Money-market Securities

This past year, we invested $740 million of investment income and contributions in money-market investments prior to its allocation to long-term investment or benefit payments. At any time, only 2% to 4% of the fund’s assets were invested in money-market securities. The Bank of Canada made its only rate increase in July 2007 in response to both economic growth and core inflation beyond expectations.

Money-market securities earned 4.5% compared to 4.3% for the DEX 30 Day T-Bill Index.