Etienne Lessard is a Director in the Financial Markets Department of the Bank of Canada. In this capacity, Etienne is a member of the Pension Fund Investment Committee and leads the Pension Fund team who is responsible for designing and implementing the investment policy of the Bank of Canada’s Pension Trust and Supplementary Trust Funds. Previously, Etienne was a Principal Analyst/Trader in the Market Analysis and Operations Group in the Financial Markets Department.
Mr. Lessard joined the Bank in 2001 and has developed a strong experience in funds management activities in area as broad as modelling analysis, global financial markets, and strategic policy development. He holds a master of science in finance from the HEC Montréal. He also holds the Chartered Financial Analyst designation and is a certified Financial Risk Manager.
As the Government of Canada’s fiscal agent, the Bank of Canada provides strategic policy advice on the management of the government’s debt, in addition to being responsible for conducting debt-management operations. In this article, the authors review the evolution of the debt strategy over the past 20 years and outline the complex process of developing a sound strategy that balances various cost and risk considerations. This includes an examination of the tools and practices used to develop the new medium-term debt-management strategy, such as the modelling approach involved, market consultations and various debt-management metrics.