The Alberta government has appointed former prime minister Stephen Harper to chair the Alberta Investment Management Corporation’s revamped board.

The move comes after the province dismissed all 10 members of AIMCo’s board as part of a leadership overhaul.

Harper said in a statement that he will not be paid for his services. He described his role as a “meaningful act of public service to my adopted home province of the last 46 years.”

“Over several decades, Canadian pensions have earned a global reputation thanks to professional operations, upstanding ethics and prudent risk management. I have accepted the role of board chair because I want to see AIMCO further embody these values and to positively contribute to this culture.”

Harper was born and raised in Ontario but is a longtime Calgary-area resident. He was elected as Canada’s 22nd prime minister in 2006 and his Conservative government held office it was defeated by Justin Trudeau’s Liberals in 2015.

Premier Danielle Smith called his appointment a strong step forward in giving all Albertans confidence in the long-term sustainability and success of AIMCo.”

CEO Evan Siddall was among four executives fired as the government cited AIMCo’s below-benchmark investment returns and rising operational costs, including increasing management fees and staffing expenses as the causes of the shake-up. A new board will be appointed after Siddall’s permanent replacement is hired, the province announced previously.

Longtime bureaucrat Ray Gilmour has been appointed interim CEO. Finance Minister Nate Horner was appointed AIMCo’s sole director and board chair for a 30-day period prior to Harper’s appointment.

AIMCo ranks among Canada’s largest pension fund managers, managing a portfolio worth $169 billion, including numerous commercial real estate assets. The company manages investments for Alberta’s pension, endowment, insurance, and government clients.

As the Globe and Mail noted, the board’s dismissal marked rare government intervention in Edmonton-based AIMCo, which has a mandate to operate independently and at arm’s length from government.

Horner previous told reporters at the Legislature in Edmonton that a major reset of the board was required.

According to Horner, costs have been a primary concern, with high salaries—some exceeding $1 million—borne by AIMCo’s clients, who include Albertans and various pension funds.

But industry sources told the Financial Post that AIMCo’s expenses align with industry standards and that performance may be linked to the risk profile of its clients rather than lagging investment strategies.

The shake-up came just six weeks after AIMCo’s chief investment officer, Marlene Puffer, announced her departure after less than two years in the role.

The Alberta Teachers’ Retirement Fund (ATRF), one of AIMCo’s key clients, has acknowledged prior concerns about rising costs in a note to members published on its website.

Pictured: Stephen Harper

Photo: Drop of Light / Shutterstock.com