IMCO Wins a $300 Million Mandate From City of Hamilton
The Investment Management Corporation of Ontario (IMCO) has been selected to manage approximately $300 million in pension assets for the City of Hamilton, consolidating three legacy defined benefit (DB) plans that cover more than 1,000 retirees, deferred members and beneficiaries, according to its press release Thursday.
According to the organization, the mandate will require an onboarding process during which IMCO will work with the city on investment decision-making and transition planning for the legacy portfolios
The mandate marks the first time one of Ontario's largest municipalities has outsourced legacy pension fund management to IMCO. The arrangement covers only the city's closed legacy plans, which are distinct from its “open” pension fund managed separately by another manager, according to IMCO. Hamilton's active pension fund will continue to be managed separately by another provider, the firm added.
"The City of Hamilton's decision reflects the strength of our investment platform," said Bert Clark, president and CEO of IMCO. "We provide our clients with an end-to-end, cost-effective investment solution. Expert governance, strong liquidity and risk management, and high-quality reporting and disclosure are essential to managing public funds effectively.”
Growing municipal interest in pooled investment platforms
Hamilton's move follows a pattern of Ontario broader public sector organizations shifting pension investment management to IMCO rather than running it in-house. The City of Ottawa's OC Transpo Employees' Pension Plan is already an IMCO client, as are the Ontario Pension Board (OPB), the Workplace Safety and Insurance Board (WSIB), the WISE Trust Pension Plan, the Provincial Judges' Pension Board, Ontario's Pension Benefits Guarantee Fund, Tarion Warranty Corporation and the Ontario Clean Water Agency.
Complexity driving outsourcing decisions
Clark pointed to rising investment complexity as a factor pushing more public sector organizations toward external management.
"Many Ontario public sector organizations whose core mandate is not investing continue to manage public funds directly," he said. "But, in an increasingly complex investment environment, more are recognizing the value of joining IMCO."
IMCO, which manages $90.7 billion in total assets, operates on a not-for-profit, cost-recovery basis. It offers clients asset mix advisory services, access to a diversified range of asset classes including private markets and alternatives, and portfolio-level risk management and reporting.
Last week, IMCO issued a press release stating it has added the City of Hamilton as a new client, expanding its public sector investment partnerships across Ontario:
TORONTO (July 30, 2026) – The Investment Management Corporation of Ontario (“IMCO”) today announced that it has been selected to provide investment management services to the City of Hamilton, supporting the long-term sustainability of the City's pension obligations.
“The City of Hamilton's decision reflects the strength of our investment platform. We provide our clients with an end-to-end, cost-effective investment solution,” said Bert Clark, President and CEO, IMCO.
Following an evaluation process, IMCO was selected to manage approximately $300 million in assets for the City of Hamilton. The mandate consolidates three legacy plans supporting more than 1,000 retirees, deferred members and beneficiaries. The mandate is focused specifically on legacy pension funds, which are distinct from its “open” pension fund managed separately by another manager. IMCO will work with the City on onboarding and investment decision-making.
With the addition of the City of Hamilton, IMCO continues to expand its role as a trusted partner to public sector institutions across Ontario. IMCO provides its clients with access to asset mix advisory services, a full range of asset classes and comprehensive risk, portfolio management and reporting services, all on a cost-recovery basis.
IMCO's growing roster of clients includes:
- Ontario Pension Board (“OPB”), administrator of the Public Service Pension Plan
- Workplace Safety and Insurance Board (WSIB), Insurance and Loss of Retirement Income funds
- WISE Trust Pension Plan, administrator of the WSIB Employees’ Pension Plan
- Provincial Judges’ Pension Board, administrator of the Provincial Judges’ Pension Plan
- Ontario's Pension Benefits Guarantee Fund (PBGF)
- City of Ottawa, administrator of the OC Transpo Employees’ Pension Plan
- Tarion Warranty Corporation’s Guarantee Fund (Tarion)
- Ontario Clean Water Agency’s (OCWA) reserve fund
“Many Ontario public sector organizations whose core mandate is not investing continue to manage public funds directly. But, in an increasingly complex investment environment, more are recognizing the value of joining IMCO,” continued Clark.
“Expert governance, strong liquidity and risk management, and high-quality reporting and disclosure are essential to managing public funds effectively.”
About IMCO
The Investment Management Corporation of Ontario (“IMCO”) manages $90.7 billion of assets on behalf of its clients. Designed exclusively to drive better investment outcomes for Ontario's broader public sector, IMCO operates under an independent, not-for-profit, cost recovery structure. We provide leading investment management services, including portfolio construction advice, better access to a diverse range of asset classes and sophisticated risk management capabilities. As one of Canada's largest institutional investors, we invest around the world and execute large transactions efficiently. Our scale gives clients access to a well-diversified global portfolio, including sought-after private and alternative asset classes. Follow us on LinkedIn and X @imcoinvest.
I'm going to briefly go over my thoughts here.
First, and most importantly, I agree with IMCO's CEO Bert Clark:
“Many Ontario public sector organizations whose core mandate is not investing continue to manage public funds directly. But, in an increasingly complex investment environment, more are recognizing the value of joining IMCO. Expert governance, strong liquidity and risk management, and high-quality reporting and disclosure are essential to managing public funds effectively.”
In short, there are a lot of public sector organizations in Ontario that have no business whatsoever managing a pension plan, and their members would be better served over the long run by IMCO or another well-governed DB pension plan.
Let me be frank here, Canada as a whole has way too many small to medium-sized public pension funds that would be better served by a larger pension platform (larger pension fund) with solid governance.
I'm a big believer in amalgamation when it makes perfect sense from an administrative and performance view.
I covered IMCO's 2025 results back in April here.
For the most part, it's a solid pension fund that is run well.
Is it perfect? No, none of them are, but when compared to the alternatives at the municipal level, no doubt in mind members are better off joining IMCO if they have a small plan managed internally (if they're with OMERS, stay the course).
IMCO is unique among the bigger Canadian pension funds in that it still has to fight to get new clients.
A $300 million mandate from the City of Hamilton is a big mandate, even if it's focused specifically on legacy pension funds, which are distinct from its “open” pension fund managed separately by another manager.
With scale, IMCO becomes larger, can negotiate better terms and be involved in bigger deals, especially on co-investments to reduce fee drag.
Lastly, I will mention that Jennifer Hartviksen, former Head of Global Credit at IMCO, has left the organization to become the Head of Global Fixed Income at TD Asset Management.
Fernando Martinez has replaced her, and I wish them both well in their new roles.
Below, Amy Wu Silverman, RBC Capital Markets head of derivatives strategy, joins 'Squawk Box' to discuss hyperscalers after second-quarter earnings season, AI and more.
And Ed Yardeni, Yardeni Research, joins 'Closing Bell' to discuss Yardeni's outlook for equity markets, earnings estimates and much more.
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