Brookfield Asset Management has announced an initial US$7 billion closing for the Brookfield Global Transition Fund (BGTF). The fund will be the largest fund focused on the global transition to a net-zero economy. 

The founding investment partners, Ontario Teachers’ Pension Plan Board and Temasek, have both committed significant capital in, as well as strategically investing alongside, the Fund. PSP Investments and Investment Management Corporation of Ontario (IMCO) are also committing as meaningful initial investors in the fund.

With initial capital, the BGTF has established a hard cap of US$12.5 billion. Traditional first and second closes are expected to occur during 2021. The impact fund is focused on investments that accelerate the global transition to a net-zero carbon economy, while delivering strong risk-adjusted returns to investors. The Fund aims to invest on opportunities related to reducing greenhouse gas emissions and energy consumption, as well as increasing low-carbon energy capacity and supporting sustainable solutions.