Investi fund: new fixed income managers

Investi Fund: Addenda Capital, Beutel Goodman, and Fiera Capital selected as fixed income managers and launch of an innovation lab

May 14 2024

Montreal, May 14th, 2024 - Today, at the 2024 Sustainable Finance Summit, the Montreal-based Investi Fund announces the appointment of the three first managers who will handle the fixed income securities portfolio. The Fund’s investment committee has chosen Addenda Capital, Beutel Goodman, and Fiera Capital, three managers eager to contribute to the growth of Quebec’s finance sector by evolving their practices and driving innovation in sustainable finance.

"One year after its launch, the assignment of these new investment mandates highlights the success of the Investi Fund’s commitments. The Fund plays a dual role: it stimulates economic development and strengthens the Quebec and Montreal financial sector. The sustainable finance movement is gaining importance in Quebec, and this is further proof of that. More good news will follow. I encourage all investment professionals to participate in this essential initiative to ensure a sustainable future," stated Jacques Deforges, Finance Montreal Executive director.

“Today's announcement is part of Innocap's commitment to playing a catalytic role in enabling institutional investors to invest in the energy transition and the fight against climate change. Our teams and committee members have worked hard to bring Investi into being and to move it forward. It's a long-term project, part of a long-term strategy for both Innocap and the entire Montreal ecosystem.” said François Rivard, CEO, Innocap.

Among the dozens of applications received, Addenda Capital, Beutel Goodman and Fiera Capital stood out due to their demonstration of financial performance and the robustness of their ESG strategies. The chosen firms range from trailblazers like Addenda Capital, committed firms seizing the Investi opportunity to set up in Quebec such as Beutel, and major players such as Fiera Capital, each aiming to raise their practice standards and make Montreal a center of excellence in sustainable finance. The awarding of mandates is contingent upon positive due diligence outcomes, the negotiation of management contracts, and the growth of the Fund.

"Addenda Capital is honoured to support Investi in its mission by becoming one of its Fixed Income asset managers. Since 2015, we've been integrating themes such as climate change, community development, and more recently, water into our impact strategies. Our approach to sustainable investing includes the creation of innovative impact-based investment solutions and seeks to create both market-equivalent financial returns, while intentionally advocating positive and measurable social and environmental outcomes. Furthering our leadership, in the spring of 2023, Addenda became the first portfolio manager in the world to adopt the CFA Institute's Global ESG Disclosure Standards for Investment Products as part of an impact strategy " declared Roger J. Beauchemin, President and Chief Executive Officer, Addenda Capital.

“We are honoured to have been selected as a fixed income manager by the Investi Fund. Investment in sustainable fixed-income strategies has grown exponentially over the past decade, and we believe our rigorous credit discipline is a key differentiating factor among sustainable fund managers. We are delighted to now work alongside Investi in the development of the responsible investment ecosystem in Quebec ” declared Sue McNamara, CFA, Senior Vice President, Fixed Income, Head of Responsible Investing, Beutel Goodman.

‘’Fiera Capital is proud to partner with Investi to enhance Quebec’s presence in the global sustainable finance market. Our expertise in green bonds and commitment to prioritizing ESG factors consistently yield strong returns and positive community impacts, as exemplified by our innovative Global Sustainable and Impact Bond Strategy. The rigorous research and profound knowledge of our Fixed Income team reinforce our dedication to building sustainable prosperity through responsible investment strategies.’’ stated Maxime Ménard, President and Chief Executive Officer, Fiera Canada and Global Private Wealth.

The Investi Fund also fosters the development of innovative and sustainable investment strategies by creating a safe space for discussions where investors can exchange ideas on the challenges facing the financial sector and the solutions to address them. In this context, Investi committee members will examine a current issue of particular relevance in the Canadian context - the investments associated with the energy transition, fossil fuel extraction, distribution and storage. Industry stakeholders, including AlphaFixe Capital, a Canadian pioneer in sustainable finance, and prominent Canadian environmental organizations, will support the committees in this analysis.

“Following the success of our green bond fund introduced in 2017, which won the ESG Great Canadian Championship in the fixed income category in 2022, we are now addressing the significant challenge of transitioning the Canadian fossil fuel sector to decarbonization. We are very pleased to support the Investi committees in this critical reflection. We are confident in creating a discussion framework that will identify solutions and ultimately develop a Canadian bond fund dedicated to the energy transition, contributing to achieving Canada’s decarbonization goals.”, added Sébastien Rhéaume, AlphaFixe Capital Co-Founder.

A year after its inception, the $300 million investment fund dedicated to enhancing Quebec’s sustainable finance ecosystem continues to build momentum. Initially, it has helped spark and grow ESG investment strategies and sustainable finance by appointing its first two asset managers in February 2024. Launched by Innocap and Finance Montreal, the Investi Fund is supported by 10 leading Quebec financial organizations – Banque Nationale Investissements, Bâtirente, Beneva, CDPQ, Mouvement Desjardins, Fondaction, Fonds de solidarité FTQ, Trottier Family Foundation, Optimum Groupe financier and Samara Family Office - aiming to make sustainable finance a driving force in its outreach. handles the daily management of Investi, while being responsible for distribution to institutional investors and ensuring a rigorous institutional framework for due diligence, risk management and ongoing monitoring.

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About the Investi Fund

Investi is a family of investment funds created for the benefit of the sustainable finance ecosystem. With its dedicated sustainable growth capital intended to be invested with experienced managers offering the best sustainable investment strategies, Investi encourages the finance industry to adopt best practices in ESG integration and impact investing. Leveraging its collective intelligence, Investi raises industry standards to create lasting change in the world of finance. To learn more about the Investi Fund, visit www.investi.ca.

Established in 2010, Finance Montréal, the financial cluster of Quebec, is at the heart of the development and promotion of Quebec’s financial services industry and its positioning as a global business hub that is growing, competitive, attractive, and innovative. With its International Financial Center team, Finance Montréal works to attract foreign financial companies to Montreal. The organization also focuses on fintech and innovation, sustainable finance, and talent development. As a hub for the financial community, Finance Montréal mobilizes its stakeholders around these areas, including the community built around the Montréal FinTech Station that it administers. To learn more about Finance Montréal, visit financemontreal.com or its LinkedIn page.

Since 1996, Innocap has provided institutional investors with a superior model to structure, control,

and access their alternative investments through its dedicated managed accounts platform. Innocap

is the world’s first dedicated managed accounts platform with $66 billion USD in assets as of March 31, 2024, more than 300 funds, and more than $900 billion USD in client assets utilizing its technology. It benefits from strong and long-term committed institutional shareholders, including CDPQ, BNY Mellon, BNP Paribas, Fonds de solidarité FTQ, and Walter Global Asset Management. The Innocap team consists of more than 400 innovative professionals, and its robust financial technology operates from 7 offices worldwide, including its headquarters in Montreal. To learn more about

Innocap, visit www.innocap.com or its LinkedIn page.