LAPP, formerly known by its expanded acronym, the Local Authorities Pension Plan, is the largest pension plan in Alberta and the seventh largest in Canada.
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| LAPP | |
| Company type | Private |
| Industry | Pension fund |
| Founded | 1962; 62 years ago (1962) |
| Headquarters | Edmonton, Alberta |
Area served | Participating employers and employees in Alberta, Canada |
Key people | Troy Mann (President and CEO)[1] |
| Total assets | C$58.7 billion[2] (2022) |
| Parent | LAPP Corporation |
| Website | lapp |
With 291,259 members and $58.7 billion in assets (2022), LAPP is a multi-employer jointly sponsored[3] defined benefit pension plan. Dedicated to helping every member retire with dignity, the plan guarantees a predictable and secure retirement income for life.
LAPP Corporation is the legal Trustee and Administrator of the Plan, and supported by the over 400 employees of its pension benefits services provider Alberta Pensions Services Corporation (APS) and the over 600 employees of its investment management services provider Alberta Investment Management Corporation (AIMCo).
Originally established in 1962 for the employees of local authorities, LAPP now includes 437 employers (2022) from the healthcare sectors, cities, towns, villages, summer villages, municipal districts, colleges, school boards, non-profits/not-for-profits, charities, other public sector entities, and for-profit corporations.
LAPP Corporation is overseen by a 12-director Board of Directors, nominated by employer and employee groups. This Corporate Board and LAPP Corporation are responsible for the administration of the pension benefits and to ensure that retirement income is paid to members, which is done by providing strategic guidance for the Plan, managing risk, and ensuring the long-term sustainability of LAPP. A 12-member Sponsor Board, whose members are appointed as representatives of the members (employees) and employers, is legislated to make decisions about plan design, employer eligibility rules, and contribution rates.
LAPP is registered under the Alberta Employment Pension Plans Act (EPPA),[4] requiring it meet the rules and standards set out by Employment Pension Plans Regulations.[5] The Joint Governance of Public Sector Pension Plans Act transitioned LAPP to joint governance effective March, 2019.
LAPP Corporation has a fiduciary duty and responsibility to act in the best interests of LAPP's members. Contributions are collected from employers and employees and the money is invested provincially, nationally, and globally in fixed income, public and private equities, real estate, infrastructure, natural resources, bonds, and other investment vehicles by its investment management services provider, AIMCo, in accordance with LAPP Corporation's Statement of Investment Policies and Procedures (SIPP). Interest, investment returns, and contributions are used to pay lifetime retirement income (pension benefits, often termed the pension promise) to current and future LAPP retirees.