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Ontario Teachers' Pension Plan (OTPP)

Sun Jul, Solukus.com on 12th Jun 2023

- The OTPP was established on January 1, 1990, as an independent organization responsible for administering defined-benefit pensions for school teachers of the Canadian province of Ontario⁵.

- The OTPP is jointly sponsored by the Ontario government, through the Minister of Education, and the executive of the Ontario Teachers' Federation (OTF). The OTF represents teachers, while the government represents employers. Together, they ensure the plan remains appropriately funded and decide on the contribution rate, member benefits and how to address any funding shortfall or surplus⁸.

- The OTPP earned $18.0 billion in net investment income in 2020 and $8.6 billion in net investment income in the first half of 2021¹²¹⁵. The OTPP also pays benefits to its members and their survivors. In 2020, $6.74 billion in benefits was paid to members[^10^].

- The OTPP's total net assets were $241.6 billion as at December 31, 2021, and $227.7 billion as at June 30, 2021¹⁵¹⁹. The OTPP has an excellent track record for investment performance, with an average annual return of 9.4 per cent since inception in 1990¹⁵.

- The OTPP has completed many projects across various asset classes, such as private equity, infrastructure, real estate, natural resources and innovation. Some examples of projects completed in 2021 are:

- Acquiring a majority stake in Sevana Bioenergy LLC, a leading developer and operator of renewable natural gas projects in North America[^20^].

- Investing in Caris Life Sciences, a leading innovator in molecular science and artificial intelligence focused on fulfilling the promise of precision medicine¹⁹.

- Acquiring a minority stake in SwanCap Partners GmbH, a leading independent private markets investment management platform in Europe¹⁹.

- Investing in Thoughtworks Holding Inc., a global technology consultancy that integrates strategy, design and engineering to drive digital innovation¹⁹.

- The OTPP has invested in several assets located in Markham, Ontario, such as:

- Cadillac Fairview Markham Centre Development Project, a mixed-use development project that will include residential units, office space and retail space²¹.

- Markham Stouffville Hospital Corporation, a community hospital that provides high-quality health care services to over 330,000 residents²¹.

- Real Matters Inc., a leading network management services provider for the mortgage lending and insurance industries²¹.

- The OTPP does not disclose the exact number of projects it has in each location, but it has invested in many assets across Canada, such as:

- Maple Leaf Sports & Entertainment Ltd., a professional sports and commercial real estate company that owns teams such as the Toronto Maple Leafs, Toronto Raptors and Toronto FC²¹.

- GCT Global Container Terminals Inc., a leading operator of container terminals in Vancouver and New York/New Jersey²¹.

- Shopify Inc., a leading global commerce platform that powers over one million businesses in more than 175 countries²¹.

- Canada's Wonderland, a premier amusement park that features over 200 attractions, including 17 roller coasters²¹.

- The OTPP has many ongoing projects around the world, such as:

- Investing in Green Investment Group's portfolio of wind and solar assets across the UK and Europe¹⁹.

- Partnering with Temasek to acquire a significant minority stake in Cytel Inc., a global leader in clinical trial design software and biostatistical services¹⁹.

- Acquiring a minority stake in PharmEasy, India's largest digital health platform that connects patients with pharmacies, diagnostic centers and doctors¹⁹.

- Investing in Hg Saturn 2 Fund, a fund that focuses on large-cap software investments in Europe and North America¹⁹.

- The OTPP has about 1,300 employees worldwide who work in various functions such as investment management, plan administration, member services and corporate operations⁴. The OTPP's headquarters are located in Toronto, with regional offices in London, New York, Hong Kong, Singapore and Mumbai¹¹.

(1) Ontario Teachers' Pension Plan - Wikipedia. https://en.wikipedia.org/wiki/Ontario_Teachers%27...

(2) Governance | Ontario Teachers' Pension plan - OTPP. https://www.otpp.com/en-ca/about-us/our-plan/gove...

(3) Ontario Teachers' delivers strong total-fund net return of 8.6% - Newswire. https://www.newswire.ca/news-releases/ontario-tea...

(4) Ontario Teachers’ net assets total $227.7 billion at mid-year 2021 - OTPP. https://www.otpp.com/en-ca/about-us/news-and-insi...

(5) What Does The Ontario Teachers Pension Plan Own?. https://ieshineon.com/region/what-does-the-ontari...

(6) Ontario Teachers’ delivers strong investment performance in 2021 - OTPP. https://www.otpp.com/en-ca/about-us/news-and-insi...

(7) Ontario Teachers' Pension Plan announces partnership and capital .... https://www.prnewswire.com/news-releases/ontario-...

(8) YOUR PENSION PLAN GUIDE - OTPP. https://www.otpp.com/members/cms/dam/otpp/docs/Yo...

(9) Defined benefit pensions - OTPP. https://www.otpp.com/en-ca/members/life-events/le...

(10) Figure out how much you’ll need - OTPP. https://www.otpp.com/en-ca/members/preparing-to-r...

(11) Our Plan | Ontario Teachers' Pension Plan - OTPP. https://www.otpp.com/en-ca/about-us/our-plan/.

(12) Ontario Teachers' Pension Plan - OTPP. https://www.otpp.com/members/my/.

(13) Ontario Teachers’ Pension Plan (OTPP). https://www.osstf.on.ca/otpp.

(14) Ontario Teachers' Pension Plan Board (OTPPB) - Investopedia. https://www.investopedia.com/terms/o/ontario-teac...

(15) Ontario Teachers' Pension Plan | Encyclopedia.com. https://www.encyclopedia.com/books/politics-and-b...

(16) Who owns Ontario teachers Pension Plan? - ruggedthuglife.com. https://ruggedthuglife.com/ontario/who-owns-ontar...

(17) Is the Ontario teacher's pension enough for retirement?. https://pensionsolutionscanada.com/ontario-teache...

(18) Ontario Teachers' Pension Plan Principal Salaries | Glassdoor. https://www.glassdoor.ca/Salary/Ontario-Teachers-...

(19) Ontario Teachers' 2022 Annual Report – Investing to Make a Mark - OTPP. https://www.otpp.com/content/dam/otpp/documents/r...

(20) Ontario Teachers' net assets total $227.7 billion at mid-year 2021. https://www.newswire.ca/news-releases/ontario-tea...

(21) Ontario Teachers earned 1.9% net return for first half of 2023. https://globalnews.ca/news/9897097/ontario-teache...

(22) How does the Ontario Teachers’ pension plan stack up against the .... https://www.theglobeandmail.com/investing/persona...

(23) Ontario Teachers’ Pension Plan posts 4-per-cent annual return as rate .... https://www.theglobeandmail.com/business/article-...

(24) FAQs | Ontario Teachers' Federation - OTF/FEO. https://www.otffeo.on.ca/en/pensions/faqs/.

(25) Provincial Teachers’ Pension Plan Payment Dates 2023 & Contribution .... https://walletbliss.com/teachers-pension-plan-pay...

(26) Important Tips For Teachers Retiring In Ontario with the Ontario .... https://pensionsolutionscanada.com/important-teac...

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