The Caisse de dépôt et placement du Québec is issuing $250 million to an organization that supports the institutional investment manager ecosystem in Quebec.
The investment in the Quebec Emerging Managers Program works out to works out to $50 million each year for the next five years. Created in 2016, the program offers institutional investors access to diversified investment strategies managed by emerging managers based in Quebec. The Caisse previously allocated $25 million to the program at its launch in 2016 and another $25 million in 2021.
According to a press release, a portion of the latest allocation to the QEMP is earmarked for the development of a new scheme to help firms grow and develop their businesses’ networks.
“Thanks to this investment, CDPQ will contribute to the development of a coaching program that seeks to drive the growth of emerging manager firms and build a network around them providing guidance throughout their growth,” said Mario Therrien, head of investment funds and external management at the Caisse, in the release.
In other news, the private equity arm of the Ontario Municipal Employees’ Retirement System is completing the issuance of US$1 billion in term notes.
The five-year notes, which were purchased by qualified investment banks, have a yield of 4.061 per cent — a 64 basis points spread above U.S. treasury notes with the same term length. They’ll mature on April 20, 2028.
Almost half (47 per cent) of the notes were purchased by organizations based in the Americas, about a quarter (26 per cent) by organizations in Europe, the Middle East and Africa and about a sixth (17 per cent) by organizations domiciled in Asia.
About 40 per cent of the treasury notes were purchased by central banks, 29 per cent by bank treasuries and private banks, 28 per cent by asset managers and corporate investors and three per cent by pension investment organizations and insurance companies.