Photo: Earl, Flickr
The Canada Pension Plan Investment Board (CPPIB) has mandated Moneda Asset Management to manage $100m of assets through the Chilean company’s high-yield long-term Moneda Deuda Latinoamericana fund.
CPPIB’s mandate to Moneda fits into a strategy to diversify globally. The pension fund manager is 70% invested outside Canada, with allocations to the US, Europe, Asia and Latin America. “Moneda is interesting because it’s a regional investor with an investment platform in fixed income,” said Rodolfo Spielmann, managing director and head of Latin America at CPPIB. “This is not a stand-alone deal, but part of a strategy in Latin America that looks for platforms which allow us access to investments that we wouldn’t take separately.”
Moneda’s LatAm debt fund had $979m in assets under management in April. It invests in US-dollar denominated corporate credit of companies from the region, and has registered annualized returns of 10.5%, 9.8% and 11.7% for the last three, five and 10 years, respectively.
CPPIB is Canada’s largest pension fund manager with CAD264.6bn of assets under management, of which CAD7.7bn are allocated in private and public equities in Latin America. It has awarded previous mandates to Brazilians Tarpon and Patria, and taken stakes in infrastructure projects in Chile and Peru, and real estate in Brazil. LF