Canada Pension Fund Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 4.11 Trillion |
| Market Size (2029) | USD 5.51 Trillion |
| CAGR (2024 - 2029) | 6.05 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Canada Pension Fund Market Analysis
The Canada Pension Fund Market size in terms of assets under management value is expected to grow from USD 4.11 trillion in 2024 to USD 5.51 trillion by 2029, at a CAGR of 6.05% during the forecast period (2024-2029).
The Canadian government regulates pension funds to ensure their stability, solvency, and compliance with pension legislation. Regulations govern aspects such as funding requirements, investment limits, and governance standards. Changes in interest rates, inflation, and market performance impact the growth and sustainability of pension funds. Economic fluctuations can affect investment returns and funding levels, influencing pension fund management strategies. Population aging, life expectancy, and workforce dynamics affect pension fund liabilities and funding requirements.
Demographic shifts also influence investment strategies to ensure long-term sustainability and adequacy of retirement benefits. Canadian pension funds allocate assets across various investment classes, including equities, fixed income, real estate, infrastructure, and private equity. Asset allocation decisions are influenced by risk tolerance, return expectations, and market opportunities. Effective governance structures, risk management practices, and fiduciary responsibilities are essential for pension funds to prudently manage investments and meet pension obligations. Governance standards, investment policies, and risk mitigation strategies are key considerations. Reforms to the pension system, such as changes to retirement age, pension eligibility criteria, and contribution rules, can impact pension fund dynamics and member outcomes.
Policy changes may also affect pension fund regulation and oversight. Canadian pension funds increasingly consider environmental, social, and governance factors in their investment decision-making processes. ESG integration aims to align financial objectives with sustainable and responsible investment practices. Overall, the Canadian pension fund market is shaped by a combination of regulatory, economic, demographic, investment, governance, and technological factors. Adapting to evolving market conditions and regulatory requirements is essential for pension funds to fulfil their obligations to plan members and beneficiaries.
Canada Pension Fund Market Trends
Increase in Inflation affecting Canada Pension funds Market
As people reach retirement age and have no income left, the value of their usual savings declines as the real value of commodities increases. The inflation rate in Canada is observing a continuous increase, reaching a level of 6.8% currently, with global market volatility and supply chain disruptions showing their effect.
As the inflation rate increases, people without access to a regular source of income become more vulnerable, causing a decline in purchasing power. To be saved from these scenarios, people are investing in the pension fund market to have a continuous source of income to buy commodities even after retirement.
Change in demographics affecting Canada Pension Funds Market
The share of people aged over 65 years has observed a continuous increase, reaching a level of 18.83% currently. Other than this, Canada's maximum number of inhabitants is 45 to 64 years old, covering a population of almost 10.1 million people, signifying that a continuous growth in people over 65 will be increasing in the future.
A majority of pension funds exist for people who have retired from working and need a source of money for their retirement expenses. This demographic trend in the market creates an opportunity for Canada to grow its pension fund market.
Canada Pension Fund Industry Overview
The average age of the Canadian population is 41 years old, signifying a continuous increase in population growth expected in the future. This creates opportunities for the pension fund market to expand its market share. Among the pension fund market in Canada, major firms and organizations operating in Canada include the Canada Pension Plan Investment Board, Caisse de Depot et Placement du Quebec, Ontario Teachers' Pension Plan, British Columbia Investment Management Corporation, Healthcare of Ontario Pension Plan, etc.
Canada Pension Fund Market Leaders
-
CPP Investment
-
CDPQ Global Investment
-
BCI Management Corporation
-
AIMCo
-
Healthcare of Ontario Pension Plan (HOOPP)
*Disclaimer: Major Players sorted in no particular order
Canada Pension Fund Market News
- In June 2023, Qualtrics, the pioneer and foremost provider of Experience Management (XM) software, announced that its acquisition by Silver Lake, a prominent in technology investment globally, in collaboration with Canada Pension Plan Investment Board (CPP Investments).
- In May 2023, Franklin Resources, Inc., known as Franklin Templeton, a global investment management firm, unveiled a strategic partnership with Power Corporation of Canada and Great-West Lifeco, Inc.
Canada Pension Fund Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS AND INSIGHTS
- 4.1 Market Overview
-
4.2 Market Drivers
- 4.2.1 Shift to Capital Light Products from traditional products.
- 4.2.2 A push for technology led engagement
-
4.3 Market Restraints
- 4.3.1 Market Volatility affecting pension funds market.
- 4.3.2 Changing demographic structure and Organizational factor
-
4.4 Market Opportunity
- 4.4.1 Increasing membership of the private sector in pension fund market
- 4.4.2 Increase in coverage of paid workers under pension plan
-
4.5 Porter's Five Forces Analysis
- 4.5.1 Bargaining Power of Buyers
- 4.5.2 Bargaining Power of Suppliers
- 4.5.3 Threat of New Entrants
- 4.5.4 Threat of Substitutes
- 4.5.5 Intensity of Competitive Rivalry
- 4.6 Insights of Technology Innovations in the Market
- 4.7 Insights on Various Regulatory Landscape
- 4.8 Impacts of COVID-19 on the Market
5. MARKET SEGMENTATION
-
5.1 By Plan Type
- 5.1.1 Distributed Contribution
- 5.1.2 Distributed Benefit
- 5.1.3 Reserved Fund
- 5.1.4 Hybrid
6. COMPETITIVE LANDSCAPE
-
6.1 Company Profiles
- 6.1.1 Canada Pension Plan Investment Board
- 6.1.2 Caisse de depot et placement du Quebec
- 6.1.3 Ontario Teacher's Pension Plan
- 6.1.4 British Columbia Investment Management Corporation
- 6.1.5 Healthcare of Ontario Pension Plan
- 6.1.6 PSP Investment Board
- 6.1.7 OMERS Retirement System
- 6.1.8 T. Rowe Price
- 6.1.9 Impax Asset Management
- 6.1.10 Mawer Investment Management Ltd.*
- *List Not Exhaustive
7. MARKET FUTURE TRENDS
8. DISCLAIMER AND ABOUT US
** Subject To AvailablityCanada Pension Fund Industry Segmentation
The pension fund is used to accumulate capital, which will be paid out as a pension for employees when they retire at the end of their careers. The pension fund market aggregates the large sum of money to be invested in the capital market in the form of bonds and stocks to generate profits.
The Canadian pension funds market is segmented by plan type and is sub-segmented into distributed contribution, distributed benefit, reserve fund, and hybrid. The report offers market size and value (USD) during the forecasted years for the above segments.
| By Plan Type | Distributed Contribution |
| Distributed Benefit | |
| Reserved Fund | |
| Hybrid |
Canada Pension Fund Market Research Faqs
How big is the Canada Pension Fund Market?
The Canada Pension Fund Market size is expected to reach USD 4.11 trillion in 2024 and grow at a CAGR of 6.05% to reach USD 5.51 trillion by 2029.
What is the current Canada Pension Fund Market size?
In 2024, the Canada Pension Fund Market size is expected to reach USD 4.11 trillion.
Who are the key players in Canada Pension Fund Market?
CPP Investment, CDPQ Global Investment, BCI Management Corporation, AIMCo and Healthcare of Ontario Pension Plan (HOOPP) are the major companies operating in the Canada Pension Fund Market.
What years does this Canada Pension Fund Market cover, and what was the market size in 2023?
In 2023, the Canada Pension Fund Market size was estimated at USD 3.86 trillion. The report covers the Canada Pension Fund Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Canada Pension Fund Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Canada Pension Fund Industry Report
Statistics for the 2024 Canada Pension Fund market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Canada Pension Fund analysis includes a market forecast outlook to for 2024 to 2029) and historical overview. Get a sample of this industry analysis as a free report PDF download.
