Debt issuance

Leveraging the strength of our balance sheet

Latest news: DBRS Confirms Public Sector Pension Investment Board at AAA and PSP Capital at AAA and R-1 (high).

A unique value proposition for investors

Our strong historical performance and rapid growth led to the establishment of a funding platform to leverage the strength of our balance sheet. In 2005, we began issuing debt through PSP Capital, a wholly-owned and fully guaranteed subsidiary. A robust governance framework combined with a conservative approach to borrowing allowed us to attract both domestic and international investors.

 

The next step in our evolution? The launch of our Global Medium Term Note program in 2019. This multi-currency program adds a high-quality offering to the global market: a federally-sponsored SSA issuer with a low-risk product at a competitive return.
 

Our Edge

  • Strong balance sheet
  • Federal sponsorship
  • AAA credit
  • Exposure to Canada through a non-agent entity
  • An attractive alternative to federal government and agency products  

Fast Facts

  • We are a crown entity, 100% owned by the Government of Canada

  • We are an asset manager with an exclusive mandate

  • The Government of Canada has the obligation to fund the pension plans in case of actuarial shortfall
  • Debt issuance ranks senior to pension plan liabilities

  • Operates at arm's length from the Government of Canada

  • Insolvency cannot occur without an act of Parliament

Did you know? Since the beginning of the debt programs in 2005, PSP has always been rated AAA with a stable outlook.

The growth of our debt program

After growing our debt program for 13 years, PSP Investments has built strong relationships with hundreds of  investors across the globe by consistently issuing low-risk debt with a competitive return.

see our debt programs

The future is promising. We anticipate that assets under management will double by 2030 to over $300B —and we expect the amount of debt we issue to follow the same trend. This will allow us to provide even greater value to a wider breadth of investors with a diversity of needs.

A strong credit profile

PSP Investments and PSP Capital's debt programs are rated AAA/AAA/Aaa.

 

The strength of our credit profile is based on our governance, Canadian government sponsorship, high liquidity standards, and conservative approach to leverage. We tailor our portfolio construction and investment strategies to achieve long-term goals and maintain our credit rating.

Agency Short-term rating Long-term rating Outlook   Reports
DBRS  R-1 (High)  AAA  Stable Download the report
Standard & Poor’s   A-1+  AAA  Stable Download the report
Moody’s  P-1  Aaa  Stable Download the report

Timeline

Recent term debt transactions

3.00% Nov 2025

Notional purchased by region; C$1,250M
  • 82%
    North America
  • 3%
    Asia
  • 15%
    EMEA

3.03% Oct 2020 (re-opening);

Notional purchased by region; C$500M
  • 64%
    North America
  • 20%
    Asia
  • 16%
    EMEA

Vision in motion: what lies ahead

The Vision in motion: what lies ahead webcast on PSP’s five-year strategic plan, long-term investment vision and debt programs.

Meet our team leader

Renaud De Jaham
Vice President and Treasurer

 

Contact the team

Detailed reports of our achievements & performance

2018 Annual Report
Date: Oct. 19, 2018
Size: 6.1 MB
2018 Responsible Investment Report
Date: Oct. 19, 2018
Size: 1.6 MB