Canada’s Public Sector Pension Investment Board real estate assets delivered a 10.8% return in the year to March 2017 and increased in value by CAD$0.2bn (£118m) to $20.6bn (£12.1bn).
The group’s total net assets under management reached CAD$135.6bn (£80.3bn) at the end of the year, a 16.1% increase, while total portfolio net return was 12.8%, creating a net income of CAD$15.2bn (£9bn).
The group’s property arm bought multi-residential assets in Canada and in industrial and retail assets in the US, while it disposed of non-strategic properties in Canada, the US, Europe and Australia.
It expanded its UK operations through its London student housing portfolio tie-up with Greystar and continued to grow its pan-European logistics platform with SEGRO. It also funded 22 Bishopsgate in London.
It said it has now established “representation” at its London office to better manage its total European portfolio of CAD$5.92bn (£3.4bn), build new relationships and originate new investment opportunities.
André Bourbonnais, president and chief executive officer at PSP Investments, said: “While substantial volatility and international uncertainty remain, we continue to pursue our objective of navigating market fluctuations with a long-term investment horizon and well-diversified global footprint.”
| ASSETS CLASSES | NET ASSETS | ONE-YEAR RETURN | FIVE-YEAR RETURN | % OF TOTAL NET ASSETS** |
|---|---|---|---|---|
| Public markets | $77.2B | 16.0% | 10.9% | 56.9% |
| Real estate | $20.6B | 10.8% | 12.3% | 15.2% |
| Private equity | $15.9B | (3.4)% | 7.8% | 11.7% |
| Infrastructure | $11.1B | 14.4% | 11.7% | 8.2% |
| Natural resources | $ 3.7B | 19.5% | 14.1%* | 2.7% |
| Private debt | $ 4.4B | 27.5% | 23.2%* | 3.3% |
| (*) Since asset class inception | (**) This table excludes cash and cash equivalents |
To send feedback, e-mail alex.peace@egi.co.uk or tweet @egalexpeace or @estatesgazette
