Canada Pension Fund Partners with BTG

The Canada Pension Plan Investment Board (CPPIB) has formed a partnership BTG Pactual to invest in Brazilian residential development, it says, committing $240m. CPPIB is getting a 40% stake in the JV, with BTG making an equal investment and managing the fund to get a 60% stake. The investor notes that the fundamentals of Brazil’s residential sector are “compelling,” as a growing middle class and increased economic activity should mean more demand for housing. The CPPIB invests the assets of Canada’s largest public pension fund, and already claims a CAD1.50bn ($1.44bn) real estate portfolio in brazil.