Brookfield Asset Management (NYSE: BAM, TSX: BAM.A) (“Brookfield”)
today announced an initial US$7 billion closing for the Brookfield
Global Transition Fund (“BGTF” or the “Fund”), establishing BGTF as
the largest fund focused on the global transition to a net-zero
economy. The Fund will build on Brookfield’s leadership in
renewable power and deep operating capabilities to scale clean
energy and invest capital to catalyze the transformation of
carbon-intensive businesses to achieve Paris-alignment.
The founding investment partners, Ontario
Teachers’ Pension Plan Board (“Ontario Teachers’”) and Temasek,
have both committed to achieving net zero by 2050 or sooner. To
this end, included as part of this closing, Ontario Teachers’ and
Temasek are committing significant capital in, as well as
strategically investing alongside, the Fund.
PSP Investments (“PSP Investments”) and
Investment Management Corporation of Ontario (“IMCO”) are also
committing as meaningful initial investors in the Fund.
Brookfield’s partnership with these leading
global investors, combined with Brookfield’s position as the Fund’s
largest investor, reinforces the institutions’ collective
dedication to responsible investing and the transition to a
net-zero carbon economy. It also provides the Fund with size, scale
and flexibility to target the largest and most attractive
decarbonization-driven investment opportunities.
As a result of this initial capital, a hard cap
of US$12.5 billion has been established. It is expected that a
traditional first and second close, with additional capital from
Brookfield’s diverse group of institutional investors, will occur
over the balance of 2021.
Bruce Flatt, CEO of Brookfield said, “We are
thrilled to have this group of strategic, like-minded partners
investing alongside us in the Brookfield Global Transition Fund. We
all believe that private capital has a critical role to play in
addressing climate change. Our collaboration reflects our shared
determination to mobilize the resources of the private sector in
delivering the innovative and impactful solutions required to
effect change. We look forward to working closely with these and
other investors in the Fund to deliver a positive societal impact
while generating attractive returns.”
Mark Carney, Brookfield Vice Chair and Head of
Transition Investing, added, “Brookfield is committed to achieving
net-zero by 2050 or sooner, and to accelerating the global net-zero
transition. As the world increasingly focuses on sustainability,
the required capital and investable opportunities are expanding
faster than originally expected, creating an even greater
opportunity for large-scale investments that address climate change
and generate attractive returns. Through this Fund, we are pleased
to partner with best-in-class institutions to commit the capital
required to scale clean energy and catalyze companies onto
Paris-aligned net-zero pathways.”
He continued, “Enabling the transition will
require global reach, large-scale capital, and deep operating
expertise in renewable energy and decarbonization. As a leader
across these capabilities, we look forward to engaging with these
and other investors to drive meaningful and measurable change to
the benefit of their portfolios and our planet.”
Ziad Hindo, Chief Investment Officer of Ontario
Teachers’ said, “By making a significant commitment to the
Brookfield Global Transition Fund, we are investing our capital in
a way that will benefit the environment and society while also
earning attractive risk-adjusted returns to pay pensions. This
investment is an example of how we can use our scale, engagement
and influence to help accelerate the transition to a low-carbon
economy and create a sustainable climate future. We are pleased to
partner with Brookfield on this fund to strategically complement
our own global infrastructure and climate-related investing
activities and expertise.”
Steve Howard, Chief Sustainability Officer of
Temasek added, “The global transition to net-zero emissions
presents unique opportunities for investors seeking to deliver
sustainable value over the long term. The partnership with
Brookfield complements our strategy to invest in climate-aligned
initiatives which we believe will be instrumental in accelerating
carbon abatement and helping deliver on the Paris Agreement. We
look forward to combining capabilities, experience, and catalytic
capital to drive critical climate action at scale.”
About the Brookfield Global Transition
Fund
The Brookfield Global Transition Fund, co-led by
Mark Carney, Brookfield Vice Chair and Head of Transition
Investing, and Connor Teskey, CEO of Brookfield Renewables, is
Brookfield’s inaugural impact fund focusing on investments that
accelerate the global transition to a net-zero carbon economy,
while delivering strong risk-adjusted returns to investors. The
Fund targets investment opportunities relating to reducing
greenhouse gas emissions and energy consumption, as well as
increasing low-carbon energy capacity and supporting sustainable
solutions. Consistent with its dual objectives of earning
strong risk-adjusted returns and generating a measurable positive
environmental change, the Fund will report to investors on both its
financial and environmental impact performance.
About Brookfield Asset Management
Brookfield Asset Management is a leading global
alternative asset manager with over US$600 billion of assets
under management across real estate, infrastructure, renewable
power, private equity and credit. Brookfield owns and operates
long-life assets and businesses, many of which form the backbone of
the global economy. Utilizing its global reach, access to
large-scale capital and operational expertise, Brookfield offers a
range of alternative investment products to investors around the
world—including public and private pension plans, endowments and
foundations, sovereign wealth funds, financial institutions,
insurance companies and private wealth investors.
Brookfield’s renewable power business is a
leader in decarbonization strategies, as one of the world’s largest
investors, owners, and operators of renewable power with
approximately $60 billion in assets under management, installed
capacity of 21,000 megawatts and a 27,000 megawatt pipeline.
As a signatory to the Net Zero Asset Managers
initiative, Brookfield is committed to the goal of achieving
net-zero greenhouse gas emissions by 2050 or sooner—in line with
the Paris Agreement—across all assets under management.
Brookfield Asset Management is listed on the New
York and Toronto stock exchanges under the symbols BAM and BAM.A,
respectively.
About Ontario Teachers’ Pension Plan
Board
Ontario Teachers’ Pension Plan Board (Ontario
Teachers’) is the administrator of Canada’s largest
single-profession pension plan, with C$221.2 billion in net assets
(all figures at December 31, 2020). It holds a diverse global
portfolio of assets, approximately 80% of which is managed
in-house, and has earned an annual total-fund net return of 9.6%
since the plan’s founding in 1990. Ontario Teachers’ is an
independent organization headquartered in Toronto. Its Asia-Pacific
region offices are located in Hong Kong and Singapore, and its
Europe, Middle East & Africa region office is in London. The
defined-benefit plan, which is fully funded, invests and
administers the pensions of the province of Ontario’s 331,000
active and retired teachers. For more information,
visit otpp.com and follow us on
Twitter @OtppInfo.
About Temasek
Temasek is an investment company with a net
portfolio value of S$381 billion (US$283 billion) as at 31 March
2021. Our Temasek Charter defines our three roles as an Investor,
Institution and Steward, and shapes our ethos to do well, do right,
and do good. As a provider of catalytic capital, we seek to enable
solutions to key global challenges. We deploy financial capital to
stimulate innovation and growth; develop human capital to uplift
capabilities and enhance potential; enable natural capital and
foster sustainable solutions for the climate and a better living
environment; and seed social capital to transform lives for a more
inclusive and resilient world. Sustainability is at the core of all
that we do. We actively seek sustainable solutions to address
present and future challenges, as we capture investable
opportunities to bring about a sustainable future for all. For more
information on Temasek, please visit www.temasek.com.sg
About PSP Investments
The Public Sector Pension Investment Board (PSP
Investments) is one of Canada’s largest pension investment managers
with $204.5 billion of net assets under management as of March
31, 2021. It manages a diversified global portfolio composed of
investments in public financial markets, private equity, real
estate, infrastructure, natural resources and credit investments.
Established in 1999, PSP Investments manages and invests
amounts transferred to it by the Government of Canada for the
pension plans of the federal Public Service, the Canadian
Forces, the Royal Canadian Mounted Police and the Reserve Force.
Headquartered in Ottawa, PSP Investments has its principal business
office in Montréal and offices in New York, London and Hong Kong.
For more information, visit investpsp.com or follow us
on Twitter and LinkedIn.
About IMCO
The Investment Management Corporation of Ontario
(IMCO) manages $73.3 billion of assets on behalf of its clients.
IMCO’s mandate is to provide broader public sector institutions
with investment management services, including portfolio
construction advice, better access to a diverse range of asset
classes and sophisticated risk management capabilities. IMCO is an
independent organization, operating at arm’s length from government
and guided by a highly experienced and professional Board of
Directors. For more information on IMCO, please
visit www.imcoinvest.com or follow us on Twitter and
LinkedIn.
For more information, please contact:
Brookfield Media |
Brookfield Investor Relations |
|
|
Claire Holland |
Cara Silverman |
Tel: +1 437 991 2978 |
Tel: +1 416 649 8196 |
claire.holland@brookfield.com |
cara.silverman@brookfield.com |
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