pensions. Under that Memorandum, information compiled by the Superintendent is submitted

to Statistics Canada for the development of integrated social statistics for Canada.

The Province also has a Memorandum of Understanding with the Canada Revenue Agency

(CRA) to harmonize the exchange of data and information respecting employer pension plans

under the control of the Superintendent. Data from a joint Annual Information Return on pension

plans is collected by the Superintendent and shared with CRA.

LEGISLATIVE/REGULATORY REVIEW

September 12, 2014 – Order in Council 2014-398 amended the Pension Benefits Regulations in

respect of unlocking pensions for reasons of financial hardship. Unlocking for rental arrears where

there is a threat of eviction was added as a criteria for unlocking. Additionally, the income

threshold for unlocking for low income was increased from 40% of the Year’s Maximum

Pensionable Earnings (YMPE) under the Canada Pension Plan to 66 2/3% of the YMPE. The

YMPE in 2015 is $53,600. The amount that could be unlocked for the reason of low income was

also increased, from 40% of the YMPE to 50% of the YMPE.

March 31, 2015 – Order in Council 2015-96 increased fees under the Pension Benefits

Regulations by 3%.

REVENUE AND EXPENDITURE FOR THE YEAR ENDED MARCH 31, 2015

Fees are payable by pension plan administrators for the registration of pension plans, for annual

information returns filed for each plan and for other incidental charges. Individuals applying for

pension fund unlocking are required to pay a fee of $113.25 for each application that is approved.

Details regarding the type and calculation of other fees payable can be found in the Pension

Benefit Fees Regulations made by the Minister of Finance.

The revenue derived from fees amounted to $370,634.

Direct operating costs for the Division (salaries and administration expenses) for the fiscal year

2014/2015 were $358,992. Note that overhead costs (primarily building occupancy, infrastructure

and legal costs) are not included in direct operating costs.

4

OPERATION OF THE DIVISION

As at March 31, 2015, the Division was responsible for the supervision of 508 pension plans.

Thirty-one applications for registration were received during the fiscal year. Ten of the filed plans

were in the process of being wound up.

In the year, 117 amendments to pension plans were approved, 21 new plans were registered, 28

new or amended Life Income Funds were approved, and 17 fund documents were approved.

SUMMARY OF PENSION PLANS APPROVED,

TRANSFERRED, OR TERMINATED TO MARCH 31, 2015

Active Plans On File as at March 31, 2014

501

New Plans Filed

31

Plans Terminated

-24

Plans Transferred To Other Jurisdictions

0

Active Plans On File as at March 31, 2015 508

Deduct: Plans In Process of Registration

-20

Registered Plans

488

SUMMARY OF PERMITS/APPROVALS OF DOCUMENTS RECEIVED TO MARCH 31, 2015

Registration of Amendment to Plan 117

New Pension Plan Registrations 21

LIF Registrations 28

Approvals only (Policy, Trust Agreements,

other documents not requiring registration) 17

5

The following table shows that during the period under review, 24 pension plans were terminated

covering 1,086 employees. Eighty-nine (89) of these employees were in plans that were replaced

by a group RRSP.

TERMINATED PENSION PLANS

Reason for Termination

# of

Plans

# of Active

Members No members left 7 0 No reason given 7 22

Replaced by another plan 1 0

Merged with another plan 1 1

Application withdrawn 1 0 Replaced with group RRSP/annuity 3 89 Company dissolved or sold 4 974

TOTAL 24 1,086

There were no partial plan wind ups submitted during the 2014-2015 fiscal year.

CONTRIBUTIONS

In accordance with Section 27(1) of the Pension Benefits Act, the administrator of a pension plan

registered in Nova Scotia is required to file an Annual Information Return (AIR) outlining the

contributions made to the pension plan and changes in plan membership. The AIR must be filed

within 6 months following the plan year end.

Contributions and membership data from filed AIRs are compiled and forwarded to Statistics

Canada for inclusion in its annual report on pension plans in Canada. Information from the AIRs

is also forwarded to Canada Revenue Agency.

Based on the AIRs filed with the Division, total contributions for 2014 were $802.7 million, up from

from $713.2 million in 2014. This represents a 12.5% increase in contributions.

6

The employee and employer contributions to pension plans under supervision for the year ending

December 31, 2014, were as follows:

2014 CONTRIBUTIONS

Employee Required Contributions $274,171,135

Employee Voluntary Contributions $22,439,028

TOTAL EMPLOYEE CONTRIBUTIONS $296,610,163

Required Employer Current Service Contributions $381,278,712

Employer Contributions made from Surplus -$505,189

ACTUAL EMPLOYER CURRENT SERVICE CONTRIBUTIONS $380,773,523

Employer Special Payments $125,352,117

TOTAL EMPLOYER CONTRIBUTIONS $506,125,640

TOTAL CONTRIBUTIONS $802,735,803

In 2014, employees contributed 37% of total contributions and employers contributed 63% of total

contributions. Employer contributions made from surplus were $505,189, up from $426,515

reported for 2013. Employer special payments were $125.35 million, up from $70.3 million

reported for 2013. An analysis of the special payments made by employers, and the use of

surplus to fund benefits, is as follows:

7

SECURITY OF RETIREMENT INCOME

The measure used to determine the security of retirement income for members of pension plans

is that of the solvency of the plan.

Defined contribution pension plans are solvent by the very nature of the plans. However, the risk

to defined contribution plans is that of non-remittance of contributions to the pension fund.

Accordingly, the division followed up on 73 notices of non-remittance issued by the fund holder in

the fiscal year, within an average of 13 business days, to ensure the overdue funds were remitted.

The solvency of defined benefit plans is measured through solvency valuations performed by an

actuary. Pension plan solvency refers to a plan’s ability to meet its total obligations towards all

plan members, including pensioners, assuming the plan is being wound up immediately. In

solvency valuations, there is no projection of salaries for final average pension benefits, and

indexation of benefits provided under a plan’s provisions do not need to be included. As well, the

right to grow in to unreduced early retirement benefits, provided under Section 79 of the Act, can

be excluded from solvency calculations.

If defined benefit plans are not fully solvent, there must be a strategy in place to achieve full

solvency funding within 5 years. Note that under the Income Tax Act (Canada), individual pension

plans for shareholders are not permitted to fund solvency deficiencies.

70.8956.246

42.20858.795

90.431

133.8 133.756

279.87

70.3

125.35

0

50

100

150

200

250

300

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Mill

ion

s

Funding Analysis

Special Payments Surplus Use

8

Numerous measures for providing relief for solvency funding have been granted. In 2009, all plans

with solvency deficiencies identified in a valuation report prepared between December 30, 2008

and January 2, 2011 could be amortized over 10 years instead of 5 years if fewer than 1/3 of

active, deferred and retired members objected to the extension of solvency funding.

In 2012, specified multi-employer pension plans, universities, school boards and the Atlantic

Police Association were fully exempted from the requirement to fund solvency deficiencies.

Directions Council for Community Living Pension Plan was exempted from solvency funding for

5 years.

In 2013, for any plan with solvency deficiencies arising before January 2, 2014, the deficiency can

be amortized over a period of 15 years, if no more than 1/3 of active, deferred and retired

members object to the extension to solvency funding.

These regulatory changes will result in a delay in improvement of the solvency position of these

plans.

As at March 31, 2015, 9 specified multi-employer pension plans, 16 municipality pension plans,

1 police association pension plan, 6 university pension plans and 5 school board pension plans

were permanently exempted from solvency funding. Solvency funding exemption has been

provided for 1 plan until 2017. There were 19 private plans that had elected to take advantage of

the solvency funding relief provided.

The four NewPage pension plans are in extended wind-up and no further contributions are being

made to those plans. The four plans cover 938 members, and had a weighted solvency ratio of

0.64, based on the information provided to March 31, 2015. The goal is to achieve an

improvement of 8% in the funded status of the plan by July 1, 2023. If the improvement is reached

before that date, an earlier wind-up will be requested by the administrator. The improvement from

September 28, 2012 (date of wind-up) to September 28, 2014 (date of most recent report) has

been 1.2%.

The following table shows the change in the percentage of defined benefit pension plan

members and combination defined benefit/defined contribution pension plan (combination plan)

members in fully solvent plans from March 31, 2006 to March 31, 2015.

Members include active members, deferred members and pensioners in this section of

the report.

Solvency assets are determined as the market value of assets less wind-up expenses.

No adjustments are made for smoothing of assets or for scheduled special payments.

The NewPage pension plans are excluded from this analysis.

9

The dramatic changes for the years between March 31, 2012 and March 31, 2015 relate to one

very large plan that represented 38% of defined benefit and combination plan members in 2012.

The breakdown of membership in defined benefit and combination pension plans as at March

31, 2015 by solvency of the plans follows. In total, 81.2% of members are in pension plans that

are 80% solvent or better.

• 60.3% of members are in 32 plans that are 100% or more solvent,

• 4.6% are in 35 plans that are between 90% and 99% solvent,

• 16.3% are in 27 plans that are between 80% and 89% solvent,

• 17.8% are in 34 plans that are between 70% and 79% solvent, and

• 1% are in 15 plans that are less than 70% solvent.

As of March 31, 2014, 67.4% of members were in plans that were 80% solvent or better. The

statistics for March 31, 2014 were as follows:

• 1.6% of members were in 24 plans that are 100% or more solvent,

• 50.7% were in 29 plans that are between 90% and 99% solvent,

• 15.1% were in 31 plans that are between 80% and 89% solvent,

• 16.5% were in 35 plans that are between 70% and 79% solvent, and

• 16.1% were in 29 plans that are less than 70% solvent.

53 53

6361

51

4340

1.7 1.6

60.3

0

20

40

60

80

2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

Per

cen

t o

f M

emb

ers

Percent of Members in Fully Solvent Defined Benefit Plans

10

SOLVENCY OF PENSION PLANS

Note: The size of the bubble is reflective of the number of members in pension plans at a

particular solvency funding level.

The above chart illustrates the solvency position for members in pension plans registered in

Nova Scotia.

The solvency of pension plans registered in Nova Scotia, as shown on the following two charts,

shows the funded status of pension plans in accordance with the category of solvency funding

that applies. Specifics on those plans are as follows:

0.5

0.6

0.7

0.8

0.9

1

1.1

1.2

1.3

1.4

1.5

11

Number of Plans

Number of Members

Weighted Solvency Ratio

SMEPPs (specified multi-employer plans) 9 15,372 .95 Municipalities and Police Association 17 11,910 .75 School Boards 5 2,936 .84 Universities 6 5,395 .83 Others (extension) 20 5,051 .83 No extension or relief 33 57,294 1.00 Individual Pension Plans (Shareholders) 53 70 .90 Total 148 98,028

The change from the weighted solvency ratios from the previous years can be noted in the

following chart.

0

20

40

60

80

100

120

Pla

n S

olv

ency

Weighted Solvency Ratio

2013

2014

2015

12

Note that in this chart the size of the bubble is reflective of the number of members in pension

plans at a particular solvency funding level.

0.6

0.7

0.8

0.9

1

1.1

Pla

n S

olv

en

cyFunding Status by Category of Plan

SMEPPs Municipal Universities School Boards Others No Extension

IPP data not shown as IPP plan membership is insignificant.

13

FINANCIAL HARDSHIP UNLOCKING

The Pension Benefits Act permits unlocking of pension benefits transferred to a Locked-in

Retirement Arrangement or a Life Income Fund for reasons of financial hardship. The unlocking

criteria are for:

i. mortgage arrears where the owner or owner’s spouse is facing

foreclosure – the maximum withdrawn cannot exceed the amount in

arrears plus enforcement costs;

ii. rental arrears where the owner or the owner’s spouse is facing eviction

from the rental premises- the maximum withdrawn cannot exceed the

amount in arrears plus enforcement costs to reinstate tenancy;

iii. medical expenses not paid under another program – maximum withdrawn

cannot exceed medical expenses incurred in the previous 12 months plus

an amount to pay medical expenses to be incurred in the next 12 months;

iv. income below $35,733 (for 2015) – maximum withdrawn cannot exceed

$26,800 less 75% of anticipated income for the next 12 months.

For each circumstance, only one application may be approved per 12-month period. Unlocking

for mortgage arrears and rental arrears may only be approved once in a lifetime.

The following statistics relate to the unlocking program as at March 31, 2015.

Funds Unlocked in the Year Ending March 31, 2015

Reason of Financial

Hardship

Number of

Applications

Received

Number of

Applications

Approved

Dollar Value

of Funds

Released

Average

Release per

Successful

Application

Rental Arrears 14 12 $41,869 $3,489 Mortgage Foreclosure 65 23 $122,645 $5,332 Medical Expenses 40 18 $129,749 $7,208 Low Income 573 362 $3,852,782 $10,643

Total 692 415 $4,147,045 $9,993

14

Total Funds Unlocked since July 1, 2007 (program inception)

Reason of Financial

Hardship

Number of

Applications

Received

Number of

Applications

Approved

Dollar Value

of Funds

Released

Average

Release per

Successful

Application

Rental Arrears 14 12 $41,869 $3,489

Mortgage Foreclosure

569 258 $1,365,517 $5,293

Medical Expenses

255 127 $824,244 $6,490

Low Income

3,575 2,212 $20,767,518 $9,389

Total

4,413 2,609 $22,999,148

$8,815

The following graph illustrates the number of financial hardship applications received per month

over the last two fiscal years.

66 91 78 81 76 77 65

44 34 40 33 30 27 40

394

513 491 503453

549 573

14

0

100

200

300

400

500

600

700

800

2009 2010 2011 2012 2013 2014 2015

Number of Applications Received Under the Financial Hardship Program

Fiscal Years Ending March 31

Mortgage Foreclosure Medical Expenses Low Income Rental Arrears

15

The graph shows the status of applications received per reason during 2014/2015. Incomplete

means that a letter requesting further information was sent to an applicant, but no response was

received.

In total, 692 applications were received, 415 were approved, 187 denied, and 90 were

incomplete.

0

10

20

30

40

50

60

70

80

Apr May June July Aug Sept Oct Nov Dec Jan Feb Mar

Ap

plic

atio

ns

Financial Hardship Applications Received by Month

2013-2014 2014-2015

12 23 18

362

2

4222

135

0 8 6

76

0

50

100

150

200

250

300

350

400

Rental Arrears Mortgage Foreclosure Medical Expenses Low Income

Nu

mb

er

of

Ap

plic

ants

Status of Financial Hardship Applications Received

Approved Denied Incomplete

16

Reasons for denial of applications include:

Funds not under Nova Scotia jurisdiction;

Funds still in a registered pension plan;

Applicant’s arrears are on a second mortgage with no threat of

foreclosure/eviction;

Rental property is not primary residence and/or there is no threat of

eviction if rent is not paid;

Earnings are too high to qualify for low income criterion.

17

APPENDIX A

STATISTICAL INFORMATION

The information provided in this appendix is based on statistical information obtained from

Statistics Canada’s database on pension plans in Canada as at January 1, 2014. As of this date,

107,042 members participated in 440 pension plans regulated by the Division. Note that for this

Appendix A, members are employed members.

TYPES OF PLANS

There are two main types of pension plans: a defined contribution plan or a defined benefit plan.

Under a defined contribution plan, contributions required by the employer and/or employees are

clearly defined. The resulting pension benefit for each employee is whatever can be provided or

purchased by the accumulated contributions and investment earnings.

A defined benefit plan contains a specific formula as to the amount of pension each member is to

receive. Effectively, the employer/administrator guarantees to provide this level of benefits and

it is necessary for an actuary to estimate periodically how large the fund should be and how much

should be contributed to ensure adequate funding of the benefits.

There were 33,755 Nova Scotia members participating in defined contribution plans, 124,174

were in defined benefit plans and 15,348 were in other types of composite/combination plans

which have both defined benefit and defined contribution characteristics.

Membership in pension plans other than defined benefit and defined contribution plans is

insignificant and has not been included in the above chart. Participation in defined contribution

0

30,000

60,000

90,000

120,000

150,000

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Nova Scotia Membership in Pension Plans

Defined Contribution Defined Benefit

18

and defined benefit plans has decreased between 2013 and 2014 while participation in

combination plans has increased.

As noted in the above chart, the number of defined benefit pension plans across Canada with

Nova Scotia members declined 43% between 2005 and 2014 to 391 plans. The number of

defined contribution plans with Nova Scotia members increased by 1.4% to 729 plans over the

same period.

0

100

200

300

400

500

600

700

800

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Plans with Nova Scotia Members

Composite/Combination Defined Benefit

0

50

100

150

200

250

300

350

400

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Plans Registered in Nova Scotia

Composite/Conbination Defined Benefit Defined Contribution

19

Reflecting the national trend, the number of defined contribution pension plans registered with

Nova Scotia increased slightly by 0.6% between 2005 and 2014 to 324 plans. Defined benefit

pension plans decreased by 28% from 2005 to 2014 to 110 plans. These plans were primarily for

shareholders/owners of companies.

JURISDICTION OF PLAN MEMBERSHIP AND MEMBERSHIP COVERAGE

There were 1,327 pension plans in all jurisdictions covering 173,277 Nova Scotia employees.

The Division supervised 440 plans covering 107,042 members; 22,553 of these members were

employed in other provinces.

In the following chart, FE refers to plans of employers subject to federal jurisdiction such as

interprovincial transportation and communication. NR means plans that are not registered like

the provincial plans for Civil Servants, Teachers, Judges, Members of the Legislature, and

employees of Sydney Steel, as well as federal plans for the Canadian Forces, the RCMP, the

Federal Public Service and the Members of Parliament.

As shown in the two following charts, participation by Nova Scotians in pension plans has not

varied significantly since 2005. Currently in Nova Scotia, 34.4% of the total labour force and

40.9% of employed paid workers participate in pension plans. These numbers for Canada as a

whole are 32.2% and 37.9% respectively. Note that with respect to labour force coverage, pension

plan membership is potentially available to paid workers only; self-employed owners of

unincorporated businesses, unpaid family workers and the unemployed are not eligible for

membership.

84,489

1,611 427 0 1,351

17,663

273 53 1,091 338

14,691

51,290

0

20,000

40,000

60,000

80,000

100,000

NS NB NL PE QC ON MB SK AB BC FE NR

NS Members in Plans in Canada by Jurisdiction

20

Nova Scotia has a higher than average proportion of paid workers in the public sector, where

pension coverage is very high. Currently 59.2% of Nova Scotia pension plan members are

employed in the public sector, as illustrated in the following chart:

0.0%

10.0%

20.0%

30.0%

40.0%

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Participation in Pension PlansMembers as a % of Total Labour Force

Nova Scotia Canada

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Participation in Pension PlansMembers as a % of Employed Paid Workers

Nova Scotia Canada

21

During the period 2005 to 2014, the number of pension plan members in Nova Scotia in the private

sector decreased by 6.8%, compared with a 7.1% increase in the public sector.

ASSET ANALYSIS

A total of $13.8 billion was held in pension plans registered in Nova Scotia. As shown in the

following chart, 80.4% of those assets, or $11.1 billion, was held in defined benefit plans, with

10.2% or $1.4 billion in defined contribution plans and 9.4% or $1.3 billion in

composite/combination plans.

0

100000

200000

300000

400000

500000

600000

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014

Nova Scotia

Private Sector Members Public Sector MembersTotal Plan Members Paid WorkersLabour Force

22

Of the pension plans in Canada whose membership includes members in Nova Scotia, defined

benefit plans held 82.5% of total assets or $432.6 billion, defined contribution plans held 13.9%

or $19.1 billion and composite/combination pension plans held 3.6% or $72.6 billion.

80.4%

10.2%9.4%

Plans Registered in Nova ScotiaAsset Distribution

Defined Benefit

Defined Contribution

Other

11.4% 11.1% 11.1% 13.3% 13.9%

85.2% 85.5% 85.5% 83.4% 82.5%

0.0%

20.0%

40.0%

60.0%

80.0%

100.0%

2010 2011 2012 2013 2014

Plans with Nova Scotia Members - Assets

Defined Contribution

Composite/Combination

Defined Benefit

23

As shown in the above chart for pension plans with members employed in Nova Scotia, public

sector pension plan assets were 56.5% of total assets or $296.2 billion and private sector plan

assets were $228.2 billion or 43.5% of total assets.

56.5%

43.5%

Public and Private Sector PlansAsset Distribution

Public Sector

Private Sector

0

50

100

150

200

250

NL PE NS NB QC ON MB SK AB BC FJ NR

0.314 013.845

1.867

19.104

93.46

1.73 3.917 8.461 2.431

138.024

241.195

Ass

ets

by

juri

sdic

tio

n (

bill

ion

s)

Assets for Plans with NS Members

24

As seen in the previous chart, a significant portion of the $524 billion in assets held in pension

plans with Nova Scotia members was held in non-registered plans (see the description of non-

registered plans on page 19). Plans under the federal and Ontario jurisdictions with Nova Scotia

members also held significant assets