Canada's top pension funds ramp up domestic investments, betting big on local opportunities
Canadian pension funds are renewing their commitment to domestic investment, with the Canada Pension Plan Investment Board (CPPIB) describing itself as “very bullish” on opportunities within the country.
This statement was made by Manroop Jhooty, head of total fund management at CPPIB, during the Bloomberg Canadian Finance Conference in New York.
Jhooty noted a “strong momentum in galvanization of political will to consider major projects and nation building in a way that we hadn’t seen before,” and emphasized, “We’re genuinely excited about the opportunities that presents,” as reported by Bloomberg.
This comes as the federal government steps up efforts to attract private capital for Canadian projects.
The shift in focus follows mounting pressure on Canadian pension plans to increase domestic investment in support of the national economy, especially amid a growing “Buy Canada” movement that has gained traction during US President Donald Trump’s trade war.
Most of the so-called Maple Eight Canadian pension funds have indicated interest in infrastructure projects across the country, including data centres and natural resources, Bloomberg reported.
In addition to its domestic ambitions, CPPIB, which manages $731.7bn in net assets, is also exploring global opportunities related to artificial intelligence.
Jhooty highlighted a particular focus on “power and energy that’s going to be needed to continue to support the AI build-out of data centers themselves,” according to Bloomberg.
