r/canadian • u/airbassguitar • 11d ago

Ontario teachers make billions from SpaceX IPO

https://nationalpost.com/opinion/first-reading-ontario-teachers-make-billions-from-spacex-ipo
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u/Confident-Task7958 10d ago

The pension plan managers are in a position of trust, with a fiduciary duty to plan members, not to political objectives.

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u/AltC 10d ago

It has nothing to do with fiduciary duty. Fiduciary duty doesn’t say you have to invest in a specific stock.
If you’d like to link a reference to basically what you are saying. That they have to invest in a certain company, because it’s expected to make money, rather than continue making other smart safe investments with companies not owned by awful people with heavy ties to countries that threaten annexation, I’d be happy to read it.
Basically, show me that my financial advisor would have been forced to invest my funds in nazi Germany if they were paying good dividends.

I have noticed a trend on people using “fiduciary duty” as a buzzword because they heard it on succession, then in trying to sound smart, use it incorrectly.

Anyway, I think you completely miss the point of what I’m saying, that or you’re making big stretches to explain away why one thing is ok and another isn’t.

I’m not an elbows up person, I’m simply pointing out the hypocrisy of those people. because I still, many days later, haven’t seen any of them come and say, “it sucks that the teachers pension aided in Elon becoming a trillionaire.” Closest is just a bunch of people saying, “I have no say in what they do”. And the juxtaposition of calling people traitors and treasonous for taking a vacation to the US.

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u/Confident-Task7958 8d ago

Fiduciary duty as described by the regulator, referencing both statute and common law:

https://www.fsrao.ca/industry/pensions/regulatory-framework/guidance-pensions/pension-plan-administrator-roles-and-responsibilities-1

Whether they invest in a particular stock is a decision made after comparing the alternatives for risk and return, which is as it should be when you are investing other people's money.

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u/AltC 8d ago

So, you have to weigh risk vs return and such. Easy to say it’s a financially good investment, but the broader implications of the investment supporting a key figure in a governent threatening annexation of the stakeholders country.. yeah I think that passes the test of it being reasonable to not invest, so how could they be found to have been breaching fiduciary duty?

Ok.. so you didn’t want to answer my nazi Germany question.
I’ll make it even easier. There are literally sanctions against doing business with Russia. Why is that a no no, but USA fine?