Power Sustainable Manager Inc. (Power Sustainable) and Great-West Lifeco Inc. (Lifeco) have recently forged a groundbreaking long-term strategic partnership, aiming to revolutionize sustainable private equity and infrastructure investments. Under this collaboration, Lifeco has become a minority shareholder in Power Sustainable, holding slightly below 20% ownership on a fully diluted basis.
The partnership between Power Sustainable and Lifeco will contribute to the accelerated growth and market penetration of sustainable private equity and infrastructure. By combining their expertise, the two companies strive to create value and support a responsible transition toward sustainability.
Olivier Desmarais, Chairman and CEO of Power Sustainable, expressed his excitement about the strategic partnership, stating, “Great-West Lifeco is the perfect partner for our next phase of growth.” With a focus on competitive returns and positive sustainability outcomes, Power Sustainable is confident that joining forces with Lifeco will help them achieve their investment goals while driving positive environmental impact.
Meanwhile, Raman Srivastava, EVP and Global Chief Investment Officer of Great-West Lifeco, emphasized the importance of diversifying investment options for clients and their general account. He praised Power Sustainable’s expertise in sustainable investments and its potential to provide a more comprehensive range of investment opportunities across various industries.
In addition to the partnership, Raman Srivastava has also joined Power Sustainable’s Board of Directors, further solidifying the collaboration between the two companies. This strategic alliance builds upon their prior collaboration, including Lifeco’s previous commitments of over $1 billion to Power Sustainable’s investment strategies.
Power Sustainable is a subsidiary of Power Corporation of Canada, an international management and holding company focused on financial services. With $3.8 billion in assets under management, Power Sustainable aims to catalyze capital towards clean global solutions.
Great-West Lifeco, a Canadian financial services holding company, operates in Canada, the United States, and Europe, providing life insurance, health insurance, retirement and investment services, asset management, and reinsurance businesses.
By combining forces, Power Sustainable and Lifeco strive to drive innovation and create a path towards a more sustainable future.
One key advantage of the partnership between Power Sustainable and Lifeco is the potential for accelerated growth and market penetration in sustainable private equity and infrastructure investments. By pooling their expertise and resources, the two companies can leverage each other’s strengths to access new investment opportunities and expand their reach in the market.
This collaboration also allows Lifeco to diversify its investment options for clients and their general account. By partnering with Power Sustainable, which has a strong track record in sustainable investments, Lifeco can offer a more comprehensive range of investment opportunities across various industries. This diversification can help mitigate risks and potentially generate greater returns for Lifeco’s clients.
Moreover, the strategic alliance between Power Sustainable and Lifeco builds upon their prior collaboration, including Lifeco’s significant commitments of over $1 billion to Power Sustainable’s investment strategies. This demonstrates a long-term commitment to sustainable investments and indicates a high level of confidence in Power Sustainable’s expertise and investment approach.
However, there are also challenges and controversies associated with sustainable investments. One key challenge is the complexity of identifying truly sustainable and impactful investments. There is often a lack of standardized criteria and metrics for evaluating sustainability performance, which can lead to greenwashing or misleading claims by companies. Investors need to conduct thorough due diligence to ensure their investments align with their sustainability goals.
Another challenge is the potential trade-off between financial returns and sustainability outcomes. While sustainable investments can generate positive environmental and social impacts, there is a concern that they may underperform financially compared to traditional investments. Balancing financial returns with sustainability goals is a key challenge for investors in the field.
Furthermore, controversy exists around the measurement and reporting of sustainability impacts. Different methodologies and frameworks are used to assess and report sustainability performance, making it difficult to compare and benchmark companies’ sustainability efforts. This lack of standardization can hinder transparency and accountability in the field of sustainable investments.
Overall, the partnership between Power Sustainable and Lifeco has the potential to drive innovation and contribute to a more sustainable future. However, careful consideration of the challenges and controversies associated with sustainable investments is necessary for investors to make informed decisions.
For more information on current market trends and forecasts in sustainable investments, you can refer to the main domain of reputable sources such as:
1. Bloomberg
2. Morningstar
3. Sustainable Invest