Multi-Asset
Allocator
Pension
Geoffrey Rubin is the Senior Managing Director and Chief Investment Strategist of Canadian Pension Plan Investment Board, or CPPIB, which oversees $520 billion Canadian ($400 billion USD) on behalf of tens of millions of its citizens. CPPIB is a prime example of the Canadian model, which features significant internal active management of assets and a thoughtful total fund management approach.
Our conversation covers Geoffrey’s background and path to CPPIB, the Canadian model, effective governance, and competitive advantage. We then turn to the implementation of the model across internal capabilities, resource and capital allocation in the portfolio, compensation, talent retention, collaboration, organic innovation, and putting the model to the test during this year’s challenging market conditions.
Show Notes
4:37 Geoffrey’s background
9:25 Understanding balance sheet positions
11:44 Origin of the Canadian model
18:12 Structure of excellent governance
21:44 Acquiring and retaining talent
25:11 Sources of edge
28:23 Taking advantage of a long-term horizon
33:14 Coordinating global activity
40:24 Excess returns in competitive environments
43:14 Capital allocation and position sizing
47:02 Compensation arrangements
49:18 Internal development of teams
52:06 Optimizing teams
55:01 Providing informational support
56:02 Green bonds and similar instruments
59:08 Key lessons from failure
1:01:42 Handling market turmoil
1:05:55 Closing questions
