Brookfield Asset Management has raised $2.4 billion for its Catalytic Transition Fund, which invests clean energy and transition assets in emerging markets. The fund is about halfway to its goal of $5 billion. Investors in the fund include Singapore sovereign wealth funds GIC Temasek and Prudential and Caisse de Depot et Placement du Quebec, Canada’s second-largest public pension manager.
Mark Carney, chair of Brookfield Asset Management and head of its transition investing group, said, “The support from the world’s most sophisticated investors for the CTF strategy underscores the unique combination of the significant commercial opportunity and the climate imperative.
Brookfield highlighted that investments in emerging markets must increase sixfold from current levels to reach the $1.6 trillion needed annually by the early 2030s to meet global net-zero targets.
Brookfield’s clean energy investments
The fund expects to announce its initial investments later in 2024.
The fund was introduced at the COP28 climate change conference, with as much as $1 billion of capital provided by the United Arab Emirates investment firm Alterra. Brookfield has committed to providing 10% of the target. Carney recently accepted a role as an adviser on economic policy to Canadian Prime Minister Justin Trudeau’s Liberal Party.
Conservative Party Leader Pierre Poilievre criticized Carney for doing so, alleging he is trying to dodge conflict-of-interest disclosures by taking on the work for a political party rather than for the government itself.
