Case Studies

Canadian Corporate Pension Plan

Investment Strategy: Private Equity
Solution: Advisory

Overview:

A corporate pension plan with experience investing in private equity was seeking an advisor to construct a distressed debt and special situations private equity portfolio to complement its existing investments.

Solution:

Caledon worked with the client to develop an investment strategy, a portfolio pacing plan and an implementation plan to build a portfolio of funds specifically focused on distressed debt and special situations. Over a three-year period, Caledon executed the investment strategy on behalf of its client, at times aggregating fund commitments alongside its other clients to access better fund terms.

Canadian Multi-Employer Plan

Investment Strategy: Private Equity
Solution: Advisory

Overview:

A public multi-employer plan decided to build a private equity portfolio to diversify away from traditional asset classes and increase portfolio returns. The goal was to build a well-diversified portfolio of funds supplemented by secondary opportunities and accretive co-investments.

Solution:

In 2009, Caledon was retained to begin building a diversified private equity portfolio focused on buyout funds, growth funds as well as distressed and special opportunity funds, and opportunistically review co-investments and secondary opportunities. Caledon was also tasked with providing monitoring and reporting on the client’s private equity portfolio.

Provincial Public Pension Plans

Investment Strategy: Private Equity and Infrastructure
Solution: Managed Account

Overview:

After conducting an AL study, the Province of Newfoundland decided to include a 5% allocation to each of private equity and infrastructure to diversify away from traditional assets classes and increase risk adjusted returns.

Solution:

After a lengthy and comprehensive RFP process, Caledon was selected to develop and implement both the new private equity and infrastructure programs. In both cases, the investment strategy had a strong emphasis on building a well-diversified fund portfolio complemented by secondaries and an allocation to direct investments and co-investments. Caledon developed the investment strategy, pacing plan and is currently investing the client’s private markets portfolio. In addition to the investment program build out, Caledon is providing comprehensive monitoring, reporting and administration.