The fund adds leverage and beats its 6.25% return target
A mature plan staying fully funded is increasingly rare, and the Public Service Superannuation Plan (PSSP) managed it in 2025-2026, closing the year with a $450m surplus while moving to add leverage to its investment mix.
As of March 31, the plan held a funded ratio of 105.5 percent, and its assets rose to $8.661bn, up $386m on the year, according to Public Service Superannuation Plan Trustee Inc. (PSSPTI).
The fund returned 6.55 percent for the year, net of investment management fees, beating its 6.25 percent actuarial assumed rate of return.
Following a comprehensive asset liability modelling study completed during the year, PSSPTI said it adjusted asset classes, expanded its use of portable alpha strategies and introduced leverage to lift long-term returns while keeping risk at an appropriate level.
After a funded health review in 2025, the trustee also approved annual indexing of 2.61 percent for pensions in pay over the five-year period to December 31, 2030 with adjustments taking effect in early 2026.
"The PSSP continues to demonstrate long-term financial strength and stability," said Leo McKenna, chair of PSSPTI, who added that the plan "continues to provide retirement security for more than 46,000 Nova Scotians."
Membership reached 46,198 by December 31, 2025, with 943 new members joining during the year and several new employers admitted.
