While the Reddit-fuelled stock-market frenzy of recent weeks draws scrutiny from regulators and lawmakers, the managers of Canada’s largest pension fund are also watching closely to see what the so-called “meme stock” craze says about governments’ ability to support the economy through pandemic shocks without overheating it.

“Policymakers have been able to intervene with real significant force without having excessive negative impacts on economies,” said Geoffrey Rubin, the chief investment strategist at the Canada Pension Plan Investment Board, in an interview with The Logic.

“But I also believe when we see issues like this crop up, these are the kinds of risks that can accompany the kind of significant policy intervention that we’re seeing.”