Darcy Song of Top1000Funds takes a peek inside CPP Investments’ TPA engine:

It has been two decades since CPP Investments, Canada’s largest pension fund, first adopted the total portfolio approach, swapping out asset class labels for underlying drivers of performance as guidelines to portfolio construction.

Looking back on the revolution, the C$780 billion pension giant outlined in a recent paper the five pillars of TPA through which it achieves “disciplined flexibility”, allowing the fund to preserve “the ability to deliver exposures efficiently and adjust by choice rather than necessity”.

While CPP Investments made the first foray into TPA in 2006, it wasn’t until 2016 that the fund “institutionalised” the framework and set targeted market risk and desired exposures to economic drivers at a total fund level. It then separated the investments into an active portfolio and a highly liquid, passive “balancing portfolio”.

Central to CPP Investments’ TPA framework is the idea of “relative value” which determines how capital competes across its active strategies, the paper said. The process shifts the focus of evaluation of active risk away from headline IRRs to alpha excluding all costs but taking into consideration liquidity consumption and balance sheet capacity.   

This is especially useful for discerning the true value-add of private investments, which need to generate a rate of return above market beta and also compensate for the liquidity consumption and reduced optimality they cause in the portfolio.

“Traditional asset-class silos obscure these trade-offs. Allocation bands can implicitly treat private assets as inherently diversifying or alpha-generating,” said the paper, co-authored by Sally Shen, Derek Walker and Geoffrey Rubin from CPP Investments’ insight and total fund teams.

“Under the relative value framework, public and private investments compete explicitly on a common risk-adjusted basis, taking these considerations into account.”

The relative value framework applies to both new and existing investments as the decisions to resize or sell down assets carry the same importance to new deployments, the paper said.

“The relative value framework is integrated with exposure management as a continuous, repeatable process: capital allocation affects portfolio exposures; exposures are measured against strategic targets; deviations trigger rebalancing actions.”

The other four pillars around the relative value framework are factor exposures [See CPP evolves total portfolio approach], liquidity, leverage and currency.

Canadian funds have been big proponents of applying leverage in pension management and CPP Investments began using this tool over a decade ago. Its leverage is managed at a total fund level and assessed alongside the funding capacity and collateral demands and other balance sheet factors.

The paper emphasised that leverage is not used as a tool to scale risk and boost return but as a tool to support diversification. To meet CPP Investments’ return target, an unlevered portfolio is likely to be overexposed to the growth factor whereas with leverage, it can “provide a more attractive mix of beta that moderates inherent growth and inflation biases”.

Leverage is also used as a tool to recalibrate risk levels across the total fund.

“For example, if higher-risk private-market exposures increase, total fund leverage can be reduced to maintain the calibrated risk target. If it declines, leverage can increase accordingly,” the paper said.

“In this sense, leverage functions as a balance sheet risk stabiliser: it absorbs shifts in portfolio composition and risk conditions while preserving overall portfolio risk.”

Leverage goes hand in hand with liquidity management which the fund considers on two dimensions: market liquidity (the ability to transact without great price impacts) and funding liquidity (meeting cash obligations).

“Liquid capital—unencumbered assets within the passive balancing portfolio—is structured to absorb shocks while remaining invested… In contrast, the active portfolio is treated as illiquid to preserve the integrity of long-term investment strategies,” the paper said.

“Resilience is monitored through multi-horizon liquidity coverage ratios, which test whether coverage assets, net of haircuts and combined with forecasted inflows, are sufficient to meet stressed obligations. Leverage capacity is explicitly linked to these thresholds.”

The fund conceded that TPA does require investors to be able to handle more portfolio complexities, but in an environment defined by geopolitical upheavals and regime shifts, “prudent design and adaptability matter more than speed”.

“The total portfolio approach cannot eliminate uncertainty, but when properly implemented, it does help build resilience to it. In doing so, it creates a durable institutional advantage for long-horizon investors like CPP Investments, strengthening our ability to weather the storms ahead.”

You can read the paper written by Sally Shen, Derek Walker and Geoffrey Rubin (featured above) titled "Investing in Uncertain Times: Achieving Disciplined Flexibility in the Total Portfolio Approach" on CPP Investments' website here , and the report can be downloaded here.

It is excellent, an in-depth look at a topic that everyone is discussing but few have mastered.

I'm not going to print it all here but like the way it begins:

Markets have entered a period of sustained geopolitical and economic uncertainty. Wars in Europe and the Middle East, fragmentation among major economies, inflation shocks, and volatile liquidity and financing conditions have unsettled long-standing market frameworks, challenging assumptions about diversification and correlations across assets and risk factors. For institutional investors, the question is no longer whether shocks will occur, but how to ensure their portfolios are resilient and responsive when they do1. In this environment, the Total Portfolio Approach (TPA) is often presented as an antidote to uncertainty, a framework that promises adaptability across market environments. Yet there is limited clarity on how that flexibility works, how it is implemented, and what its limitations are. Indeed, flexibility within a TPA is not a “magic wand” of unconstrained agility that can address all threats to a portfolio. Rather, it is a governance and portfolio management architecture that builds an exposure profile that can adjust as conditions change. This stands in contrast to traditional strategic asset allocation frameworks, where implementation is largely fixed once targets are set. Within calibrated risk targets and centralized governance, TPA enables relative value–driven adjustments and multiple channels for delivering exposure while maintaining alignment with long-term total Fund objectives across market cycles. Flexibility, in this context, is a structural feature of the portfolio management architecture, not just an episodic tool deployed only in moments of opportunity or threat. This paper examines how Canada Pension Plan Investment Board (CPP Investments or the Fund) implements disciplined flexibility within its Total Portfolio Investment Framework, focusing on exposure2, leverage, liquidity and currency management, and relative value decision-making. It explores how these mechanisms interact to deliver a diversified portfolio at a calibrated total Fund risk target while enabling capital to move to its highest-value use as conditions change. This supports the Fund’s ability to remain invested and resilient through different phases of the cycle in pursuit of its 75-year horizon.

The Evolution of a Total Fund Model

CPP Investments’ Total Portfolio Approach didn’t emerge fully formed. It evolved over time—from a relatively simple set of constructs guiding different aspects of the Fund’s portfolio construction, such as the risk targeting framework, to a fully integrated framework that calibrates risk, manages exposures, and considers alpha opportunities, while simultaneously integrating liquidity, leverage, and currency considerations. This evolution reflects CPP Investments’ legislated mandate to maximize returns without undue risk of loss, having regard to factors that may affect the plan’s funding and ability to meet its financial obligations. Risk is therefore assessed with a focus on long-term outcomes, and the organization has the flexibility to align its processes with that mandate.

CPP Investments' has a huge balance sheet and arguably the best team to undertake this total portfolio approach which can be complex at times.

There are a lot of moving parts to its portfolio and at the total fund level, you need a team to make sure risks across public and private markets are being monitored and taken appropriately. that leverage is used to enhance diversification and recalibrate risks across the total fund, and that currency risk is managed well.

The paper concludes by stating this:

Disciplined flexibility is the defining advantage of a Total Portfolio Approach—but only when it is carefully designed and managed and the investor can handle the greater complexity of its day-to-day implementation. At CPP Investments, flexibility is embedded through calibrated risk targets, centralized balance-sheet management, and a relative value discipline that allocates scarce capital to true incremental risk-adjusted return. Flexibility in this framework extends beyond avoiding forced selling to include increased capabilities in implementation, separation of alpha from beta decisions, and the ability to redeploy as views of prospective risk and return change, without compromising total Fund targets. In an environment defined by geopolitical fragmentation, liquidity shocks, and regime shifts, prudent design and adaptability matter more than speed. This flexibility is what enables CPP Investments to remain disciplined through cycles, reinforcing its ability to invest against its long-term mandate. The Total Portfolio Approach cannot eliminate uncertainty, but when properly implemented, it does help build resilience to it. In doing so, it creates a durable institutional advantage for long-horizon investors like CPP Investments, strengthening our ability to weather the storms ahead. 

What I like about this paper is that it clearly outlines how they implement TPA, what it can do and what it cannot do.

They're not looking to be cowboys here, they want to strengthen the total portfolio's resilience and risk-adjusted returns using all the tools available to them.  

In this environment, a great TPA team is critically important.

Lastly, a huge shout-out to Sally Shen, self-proclaimed pension nerd. Sometimes I feel like she's the only person who truly appreciates my comments and understands my passion for the subject matter.

Below, in an increasingly complex and fast-moving risk environment, judgment and discipline matter more than ever. Priti Singh, Chief Risk Officer, shares how CPP Investments approaches risk through a total portfolio lens, and how institutional investors are balancing speed, uncertainty, and long-term decision-making in a changing world.

Also, in this conversation with Bloor Street Capital, Frank Ieraci, Global Head of Active Equities, discusses how CPP Investments approaches risk, asset allocation and security selection across global markets.

He explains how CPP Investments targets risk rather than static asset allocations, how active management drives alpha in public equities, and how the Fund navigates uncertainty in areas such as geopolitics, artificial intelligence and energy transition.

Frank also reflects on investing in Canada, global diversification and what differentiates CPP Investments’ platform from traditional money managers.

John Rapley wrote a comment for the Globe and Mail stating that our pension funds must be sovereign wealth funds, too – even if pensioners take a hit:

This essay is part of the Prosperity’s Path series. In a time of geopolitical instability and a shifting world order, the challenges facing Canada's economy have only gotten more visible, numerous and intense. This series brings solutions.

When the 2008 financial crisis struck, the Bank of Canada followed other central banks in flooding the economy with money, by slashing interest rates and buying government debt. This juiced the economy with borrowed money. But it did nothing to boost its long-term productivity. This effectively took future income and redistributed it to the present.

When wealth races ahead in this manner, something I call the Icarus effect sets in. Initially, rising wealth raises a country’s growth rate by, among other things, creating a larger pool of capital to support investment. But past a certain threshold, wealth becomes a dead weight.

A greater share of investment tends to go to real estate, which sucks income into paying rents – not just on homes but on commercial real estate as well, which raises fixed costs and so can hurt competitiveness. Money gets sucked into stocks as well, but it tends to steer clear of start-ups and innovators and more toward established, conservative but dividend-paying companies. That slows the rate of new business formation and depresses labour productivity. It also undermines regime stability, as young people, who are disproportionately affected, turn against democratic capitalism.

So, if the problem is that the country has enriched itself by redistributing income from the future to the present, the solution is to reverse some of that, ensuring future generations enjoy the same benefits that today’s receive.

The good thing is that we seem to be going in this direction. The past week Prime Minister Mark Carney announced a sovereign wealth fund to invest in nation-building projects and generate returns, “creating even greater opportunities for future generations.” 

On April 27, Prime Minister Mark Carney announced the creation of the Canada Strong Fund, Canada's first sovereign wealth fund.

But Mr. Carney did not go far enough. The fund would have only $25-billion initially. Norway’s sovereign wealth fund, to which Mr. Carney compared Canada’s, has US$1.7-trillion in assets.

There is a next step that governments must take, and that is to expand the mandate of Canada’s pension funds so that they invest more domestically. These funds should effectively become sovereign wealth funds as well.

These institutions manage $2-trillion in assets and have long time horizons. They are big enough, patient enough to make a difference. And they should. Pension funds are, after all, the very embodiment of protecting the future, of deferring income today to spend tomorrow. It’s just that this “future,” and whose future it is, has so far been defined too narrowly.

This idea is admittedly controversial. Two years ago, a group of executives wrote to then-finance minister Chrystia Freeland, calling for the government to “amend the rules governing pension funds to encourage them to invest in Canada.” The initiative stirred considerable pushback, not least from the pension industry itself, which said it would hurt returns. In my own modest contribution to the debate, I doubted the merit of a national-development mandate.

Half of the Canada Pension Plan's holdings are invested in the U.S. economy, an odd mismatch at a time when Canada is trying to lessen its American exposure and fortify its economic sovereignty.

But the world has changed an awful lot since that original debate. After all, Canada did not then face an existential crisis, and the case for a national-development mandate has turned into a national-survival one. Economic sovereignty is what will enable Canada to stand up to a hostile United States, Prime Minister Mark Carney has said. And as former prime minister Stephen Harper said in February, “We must make any sacrifice necessary to preserve the independence and the unity of this blessed land.”

Almost all Canadian pension funds have a purely fiduciary model. Take the biggest of them all, the Canada Pension Plan. As the CPP states, “Our mandate is clear: to invest the assets of the CPP Fund with a view to achieving a maximum rate of return without undue risk of loss.”

But an exception already exists: the Caisse de dépôt et placement du Québec, which has a dual mandate of also contributing to Quebec’s economic development. Notably, this has not proved controversial. Despite the criticism that anything but a purely fiduciary mandate is irresponsible, the Caisse’s returns are in line with other Maple Eight funds. Why not give all funds a similar mandate – and more?

Singapore’s Central Provident Plan provides an illustration of how this can work. Singapore used its pension scheme to accelerate national development by steering toward housing, education and the growth of the local stock market (by allowing members to withdraw some funds to invest in local securities). The results speak for themselves. Measured in per capita income, Singapore was in 1960 poorer than Argentina. Today, it’s richer than Canada.

The specific mechanics might differ greatly – for one, Singaporeans must pay a whopping 20 per cent of their salaries into CPF. But the general idea is worthy of emulation. Canada’s pension system can play a similarly vital role in reallocating resources back into the Canadian economy, steering investment toward emergent businesses with a long-term future and also engaging in a multiyear investment program to build houses, especially at the underserved low end of the market. As happened in Singapore, the reduced cost of housing would free up money for working people, which could then be allocated toward other purposes.

Singapore has seen success using its Central Provident Plan pension scheme to accelerate national development by steering toward housing, education and the growth of the local stock market.

Moreover, while that purely fiduciary requirement has led funds to invest in what they view as stable assets with generous dividends, it has arguably come at the expense not only of the Canadian economy, but of future generations.

For instance, many funds invest heavily in fossil fuels. That neglects the impact carbon emissions will have on future generations and carries an opportunity cost – that money could have gone into other investments. The funds are heavily invested in the U.S. economy – half of CPP’s holdings, for example. That is an odd mismatch at a time when Canada is trying to lessen its American exposure.

An expanded mandate is a way for the funds to fix those issues.

Canada has one of the world’s largest pension funds. As a tool to help steer the country through this moment of difficult transition, and thereby preserve the independence of which Mr. Harper spoke, it could prove extremely potent.

Most Canadian pension funds have a purely fiduciary model, but Quebec’s pension fund manager, the Caisse de dépôt et placement du Québec, has a dual mandate of also contributing to the province’s economic development.

The Caisse’s example notwithstanding, even if an expanded mandate hurts returns, it is a worthy sacrifice. If Canada is to grow its wealth in the long term, and if it’s to build a more dynamic, competitive and diversified economy, over the short term it will need to reduce its wealth. Although wealth is good, since it’s the accumulation of past income surpluses, the problem is that today much of Canada’s wealth is actually the opposite and a drag on growth.

Most importantly, there’s an argument to be made that young people already made their sacrifices for their country and now it’s the turn of their elders.

When the pandemic hit, lockdowns hurt young people’s education, job prospects and mental health, but they were asked to make the sacrifice to protect the vulnerable elderly from COVID-19. They gave a lot. Let them now be assured of a future in a sovereign and prosperous country with the sacrifice that can be made today. 

Oh God! I fundamentally disagree with pretty much everything John Rapley states in his comment, so why am I posting it here?

He's not totally out to lunch. La Caisse has a dual mandate and is delivering solid long-term returns, but I loathe the argument that if La Caisse has a dual mandate, every other major Maple Eight pension fund should too.

Total rubbish! CPP Investments has its own mandate and laws that define its objectives and risk-taking.

All of Canada's Maple Eight invest more than enough in Canada and if Carney governments finally privatizes airports and other major assets, they will invest more domestically.

But let's stop pretending Canada's pension funds will "save our economy" by investing more domestically.

There are intelligent arguments to invest more wisely in Canada, and then there are silly ones like this one.  

Dual mandates are hard; they require great governance and are fraught with risks, like political interference and corruption.

When things go right, you look like a superstar, but when things turn south, you look like a complete fool.

I've seen plenty of organizations suffer major setbacks investing in Canada. I saw the BDC lose its shirt in venture capital during the 2008 GFC. 

Invest more in venture capital, not dividend-paying stocks from stable businesses.  

Really? That's what we want our pension funds to do: to invest more in Canadian venture capital?

Not me, I see a recipe for disaster with this strategy. 

Invest in large infrastructure projects, fine, but in venture capital, tread extremely carefully.

Why? 99 times out of 100, you're going to lose your shirt. 

Notice how Rapley doesn't talk about the insane regulations that have destroyed business formation in Canada. 

No, it's the pension funds' fault for not investing more in venture capital.

Give me a break!

What other nonsense? Oh yeah, how dare CPP Investments invest in oil and gas companies and put 50% of its assets in the US?

Well, thank god John Rapley isn't in charge of asset allocation at CPP Investments. 

Lastly, he writes:

Most importantly, there’s an argument to be made that young people already made their sacrifices for their country and now it’s the turn of their elders. 

Seniors on a fixed income who paid into the CPP all their lives are in no position to make sacrifices, nor should they be asked to.

The job of every pension fund in Canada is to make sure all members -- young and old -- are taken care of when they retire. Full stop.

Dual mandates sound cool but in practice they can be hell, especially if the governance is all wrong and governments continuously interfere in the investment process. 

We all deserve better, a lot better, and we need to trust the fiduciaries of our large pension funds. 

I don't know where this Canada Strong Fund is headed. As I wrote, I have my doubts but want it to succeed. 

I think our government is on the right track if it privatizing airports and other large infrastructure assets.

That all remains to be seen.

But changing the mandate of our large national pension funds to emulate La Caisse or Singapore’s Central Provident Plan?

No thanks, I think we are on the right path and Trump Derangement Syndrome is leading some commentators into recommending the wrong long-term path. 

Below, Prime Minister Mark Carney introduced a sovereign wealth fund for Canada to bolster national projects, create jobs and grow taxpayer money — but it's not a sovereign wealth fund in the traditional sense. Andrew Chang explains the stark differences between the Canada Strong Fund and other countries' sovereign wealth funds, and what we know so far about how it will work.

Jared Blikre of Yahoo Finance reports the stock market just had its best month since the pandemic rebound:

Stocks knocked it out of the park in April.

Wall Street’s April rebound ended the month with a scoreboard that looks more like 2020 than 2026 — and some of the details look even more like the dot-com era.

The S&P 500 (^GSPC) surged over 10% during the month, its best showing since November 2020, while the Nasdaq Composite (^IXIC) jumped more than 15% for its best month since April 2020. The Nasdaq 100 (^NDX) gained nearly 16%, its best month since October 2002.

That was not the setup investors had in mind a month ago, with stocks still shaking off the shock of a major war and the bull market suddenly on defense.

The rally was broad enough to pull smaller stocks along too. The Russell 2000 (^RUT) climbed more than 12%, also its best month since November 2020.

But the S&P 500 equal-weight index rose less than 6%, barely more than half the gain in the cap-weighted S&P 500, and it now sits just under its March highs. That gap shows how much of April’s rally still came from the biggest stocks, not the average one.

Technology did most of the heavy lifting. The Technology Select Sector SPDR Fund (XLK) gained 20%, its best month since October 2002.

Chips were the biggest reason.

The PHLX Semiconductor Index (^SOX) surged more than 40% and had its best month since February 2000 — extending the record-setting semiconductor run that has been driving the AI trade. It logged a record 18-day win streak and rose 13 straight days to record highs.

That strength ran straight through the stock leaderboard.

Intel (INTC) posted its best month ever, adding to the breakout above its dot-com-era ceiling after earnings. AMD (AMD) had its best month since January 2001, while Micron (MU) and Texas Instruments (TXN) had their best months since February 2000.

The same concentration showed up in market value.

Alphabet (GOOG, GOOGL) added roughly $1.2 trillion in April — posting its best month since 2004 — while Amazon (AMZN) and Nvidia (NVDA) each added more than $600 billion. Broadcom (AVGO) tacked on more than $500 billion.

The laggards told the other side of the story.

Energy (XLE) and healthcare (XLV) finished lower in April, while the software comeback that briefly looked promising ended up fading against the semis. The iShares Expanded Tech-Software Sector ETF (IGV) rose less than 5% and is down more than 20% for the year.

April put bulls back in control. The test in May is whether the average stock can start carrying more of the load.

Seal Conlon and Lisa Kailai Han of CNBC also report S&P 500 closes at a new record to usher in May as oil prices cool and Apple rises:

The S&P 500 rose to a fresh all-time intraday high on Friday, boosted by Apple shares, while oil prices fell as a new month of trading got underway.

The broad market index advanced 0.29% to end at 7,230.12. The Nasdaq Composite added 0.89%, reaching an all-time high and closing at 25,114.44. Both indexes posted closing records. The Dow Jones Industrial Average slipped 152.87 points, or 0.31%, to settle at 49,499.27.

Shares of Apple climbed more than 3% after the consumer tech giant posted a fiscal second-quarter earnings and revenue beat. Not only that, the company’s revenue outlook for the current quarter was better than expected, overshadowing the fact that iPhone revenue fell short of estimates for the second time in three quarters.

On the flip side, oil prices fell after Iran reportedly sent its response through Pakistani mediators to the latest U.S. amendments to a draft agreement to end the Middle East conflict.

President Donald Trump revealed later Friday he is displeased with a new peace offer from Iran, saying that the country “wants to make a deal, but I’m not satisfied with it.”

Oil prices were off their lows of the day following that development. U.S. West Texas Intermediate crude futures fell 2.98% to settle at $101.94 a barrel. International benchmark Brent crude futures slid 2.02% to $108.17 a barrel.

The moves come after a record-setting session, with the S&P 500 closing above the 7,200 threshold for the first time ever. That helped both the S&P 500 and Nasdaq — which also notched a new record closing high — secure their strongest monthly performances since 2020. The Dow, meanwhile, saw its strongest monthly performance since November 2024.

A strong first-quarter earnings season, as well as hopes for easing tensions in the Middle East, have ultimately boosted stocks higher on the year. Although the major averages took a dip on the commencement of the U.S. war with Iran, all three indexes are now trading well above where they began 2026.

David Krakauer of Mercer Advisors believes that positive trajectory can continue in the long term for equities. While Krakauer is hopeful that the Iran war will conclude in the near term, leading to a reopening of the Strait of Hormuz, he believes that the earnings growth potential in the U.S. as well as overseas will offer momentum to stocks, even if the conflict persists.

“There could be always new news or some sentiment declining, where we could see a little bit of a pullback here after a strong pop up, but we’re still just overall strategically bullish on equities,” the vice president of portfolio management said.

Noting that there will be winners and losers in technology as “not all” of the artificial intelligence capital expenditures spending is going to “pay off,” Krakauer added, “We think the enhanced productivity story remains intact.” 

Alright, it's finally Friday, Game 6 between the Montreal Canadiens and Tampa Bay Lighting starts in a little over 2 hours and I'm hoping the Habs win again tonight. 

What can you say about the US stock market over the past month? Led by semiconductor stocks which were up 40%, it was outstanding month, an April to remember:

Notice how last year, during the Liberation Day tantrum, semis melted down to their 200-week exponential moving average, and then they bounce big -- and have never looked back.

You had a bit of a selloff when the Iran conflict hit in March, the SMH fell just below its 20-week exponential moving average (not shown above), and then "PAF!!", another melt-up to make a record new high.

Who's driving this price action? My bet is on CTAs and quant funds, whenever I see parabolic moves, I now they're adding massively to their positions.

Aren't semis overbought here? You bet they are but that doesn't mean they can't continue going higher.

You have to play the game but also be cognizant that stocks don't go up or down in a straight line, and when they're going parabolic, common sense risk management tells you to take some money off the table (an easy rule of thumb after a big move is to reduce your position after a negative weekly return).  

This week we saw Big Tech earnings and while we can debate details, there's no debating Alphabet (Google) is the new AI king:

Again, this stock was a buy when it held above it 50-week exponential moving average in March and then ripped higher in April.

The violent upside moves I'm seeing in April in a bunch of stocks is quite incredible.

For example, last week I discussed Intel, but check out shares of Qualcomm (QCOM) and Twilio (TWLO), both up big this week:

Now, notice how Qualcomm's weekly MACD remains negative and the stock is unable to make a new 52-week high, whereas Twilio's weekly MACD is now positive and it made a new 52-week high today?

That tells me to stay long Twilio, buying any pullback there and avoid buying pullbacks in Qualcomm shares.

I can go on and on and on, I know Apple shares made a new 52-week high today and that's typically the (defensive) tech stock to buy when you feel the red-hot chips stocks are cruising for a bruising. 

Below, the top-performing US large cap stocks over the past month (full list here): 

Alright, that's a wrap, time to enjoy my weekend and Friday night hockey.

Below, the CNBC Investment Committee debate whether earnings can drive stocks higher and how you should position your portfolio.

Also, Fundstrat's Tom Lee joins 'Closing Bell' to discuss Lee's thoughts on equity markets, recent earnings growth and much more.

Lastly, some highlights from Game 5 where the Montreal Canadiens beat the Tampa Bay Lightning 3-2. 

I'm psyched for Game 6. Go Habs Go!! Let's put this series behind us!!

A month ago, Alex Ortolani of Wealth Management reported that $37 billion Allworth was exploring a majority stake sale:

Allworth Financial, the Folsom, Calif.-based registered investment advisor with about $36.5 billion in client assets, is in market with its majority owners, Lightyear Capital and the Ontario Teachers’ Pension Plan Board, for a potential sale, according to two sources familiar with the move. 

Allworth is working with banking firm William Blair to lead the sale process, according to the sources.

Lightyear Capital and Ontario Teachers’ Pension Plan bought a majority stake in Allworth from Parthenon Capital in 2020, which had invested in the firm in 2017. 

Allworth declined to comment on the move. Lightyear Capital, Ontario Teachers and William Blair did not respond to a request for comment.

Since that initial stake in 2017, Allworth has completed over 40 acquisitions and grown to about 40 offices throughout the United States. It has also boosted client assets from about $8.6 billion in 2020 to its current $36.5 billion today, according to company filings and a spokesperson.

Six other executives, including CEO John Bunch, hold stakes of less than 5% in the firm, according to its most recent Form ADV. 

According to that filing, Allworth has recently shuttered about eight of its offices. The advisors working in them are still with the firm and working from new locations.

Last year, Allworth made one of its largest acquisitions with Salzinger Sheaff Brock and Sheaff Brock Investment Advisors, which had combined assets of $1.5 billion. CEO Bunch told Wealth Management at the time the deal signaled a shift for the firm toward larger, more sophisticated firms working with higher-net-worth clients. 

Over half of Allworth’s clients are marked in the individual category in its most recent Form ADV from March 20, signaling a strong presence in the mass affluent market. 

Last week, Allworth launched the Allworth Women’s Collective, a firmwide initiative to accelerate the growth of its female client base and talent. Allworth will feature the Women’s Collective on its website to raise clients’ and prospects’ awareness of the firm’s female talent. The firm will also call out specific segments and specialties that may be of interest to women, such as divorcees and business owners. 

Earlier today, OTPP issued a press release stating announces expansion of strategic investor group:

• Integrum, Lightyear Capital and Ontario Teachers’ Pension Plan to Support Continued National Growth

FOLSOM, Calif., April 30th, 2026 /(BUSINESS WIRE) — Allworth Financial (“Allworth” or the “Company”), an award winning, full-service national wealth management advisory firm, announces today that it has entered a new strategic investment partnership co-led by Integrum Holdings LP (“Integrum”), Lightyear Capital LLC (“Lightyear”) and Ontario Teachers’ Pension Plan (“Ontario Teachers’”).  As part of the transaction, Allworth’s management team continue to lead the Company, and existing employee and advisor shareholders will have significant ownership of Allworth.

Founded in 1993, Allworth is one of the largest and fastest-growing independent registered investment advisory firms.  Serving clients in all 50 states through more than 40 offices in the U.S., Allworth delivers integrated financial planning services, including investment management, tax planning and preparation, estate planning, insurance, and 401(k) management. With approximately $35 billion in assets under management and administration, Allworth is consistently recognized as a top 20 RIA by Barron's.  Allworth is committed to providing scalable, personalized financial guidance that helps clients plan wisely and enjoy life.

“We are grateful for the partnership Lightyear and Ontario Teachers' have provided over the past five years and are excited to welcome Integrum.  With all three investors at the table, we have the right group of thought and capital partners to accelerate our growth and expand our capabilities” said John Bunch, Chief Executive Officer of Allworth. “From our earliest conversations, our partners are aligned with what makes Allworth work: our people, our culture, and our commitment to clients. We are not looking to change the formula that makes Allworth a premier wealth management firm—we are continuing to invest behind it.”

Mark Vassallo, Managing Partner at Lightyear said, “Working with John and the Allworth team over the past five years on multiple growth initiatives has benefited clients and shareholders alike.  We are excited to continue building the business in the next chapter.”  Max Rakhlin, Partner at Lightyear added, “Our renewed partnership with Allworth represents Lightyear’s ninth investment in the wealth management and retirement sector since 2010.  We look forward to building on Allworth’s success with our partners at Ontario Teachers’ and Integrum.” 

“We are excited to continue our relationship with Allworth’s management team alongside our longstanding partner Lightyear and new investor Integrum. Allworth’s strong leadership team, national scale, and differentiated platform make it well positioned to benefit from continued industry tailwinds. We will leverage our deep expertise investing in wealth management businesses globally to help the Company execute its value creation plan and build on the momentum we have seen over the past five years” said Jeff Markusson, Senior Managing Director at Ontario Teachers’.

Tagar Olson, Founding Parter at Integrum said, “Allworth has built something exceptional: a national platform with real scale, a leadership team that operates with discipline and focus, and a culture that puts clients first. We’re excited to partner with John and the Allworth team, alongside Lightyear and Ontario Teachers’, to accelerate organic growth by investing in the talent, technology, and capabilities that will continue to scale the platform and enable Allworth’s advisors to deliver more value to their clients.”

William Blair & Company served as lead financial advisor to Allworth, with Houlihan Lokey also serving as a financial advisor to the Company. Davis Polk & Wardwell LLP served as legal counsel to Allworth.  Simpson Thacher & Bartlett LLP served as legal counsel to Integrum.

About Allworth Financial

Allworth Financial is a national, full-service registered investment advisory firm with approximately $35 billion in assets under management and administration. Serving clients in all 50 states through more than 40 offices nationwide, Allworth delivers integrated financial planning services, including investment management, tax planning and preparation, estate planning, insurance, and 401(k) management.

For more information, please visit: AllworthFinancial.com

Advisors and firms interested in joining Allworth’s national platform can find partnership details at allworthfinancial.com/partnerwithus

About Lightyear

Lightyear Capital is a New York-based private equity firm that partners with growing companies at the nexus of financial services and technology, health care and business services. For over 25 years, Lightyear has worked closely with management teams and leveraged its industry expertise, network of advisors and operating resources to accelerate growth and build market-leading businesses. As of December 31, 2025, the firm had assets under management of $8.1 billion. For more information, please visit www.lycap.com.

About Ontario Teachers’

Ontario Teachers' is a global investor with net assets of $279.4 billion as at December 31, 2025. Ontario Teachers’ is a fully funded defined benefit pension plan, and it invests in a broad array of asset classes to deliver retirement security for 346,000 working members and pensioners. For more information, visit otpp.com and follow us on LinkedIn. 

About Integrum

Integrum invests in technology-enabled services companies, partnering with management teams to accelerate growth. Founded by experienced investors and operators with complementary backgrounds and deep industry relationships, the firm pursues a high-conviction, concentrated approach—proactively sourcing opportunities and working closely with portfolio companies to scale through technology, talent, and expansion into adjacent markets and service offerings. Learn more at www.integrum.us.

Although financial figures were not disclosed, in late 2020, sources indicated the company was expected to sell for roughly $750 million to $800 million (though current, official valuation figures for 2026 are not publicly disclosed).

This is another major financial services deal for OTPP's private equity team which has an edge in this area.

Along with its partners, Lightyear and Instegrum, OTPP will help Allworth grow its operations and execute on its value creation plan. 

Why acquire a majority stake in Allworth now?

In short, wealth management is a burgeoning business in the US, and the numbers speak for themselves:

This financial services firm is growing very nicely and they obviously take great care of their clients which are primarily high-net-worth individuals.

What is the exit strategy for Allworth? Well, don't be surprised if it keeps growing at this clip that a large US bank with its own wealth management division takes it over but that's not any time soon.

Right now, the focus is on execution and growing their business organically and through acquisition. 

Below, many investors, the big question is whether $5 million is enough to retire—and this real-life case study shows how to answer it. With Pat out this week, Scott is joined by Allworth advisor Mark Shone to walk through a $5–6 million household navigating retirement while raising kids, funding college, and managing a second marriage. Scott and Mark break down what really matters when asking if you can retire with $5 million—and how to make that decision with confidence.

Also, in this episode of Allworth's Money Matters, Scott is joined by Allworth advisor Mark Shone, who steps in while Pat is away to break down smart, tax-efficient strategies for handling highly appreciated stock positions. 

They use a real-life case of a recent retiree with nearly $2 million in Apple stock to explore how to reduce risk, diversify, and balance income and legacy goals. Plus, they touch on private credit and real estate trends shaping today’s investment landscape.

Lastly, if you’ve built significant wealth, simple index fund investing may not be enough anymore. In this episode of Money Matters, they break down advanced tax strategies for high-income investors and how to move beyond basic portfolio management. 

I am giving you a glimpse of how this financial services firm sets itself apart by providing its clients top advice and serving them well. This is wealth management at its best.

The Canadian Press reports La Caisse and Archimed Diagnostics buy French company Stago:

Quebec investment manager La Caisse and health-care private equity firm Archimed Diagnostics have bought Stago, a French company specialized in the analysis of blood coagulation issues.

Financial terms of the agreement with the founding Viret family were not immediately available.

Stago sells its products in 115 countries and last year had revenue of about $880 million.

Martin Longchamps, head of private equity and private credit at La Caisse, said Stago is a recognized leader in blood coagulation analysis.

Stago, founded in 1945, develops and manufactures hemostasis equipment and reagents.

Stago's leadership team is taking a minority stake as part of the deal. 

Stago issued a press release stating it is accelerating its growth with ARCHIMED and La Caisse:

For nearly eighty years, Stago has been developing solutions grounded in rigorous scientific standards, driven by a constant ambition: to support healthcare professionals and contribute to improved patient care. 

As a leading global player in hemostasis, the company has built its identity on a culture of excellence, recognized expertise, and a long-term vision. 

Today, Stago is entering a new phase in its history. 

The founding family has chosen to transfer Stago to ARCHIMED, a leading investment firm exclusively focused on the healthcare industries holding the expertise and resources to support Stago’s growth and accelerate value creation. La Caisse, a global investment group, is also participating in this transaction as a minority shareholder. 

ARCHIMED brings solid experience in supporting high-potential companies. Its sector positioning and long-term approach offer Stago a suitable framework to reach a new milestone. 

This change in ownership is part of a structured development strategy that continues Stago’s commitments to its clients. Under ARCHIMED’s and La Caisse’s leadership, the company aims to strengthen its investment capabilities, accelerate its innovation projects, intensify its international expansion, and leverage its scientific expertise in operational and commercial performance. 

Building on its solid foundations, Stago is embarking on an ambitious growth phase, where scientific excellence and performance are the two drivers of sustainable development.  

And earlier today, La Caisse issued this press release stating ARCHIMED Diagnostics, along with minority investor La Caisse, acquires Stago, a global leader in blood coagulation analysis:

• Working with Stago management, ARCHIMED aims to expand sales and profits by building on gold-standard products in both developed and developing nations

ARCHIMED Diagnostics – the Diagnostics team of global private equity healthcare specialist ARCHIMED – has purchased alongside global investment group La Caisse (formerly CDPQ), Stago, a world leader for the analysis of blood coagulation issues (hemostasis). Stago develops and manufactures hemostasis equipment and reagents. It has unique expertise and a track record of innovation in this specialty.  

Stago is held through ARCHIMED’s MED Platform II fund and was purchased from the founding Viret family by the Diagnostics team through an unspecified mix of equity and unitranche debt. Stago sells its products in 115 countries and posted revenues of €550 million in 2025. Based in Asnières-sur-Seine (greater Paris), Stago was founded in 1945 and is the only pure-play hemostasis analysis company in the world. Stago’s leadership team is taking a minority stake as part of the deal.

“In addition to financial muscle, ARCHIMED and La Caisse have the operational sophistication and discretion to help us grow at a pivotal moment in our company’s history,” says incumbent Stago CEO Jean‑Claude Piel, who retires from his post, becoming Chief of the Scientific and Technology Monitoring Committee. “ARCHIMED’s diagnostics expertise is key for accelerating the efficient rollout of a major, new generation of Stago products,” says Philippe Barroux, Stago’s CEO-elect. Barroux, a 38‑year Stago veteran, is currently CEO of operations in North America and China. “This partnership is all about reigniting innovation at Stago.”

ARCHIMED has made a total of eight diagnostics acquisitions, exiting two: Diesse, which became a pioneer in the development of cutting-edge systems for diagnosing inflammatory diseases and immune disorders in partnership with ARCHIMED; and Eurolyser, a point-of-care testing specialist, which saw profits rise more than two-fold and sales growth accelerate from the high single-digits to 25 percent annually during three years of ARCHIMED ownership.

“Our aim is to provide Stago with the resources it needs to accelerate global growth and to reinforce its leading position as a pure player with unrivalled expertise,” says ARCHIMED Managing Partner Vincent Guillaumot. “Stago has a pipeline of innovative products that should allow its revenues and profits to grow well above industry averages,” adds ARCHIMED Partner Antoine Faguer.

“Stago is a recognized leader in blood coagulation analysis, operating in a segment we know well, and serving a mission-critical role in medical diagnostics. Our investment alongside ARCHIMED reflects the value we place on partnerships and businesses with strong fundamentals,” said Martin Longchamps, Executive Vice-President and Head of Private Equity and Private Credit at La Caisse.

Working closely with Stago management, ARCHIMED will deploy its MedValue template – ARCHIMED’s levers for accelerating the growth of partnering companies via internationalization (often including bolt-on acquisitions), innovation and product range expansion.

Diagnostics is a primary investment sector for ARCHIMED, and one of the seven major sectors mapped through ARCHIMED’s MedSeg, its proprietary sector analysis tool covering 430 sub-segments of the global health industry. For the acquisition of Stago, ARCHIMED also deployed MedDiscover, a proprietary set of tools and processes permitting ARCHIMED to identify and effectively engage with leading companies operating in ARCHIMED’s prioritized sub‑sectors.

Stago is MED Platform II’s 10th investment. All of MED Platform II’s investments have been first-time leveraged buyouts for the companies acquired. MED Platform II, more than two times oversubscribed, closed on €3.5 billion in June, 2023. According to Preqin data, the fund is a top quartile performer for its vintage year as are all ARCHIMED funds. After the Stago transaction, MED Platform II is some 70 percent invested.

ABOUT ARCHIMED 

www.archimed.group - With offices in Europe, North America and Asia, ARCHIMED is a leading investment firm focused exclusively on healthcare industries. Its mix of operational, medical, scientific and financial expertise allows ARCHIMED to serve as both a strategic and financial partner to healthcare businesses. Prioritized areas of focus include Animal & Environmental Health, Biopharma Products, Consumer Health, Diagnostics, Healthcare IT, Life Science Tools & Services, and MedTech. ARCHIMED helps partners internationalize, acquire, innovate and expand their products and services. ARCHIMED manages €9 billion across its various funds. Since inception, ARCHIMED has been a committed Impact investor, both directly and through its EURÊKA Foundation.

ABOUT LA CAISSE

At La Caisse, formerly CDPQ, we have invested for 60 years with a dual mandate: generate optimal long-term returns for our 48 depositors, who represent over 6 million Quebecers, and contribute to Québec’s economic development.

As a global investment group, we’re active in the major financial markets, private equity, infrastructure, real estate and private credit. As at December 31, 2025, La Caisse’s net assets totalled CAD 517 billion. For more information, visit lacaisse.com or consult our LinkedIn or Instagram pages. 

This is an excellent acquisition for La Caisse, co-investing alongside ARCHIMED, taking a minority interest in Stago, a world leader for the analysis of blood coagulation issues (hemostasis). 

The kicker here is Stago's management will take a minority stake in the acquisition, ensuring alignment of interest.

So what is hemostasis? From the Cleveland Clinic:

Hemostasis (hee-muh-stay-sis) is your body’s normal reaction to an injury that causes bleeding. This reaction stops bleeding and allows your body to start repairs on the injury. You need this ability to stay alive, especially with significant injuries.

When all goes well, hemostasis is a good thing. But in uncommon cases, the processes that control hemostasis can malfunction. This can cause potentially serious — or even dangerous — problems with bleeding or clotting.

But you should read it all here to really understand what it is and how issues arise.

I would also invite you to read about Stago's products and services to learn how the company is a world leader in this field and key figures here. 

I would also recommend you read more about Stago here to appreciate how successful this company has become:

From Research & Development and Production to Logistics, Marketing, Sales and International Distribution, Stago remains in control of its strategy at all levels.

Certified ISO 13485, ISO 9001 and ISO 14001 for its main reagent manufacturing plant. the group’s industrial activities are mostly concentrated in France. Its geographical expansion has led to opening R&D and production centers in the USA, Netherlands, Germany, Ireland and China.

Ever since our American subsidiary was established in 1985, our distribution network grew considerably throughout the world. Since 2003, 17 new affiliates have been opened: China (2003), United Kingdom (2005), Dubai (2007), Australia/New Zealand and Canada (2008), Hong-Kong (2011), Germany, Austria, Spain, Italy, Portugal, Switzerland, Belgium, Netherlands (all opened in 2012), India (2014), Brazil (2016), Turkey (2017) and Saudi Arabia (2020).

The companies belonging to the Stago Group are: Diagnostica Stago, Agro-Bio, BioCytex, DSRV, Hemosonics, Synapse, Tcoag and BioCare.

A Human Adventure Founded by Jacques Viret at the end of the Second World War to market a solution to ease digestion and hepatic disorders, the Stago Group has now  almost 2,600 employees, over half of whom are based in France.

The diversity of the men and women, professions and know-how is what allows Stago to develop, produce and sell the widest range of reagents and Hemostasis test instruments throughout the world using the most advanced technologies.
Customer satisfaction is a key value and everyone is conscious that there is a patient behind their actions.

With over 350 marketed products, Stago is a worldwide reference in Hemostasis and a 1st class partner for biomedical laboratories.

Stago also has a licensed training center, offering theoretical and practical training courses at different levels.

Specialized in the fields of Hemostasis and Thrombosis, Stago invests in research and innovation to develop new and better performing reagents, systems and solutions. With more than 70 years of experience, Stago has acquired a charismatic image in Hemostasis and is well recognized among the international scientific world .

In this respect, Stago regularly organises symposiums or scientific meetings on Hemostasis research and latest practices, during conferences or as separate events. Worldwide Presence Stago is represented in over 110 countries via its affiliates and an extensive distribution network.
Each affiliate develops the processes implemented by that group, to provide our customers with the best support in terms of quality and services.

Each distributor is chosen on strict performance appraisal criteria with regards to their organisation and staff:  knowledge of Hemostasis, after-sales service capacities and commitment to promoting our products in a “customer satisfaction” culture. A specific internal structure (GSA) trains and monitors these teams. 

I also read a message from Philippe Barroux, North America Chief Executive Officer of Diagnostica Stago, Inc. (featured above at the top of this post): 

Diagnostica Stago is the only independent international company dedicated to the exploration of Hemostasis. The mission of every Stago employee is to develop and provide best-in-class diagnostic systems, services and support to healthcare professionals in order to better prevent, understand, diagnose, treat and follow-up Hemostasis disorders.

With more than 20,000 active systems installed in more than 110 countries, Stago has successfully created and continues to develop a comprehensive range of services involving all our teams, with a permanent focus on patients. We attach crucial importance to customer satisfaction, a mission that is underpinned in the values shared within the company: innovation, quality, expertise, team spirit and long-term commitment.

Involved in human healthcare, ethics are a second nature to us, and a fundamental and long-term commitment.

All Stago North America employees are dedicated to these values and they are fully committed to anticipate and respond to the needs of our North American customers. 

Financial details for this acquisition were not disclosed, but the first article above states last year, the company had revenue of about $880 million. Also, from Google, I found this on Stago's EBITDA as of 2024: 

Diagnostica Stago, a specialist in thrombosis and hemostasis diagnostics, reported a strong EBITDA of €108 million to €121 million in 2024 (based on different filings). The company, which is a key player in clinical laboratory automation, achieved a 2024 turnover of approximately €450 million with an EBITDA margin over 24%, indicating strong profitability.  

So, clearly the company has strong revenues and earnings, and you can slap on any multiple to deduce what ARCHIMED and La Caisse paid for it (for example, many acquisitions are more typically valued at 3x to 6x EBITDA but it depends on the sector). Anyways, great acquisition in an economically stable sector with a top strategic partner.  Martin Longchamps, Executive Vice-President and Head of Private Equity and Private Credit at La Caisse summed it up well in the press release: 

“Stago is a recognized leader in blood coagulation analysis, operating in a segment we know well, and serving a mission-critical role in medical diagnostics. Our investment alongside ARCHIMED reflects the value we place on partnerships and businesses with strong fundamentals.”  

Below, a corporate video going over Stago's operations. This is a very impressive company that is growing its operations all over the world.