CPPIB Plows At Least $5 Billion Into Private Equity in Three Months 

(Bloomberg) — Canada Pension Plan Investment Board poured at least $5 billion into private equity in the last three months of 2024 as the asset class regained appeal.Most Read from Bloomberg Saudi Arabia’s Neom Signs $5 Billion Deal for AI Data Center Why American Mobility Ground to a Halt The Forgotten French Architect Who Rebuilt Marseille The pension fund made 26 transactions in private equity — most of which were co-investments or fund commitments — in the fiscal quarter ended Dec. 31, according to Bloomberg calculations. Some investment sizes weren’t disclosed, and the fund announced no exits during the same period.Canada’s largest pension notched a 3.8% gain in the quarter, driven by returns in private equity and credit. The gains were offset by losses in fixed-income assets, which were affected by higher US Treasury yields.Net assets hit nearly C$700 billion ($489 billion), a milestone reached five years ahead of initial projections by the Office of the Chief Actuary of Canada.“Our investment teams were very active, with more than 40 transactions signed or closed in the last three months of the calendar year,” Chief Executive Officer John Graham said in the statement.The investments included a 24.5% stake in video-game provider Keywords Ventures Ltd. and committing $700 million to a private equity fund managed by EQT Private Capital Asia. CPPIB also plans to contribute about $1 billion to the proposed merger between Novolex and Pactiv Evergreen Inc., two packaging companies.Investors have begun allocating more to private equity strategies than private debt, according to iCapital, which has more than $200 billion in alternative assets on its marketplace for money managers. That shift suggests a bet on a lower interest rate trajectory and a more favorable market for initial public offerings, the firm’s Chief Executive Officer Lawrence Calcano said at the end of last year.Most Read from Bloomberg Businessweek Why Fast Food Could Be MAHA’s Next Target Trump’s Tariffs Make Currency Trading Cool Again After Years of Decline The Game Changer: How Ely Callaway Remade Golf Elon Musk’s DOGE Is a Force Americans Can’t Afford to Ignore Trump Promised to Run the Economy Hotter. His Shock and Awe May Have a Chilling Effect ©2025 Bloomberg L.P.