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commercial real estate market based on research from the National Association of Real Estate Investment Trusts. pensionfunds, sovereign wealth funds, endowments, foundations, and large insurance companies) and high-net-worth or retail investors owning commercial real estate outside of publicly traded investment vehicles.
You’d never know it to read the latest annual report from the fund’smanagers, the CPP Investment Board, which spends much of its nearly 80,000 words boasting how, thanks to the herculean efforts of its employees and the sophisticated investment stratagems of its managers, it eked out an 8-per-cent return on investment for the CPP’s beneficiaries.
“The renewable energy, telecommunications and transportation sectors, to which (the Caisse) has been exposed for many years, are significant vectors of performance,” the pensionfund said. Over five years, the annualized return was 9.6 per cent return. per cent, driven by the same sectors as in the first six months.”
In private credit, tightening credit conditions resulting from a handful of bank failures and rescues in the United States have opened up opportunities for non-bank players like pensionfunds, he said. Christine Dobby of the Toronto Star also reports CPP Investments posts 1.3% per cent return.
Finally, we believe private capital will enable us to source, acquire, and manage a large percentage of available market opportunities that we currently acquire for the public vehicle. To be clear, this structure will be distinct from a typical private equity style closed-end fund that may have a fixed duration or a narrower opportunity set.
In a news release Thursday, the Alberta government said the “reset” at AIMCo was driven by rising costs at the Crown corporation, including third-party managementfees and salaries and benefits that were not matched by a corresponding return on investment. A couple of quick remarks.
The decision to put a senior government official on the board of the arm’s-length pensionfundmanager raises questions about AIMCo’s continued independence, and whether the move opens the door to the government to exert greater political influence or to steer the pensionfundmanager toward government priorities.
James Bradshaw and Jefferey Jones of the Globe and Mail report Alberta government fires AIMCo board and CEO, plans to ‘reset focus’: Alberta’s government has fired the CEO and the entire board of Alberta InvestmentManagement Corp. AIMCo), citing a need “to restore confidence” in the provincial pensionfundmanager.
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