The Day After: Alberta’s Budget Boss Nate Horner Speaks Out After AIMCo Bloodbath
In a rare display of transparency, Alberta’s budget boss Nate Horner has spoken out about the recent shake-up at Alberta Investment Management Corporation (AIMCo), one of the province’s largest pension fund managers. The decision to oust several high-ranking executives and impose new cost-cutting measures has sparked controversy among industry insiders.
A Change in Leadership
Horner, who was instrumental in making the tough decisions to restructure AIMCo, seemed unapologetic about the bloodbath that followed. "We’re faced every day in government with some really tough decisions," he said in an interview. "There’s never enough money to go around. There are people advocating for really important defensible things I have to say No to."
Horner emphasized the need for AIMCo to be more diligent and cost-effective, particularly in light of accelerating costs in healthcare, education, and social services. "We can’t afford to do things outside of the lines," he said. "There’s no room for fast and loose."
The Message for the New Board
Horner made it clear that the message to the new board is simple: focus on costs and turn AIMCo around. He emphasized the need for a short-term and long-term plan for cost cutting, as well as a renewed emphasis on managing investments effectively.
"We want returns on investment in the top quartile," Horner said. "We don’t want to be stuck in the mushy middle or worse."
The New York Office
One of the most contentious issues surrounding AIMCo was its high-rent office lease in Manhattan’s One Vanderbilt skyscraper. The deal, which saw AIMCo paying a whopping US$247 per square foot, raised eyebrows among industry insiders.
Horner acknowledged that the office space had been a point of contention but emphasized that it was necessary to ensure AIMCo could continue to operate effectively from within the province. "We didn’t want to push our financial sector out of Alberta," he said.
No Regrets
Despite the controversy surrounding the shake-up, Horner expressed no regrets about the decision to restructure AIMCo. In fact, he sounded more determined than ever to ensure that the pension fund manager is running efficiently and effectively on behalf of Albertans.
"We expect at least the same diligence and effort in making tough decisions with those who are going to manage the wealth of the province," Horner said. "We need to keep an eye on this and demand excellence."
A New Era for AIMCo
The shake-up at AIMCo marks a new era for the pension fund manager, one that promises to be more focused on cost-cutting measures and effective investment management.
As Horner put it, "We’re not going to make any excuses. We’re going to get this right." Only time will tell if the Alberta government’s bold move will pay off in the long run.
What do you think about the shake-up at AIMCo? Share your thoughts in the comments below.
In this article:
- Nate Horner, Alberta’s budget boss, spoke out about the recent changes at Alberta Investment Management Corporation (AIMCo)
- The decision to oust several high-ranking executives and impose new cost-cutting measures has sparked controversy among industry insiders
- Horner emphasized the need for AIMCo to be more diligent and cost-effective in light of accelerating costs in healthcare, education, and social services
- He made it clear that the message to the new board is simple: focus on costs and turn AIMCo around
- The Alberta government is committed to ensuring AIMCo operates efficiently and effectively on behalf of Albertans
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