Although the Caisse de Depot et Placement had its worst year since 2008 last year, the Quebecers’ woolen stockinger paid out $192.8 million in bonuses to its employees.
• Also read: The CEO of the Caisse wants to reduce the yield gap between QPP and CPP
• Also read: With losses of 24 billion, the Caisse should remain somewhat embarrassed…
This is a 2.6% increase compared to the $187.9 million paid in incentive awards in 2021.
However, per eligible employee, premiums fell by 6%, mainly due to the decline in the Caisse’s five-year annualized rate of return, which fell from 8.9% in 2021 to 5.8% last year.
At the end of 2022, the Caisse employed 1,573 people, 8% more than a year earlier. About 177 of them worked outside of Quebec, up 9% from 2021.
Drop for big bosses
Total bonuses awarded to the Caisse’s six highest-paid executives declined slightly to $10.9 million in 2022, compared to $12.1 million in 2021. More than half of that total will be paid in the next few years paid with the possibility of capital appreciation.
Overall, Caisse CEO Charles Emond earned $4.2 million last year, down 4.9% from 2021.
“Under Mr Emond’s leadership, the Caisse has managed to generate the strongest added value in two years of its history, despite extreme market conditions at the antipodes,” said the institution’s annual report, presented to the National Assembly on Tuesday.
Into the red
In 2022, the Caisse recorded a return of -5.6%, while in 2021 it had reached 13.5%. In both cases, the institute claims to have beaten its benchmark portfolio.
Note, however, that other Canadian institutional investors, including Ontario’s teacher and community employee pension plans, posted positive returns in 2022.
Charles Emond’s base salary remained stable at $550,000 in 2022. His performance bonus was $3.58 million in 2022, compared to $3.8 million the previous year.
Compensation for the top six executives totaled US$17.3 million in 2022 compared to US$18.4 million in 2021. The decrease is largely explained by the fact that Mr Emond has not received any awards since joining the Caisse more will be awarded to de depot et placement du Québec in 2019.
The Caisse also benefited from the devaluation of the euro against the Canadian dollar. Its head of infrastructure, Frenchman Emmanuel Jaclot, is always paid in euros, even though he has lived in Quebec for several years.
♦ As of December 31, 2022, the Caisse’s net assets were US$402 billion, down US$17.8 billion year-on-year.
Performance bonuses at the Caisse de dépôt et Placement in 2022
- In total: $192.8M (+2.6%)
- Senior executives: $10.9M (-10%)
Do you have any information about this story that you would like to share with us?
Do you have a scoop that might be of interest to our readers?
Write to us or call us directly at 1-800-63SCOOP.