Canadian pension fund CPPIB’s India portfolio tops $21.6b

Canada Pension Plan Investment Board (CPP Investments), the largest pension fund in Canada, said its India portfolio crossed C$30 billion (about $21.6 billion) in net assets at the end of its fiscal year on March 31, 2025.

CPP Investments is a committed, long-term investor in India, with a diversified portfolio spanning real estate, infrastructure, public and private equities, funds and co-investments, and credit.

In its Fiscal 2025 report, CPP disclosed that it exited its nearly 6% stake in logistics firm Delhivery, netting C$298 million. The fund first invested in the company in 2019.

It also made a partial exit from the National Stock Exchange Ltd. in the financial year.

It also pledged C$185 million in a rupee-denominated debt facility to US-based Enfinity Global to construct 1.2 gigawatts of solar and wind projects across India. Enfinity operates a diversified renewable portfolio spanning the US, Europe, and Asia.

The pension fund also partnered with pan-Asian private equity major PAG to invest $100 million for a 14% stake in the merged entity of Manjushree Technopack and Pravesha, forming a market-leading rigid plastic packaging company in India.

On the infrastructure front, the fund completed a follow-on investment of about C$346 million in National Highways Infra Trust (NHIT), bringing its total commitment to C$960 million since 2021. NHIT is backed by India’s National Highways Authority.

CPP Investments made its inaugural investment in India in 2009 by backing Multiples Private Equity Fund as a sponsor, marking the beginning of its on-the-ground exposure to the market.

In 2015, CPP Investments deepened its regional footprint by opening an office in Mumbai—its second office in the Asia-Pacific region.

Asia Pacific accounts for 17% of total assets

As of March 31, 2025, investments in the Asia Pacific region represented 17% of CPP Investments’ total assets of C$714.4 billion, underscoring the fund’s growing footprint across the region.

The US continues to dominate the portfolio with a 47% share, followed by Europe at 19%, Canada at 12%, and Latin America at 5%.

Some of the high-profile Asia investments completed in the fiscal year include the acquisition of a 24% stake in Keywords Studios, a global video game technology services provider, for approximately $515 million. The deal was completed alongside EQT and Temasek.

CPP Investments also signed a landmark joint venture agreement with Equinix Inc. and GIC, targeting over $15 billion in capital to build Equinix xScale data centres across the US. The pension fund committed up to $2.4 billion in equity and holds a 37.5% stake in the venture, which will serve hyperscalers and other core AI infrastructure clients.

In the digital infrastructure space, CPP acquired a 12% interest in AirTrunk, Asia-Pacific’s leading data centre operator, through a transaction in partnership with Blackstone that valued the company at over A$24 billion ($15.4 billion), including capital expenditures for ongoing projects.

Additional investments include a $475 million secured term loan and working capital facility backing Sixth Street’s acquisition of Select Portfolio Servicing (SPS) from UBS, and a $300 million commitment to Blackstone Capital Partners Asia III, a fund focused on control buyouts across the region.

CPP’s net income hits record level

Overall, CPP Investments ended its fiscal year 2025 with net assets of C$714.4 billion, up from C$632.3 billion a year earlier. The C$82.1 billion increase included C$59.8 billion in net income—one of the highest levels in the fund’s history—and C$22.3 billion in net CPP contributions.

The fund posted a 9.3% net return for the fiscal year and a 14.2% return on a calendar-year basis, supported by strong performance in global equities.

It also reported a 10-year annualized net return of 8.3%, reflecting the fund’s long-term focus. Since 1999, it has delivered C$492.1 billion in cumulative net income, making up roughly 70% of total fund assets.

Despite market volatility in the final quarter, gains were broad-based. Public equities, especially in the U.S. and China, led returns, while private equity, infrastructure, and credit also performed strongly. Currency movements, particularly a weaker Canadian dollar, added to gains.

“The fund’s performance during the fiscal year was strong, with all investment departments contributing to one of the highest levels of annual net income in our history — despite market headwinds in the final quarter,” said John Graham, President & CEO.

Edited by: Pramod Mathew

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