Debt issuance

Leveraging the strength of our balance sheet

Latest news

PSP has issued a C$500 million re-opening of the Series 7 Notes, 3.29% coupon due April 4, 2024 to bring the outstanding to C$1.5 billion.

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.

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? PSP is an investment manager with no pension liability responsibility.

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

3.29% April 2024 (re-opening);

Notional purchased by region; C$500M
  • 65%
    North America
  • 25%
    Europe
  • 10%
    Asia

2.09% Nov 2023 (re-opening);

Notional purchased by region; C$500M
  • 56%
    North America
  • 30%
    EMEA
  • 14%
    Asia

UPDATED - Vision in motion: what lies ahead

Listen to the Vision in motion: what lies ahead audiocast on PSP’s five-year strategic plan, FY19 financial results and debt programs.

Meet our team leader

Renaud De Jaham
Vice President and Treasurer

 

Contact the team

Detailed reports of our achievements & performance

2019 Annual Report
Date: March 31, 2019
Size: 11.4 MB
2019 Responsible Investment Report
Date: March 31, 2019
Size: 1.2 MB