Net transfers of $7.3 billion still lifted the Fund’s net assets to $866.2 billion in the September quarter
The Canada Pension Plan Fund recorded a net loss of $4.7bn in the quarter ended September 30, closing the second quarter of fiscal 2027 with net assets of $866.2bn, up from $863.6bn at the end of the previous quarter.
Net transfers of $7.3bn from the Canada Pension Plan outweighed the loss, producing a $2.6bn increase for the quarter.
The Fund returned negative 0.5 percent for the quarter and 8.8 percent on a 10-year annualized net basis.
Over the six-month fiscal year-to-date period it grew by $72.9bn, on $55.6bn in net income and $17.3bn in net transfers, for a net return of 7.0 percent.
“Higher bond yields weighed on fixed-income returns this quarter, while diversification across the portfolio helped offset some of that pressure,” said John Graham, president and CEO of CPP Investments, in the results statement.
Public equities, private equity and real assets contributed gains, which CPP Investments attributed to resilient corporate earnings, momentum in AI-related sectors, strength in energy markets and sustained demand for infrastructure assets.
Fixed-income losses more than offset those gains as higher government bond yields across developed markets weighed on bond prices amid persistent inflation concerns and expectations for rates to remain higher for longer.
The base CPP account ended the quarter with net assets of $771.7bn, down from $773.4bn, on $3.6bn in net losses and $1.9bn in net transfers.
The additional CPP account rose to $94.5bn from $90.2bn, on $1.1bn in net losses and $5.4bn in net transfers.
| Account | Quarter | Nominal, five-year | Nominal, long term | Real, long term |
|---|---|---|---|---|
| Base CPP | negative 0.5 percent | 6.7 percent | 8.9 percent (10-year) | 6.0 percent (10-year) |
| Additional CPP | negative 1.2 percent | 4.3 percent | 6.2 percent (since inception) | 2.9 percent (since inception) |
| Real returns account for inflation as measured by the Canadian Consumer Price Index. Source: CPP Investments second-quarter fiscal 2027 results | ||||
CPP Investments said the additional CPP has carried a different market risk target and investment profile since its inception in 2019 and is expected to perform differently from the base CPP, with assets growing at a much faster rate because of its net contribution profile.
Sustainability assessment In its most recent triennial review, published in May 2026 as a revised report, the Office of the Chief Actuary of Canada reaffirmed that both the base and additional CPP remain sustainable over the long term at the legislated contribution rates as at December 31, 2024.
The projections assume the base CPP account will earn an average annual real return of 4.05 percent over the 75-year period following that date, and the additional CPP account 3.53 percent.
Department restructuring CPP Investments created Active Public Markets, a department combining its Active Equities and Capital Markets and Factor Investing teams, which will invest across public market asset classes using internal teams and external partners managed as a single integrated portfolio.
Heather Tobin will lead it as senior managing director and global head. Frank Ieraci, senior managing director and global head of Active Equities, is stepping back after nearly 20 years and will remain a senior advisor through to the end of the year.
Jon Webster, senior managing director and chief operating officer, is leaving after nearly five years; he joined in 2022 and was appointed COO in 2023.
During the quarter CPP Investments launched the $50bn Maple Fund with Brookfield Asset Management, structured on a 50/50 basis with up to $25bn in equity capital from each organisation over an initial five-year period.
