CAAT Pension Plan CEO and Plan Manager Derek Dobson wrote and op-ed for TheFutureEconomy.ca, where he explores how Canada can turn retirement income into an economic engine as our workforce ages, examining the long-term benefits of modern workplace pensions that deliver lifetime income at scale:

Canada will soon join the ranks of countries like Japan, Italy, and Finland that have more than 20% of their population over the age of 65. As a “super-aged” society, we will face unique challenges and opportunities as we adapt to the largest age cohort retiring from the workforce. Now is the time to focus on modernizing retirement income to tap into new sources of economic value. 

As the CEO of one of Canada’s fastest-growing pension plans, with employers across 20 industries, I’ve been working with leaders on the strong business case to improve retirement security. Increasingly, they’re saying that efficient, risk-managed retirement programs can significantly improve attraction, retention, productivity, and employee engagement. This helps them better achieve their strategic goals, while also benefiting Canada.

Financially secure retirees, especially those with predictable lifetime income, are an economic advantage for Canada. They:

• provide a strong, stable, and predictable tax base; 
• strengthen consumer spending; and
• reduce costs and pressure on social programs. 

Yet, in Canada, too few workplaces are participating in effective retirement programs, and fewer Canadian employees are reaching retirement with financial security. The challenge here is the lack of utilization of Canada’s modern pension model. This is a missed opportunity for individuals, businesses, and Canada, and it has a significant impact on us all.

Retirement Insecurity Will Cost the Economy

Canadians across generations are worried about retirement. For employees over age 45, their ability to retire is their highest concern—outweighing managing work-life balance and personal debt. Various studies show that all generations fear running out of money in retirement, with some average savings estimates as low as $5,000. 

These aren’t just personal finance concerns; they are macroeconomic risks. Deloitte Canada estimates that nearly seven in 10 Canadians now at typical pre-retirement age (55 to 64 years old) will need to consume the bare minimum in retirement or rely heavily on government programs, such as Old Age Security (OAS) and the Canada Pension Plan/Quebec Pension Plan (which barely cover basic living expenses). That’s over two million Canadians in that cohort alone.  

Today, these safety nets come at a higher relative cost than when they were introduced over 50 years ago. OAS is not pre-funded but is paid through general tax revenue from Canada’s shrinking working-age taxpayer base. Health care costs continue to rise as Canadians live longer. Demand for long-term care options far outpaces supply. A report by the Conference Board of Canada shows the average public health care cost of a 65-year-old is 400% higher than the cost for those below age 65 and will continue to rise starkly in the mid-to-late retirement years. 

Statistics Canada projects that Canada’s senior population aged 85 and over will grow from 911,900 people in 2024 to between 3.2 and 4.1 million by 2074. Social programs will grapple with added pressure at the same time governments are reckoning with growing debts and the need to invest in long-term economic prosperity.

We can improve the outlook for future retirees by providing better retirement solutions to more employees now. Changes today can pay huge dividends in the future. 

We Save Better When We Save Together

Too many Canadians are on their own when it comes to funding their retirement, which for most will be between 20 and 30 years. We know Canadian employees want a secure retirement. The good news is that employers that are offering lifetime retirement income plans have shared that effective retirement programs can dramatically improve employee retention and engagement, which in turn drives business success. But many employers believe they can’t afford to offer what their employees want. And they can’t, if they do it alone.

Advancing collective solutions to fund retirements is the next step towards a financially independent retiree class and a healthier economy. Canada has a world-class model that can deliver valuable retirement income efficiently and at scale for the private, non-profit, and broader public sectors.

Canadians enrolled in large, well-managed pension plans benefit from pooled resources that lower investment costs, grant access to asset classes that are not readily available in the retail market, and, based on several studies, receive up to twice the income per contribution dollar compared to other retirement savings plans. 

These plans have the expertise and scale to provide valuable pensions for employees with less risk and minimal administration for employers. They are increasingly opening to employers outside their original sectors and jurisdictions. This is broadening access to efficient, pooled retirement income options that share risk and deliver the stability that individuals need. 

Alright, it's US Thanksgiving weekend, Canadians with a well-funded defined-benefit (DB) plan like the one CAAT Pension Plan offers its members have a lot to be thankful for.

But for far too many Canadians this isn't an option, they're left to their own devices and will likely outlive their savings and rely on some income supplementary programs like Old Age Security (OAS) when they grow old to help top off their meagre Canada Pension Plan benefits. 

To put this into context, let's say you retired recently and were wise enough and able to postpone your CPP/ QPP benefits till 70 to get maximum amount and were receiving OAS (that wasn’t clawed back) and were eligible for Guaranteed Income Supplement (GIS) based on your income, you'd be getting just shy of $3,000 a month to cover food, rent, utilities and other expenses. 

That's the maximum amount, great if you're a couple both earning it but most Canadians get nowhere near this amount, they receive far less. And when you factor in the cost of living, it's still not enough to live a decent retirement if you're a widow or divorced living on your own.

As Derek rightly notes, the problem with OAS is "it's not pre-funded but is paid through general tax revenue from Canada’s shrinking working-age taxpayer base."

That means you cannot rely on it as the government might scale it back considerably in the future depending on the country's fiscal health (even if it's political suicide). 

More worrisome, as Canadians age, health problems start mounting and they need money to pay for medication and/or assisted living facilities. 

They become a burden on the healthcare system which is already strained.

We see this being played out across hospitals all over Canada, this problem is only going to get worse as a large subset of the population ages and lives longer.

So what is the solution? Well, I've long argued we need to cover everyone in the working population to get a defined-benefit pension plan similar to the one public sector employees enjoy.

In particular, despite my conservative leanings, I strongly believe good retirement policy is good long-term economic policy.

We need to cover more Canadians who are falling between the cracks and we better get on this sooner rather than later. 

Organizations like CAAT Pension Plan, OPTrust and HOOPP are doing their part but it's not enough, a lot more needs to get done. 

The cost of inaction is devastating, it will place undue pressure on social programs and shackle future generations with a considerable debt burden.

We know what works, let's create another large pension fund modelled after CPP Investments to take care of the retirement needs of Canadians in the private sector.

Let's think big, act boldly and swiftly.

And again, I'm no bleeding heart liberal, I am coming at this problem from a very conservative point of view thinking what's in the best economic interest of the country over the long run. 

And from my vantage point, older Canadians retiring with a safe, secure, predictable income is what is in the best interest of everyone in the country.

So I join Derek Dobson and others who argue we need better retirement solutions for all Canadians. 

The longer we put this off, the worse it will be for our country.

Below, are retirement rules in Canada about to change? In this video, Canada Chronicles uncovers the truth behind the rumours: Will the retirement age rise in 2025? Could new CPP and OAS rules quietly take years off your pension?

The Canada Pension Plan (CPP) and Old Age Security (OAS) are the foundation of financial security for millions of Canadians. With speculation about Canadian retirement laws in 2025, many worry that eligibility might shift, benefits could shrink, or new tax changes could reduce what seniors receive. We’ll break down exactly what’s true, what’s myth, and what you can do to protect your income.

Also, do you have a game plan for when you should start receiving CPP or OAS payments? Here is everything you need to know about CPP, OAS, GIS, and some tips and considerations on how you can maximize these for your retirement.

Michelle Bellefontaine of CBC News reports Alberta tries to legislate ban on lawsuits about AIMCo losses:

The Alberta government is proposing new legislation to prevent public sector pensions from suing the Alberta Investment Management Corp., or AIMCo, for decisions made before November 2024.

Bill 12, the Financial Statutes Amendment Act (No. 2), introduced in the Alberta legislature Tuesday, aims to solve a problem for the government that has existed since 2020 when AIMCo lost $2.1 billion in trading.

AIMCo manages pensions for Alberta public sector workers. The Local Authorities Pension Plan (LAPP), the Public Service Pension Plan (PSPP) and the Special Forces Pension Plan (SFPP) have been trying to recover about $1.3 billion in losses since then via arbitration.

A Court of King’s Bench ruling from 2023 found that AIMCo and the Alberta government would both be held liable for the losses if the pension plans were successful in their arbitration case.

On Tuesday, Finance Minister Nate Horner said the legislation is required to protect Alberta taxpayers. 

“There's no extra fund at AIMCo to cover something like this,” he said during a news conference at the Alberta legislature. 

“It would fall on the backs of Alberta taxpayers, and we're talking about $1.3 billion minimum. We've had lots of conversations about the borrowing the province is already undertaking, and it's something we're not willing to entertain.”

The government said the pension plans are well-funded and the AIMCo losses didn't reduce benefits for members.

Court Ellingson, the NDP MLA for Calgary-Foothills and Opposition critic for finance, said $1.3 billion is a large sum that impacts many people.

"The money still needs to be to be there to pay out those defined benefits," Ellingson said.

"If the money is not there, who's on the hook … who needs to start making up for this $1.3 billion in losses to ensure that those defined benefits continue to be paid?

The 2020 losses were attributed to an investment strategy called a volatility trading strategy, or VOLTS.  

Last year, Horner fired four AIMCo executives — including the CEO — and the entire board of directors, the second major management change in five years.  

Ah, that infamous volatility trading strategy (VOLTS) that cost AIMCo $2.1 billion in trading losses back in 2020.

I remember it well, the The Cboe Volatility Index, known as the VIX, surged nearly 25 points to close at a record high of 82.69 on March 16, 2020, surpassing the peak level of 80.74 on November 21 2008. 

All of a sudden, all those sophisticated pension funds selling volatility in strategies similar to VOLTS got caught with their pants down, and as losses mounted, board of directors panicked and pulled the plug on the strategy at the worst time (the VIX peaked there and subsequently dipped hard, AIMCo would have recovered all its losses but political pressure was too strong).

Anyways, that blowup cost former CEO Kevin Uebelein and former CIO Dale MacMaster their jobs but they received millions in severance pay over the next two years which tells me they had a strong case against the organization (still, optics of paying them over next two years looked horrible as it looked like paying off senior execs to walk away with millions after losing $2.1 billion on one strategy).

Now, I am not going to get into a long argument about this case above because I agree with the Government of Alberta, it's ridiculous to ask Alberta's taxpayers to pony up the $2.1 billion in losses from VOLTS.

If it was any other fund, that money would be lost forever but because AIMCo is backstopped by the government -- ie. taxpayers -- they think they are entitled to this money.

No, they are not, it's gone forever.

More importantly, AIMCo is doing a good job managing assets over the long run and these plans are not in a deficit, they're in good shape so they have more than enough assets to meet future liabilities.

Even if there was a huge shortfall, they are not entitled to the $2.1 billion that was lost from VOLTS. 

In other news, the Public Service Alliance of Canada  (PSAC) notes Budget 2025 hints at pension cut for federal workers:

PSAC is concerned the federal government may be preparing to claw back the hard-earned retirement benefits federal public service workers rely on.  

Under the "Equitable Public Sector Retirement Benefits" section of the 2025 budget, the government suggests that federal public service workers are “overcontributing” to their federal pension plans and the Canada or Quebec Pension Plans (CPP/QPP). The government aims to correct the issue, promising this will save money both for the government and federal workers.

But this language hints that they plan to reduce pension plan benefits for workers to compensate for recent changes to CPP and QPP. Any proposal that reduces the value of members’ pensions – while framing it as a cost saving for workers – is unacceptable.  

The federal government has already betrayed the trust of workers who contribute to the Public Service Pension Plan. Last year, the Liberal government raided $1.9 billion from pension plan, transferring the funds into the government’s own coffers. That decision directly undermined the retirement security of federal public service workers and set a dangerous precedent for treating the pension plan as a government piggy bank. 

Combined with massive job cuts and sweeping changes to federal labour legislation included in this budget, the pension change is yet another red flag about how this government intends to treat its workers. PSAC will fight any attempt to undermine workers’ rights — including any move that threatens the financial security of our members in retirement. 

Pensions are a core part of our members’ compensation – paid for and earned over a lifetime of service. Any change to pension benefits must be transparent, and should be brought to the unions at the bargaining table – not slipped into the budget as an accounting exercise. 

Prime Minister Carney’s government still has an opportunity to show leadership by protecting and strengthening the pensions workers depend on – not weakening them. 

PSAC is seeking immediate clarification from the federal government on the intent and impact of the pension language in Budget 2025. We will update members as soon as more information becomes available.  

CUPE also raised serious concerns on this issue and I am following it closely.

Still, one area where I disagree with PSAC is this:

The federal government has already betrayed the trust of workers who contribute to the Public Service Pension Plan. Last year, the Liberal government raided $1.9 billion from pension plan, transferring the funds into the government’s own coffers. That decision directly undermined the retirement security of federal public service workers and set a dangerous precedent for treating the pension plan as a government piggy bank. 

The federal government didn't raid your pension plan, there was a huge surplus and since the government backstops your pension, that surplus belongs to the government (ie. taxpayers). 

It really irks me when unions use divisive language and don't lay out the facts properly.

If the government (ie. taxpayers) owns the deficit of these plans, they sure as hell own the surplus too.

Alright, let me stop there, sometimes I read these articles and just can't believe what I'm reading.

Below, Alberta government has introduced Bill 12, the Financial Statutes Amendment Act (No. 2), aiming to stop public sector pension plans from suing AIMCo over $1.3 billion in investment losses from before November 2024.

The New Indian Express reports CPP Investments and IndoSpace acquire six industrial and logistics parks across country:

CHENNAI: Professional investment management firm Canada Pension Plan Investment Board (CPP Investments) and supply chain infrastructure platform IndoSpace on Tuesday announced the acquisition of six industrial and logistics parks for Rs 30 billion (471 million Canadian dollars) by IndoSpace Core, a JV between CPP and IndoSpace set up in 2017.

This acquisition strengthens IndoSpace Core’s position as India’s largest operator of stabilised industrial and logistics real estate. CPP Investments will commit INR 14 billion (C$217 million) to fund the acquisition. CPP Investments owns 93% of IndoSpace Core.

The six assets collectively span 380 acres with a leasable area of approximately nine million square feet, adding to IndoSpace Core’s portfolio of fully developed, income-generating parks. These projects are located in Bengaluru, Chennai, Delhi, Mumbai, and Pune.

“India’s logistics sector continues to benefit from strong structural growth, driven by urbanization and the expanding manufacturing footprint,” said Hari Krishna V, Managing Director, Head of Real Estate India & Mumbai Office Head, CPP Investments.

Anshuman Singh, MD & CEO, IndoSpace, said, “This transaction reflects how India’s logistics sector has evolved into a long-term investment story driven by stable demand and institutional confidence. With over 60 million square feet developed and under development, IndoSpace has established itself as the largest player in India’s industrial and logistics real estate sector.”

He added, “At IndoSpace, our strategy is to remain capital-efficient and proactive in pursuing new development opportunities. As India cements its status as a global manufacturing hub, we are witnessing an increasing demand for high-quality, compliant, and sustainable infrastructure. This is precisely where we envisage our next phase of growth unfolding.”

Following this transaction, IndoSpace Core’s portfolio will expand to 22 million square feet of leasable area across 948 acres, serving over 120 global and domestic companies across six major industrial hubs: Bengaluru, Chennai, Delhi, Hyderabad, Mumbai, and Pune. 

Earlier today, CPP Investments issued a press release stating it has entered into an agreement with IndoSpace to expand their joint venture with a US$300 million acquisition of six logistics parks:

MUMBAI, India (November 25, 2025) – Canada Pension Plan Investment Board (CPP Investments) and IndoSpace today announced the acquisition of six industrial and logistics parks, valued at INR 30 billion (C$471 million), by IndoSpace Core, a joint venture established in 2017 to acquire and develop logistics facilities across India.

This acquisition strengthens IndoSpace Core’s position as India’s largest operator of stabilized industrial and logistics real estate. CPP Investments will commit INR 14 billion (C$217 million) to fund the acquisition. CPP Investments owns 93% of IndoSpace Core.

The six assets collectively span 380 acres with a leasable area of approximately nine million square feet, adding to IndoSpace Core’s portfolio of fully developed, income-generating parks. These projects are located in India’s key logistics markets, including Bengaluru, Chennai, Delhi, Mumbai, and Pune.

“India’s logistics sector continues to benefit from strong structural growth, driven by urbanization and the expanding manufacturing footprint,” said Hari Krishna V, Managing Director, Head of Real Estate India & Mumbai Office Head, CPP Investments. “Our longstanding partnership with IndoSpace has enabled us to capture high-quality opportunities in this space. We believe this acquisition will deliver attractive, risk-adjusted returns for CPP contributors and beneficiaries.”

Commenting on the development, Anshuman Singh, MD & CEO, IndoSpace, said, “This transaction reflects how India’s logistics sector has evolved into a long-term investment story driven by stable demand and institutional confidence. With over 60 million square feet developed and under development, IndoSpace has established itself as the largest player in India’s industrial and logistics real estate sector. This acquisition further reinforces the strength of our partnership with CPP Investments, built on a shared belief in India’s potential as a global hub.”

He added, “At IndoSpace, our strategy is to remain capital-efficient and proactive in pursuing new development opportunities. As India cements its status as a global manufacturing hub, we are witnessing an increasing demand for high-quality, compliant, and sustainable infrastructure. This is precisely where we envisage our next phase of growth unfolding.”

Following this transaction, IndoSpace Core’s portfolio will expand to 22 million square feet of leasable area across 948 acres, serving over 120 global and domestic companies across six major industrial hubs: Bengaluru, Chennai, Delhi, Hyderabad, Mumbai, and Pune.

About CPP Investments

Canada Pension Plan Investment Board (CPP Investments™) is a professional investment management organization that manages the Canada Pension Plan Fund in the best interest of the more than 22 million contributors and beneficiaries. In order to build diversified portfolios of assets, we make investments around the world in public equities, private equities, real estate, infrastructure, fixed income and alternative strategies including in partnership with funds. Headquartered in Toronto, with offices in Hong Kong, London, Mumbai, New York City, San Francisco, São Paulo and Sydney, CPP Investments is governed and managed independently of the Canada Pension Plan and at arm’s length from governments. At September 30, 2025, the Fund totalled C$777.5 billion. For more information, please visit www.cppinvestments.com or follow us on LinkedIn, Instagram or on X @CPPInvestments.

About IndoSpace

IndoSpace is India’s leading fully integrated supply chain infrastructure platform. With over 60 million sq. ft. of infrastructure across 50+ strategically located hubs since its inception in 2007, IndoSpace powers more than 150 industry leaders across manufacturing, electronics, 3PL, e-commerce, retail, and automotive sectors.

Aligned with the vision of PM Gati Shakti, the National Logistics Policy (NLP), and Make in India, IndoSpace contributes to India’s supply chain industry by delivering scalable and sustainable infrastructure solutions that enhance efficiency and accelerate manufacturing growth. By integrating technology, sustainability, and operational excellence, IndoSpace continues to shape logistics ecosystems and strengthen its role as a key enabler in India’s growth narrative. 

This is another great deal for CPP Investments partnering up with IndoSpace to secure great logistics properties in India.

By now, everyone knows that logistics is the place to be, especially in fast growing countries like India where the middle class is growing, urbanization is taking hold and more and more people are ordering their items online, similar to North America.

This summer, I read an interesting article that with 26% youth and growing middle-class population, India becomes attractive market for Korean brands:

Korean fashion and food companies are increasingly turning their attention to India, driven by growing interest from local youth and middle-class consumers in clothing worn and foods eaten by K-drama characters and K-pop stars.
 
“Out of India’s 1.4 billion people, 26 percent are in their teens or 20s, making them quick to embrace new cultures,” said an industry insider. “That appetite is now expanding into fashion and food consumption.” 

India has been among the world’s five largest economies since 2014, maintaining an average annual growth rate in the 7 percent range, according to the Korea Trade-Investment Promotion Agency (Kotra).
 
The country’s fashion market, in particular, is showing strong growth. Market research firm Statista projects India’s fashion market will grow from $105.5 billion in 2024 to $122.4 billion by 2028. 

Korean companies are targeting India’s middle class, which numbers approximately 430 million. With rapid industrialization, this segment has expanded, and those with annual incomes between $10,000 and $25,000 are showing heightened interest in fashion. 

“India’s caste system previously hindered the development of the fashion industry,” said a fashion industry source. “Korean clothing, which features high-quality fabrics and design but is more affordable than European or American brands, has become popular.”
 
“The rise in India’s golf population — now at 3.5 million — has also boosted interest in golf wear, which benefits K-fashion,” the insider said.
  
Capitalizing on this trend, LF is preparing to introduce its fashion brand Hazzys to India. In March, it signed a strategic export agreement with local investment firm Asian Brands Corp and plans to open the first store under a local brand in the second half of this year — the first Korean fashion label to do so. 
 
“We will lead with golf wear and expand to various products, aiming to open 10 brand stores within three years,” said LF. 

The K-food market in India is also expanding. In addition to snacks like Pepero and Choco Pie and instant noodles, there is now growing demand for frozen foods such as ice cream and even alcoholic beverages. According to Kotra, Korea’s food exports to India grew from $3.77 million in 2019 to $8.26 million in 2022, and $11.64 million in 2023.
 
Lotte has been particularly aggressive. In February, Lotte Wellfood completed a factory in Pune, India, where it has added a frozen dessert line to produce frozen dessert brands such as Dweji Bar and Jaws Bar. The demand for frozen products is growing as India’s cold chain infrastructure improves. Lotte Group Chairman Shin Dong-bin attended the factory’s completion ceremony and emphasized, “India is a key milestone in Lotte’s global food business.”
 
Orion also made a fresh capital injection of 6.7 billion won ($4.9 million) into its Indian subsidiary this January to fund operations and production facilities. The company’s revenue in India surged from just 3.1 billion won in 2021 to 21.1 billion won last year, prompting continued investment. Traditional liquor maker Andong Soju also entered the Indian market last year, focusing on fruit-based liquors with alcohol contents of 16.5 percent and 12 percent.
 
“With Korea facing declining birthrate and slowing growth, India offers an attractive destination for expansion,” said a food industry insider. “We expect more investment in the near future.” 

What does South Korea's interest in India have to do with logistics properties? Well, all these multinationals from Asia to North America looking to gain a foothold into India's burgeoning market need facilities to store their items.

In other words, it's all related and the dominant trend driving all this is a growing young population with more disposable income.  

Lastly, a week ago I noted that OTPP disbanded its Asia real estate team and OMERS cut its Asia buyout team. 

Basically, they weren't producing the deal flow to justify their operations but as CPP Investments demonstrates, if you partner with the right groups in India, you can still land great deals.

Below, creating and operating the finest and largest network of industrial and logistics real estate assets in India, IndoSpace brings to you state-of-the-art Grade-A warehousing spaces that add value to your business. Great partner for CPP Investments.

Also, Girish Ramachandran, President of Growth Markets at Tata Consultancy Services, shared insights on the TCS‑TPG partnership, expansion into AI data centers, talent strategy, and growth prospects across emerging markets. He spoke exclusively with Haslinda Amin on the sidelines of Bloomberg’s New Economy Forum four days ago.

Privina Ramanan of Private Debt Investor reports La Caisse looks to double its private credit portfolio in the next five years: 

Private credit has become a significant asset class for Canadian institutional investor La Caisse (formerly CDPQ) as it looks to double its exposure in the next five years.

Speaking to Private Debt Investor, the institution revealed that the team sees a lot of opportunity in the asset class. A predominant portion of its private credit activities are reserved for direct lending, but in the past five years it has added exposure through other complementary strategies.

La Caisse has four verticals in which it invests in private credit – corporate credit, infrastructure financing, real estate finance and capital solutions, which focuses on opportunities in asset-backed strategies for tangible and financial assets.

For corporate credit, the team has been looking at large unitranche deals but it also covers mid-market opportunities in specific sectors of interest, namely technology and software, healthcare, education, financial and business services.

In terms of regions, while La Caisse is a global investor, the private credit teams primarily focus on opportunities in Europe and North America, due to the depth of these markets and their scalability.

Alright, I saw this last week and my first thought was why come out now and let the world know you want to double your allocation to private credit when the asset class has all sorts of cracks forming?

Four days ago, the Financial Times reported on Blue Owl’s private credit fund U-turn, stressing buyout firms, but today Reuters is reporting the firm is considering reviving merger of private credit funds, contingent on fund's share price.

As Bloomberg rightly notes, in private credit, Blue Owl is the sum of all investor fears. 

Basically, we have an asset class that has enjoyed unprecedented strength and growth and hasn't been battle tested in a recession and that makes investors nervous.

Still, some of the industry's biggest investors have come out recently to defend the asset class, stating people have 'lost their minds' over private credit fears.  

I don't know, I don't put Apollo and Blackstone in the same boat as a lot of newer funds trying to capitalize on a trend.

Getting back to La Caisse, the head of Private Credit there is Jérôme Marquis who leads the Corporate and Infrastructure Credit, Real Estate Finance, Capital Solutions and Private Credit Portfolio Analysis teams. 

Most of the lending they do in private credit is in assets they back and know extremely well, but they also do unitranche deals in mid-market spaces where they are active in private equity namely, technology and software, healthcare, education, financial and business services.

Jérôme Marquis reports to Martin Longchamps, Executive Vice-President and Head of Private Equity and Private Credit. 

When Marc Cormier retired, Private Credit left the Fixed Income group to merge with Private Equity.

There are some governance issues there but I'm sure they've sorted them out (typically Private Credit is part of Fixed Income or part of an overall Credit group like at CPP Investments, not part of Private Equity because you don't want those investing in funds also investing in the credit tranches backing those funds).

Anyway, Jérôme and his team are smart, they know what they're doing and I wouldn't be surprised if they are privately hoping for major dislocations in the asset class over the next five years so they can capitalize on opportunities as they arise.

All this to say, the timing of this announcement might seem odd (top pf the private credit market?) but it makes sense when you take a step back and understand their business and what they are doing there.

I can't add more to this comment without a full on discussion with Jérôme Marquis and  Martin Longchamps but I doubt I will gain access to them.

People get really nervous when it comes to Private Credit, they like to keep things close to their chest.

Below, Blue Owl had just announced it was scrapping a planned merger of two of its private credit funds, backtracking on a plan revealed Nov. 5 after scrutiny arose over the potential losses some investors would have to swallow as part of the deal. The parent company’s shares had fallen this week to the lowest level since 2023. Listen to this Bloomberg podcast.

Also, Apollo's Marc Rowan says he’s not worried about Jamie Dimon’s reference to hidden “cockroaches” in private credit.