The Ontario Teachers’ Pension Plan achieved a 6.7 per cent net investment return as at Dec. 31, 2025, resulting in a total investment income of $18.5 billion.
The investment organization’s total net assets increased to $279.4 billion at the end of last year, compared to $266.3 billion in 2024. The Ontario Teachers’ said the plan is fully funded for the 13th consecutive year, with a $31.2 billion preliminary funding surplus.
Read: Ontario Teachers’ returns 2.1% in first half of 2025, net assets rising to $269.6 billion
The Ontario Teachers’ recorded an annualized total-fund net return of 9.2 per cent since inception in 1990 and a five- and 10-year annualized total-fund net returns of 6.6 per cent and 6.8 per cent, respectively.
The plan’s portfolio underperformed its benchmark’s return of 11.7 per cent, representing $12 billion in negative value add. It credited the lower return to continued robust performance from the public market-linked benchmarks and constrained performance of private equity, infrastructure and real estate assets. The investment organization saw losses in private equity (negative 5.3 per cent) and real estate (3.1 per cent) in 2025.
The challenges to private equity and real estate this year were part of broad sector headwinds, said Jo Taylor, president and chief executive officer at the Ontario Teachers’, in a press release.
“We responded with disciplined year-end valuation adjustments to reflect current market conditions, which weighed on performance,” Taylor said. “Despite the uncertain environment, our investment business delivered strong dollars earned and was able to successfully realize some key assets while proactively working to address challenging areas of the portfolio.”
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