A Theory Model of Digital Currency with Asymmetric Privacy
Authors: Katrin Tinn
Professor Augustin advocates for stronger communication in banking risk management
Professor Patrick Augustin addressed the critical gap between technical risk analysis and executive decision-making at the ALRiM-GARP Banking Risks Conference in Luxembourg in January. Speaking alongside regulators and industry leaders, Augustin argued that risk managers must develop strong communication skills to translate complex metrics into actionable insights for boards and senior leadership.
Deloitte Fondstag highlights urgent need for pension reform across Europe
As Europe confronts structural challenges in its pension systems, industry leaders gathered at Deloitte Luxembourg’s 25th Deutscher Fondstag to assess the role of the fund sector in strengthening longterm retirement security. Professor Patrick Augustin of McGill University offered a datadriven lens on the issue, presenting findings from ALFI’s study Europe’s Productive Capital Gap.
European sell-off of US treasuries could trigger global economic crisis
As US President Donald Trump threatened to take control of Greenland by any means necessary, European countries weighed a response. After decades of low levels of investment in their militaries, Europeans wouldn’t fare well in a head-to-head confrontation with an invading force from the United States.
Overregulation of AI could stifle the potential of the technology
Generative AI is changing the way people work, but many organizations are still looking for ways to use it effectively. Organizations need to think about how they want to use AI, and what their level of risk appetite.
Infrastructure leasing or sale can encourage pension funds to invest domestically
Major pension funds have built trillions in assets by pursuing high-performing portfolios and maintaining independence in their investment decisions. Recently, however, discussions have emerged about imposing mandates that would require these funds to allocate more capital domestically—a trend not limited to Canada, as countries like Sweden have considered similar measures.
Professional money managers can make mistakes with their money too
Are managers of large investment funds good investors on a personal level? Not necessarily, says Patrick Augustin, Associate Professor of Finance at McGill Desautels. “There can be a correlation, but also not,” says Augustin. “It’s very difficult to beat the market, on average. We see people doing it, but it raises the question of is it luck, or is it skill? That being said, we can always limit mistakes.
Cash-strapped governments should resist telling pension funds how to invest
Stock markets continue to hit record highs, yet many governments remain strapped for cash—and some are eyeing pension funds to cover fiscal shortfalls.
They should resist the temptation to mandate that pension funds invest more domestically, said Associate Professor of Finance Sebastien Betermier in an interview with CNBC.
Public pension funds deliver higher returns when they use a capitalized model
Some national pension funds operate on a ‘pay as you go’ model, meaning that retiree pensions are primarily funded by current workers. But other national pension plans—including the Canada Pension Plan—operate on a capitalized model, meaning that workers contributions are invested to fund future payouts.
When it comes to public pensions, Luxembourg could learn from Canada’s success
Luxembourg is among the richest places in the world. It is a small, landlocked European country, but has carved out a niche as a major financial centre. Yet its public pension system could benefit from adopting a capitalized pension model, according to research by Patrick Augustin and Sebastien Betermier, both Associate Professors of Finance at McGill Desautels.
Nine directors at large Canadian pension funds also hold fossil fuel positions
Nine of the directors who oversee Canada’s largest pension funds also hold positions at fossil fuel companies, according to a report by Pensions and Investments.
Spring Finance Workshop 2025
The fourth edition of the Spring Finance Workshop took place from April 27 to 29, 2025, bringing together top scholars in the field of finance to explore emerging themes across banking, investor expectations, climate finance, asset pricing, and corporate decision-making.
Large number of Canadians are missing out on pensions
According to a report by the National Insitute on Ageing, there are around 200,000 people in Canada with registered pension plans who are eligible to claim them, but haven’t. Often, the unclaimed funds stem from contributions made early in a person’s career that were simply forgotten about.
CCM Biosciences identifies novel enzyme activators with applications in longevity space
Founded by McGill Desautels Associate Professor Anisha Ghosh, with over $25 million in funding, CCM Biosciences is developing novel therapeutics in longevity. Recently, the company announced that it has developed an enzyme activator that can restore activity to youthful levels.
Alberta-commissioned report on CPP withdrawal used flawed methodologies
When Alberta commissioned a report on withdrawing from the Canada Pension Plan, the resulting document claimed the province was entitled to $334 billion more than half of the plan’s total assets. However, the method used to calculate that share is deeply flawed. If applied to other provinces, the combined total of their share would exceed the plan’s actual assets.
