BCI delivers 6.7% annual return in fiscal 2026 

Fully funded pension clients and record private markets deployment define a resilient year  

VICTORIA, BC – British Columbia Investment Management Corporation (BCI) today announced an annual combined pension plan return of 6.7% for the fiscal year ended March 31, 2026. The combined pension plan return represents the performance of BCI’s six largest pension clients by assets under management (AUM). The return exceeded the average client actuarial return objective of 6.0%, and all pension plans remain fully funded, ranging from 100% – 124%. 

Gross AUM grew to $313.7 billion, compared to $295 billion the prior year, with net AUM totalling $265.4 billion. Investment income contributed $16.6 billion to AUM growth, a resilient result in a year that began and ended with significant market turbulence.  

“Fiscal 2026 was bookended by volatility, tariffs and market disruption at the start, and renewed geopolitical stress and inflation pressures at year-end. This is the kind of environment BCI is built for. Our portfolio is broadly diversified, our liquidity is carefully managed, and we were never forced to react. Market stress creates opportunity, and we chose when and where to move,” said Gordon J. Fyfe, BCI’s Chief Executive Officer and Chief Investment Officer.

Solid performance across asset classes despite market turbulence

In a year when markets rewarded concentration and punished caution, BCI stayed true to its mandate, generating investment returns that meet clients’ risk and return objectives over time, protecting and growing the value of their funds. The result was positive performance across all asset classes except for Real Estate Equity, and record private markets deployment activity that positions clients well for the years ahead. 

Global equity markets delivered strong absolute returns, though an increasingly narrow band of stocks at the top of major indices created headwinds for active managers. BCI’s diversified approach was well-suited to this environment, with Canadian Public Equity delivering 22.9%, Global Public Equity 16.0%, and Emerging Markets 28.6%. Within the Global Partnership Fund, absolute return strategies have been the largest driver of outperformance since their inception. Absolute return commitments in fiscal 2026 totalled $6.4 billion gross, with $4.9 billion deployed across co-investments and fund investments.  

Elevated inflation and shifting portfolio allocations defined the fixed income landscape, leaving active managers with limited opportunities. Despite this, all actively managed pooled funds delivered strong results. The Funding Program had its strongest year yet, with three successful debt offerings bringing outstanding issuance to $10.25 billion. The January 2026 offering of $2 billion was more than 2.5 times oversubscribed, attracting orders from over 70 high-quality global investors, reflecting the program’s growing credibility in international capital markets. 

As competition in North American direct lending intensified, BCI’s scale and agility allowed the team to be selective and move quickly on high-quality opportunities. BCI underwrites most of its private debt investments directly, giving it greater control over quality and terms. Private Debt returned 6.1%, with the Principal Credit Fund deploying $2.7 billion net while continuing to expand into Europe and Asia-Pacific. BCI also seeded $1.8 billion to a new investment-grade private credit strategy in response to client demand for greater portfolio diversification and resilience.  

Private Equity returned 8.1%. The team deployed $6.7 billion in new investments, nearly three times last year’s level, and completed $1.9 billion in secondary sales. The Venture & Growth strategy delivered a return more than double the broader program, highlighted by Photonic Inc., a Vancouver-based quantum computing company, which closed its latest financing round at a $2 billion valuation, generating significant value since our initial investment. 

Infrastructure & Renewable Resources returned 7.6%, deploying a record $4.7 billion in new commitments, led by the $1.9 billion acquisition of BBGI Global Infrastructure, new sustainably managed timberland investments in southern Brazil, and the team’s first direct investment in the Philippines, Frontier Towers. Most recently, BCI co-founded Northview Energy, a new North American renewable energy platform anchored with 22 high-quality, utility-scale solar and onshore wind energy assets. 

As QuadReal Property Group (QuadReal), a wholly owned subsidiary of BCI, approached its 10-year anniversary, market conditions created headwinds for Real Estate Equity and drove record deployment opportunities for Real Estate Debt. Real Estate Equity returned -4.9%, reflecting the challenging development market, while Real Estate Debt returned 5.3% and achieved its highest transaction volume to date. For more on BCI and QuadReal, visit Quadreal.com/built-together. 

Return summary for combined pension plan clients

Annualized Returns (%)