Pension Pulse

David Milstead of the Globe and Mail reports that Ontario Teachers’ Pension Plan is investing US$1-billion in US alternative energy assets: Ontario Teachers’ Pension Plan will put more than US$1-billion into a U.S. renewable-energy company to acquire part ownership of a collection of wind and solar assets. Teachers said Tuesday it will pay US$849-million for a 50-per-cent share of 13 generation plants and storage facilities in nine U.S. states currently owned by NextEra Energy Resources LLC. The assets generate or store a total of 2,520 megawatts of energy, with about one-third of the capacity coming from two wind farms in Texas. Florida-based NextEra is selling the other half of the assets to NextEra Energy LP, an affiliated, publicly traded partnership. In a complicated second step, Teachers said it will also provide at least one-quarter of a US$824-million financing commitment made in October by Apollo Global Management Inc. that is helping the publicly traded partners

Richard Lowe of IPE Real Assets reports on IMCO, the Canadian investor with grand designs on battery storage:  Tim Formuziewich tells Richard Lowe why IMCO is vying to become a major global player in the energy-transition technology The rise of renewables in institutional allocations over the past decade has been clear to see, luring investors with the dual potential of income returns and positive contributions to ESG and net-zero objectives. But such has been the demand for renewables assets that the market has become incredibly competitive and aggressively priced. Today, to really play a significant part in the global ‘energy transition’ – the concept that is focusing the minds of most infrastructure investors today – institutions need to look beyond wind and solar farms. This is a theme that the Investment Management Corporation of Ontario (IMCO) quickly recognised. IMCO was only established in 2016 and began managing investments on behalf of a growing list of Ontario ins

Last week, Ontario Teachers' Pension Plan put out a press release stating it established a Global Investment Strategy to be led by industry veteran Jonathan Hausman: Ontario Teachers' Pension Plan Board (Ontario Teachers') today announced the creation of the Global Investment Strategy Department, which will be led by Jonathan Hausman, who has been promoted to Senior Managing Director, Global Investment Strategy, effective immediately. Global Investment Strategy will enhance Ontario Teachers' global competitive advantage by developing and building conviction on strategic responses to emerging global themes that traverse asset classes and regions, working closely with the investment team to support innovation, and continuing to develop and leverage differentiated strategic relationships.  "Having an informed and integrated view of strategic trends has always been core to our approach to delivering superior returns and impact over the long term.  The Glob

Eustance Huang and Jesse Pound of CNBC report the Dow tumbles 900 points for worst day of year on fears of new Covid variant, S&P 500 drops 2%: U.S. stocks dropped sharply on Friday as a new Covid variant found in South Africa triggered a global shift away from risk assets. The Dow Jones Industrial Average dropped 905.04 points, or 2.53%, for its worst day of the year, closing at 34,899.34. The S&P 500 lost 2.27% to close at 4,594.62, while the Nasdaq Composite slipped 2.23% to finish at 15,491.66. The Dow was down more than 1,000 points at session lows. The downward moves came after WHO officials on Thursday warned of a new Covid-19 variant that’s been detected in South Africa . The new variant contains more mutations to the spike protein, the component of the virus that binds to cells, than the highly contagious delta variant. Because of these mutations, scientists fear it could have increased resistance to vaccines, though WHO said further investigation is needed.

Yesterday, OPTrust announced it has surpassed the 100,000-member milestone: OPTrust, one of Canada’s largest defined benefit pension plans, has welcomed the 100,000th member to the Plan. Since inception, OPTrust’s membership has increased by more than 40 per cent from just under 70,000 in 1995. Today, OPTrust delivers retirement security to retirees in over 300 communities across Ontario and remits more than $1 billion in annual pension payments. OPTrust has a strong belief in the value of the defined benefit pension model and delivering a secure retirement to our more than 100,000 members is both a privilege and a great responsibility,” said Peter Lindley, President and CEO of OPTrust. “Our members know they can count on exceptional service and secure, predictable retirement income, and as our membership continues to grow, we remain relentlessly focused on that mission." Recent growth in membership can in part be attributed to the growth of OPTrust Select, O