Sun Life commits $5 billion to Canadian infrastructure over five years

TORONTO — Sun Life Financial plans to deploy $5 billion over five years into investments meant to support Canada’s economic growth and resilience, targeting critical infrastructure in digital technology, energy, and transportation and logistics.

President and CEO Kevin Strain cast the Commitment to Canadian Infrastructure Initiative as part of Sun Life’s role as a long-term institutional investor and global asset manager. “At its core, the commitment we are announcing today underscores our belief that a stronger, more competitive Canada benefits everyone,” Strain said. “And as one of the world’s largest asset managers, we have an important role to play and we’re proud to play it.”

Of the total, $1.5 billion is intended for Canadian infrastructure equity overseen by SLC Management and originated by InfraRed Capital Partners — but that equity sleeve depends on amendments to the Insurance Companies Act that would let insurers take infrastructure equity stakes. Tom Murphy, president of Sun Life Asset Management, said infrastructure can deliver long-term cash flows while financing assets that “strengthen economies, and support resilience.”

The pledge adds another private-capital line behind Ottawa’s build-Canada push, days after banks unveiled multi-billion defence and industry facilities. Patient insurer money can ease funding gaps — and it can also bid up the same scarce labour, power and materials that already feed into Canadian cost of living.