A pension fund with a huge investment in a steelworkers pension plan could be valued at $1 billion by one of the world’s leading pension funds, a leading U.S. investment bank and one of Canada’s largest pension funds.
The U.K.-based investment manager for the $1-trillion pension fund, the London School of Economics, said in a statement Tuesday that it had reviewed a proposal by the company responsible for managing the investment.
The plan, called the Steelworkers Pension Trust, is a private equity fund with more than $1 trillion in assets and is managed by the London-based firm, the firm said.
It also holds the rights to the name and logo for the trust.
The trust would be part of the U.N. Pension Fund, the World Bank said in March.
The pension fund has made a big push into the world of infrastructure, as construction of the Canada Line is underway and a massive new highway is in the works.
It is also the biggest U.A.E. pension fund.
The fund’s biggest fund, based in Toronto, holds more than half of Canada Line, the first major transportation project in the country.
“The fund has been investing in the U,A.R.E., and now into the steelworkers’ pension fund,” the statement said.
“The steelworkers are one of our biggest supporters in the world, and this would be a great way to showcase our support.”
U.S.-based U. S. Pension Funds (USP), which manages a $2.5 trillion global portfolio of $5 trillion, also said the proposal was attractive.
“This is a great investment opportunity for us as a U.s. pension management company, and we believe this is an excellent business opportunity for the U of A.E.,” U.P. CEO Jeffery Cramer said in an emailed statement.
“As we look forward to seeing the plan’s potential, we are also very pleased to see the UPA supporting it in a way that aligns with our core mission of building global infrastructure.”
The investment bank said it was working closely with the pension fund and the company to discuss the offer.