McMASTER UNIVERSITY
Contributory Pension Plan for Salaried Employees
RATE OF RETURN FOR YEAR  ENDING JUNE 30, 2011
(in thousands of dollars)


Income Plan 2000
(2)		 Original Plan
(3)		 Total
Investment Income
Net Realized Gain on Sales of Investments 
Net Realized Gain on Sales of Units in the Master Trust Fund
Change in Net Unrealized Gain/(Loss) in Investments
28,030
     139
   (1,311) 
 120,318 

 147,176

  

38

  (2)
 161 
197
28,068
     139
 (1,313)
120,479 

147,373
Expenses

Investment Manager Fees
Professional Fees
Administrative Expenses
Trustee and Custodial Fees
Pension Filing
Audit Fee
 

 
2,872
  441
   228 
  174
   60
   19

3,794 
4
69 
 -
 2
  -
  -

75
 2,876
   510
   228
  176
    60
    19

 3,869 
Net Income (Loss)
143,382 
122
143,504 
Net Assets Market Value June 30, 2010
Net Assets Market Value June 30, 2011
 954,192
1,106,300 
1,249
1,538
955,441 
1,107,838 

 
 
2011 Rate of Return (1) =                            143,504 
  1/2 (955,441 + 1,107,838 - 143,504)
  =    14.95%

 
Calculation of Five Year Average
%
2011 Rate of Return
2010 Rate of Return
2009 Rate of Return
2008 Rate of Return
2007 Rate of Return

Total Return for Last Five Years
14.95 
6.47
(11.69) 
(3.98) 
14.45 

20.20 
     
Five Year Annual Average Return (Total Return / 5) =                                      4.04%
Rate of Return in Excess of 4.5% (4.04% - 4.5%) =                                     (0.41%)
Average CPI to June 30, 2011 =                                      2.53%
Increase to Pensions =                              0.00%
(1) Formula as established
(2) Amounts as reported on June 30, 2011 Audited Statements
(3) Per June 30, 2011 internal financial statements