Pension Pulse

Tom Saunders of The Telegraph reports pensions ‘superfund’ doubles in size to take on Wall Street: Britain’s only pensions “superfund” is poised to double in size after striking a string of deals to acquire underfunded retirement schemes. Clara, the first of a new type of vehicle targeting defined-benefit (DB) schemes, has agreed to take on the pensions of 3,300 members of Marelli UK, a global automotive parts supplier. The pensions are worth roughly £250m. It is Clara’s fourth deal this year, with two more to complete before the end of 2026. Together, these deals will almost double Clara’s assets under management to £2.5bn from roughly £1.3bn at the start of the year. Clara is the only British superfund currently operating and acts as a bridge to an eventual “buyout” by an insurer. The American investment firm Sixth Street backs it. Superfunds target companies often in financial trouble and want to offload their pension funds to free up cash. Marelli, for example, entered...

Joel Bowey of Connect CRE reports  PSP sells Sunrise Senior Living in a US$1 billion deal: Canada’s PSP Investments is exiting one of North America’s largest senior-housing platforms, agreeing to sell Sunrise Senior Living to BDT & MSD Partners in a transaction valued at more than US$1B, according to The Wall Street Journal. The deal shifts control of an operator with more than 230 communities and 22,000 residents across Canada and the U.S., along with a development pipeline of more than 50 communities carrying an expected development cost of about US$7.5B. Sunrise has a meaningful Canadian footprint, listing 17 communities across three provinces: nine in Ontario, five in British Columbia and three in Quebec. Its Canadian network includes properties across Greater Toronto, Ottawa, Vancouver, North Vancouver, Victoria and Greater Montreal. PSP first invested in Sunrise in 2014 and became its sole owner in 2023. The Canadian pension investor, which manages $320.6B in ...

Matt Toledo of Chief Investment Officer reports  CPP Investments partners with AT&T, GIP on fiber joint venture: AT&T Corp. announced on Tuesday an agreement with the Canada Pension Plan Investment Board and BlackRock Inc.’s Global Infrastructure Partners unit to form a joint venture to invest in commercial fiber internet infrastructure. The transaction is expected to close in the first half of 2027, pending regulatory approval. Under the agreement, AT&T will hold a 50% stake in the venture—Forged Fiber 37—with GIP and CPP Investments owning the other 50%. A statement from AT&T noted that the new organization will accelerate the delivery of the infrastructure needed to support the high-performance connectivity demanded by the artificial intelligence boom. “Demand for reliable, high-capacity connectivity continues to grow, making fiber infrastructure an increasingly important part of the digital economy,” said James Bryce, CPP Investments’ head of infrastructure, i...

Brett House, a Canadian professor of economics at Columbia Business School, wrote a comment for the Globe and Mail on how to get Canada’s pension funds to invest more in startups: The recent Canada Investment Summit mobilized $500-billion in new capital, according to the federal government , demonstrating that the world is paying attention to the country, particularly our major infrastructure and resource projects. Canada now needs to put the same spotlight on the financing of its early-stage companies. Canada’s major public pension funds, the Maple Eight, manage $2.6-trillion in assets , but just a fraction of these finance the country’s venture and growth companies, the engines of innovation and high-value job creation . While the Investment Summit saw Canadian pension funds and insurers commit $100-billion in fresh capital to domestic investments, new funding for early-stage tech companies barely registered. The most exciting announcement for this sector, the roughly $1.4-billi...

Sarah Min, Davis Giangiulio, Chloe Taylor,Lee Ying Shan and Ananya Chetia of CNBC report stocks rise Friday after soft jobs data, Nvidia leads Nasdaq to intraday record:  Stocks rose Friday following a surprisingly weak jobs report that raised hopes the Federal Reserve will hold rates steady in October. The Dow Jones Industrial Average added 250 points, or 0.5%, to close at 51,176.46. The S&P 500 gained 0.7%, rising 56.27 to 7,722.72, while the Nasdaq Composite climbed 1.2%, adding 319.27 to 27,190.86, hitting an all-time high earlier in the day before pulling back as Treasury yields reversed course. Despite Friday’s rally, the Dow was down for the week by about 1.3%. The S&P was little changed, off 0.3%, while the Nasdaq was up 0.6% on the week, with Friday marking its third straight advance. Treasury yields initially fell Friday following the September employment report, but later rebounded, pushing U.S. equities off their highs for the session. Tech stocks rallied as r...