Ontario Teachers’ Pension Plan Updates for Mid 2025

As of mid-2025, Ontario Teachers’ Pension Plan (Ontario Teachers’) has reported a net worth of $26.96 billion. They’ve achieved net capital profit ratios of 2.1% over the past six months and 7.1% over the past year. Over the last decade, long-term returns stand at 6.9%, while since inception in 1990, the returns have reached 9.2%. Planning sponsors have indicated that the surplus from the twelfth consecutive year of full funding will be classified as emergency grants, with an assessment due for regulators’ review.

In detail, during the first half of 2025, the investment portfolio brought in positive returns, totaling $6 billion. This resulted in a 7.1% net profit for the year, and the net worth saw an increase of $3.3 billion compared to the previous year’s end figures. The gains were largely driven by total assets, especially in gold, with a continued focus on risk management due to the broader market environment. The investment team remains dedicated to delivering solid returns and creating additional value with portfolio companies.

Looking ahead, the long-term performance is key, especially with lingering debt issues. Since its establishment, Ontario Teachers’ has maintained an annual net profit margin of 9.2%, with returns of 7.5% over the last five years and 6.9% recently.

Asset Mix Overview

Below is a summary of the asset allocation for Ontario Teachers as of June 30, 2025, compared to the previous December:

• Public Equity: $31.5 billion (12%) vs. $37.4 billion (14%)
• Private Equity: $55.4 billion (21%) vs. $60.4 billion (23%)
• Venture Growth: $10.6 billion (4%) vs. $10.4 billion (4%)
• Bonds: $63.9 billion (24%) vs. $78 billion (30%)
• Inflation-Sensitive Goods: $29.2 billion (11%) vs. $28.9 billion (11%)
• Natural Resources: $11.9 billion (12.5%) vs. $12.5 billion (12.5%)
• Real Estate: $28.8 billion (11%) vs. $29.4 billion (11%)
• Infrastructure: $35.3 billion (13%) vs. $43.2 billion (17%)
• Overall Credited Investments: $265.0 billion (100%) vs. $260.9 billion (100%)

As of January 1, 2025, the plan is fully funded with a surplus of $29.1 billion, reflecting a robust financial health outlook. The Ontario Teachers Federation and the Ontario government recently announced the submission of a funding assessment to regulators, categorizing the surplus as emergency reserves.

Corporate News

In leadership updates, Terry Hickey has been appointed Chief Technology Officer, overseeing technology and operations globally. Patty Croft will temporarily rejoin the Ontario Teachers Committee through December 31, 2025, after the passing of board member Tim Hodgson. Additionally, Chris Goodall will start on the Board of Directors from January 1, 2026, replacing Gene Lewis.

Investment Highlights

Notable investment activities during this period include:

• Finalizing a sale agreement with Amica’s Senior Lifestyle to Welltower Inc., a major provider of premium senior residences in Canada.
• Welcoming Broad Street Partners as equity partners in a major insurance brokerage, where Ontario Teachers will retain a significant stake.
• Completing the sale of a majority of Sahyadri Hospitals Group in India, collaborating with the Manipal Hospital Group.
• Acquiring stakes in Copenhagen Airport, Brussels Airport, and several UK airports, along with selling remaining shares in New Afton Mine in British Columbia.
• Signing to acquire two residential properties in Stockholm and securing a large logistics portfolio across Sweden and Denmark.
• Leading investment rounds for innovative companies like Stacking Up and QuantEx.

About Ontario Teachers’

The Ontario Teachers Pension Systems Committee is a global investor, valued at $269.6 billion as of June 30, 2025. The plan, which is fully funded, aims to provide retirement benefits for approximately 343,000 members. For further information, visit their official website.