Former Caisse CEO takes some of the blame for big losses

The former CEO of the Caisse de dépôt et placement du Québec said Monday he takes responsibility for some of the fund's $39.8-billion loss last year.

Henri-Paul Rousseau headed the fund from 2002 until he left in May 2008, a period during which the Caisse made a big, ill-fated investment in asset-backed commercial paper.  

"I'll tell you straight off — the ABCP situation developed when I was the top guy at the Caisse and, as such, I assume total responsibility," Rousseau said in a speech to the Montreal Board of Trade.

The ABCP market froze up in 2007 amid the U.S. subprime mortgage money meltdown. ABCP losses  accounted for $4 billion of the total losses last year for the Caisse.

Rousseau said the Caisse was hit by a "perfect storm" in the financial world through a combination of factors, including a sharp drop in the Canadian dollar.

Rousseau said he still believes the Caisse is well-positioned for the future, despite its big loss last year.

Rousseau is now the vice-chairman of Power Corp.