Canada Growth Fund | CGF

Managed by Canada Growth Fund Investment Management (CGFIM), a subsidary of PSP Investments

fr

Supporting Canada’s journey to net-zero

Canada Growth Fund Inc. (CGF) is a C$15 billion independent and arm’s length public fund that will help Canada to speed up the deployment of technologies in its efforts to reduce emissions, transform its economy and support the long-term prosperity of Canadians.

Our mandate

CGF’s mandate is to build a portfolio of investments that catalyze substantial private sector investment in Canadian businesses and projects to help transform and grow Canada’s economy at speed and scale on the path to net-zero.

01
Reduce emissions and achieve Canada’s climate targets
02
Accelerate the deployment of key technologies
03
Scale up companies
04
Encourage the retention of intellectual property in Canada
05
Capitalize on Canada’s abundance of natural resources

Our focus sectors and investment selection criteria

To achieve its mandate, CGF will focus its investing activities on three key sectors:
Projects

Projects that use less mature technologies and processes (proven in pilots but not yet widely adopted) to reduce emissions across the Canadian economy. This includes, but is not limited to, carbon capture and storage, hydrogen and biofuels.

Clean technology

Clean technology companies, including small and medium enterprises (“SMEs”), which are scaling less mature technologies that are in the demonstration or commercialization stages of development.

Low-carbon supply chains

Projects and companies (including SMEs) across low-carbon or climate technology value chains, including low-carbon natural resource development.

When evaluating investment opportunities on behalf of CGF, the investment team uses a set of Investment Criteria (as set out in section 4.3 of the Technical Backgrounder) that enable rigorous, fair, and consistent evaluations, while ensuring that the opportunities pursued align with relevant aspects of CGF’s Mandate (both on an individual and on a portfolio basis). Any individual investment may not satisfy all Investment Criteria and strategic objectives of CGF’s Mandate.

Learn more about the Investment Selection Criteria Click here for a Technical Briefing on our investment in Entropy Inc.

About us

As outlined in the Technical Backgrounder issued by the Government of Canada’s Department of Finance in November 2022, CGF is designed to address the current limitations of Canada’s climate-related policy, and its associated funding and capital allocation processes.

In December 2022, CGF was incorporated as a subsidiary of the Canada Development Investment Corporation.

In Budget 2023, the Government of Canada announced that the Public Sector Pension Investment Board (“PSP Investments”) would act as the independent and exclusive investment manager of CGF. PSP Investments incorporated Canada Growth Fund Investment Management Inc. (“CGF Investment Management”) as its wholly owned subsidiary to provide the full suite of investment management services to CGF.

By partnering with PSP Investments, CGF benefits from PSP Investments’ deep investment expertise and track record across a broad range of sectors and strategies, a mature and scalable operational ecosystem and a governance framework that is independent and at arm’s length from the Government of Canada, allowing CGF to rapidly and successfully deliver its mandate. CGF Investment Management’s activities are operationally distinct from PSP Investments’ pension investment mandate, and the assets of CGF and of PSP Investments are not commingled.

As the parent of CGF Investment Management, PSP Investments’ Board of Directors has adopted the PSP Investments and Canada Growth Fund Conflicts Policy to address the risk of any real, potential or perceived conflicts of interest in the context of the investment management services provided by CGF Investment Management to CGF. The policy and any disclosure made pursuant to the terms thereof can be found here.