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This is your daily pension announcement: LinkedIn rules edition!!!

Loyal followers, I know I said I was taking a break over the holidays, but the pension hammer keeps falling so I am here for you.

LinkedIn sent me this job ad, encouraging me to apply:
That gave me a chuckle for sure. I guarantee I would have done a better job "researching" the ATRF business case. I mean, can you even believe the the entire business case is built upon (I quote directly):
#handsoffmypension #AIMCOfail #AbLeg #abpoli
"The investment management cost for ...(ATRF), based on their publicly available information, appears to be 84.0 bps..."

Appears to be? Really? Really? You are going to go with a decision that affects tens of billions of dollars and tens of thousands people and you are going to
...base your entire argument on "appears"? The link pin data to your entire 💩💩 $41 million savings you know with a certainty of "appears"? How certain are you with that data? May I also point out that when I look out my door it appears that the Earth is flat. #flatearthsociety
So they could not have been bothered to open up historical annual reports and do some digging. As a taxpayer this worries me. As a plan member this infuriates me. #fail #AbLeg #handsoffmypension
So let me lay out some publicly available information that is central to this issue: ATRF investment costs: 2018-84bps; 2017-86bps; 2016-66bps; 2015-63bps; 2014-58bps; and so on. Costs only in the 80's for two years of the plans history. Hmm... #onetimecosts
If the writer of the business case was intellectually honest at all they would at least use a 5 year cost average. It is disingenuous and wrong to use a 1 year return to measure performance, so it is to use a 1 year number to measure cost. #stupid
71 bps is the ATRF five year average cost. Nowhere mentioned in the worst business case ever.

If the person that wrote this tripe had actually read the ATRF Annual Reports they would understand that costs are high for a couple of years because of Project Whiteboard. #AIMCOfail
Project Whiteboard is a strategic review of investment operations at ATRF. This was to prepare ATRF to be ultra-competitive for the next generation. The changes to ATRF as a result of this review have costs. But only for a couple of years.
After those couple of years investment costs at ATRF would have moved to (estimated) 64 bps. That is right only 3 bps above LAPP. So this whole business case that is based on saving 25 bps of cost is absolute 💩💩💩.
In an attempt to deceive further, the business case also uses AIMCo all in costs at 51.1bps as the comparator. Anyone with a CFA would use the costs of the closest pension fund which would be LAPP at 61bps or PSPP at 53 bps.
I return to my original premise. Travis has staked his reputation on $41 million in savings. My analysis suggests maybe $5 million is more like it. And, that $5 million is at risk of disappearing due to lower investment return.

Public policy needs independent research. #fail
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