La Caisse

History and evolution

The Caisse de dépôt et placement du Québec was created by an act of the National Assembly on July 15, 1965, under the government of Jean Lesage. Its initial purpose was to manage the funds of the newly established Québec Pension Plan. In its early years, the fund's portfolio was heavily concentrated in Québec government bonds and Hydro-Québec securities. It made its first equity investment in Alcan Aluminium in 1967 and its first commercial mortgage loans the same year.

The 1980s marked a period of geographic and sectoral diversification. The Caisse entered international equity markets in 1983 and made its first international private equity investment in Compagnie financière Martin Maurel in France in 1984. Its real estate activities began with the acquisition of Place Delta in Sainte-Foy in 1980. The fund also acquired its first international real estate property, the Centre de conférence Albert-Borschette in Brussels, in 1993.

The 1990s saw further strategic shifts. A 1997 legislative change increased the allowable equity allocation in its portfolio from 40 percent to 70 percent. The fund moved into infrastructure investment in 1999 with the construction of Highway 407 in Toronto. The 2008 global financial crisis resulted in a significant loss of $42.5 billion for the Caisse. In response, it launched a major plan to support Québec businesses in 2009.

The period from 2010 onward has been characterized by accelerated growth and organizational innovation. The Caisse created the Global Quality Equity Portfolio in 2013. It consolidated its real estate holdings under the Ivanhoé Cambridge banner in 2011. It established CDPQ Infra in 2015 to act as a principal contractor for major infrastructure projects. A significant strategic milestone was announced in 2021, with a commitment to divest from all oil production assets by 2022.

Governance and depositors

La Caisse operates under a stable legal framework established by An Act respecting the Caisse de dépôt et placement du Québec. Its mandate, explicitly defined in 2005 and amended in 2015, is to manage deposits to achieve optimal returns within depositors' policies while contributing to Québec's economic development. The 2015 amendment also explicitly states that the institution acts with full independence in accordance with the Act. Governance is overseen by a board of directors with up to 15 members, two-thirds of whom must be independent.

The board includes the chair, the president and CEO, depositor representatives, and independent members appointed by the Québec government after consultation with the board. The position of chair of the board of directors is separate from that of president and chief executive officer. The executive committee is composed of the president and CEO and the senior officers of the Caisse's various sectors. This committee is responsible for the day-to-day management of the institution. The institution manages funds on behalf of 48 depositors, which include most of Québec's major public and parapublic pension and insurance plans. As of December 31, 2022, the eight largest depositors represented 96.4 percent of its net assets. These key depositors are the Québec Pension Plan, the Government and Public Employees Retirement Plan (RREGOP), the Pension Plan of Management Personnel (PPMP), the Fonds d'assurance automobile du Québec, the Construction Industry Commission Pension Plan, the Supplemental Pension Plan for Employees of the City of Montreal, the Pension Plan of Certain Teachers, and the Pension Plan for Federal Employees in Québec.

Investment strategy and portfolio

La Caisse's investment strategy is built around five priorities: optimal financial performance, supporting the Québec economy, maintaining a worldwide presence, sustainable investing, and leveraging technology. Its portfolio is globally diversified across multiple asset classes designed to deliver stable, long-term returns. The fund's geographic exposure is based on the main place of business of the companies or issuers it invests in, or the location of its real estate properties. This global reach is supported by a network of international offices in key financial centres including New York, London, Singapore, Mexico City, São Paulo, Paris, New Delhi, and Sydney.

The core of the portfolio is divided into four main asset categories. The equity segment includes global quality equity, Canadian equity, emerging markets equity, U.S. equity, EAFE (Europe, Australasia, Far East) equity, and private equity holdings. Fixed income encompasses bonds, estate debt, and short and long-term bonds. Inflation-sensitive investments include real estate, infrastructure, and real-return bonds. The final category is for other investments.

As of June 30, 2023, the fund managed assets of C$424 billion. La Caisse is also a major global issuer of debt securities, using financing programs to optimize its investment strategies. The institution maintains high credit ratings from DBRS, Fitch, Moody's, and Standard & Poor's, which facilitate its access to capital markets. These ratings reflect its strong financial position and risk management framework.

Major subsidiaries and operations

La Caisse conducts much of its specialized investment activity through three principal subsidiaries, all headquartered in Montreal's Édifice Jacques-Parizeau. These are Ivanhoé Cambridge, Otéra Capital, and CDPQ Infra. Each subsidiary focuses on a distinct asset class and operates with a high degree of expertise. Their combined efforts contribute significantly to the overall portfolio's performance and diversification.

Ivanhoé Cambridge is the real estate subsidiary of the CDPQ. It invests in and manages a global portfolio of office towers, shopping centres, logistics properties, and multi-residential buildings. Its major projects include CIBC Square in Toronto and the Tours Duo complex in Paris. The subsidiary is also active in sustainable finance, having issued green bonds to fund environmentally friendly projects.

Otéra Capital provides commercial real estate debt financing across North America. As of December 31, 2022, it managed a loan portfolio exceeding C$29 billion, offering financing for office, industrial, retail, multi-family, hospitality, and seniors' housing sectors. Otéra has offices in Toronto, Vancouver, New York, and Los Angeles. It has granted green loans for sustainable building projects, demonstrating its commitment to environmental principles.

CDPQ Infra is dedicated to the development, financing, and operation of major public infrastructure projects. It was created in 2015 following a proposal by La Caisse to the Québec government for a new model to deliver large-scale transit projects. CDPQ Infra is responsible for all phases of a project, from planning and financing to execution and long-term operation. Its flagship project is the Réseau express métropolitain (REM) in Greater Montreal.

Key infrastructure projects

La Caisse, primarily through its subsidiary CDPQ Infra, has become a leading participant in financing and delivering major public infrastructure, particularly in public transit. Its approach involves acting as a long-term owner and operator, which aligns its financial returns with the project's long-term success and efficiency. This model was first applied in Québec and has since attracted interest from other jurisdictions. The federal government's high-speed rail initiative is one example of this expanded interest.

The Réseau express métropolitain (REM) is CDPQ Infra's inaugural and most significant project. It is a fully electric, automated light rail network serving the Greater Montreal region. Proposed by La Caisse in 2015 and unveiled in 2016, the REM represents an investment of approximately $5.5 billion. CDPQ Infra committed $3 billion as the majority shareholder for this project.

Construction began in April 2018, with the first segment between Brossard and Central Station opening in 2023. Upon completion in 2027, the 67-kilometre network with 26 stations will connect downtown Montreal, the South Shore, the North Shore, the West Island, and Montréal, Trudeau International Airport. The project aims to improve commuter mobility and reduce greenhouse gas emissions. It is also expected to create thousands of jobs and stimulate economic growth along its corridor.

Prior to the REM, La Caisse was involved in the Canada Line project in Metro Vancouver. It was part of the InTransit BC consortium, which also included AtkinsRéalis (then SNC-Lavalin). The consortium won the public-private partnership contract to finance, build, and operate the rapid transit line. The Canada Line connects downtown Vancouver to Vancouver International Airport and the city of Richmond.

The project involved tunnelling under the Fraser River and opened to the public in 2009. It has since become a critical component of the region's transit system. The line was delivered on time and within budget. This project demonstrated La Caisse's early capability in complex infrastructure delivery.

Sustainable investing and recognition

La Caisse has integrated environmental, social, and governance (ESG) factors into its investment process for nearly two decades. It adopted a formal responsible investing policy in 2004 and was an early signatory to the United Nations Principles for Responsible Investment in 2006. A major strategic shift occurred in September 2021 when it announced a climate strategy. This strategy included divesting all remaining oil production assets, worth $3.9 billion, by 2022.

The institution's performance and approach have garnered significant international recognition from industry publications and benchmarks. In 2022, the sovereign wealth fund research firm Global SWF awarded La Caisse its Fund of the Year award. The following year, Infrastructure Investor magazine ranked it as the world's top institutional investor in infrastructure based on asset size in its Global Investor 50 list. The World Benchmarking Alliance ranked La Caisse first among 59 global pension funds in its sustainable finance assessment.

• 2022: Global SWF Fund of the Year award.
• 2023: Ranked first in Infrastructure Investor's Global Investor 50 list.
• 2023: Received the Terra Carta Seal from the Sustainable Markets Initiative.
• 2023: Ranked first among global pension funds by the World Benchmarking Alliance for sustainable finance.

These accolades reflect the institution's dual focus on achieving strong financial returns and generating positive societal impact. Otéra Capital has a strong commitment to environmental, social, and governance principles. It has granted a green loan to a sustainable office building project in Toronto. The Caisse strives to generate positive impacts for society and the environment through all its investment activities.

Questions about La Caisse

What is La Caisse and what is its purpose?

The Caisse de dépôt et placement du Québec (CDPQ), operating as La Caisse, is an institutional investor that manages several public and parapublic pension plans and insurance programs in Quebec. It was established on July 15, 1965 by an act of the National Assembly. Its mandate is to invest the funds prudently and profitably while also contributing to Quebec's economic development. It manages the funds of plans like the Quebec Pension Plan, the Government and Public Employees Retirement Plan (RREGOP), and the Pension Plan of Management Personnel (PPMP).

How much money does La Caisse manage?

As of December 31, 2024, the CDPQ managed assets of C$473 billion. It is the second-largest pension fund in Canada, after the Canada Pension Plan Investment Board. The CDPQ is one of Canada's top eight pension funds, nicknamed the Maple 8. Its portfolio is invested in sectors including private equity, fixed income, real estate, infrastructure, and renewable energy, in Canada and elsewhere.

What are some major projects built by La Caisse?

La Caisse is notably involved in major public infrastructure, primarily through its subsidiary CDPQ Infra. Its flagship project is the Réseau express métropolitain (REM), a $5.5 billion automated light rail network under construction in Greater Montreal, set for completion in 2027. Previously, it was part of the consortium that financed, built, and operates the Canada Line SkyTrain in Vancouver, which opened in 2009. In 2025, CDPQ Infra was also selected to co-develop a high-speed rail project in Canada as part of a consortium with the federal crown corporation Alto.

Does La Caisse invest outside of Canada?

Yes, La Caisse has a significant worldwide presence. Its investment portfolio is globally diversified, with holdings across North and South America, Europe, Asia, and Australia. To manage these international investments, it maintains offices in key financial centres including New York, London, Singapore, Mexico City, São Paulo, Paris, New Delhi, and Sydney. Its real estate subsidiary owns properties like the Tours Duo in Paris, and it has made private equity investments in companies around the world for decades.

What is La Caisse's approach to climate change and sustainable investing?

La Caisse's approach to climate change includes a long-standing commitment to sustainable investing, with a formal policy adopted in 2004. In a significant 2021 announcement, it stated it would divest its remaining $3.9 billion in oil production assets by 2022. The institution integrates environmental, social, and governance factors into its investment analysis. This leadership has been recognized with awards like the 2023 Terra Carta Seal and a first-place ranking among global pension funds from the World Benchmarking Alliance for sustainable finance.

Who oversees and governs La Caisse?

La Caisse is governed by an independent board of directors of up to 15 members, two-thirds of whom must be independent from management. The board includes the chair, the president and CEO, representatives from its depositors, and independent members appointed by the Québec government after consultation. The institution operates under a specific Act of the National Assembly which grants it full independence in executing its investment mandate. Day-to-day operations are led by an executive committee headed by the president and CEO.

Sources and further reading

• La Caisse (Wikipedia)
• Investor Relations | La Caisse (lacaisse.com)

Checked by the Nosy Mag desk. Last updated 2026-10-25.