Hydro-Québec drives pension plan growth, with SimCorp’s front-to-back, multi-asset investment management solution

Hydro-Québec, one of Canada’s largest public utilities, has signed a license agreement with SimCorp, to support its CAD $24.7 billion retirement plan.

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SimCorp, a leading provider of investment management solutions and services to the global financial services industry, announces that it has signed a license agreement with Hydro-Québec’s pension plan, for the use of SimCorp’s front-to-back investment management system, SimCorp Dimension.

The license will see SimCorp Dimension form the core investment platform at Hydro-Québec’s pension plan, supporting its CAD $24.7 billion retirement plan and enabling growth, through the coverage of new asset classes and instruments. Hydro-Québec joins a growing roster of North American pension plans, choosing a consolidated multi-asset investment management platform, in order to access new sources of alpha and drive growth for its members.

A Canadian public utility, Hydro-Québec manages the generation, transmission and distribution of electricity in Québec. Established by the Government of Québec in 1944, also its sole shareholder, it is one of the largest hydroelectricity producers in the world, operating over 60 hydroelectric generating stations and providing clean energy for over 4.3 million customers. With a growing number of pension plan participants, Hydro-Québec pension plan invests in a multitude of assets, including increased exposure to alternatives and more complex security types, to secure better returns.

In order to counter the labor-intensive investment processing and high operating costs, it became clear that an integrated, front-to-back, multi-asset solution was the way forward. SimCorp Dimension was selected for its highly automated front-to-back processing, enabling the requisite Straight Through Processing (STP), while also delivering multi-asset class coverage in one system.

Being the system of choice for a large number of Canadian pension plans, SimCorp will similarly deliver Hydro-Québec with front-to-back investment management, underpinned by its award-winning Investment Book of Record (IBOR). SimCorp’s IBOR will secure one source of live data across portfolio management, performance, collateral management, compliance, corporate actions, settlement and order management. It’s integration with the Accounting Book of Record (ABOR) provides exhaustive accounting functionality that supports multiple accounting frameworks, including IFRS-9.

James Corrigan, Executive Vice President and Managing Director of SimCorp North America comments: “We are extremely pleased to welcome Hydro-Québec to the SimCorp community and to forming the foundation of its investment operations, to empower and grow its pension plan. It has long been our belief that consolidating operations onto one core platform for all asset classes provides the best value for asset owners, enabling alpha generation, while addressing optimal operational efficiency. This proposition is now increasingly validated by the growing number of North American pension plans, who are realizing the true benefits of consolidated investment management, through SimCorp Dimension.”

Enquiries regarding this announcement should be addressed to:
Mittal Shah, SimCorp PR UK/North America /Asia Pacific +001 (646) 843 1707[email protected]
Axel Schmid, SimCorp PR Europe +49 6172 9240 761 [email protected]
Anders Crillesen, SimCorp Corporate Communications +45 3544 6474 [email protected]

About SimCorp 
SimCorp provides integrated, best-in-class investment management solutions to the world’s leading asset managers, fund managers, asset servicers, pension and insurance funds, wealth managers, banks and sovereign wealth funds. Regardless of how you deploy it, SimCorp’s core solution, SimCorp Dimension, and its life-cycle services support the entire investment value chain and range of instruments, all based on a market-leading IBOR. SimCorp invests around 20% of its annual revenue in R&D, helping clients develop their business and stay ahead of ever-changing industry demands. Listed on Nasdaq Copenhagen, SimCorp is a global company, regionally covering all of Europe, North America, and Asia Pacific. For more information, please visit www.simcorp.com