Global Risk Spurs Ontario Pension Fund to Revamp PE Strategy (1)

Ontario Teachers’ Pension Plan is re-examining its private equity unit, aiming to lean more on partnerships rather than owning entire firms as it seeks to mitigate risk.

For decades, the pension fund in Canada’s most populous province has bought companies outright within its private equity business, and also backed firms alongside partners and external managers.

Now Ontario Teachers’ — which oversees C$266.3 billion ($185.2 billion) — will focus that business “more on a partner basis,” Chief Executive Officer Jo Taylor said in an interview.

With all of the uncertainty in the world, “you dial back the risk by doing it ...