Canada Pension Plan Investment Board (CPP Investments), Canada’s largest pension fund manager, has committed ?1,850 crores (C$310 million or US$228.9 million) to the first close of Kotak Infrastructure Investment Fund (KIIF), CPP Investments revealed in its second quarter financial results.
This is likely to be KIAL’s second infrastructure fund, the size of which could not be confirmed. Kotak did not comment on the size, first close, and other investors in the fund. Back in 2013, KIAL, which manages a $5.7 billion book across asset classes such as private equity, real estate, infrastructure, and stressed assets/special situations vehicles, had hit the first close of the maiden infrastructure fund with a corpus of $250 million. It typically invests $15-18 million per transaction in the mid-sized infrastructure market.
The investment by CPP Investments is part of its credit investments. Globally, as on the second quarter ending 30 September FY23, CPP Investments’ net assets had risen marginally by $6 billion to $529 billion, compared to $523 billion at the end of the previous quarter.
The Fund’s quarterly results were adversely affected by broad declines in global public and private equity markets and in fixed-income markets, the company said in its statement. Headquartered in Toronto in Canada, CPP Investments manages a global portfolio in public equities, private equities, real estate, infrastructure, and fixed income.
“Our portfolio remains resilient despite inflationary pressures, increases in central bank rates, and the continued impact of the war in Ukraine, which resulted in the continued decline in global financial markets during the quarter," said John Graham, President & CEO at CPP Investments. “Our active management strategy, designed to deliver results over the long term, remains on track as demonstrated by our strong 10-year net return of 10.1%."
